Defaulted Contracts Sample Clauses
The Defaulted Contracts clause defines the procedures and consequences that apply when one party fails to fulfill its contractual obligations. Typically, this clause outlines what constitutes a default, the steps the non-defaulting party may take—such as providing notice, suspending performance, or terminating the contract—and any remedies or penalties that may be imposed. Its core practical function is to provide a clear framework for addressing breaches, thereby allocating risk and ensuring both parties understand the repercussions of non-performance.
POPULAR SAMPLE Copied 1 times
Defaulted Contracts. If a Contract Default shall have occurred with respect to any Buyers' Contract and such Contract is not repurchased by the Related Seller hereunder, the Servicer shall take all reasonable actions, which may include filing lawsuits, to collect such Contract and to enforce the Agent's and the Buyers' rights under any Related Security
Defaulted Contracts. Each Contract identified as a Defaulted Contract in the Defaulted Contract List is, as of the Closing Date, a Defaulted Contract.
Defaulted Contracts. If a Contract Default shall have occurred with respect to any Buyers' Contract and such Contract is not repurchased by the Related Seller hereunder, the Servicer shall take all reasonable actions, which may include filing lawsuits, to collect such Contract and to enforce the Agent's and the Buyers' rights under any Related Security Document. The proceeds of any action to collect such a Contract or of a sale of any Related Security for such Contract shall be applied first to the Servicer's reasonable out-of- pocket costs and expenses (including the fees and disbursements of its counsel) incurred in obtaining such proceeds, second, to the Agent's and the Buyers' reasonable costs and expenses (including the fees and disbursements of its counsel), third, at the Agent's option, to accrued, unpaid interest on the Contract or to the outstanding principal balance of the Contract, fourth, to accrued, unpaid interest on the Contract or the outstanding principal balance of the Contract (whichever was not chosen by the Agent pursuant to clause third above), and the remainder, if any, to any other Person legally entitled thereto, including, without limitation, the Related Seller.