Common use of Corridor Contracts Clause in Contracts

Corridor Contracts. Countrywide shall cause The Bank of New York to enter into the Corridor Contract Administration Agreement and shall assign all of its right, title and interest in and to the interest rate corridor transactions evidenced by the Corridor Contracts to, and shall cause all of its obligations in respect of such transactions to be assumed by, the Corridor Contract Administrator, on the terms and conditions set forth in the Corridor Contract Assignment Agreement. The Trustee's rights to receive certain proceeds of the Corridor Contracts as provided in the Corridor Contract Administration Agreement will be assets of the Trust Fund but will not be assets of any REMIC. The Trustee, shall deposit any amounts received from time to time with respect to any Corridor Contract into the Corridor Contract Reserve Fund. The Master Servicer shall deposit any amounts received on behalf of the Trustee from time to time with respect to any Corridor Contract into the Corridor Contract Reserve Fund. No later than two Business Days following each Distribution Date, the Trustee shall provide the Corridor Contract Administrator with information regarding the aggregate Class Certificate Balance of the Class(es) of Certificates related to each Corridor Contract after all distributions on such Distribution Date. The Trustee shall direct the Corridor Contract Administrator to terminate a Corridor Contract upon the occurrence of certain events of default or termination events to the extent specified thereunder. Upon any such termination, the applicable Corridor Contract Counterparty will be obligated to pay the Corridor Contract Administrator an amount in respect of such termination, and the portion of such amount that is distributable to the Trust Fund pursuant to the Corridor Contract Administration Agreement and received by the Trustee or the Master Servicer for the benefit of the Trust Fund, as the case may be, in respect of such termination shall be deposited and held in the Corridor Contract Reserve Fund and applied on future Distribution Dates to pay any related Yield Supplement Amount on the Class 1-A-1, Class 1-A-3, Class 2 A-1, Class 2 A-3, Class 2 A-6, Class 2 A-8 and Class 2 A-14 Certificates, as applicable. Any amounts remaining in the Corridor Contract Reserve Fund, after the earlier of (i) the date on which the Class Certificate Balances of the Class 1-A-1, Class 1-A-3, Class 2 A-1, Class 2 A-3, Class 2 A-6, Class 2 A-8 and Class 2 A-14 Certificates have been reduced to zero and (ii) the applicable Corridor Contract Scheduled Termination Date, will be distributed to Countrywide Securities Corporation.

Corridor Contracts. Countrywide shall cause The Bank of New York to enter into the Corridor Contract Administration Agreement and shall assign all of its right, title and interest in and to the interest rate corridor transactions evidenced by the Corridor Contracts to, and shall cause all of its obligations in respect of such transactions to be assumed by, the Corridor Contract Administrator, on the terms and conditions set forth in the Corridor Contract Assignment Agreement. The Trustee's rights to receive certain proceeds of the Corridor Contracts as provided in the Corridor Contract Administration Agreement will be assets of the Trust Fund but will not be assets of any REMIC. The Trustee, shall deposit any amounts received from time to time with respect to any Corridor Contract into the Corridor Contract Reserve Fund. The Master Servicer shall deposit any amounts received on behalf of the Trustee from time to time with respect to any Corridor Contract into the Corridor Contract Reserve Fund. No later than two Business Days following each Distribution Date, the Trustee shall provide the Corridor Contract Administrator Supplemental Interest Trustee with information regarding the aggregate Class Certificate Balance of the Class(es) of LIBOR Certificates related to each Corridor Contract after all distributions on such Distribution Date. The Upon the Supplemental Interest Trustee obtaining actual knowledge of a Collateral Event (as defined in the ISDA Master Agreement), the Supplemental Interest Trustee shall direct (i) demand delivery of the Delivery Amount (as defined in the ISDA Master Agreement) from the Counterparty on each Valuation Date (as defined in the ISDA Master Agreement), if applicable, (ii) deliver to the Counterparty the Return Amount (as defined in the ISDA Master Agreement) on each Valuation Date, if applicable, as well as Distributions and the Interest Amount (each as defined in the ISDA Master Agreement), to the extent required under the ISDA Master Agreement