Covenants of Seller to Take Certain Actions with Respect to the Home Equity Loans in Certain Situations. (a) Upon the discovery by the Depositor, the Seller, the Servicer, the Insurer, any Subservicer, any Owner, the Custodian or the Indenture Trustee that the representations and warranties set forth in clause (b) below were untrue in any material respect, without regard to any limitation set forth therein concerning the knowledge of the Seller as to the facts stated therein as of the Startup Day (or in the case of a Qualified Replacement Mortgage, as of the respective replacement date) with the result that the interests of the Owners or of the Insurer in the related Home Equity Loan are, or may be, materially and adversely affected, the party discovering such breach shall give prompt written notice to the other parties. Upon the earliest to occur of the Seller's discovery, its receipt of notice of breach from any one of the other parties or such time as a situation resulting from an existing statement which is untrue materially and adversely affects the interests of the Owners or of the Insurer, without regard to any limitation set forth therein concerning the knowledge of the Seller as to the facts stated therein, the Seller hereby covenants and warrants that it shall promptly cure such breach in all material respects or subject to the last three sentences of Section 2.04 it shall on or before the second Monthly Remittance Date next succeeding such discovery, receipt of notice or such time (i) substitute in lieu of each Home Equity Loan which has given rise to the requirement for action by the Seller a Qualified Replacement Mortgage and deliver the Substitution Amount to the Servicer for deposit in the Principal and Interest Account or (ii) purchase such Home Equity Loan from the Trust at a purchase price equal to the Loan Purchase Price thereof, which purchase price shall be delivered to the Servicer for deposit in the Principal and Interest Account; provided, however, that if the Seller can establish to the reasonable satisfaction of the Insurer that it is diligently pursuing remedial action, the period of time in which the Seller must substitute a Qualified Replacement Mortgage or purchase such Home Equity Loan may be extended with the written approval of the Insurer. It is understood and agreed that the obligation of the Seller so to substitute or purchase any Home Equity Loan as to which such a statement set forth below is untrue in any material respect and has not been remedied shall constitute the sole remedy respecting a discovery of any such statem...
Covenants of Seller to Take Certain Actions with Respect to the Home Equity Loans in Certain Situations. (a) Upon the discovery by the Depositor, the Seller, the Servicer, any Sub-Servicer, any Owner, the Custodian or the Trustee that the representations and warranties set forth in clause (b) below were untrue in any material respect as of the Startup Day with the result that the interests of the Owners are materially and adversely affected, the party discovering such breach shall give prompt written notice to the other parties. Upon the earliest to occur of the Seller's discovery, its receipt of notice of breach from any one of the other parties or such time as a situation resulting from an existing statement which is untrue materially and adversely affects the interests of the Owners, the Seller hereby covenants and warrants that it shall promptly cure such breach in all material respects or subject to the last three sentences of Section 3.03 it shall on or before the second Monthly Remittance Date next succeeding such discovery, receipt of notice or such time (i) substitute in lieu of each Home Equity Loan which has given rise to the requirement for action by the