and (iii) take such other action required under the ISDA Master Agreement. If a Delivery Amount is demanded, the Supplemental Interest Trustee shall open and maintain a segregated account meeting the requirements set forth in the ISDA Master Agreement to hold cash and other eligible investments pledged under the ISDA Master Agreement. Any cash or other Eligible Collateral (as defined in the ISDA Master Agreement) pledged under the ISDA Master Agreement shall not be part of the Distribution Account or the Corridor Contract Administrator Reserve Fund unless remitted to terminate such accounts by the Supplemental Interest Trustee in satisfaction of the obligations of the Counterparty under the ISDA Master Agreement. If Eligible Collateral with a Corridor Contract upon Value (as defined in the occurrence of certain events of default or termination events ISDA Master Agreement) equal to the extent specified thereunderDelivery Amount is not delivered to the Supplemental Interest Trustee by the Counterparty, the Supplemental Interest Trustee shall promptly provide written notice to the Counterparty and Countrywide of such failure. Upon any such terminationthe Supplemental Interest Trustee obtaining actual knowledge of an Event of Default or Termination Event (each as defined in the ISDA Master Agreement) for which the Supplemental Interest Trustee has the right to designate an Early Termination Date (as defined in the ISDA Master Agreement), the applicable Corridor Contract Counterparty will be obligated Supplemental Interest Trustee shall act at the written direction of Countrywide as to pay the Corridor Contract Administrator whether to designate an amount in respect Early Termination Date; provided, however, that, following such Event of such terminationDefault or Termination Event and before designating an Early Termination Date, and the portion of such amount that is distributable to the Trust Fund pursuant to the Corridor Contract Administration Agreement and received by the Trustee or the Supplemental Interest Trustee shall provide written notice to each Rating Agency. Following the designation of an Early Termination Date, (i) the Supplemental Interest Trustee shall use its reasonable best efforts to enforce its rights under the ISDA Master Servicer for Agreement consistent with the benefit terms hereof, (ii) Countrywide shall assist the Supplemental Interest Trustee in procuring replacement corridor contracts with terms that are substantially the same as those of the Trust Fund, original Corridor Contracts and (iii) the Supplemental Interest Trustee shall request the Counterparty to assist in procuring replacement corridor contracts with terms that are substantially the same as those of the case may be, original Corridor Contracts. Any payment received from the Counterparty in respect of such termination any Early Termination Date shall be used to pay any amount payable to a replacement counterparty in respect of replacement corridor contracts. In the event that replacement corridor contracts cannot be procured, any payment received from the Counterparty in respect of any Early Termination Date shall be deposited and held in the Corridor Contract Reserve Fund and applied to be distributed as provided in Section 4.02(c) hereof on future the Distribution Dates following such early termination to pay and including the Distribution Date in July 2017. On the Distribution Date in July 2017, after all other distributions have been made on such date pursuant to the terms of this Agreement, if any related Yield Supplement Amount on amounts received by the Class 1-A-1, Class 1-A-3, Class 2 A-1, Class 2 A-3, Class 2 A-6, Class 2 A-8 and Class 2 A-14 Certificates, as applicable. Any amounts remaining Supplemental Interest Trustee in respect of such early termination remain in the Corridor Contract Reserve Fund, after such amounts shall be distributed by the earlier of (i) Supplemental Interest Trustee to the date on which Underwriter. If the Class Certificate Balances obligations of the Class 1-A-1Counterparty shall become guaranteed pursuant to the guarantee of any party (whether an affiliate of the Counterparty or otherwise), Class 1-A-3, Class 2 A-1, Class 2 A-3, Class 2 A-6, Class 2 A-8 and Class 2 A-14 Certificates have been reduced to zero and (ii) then the applicable Supplemental Interest Trustee shall promptly demand in accordance with the terms of the guarantee from such guarantor all amounts payable or deliverable by the Counterparty under a Corridor Contract Scheduled Termination Date, will be distributed in the event that the Counterparty fails to Countrywide Securities Corporationmake timely payment or delivery of such amounts.