Defaults by the Underlying Trust Sample Clauses
The "Defaults by the Underlying Trust" clause defines the consequences and procedures that apply if the underlying trust associated with an agreement fails to meet its obligations or breaches its terms. Typically, this clause outlines what constitutes a default by the trust, such as missed payments or failure to perform required duties, and specifies the rights and remedies available to affected parties, which may include acceleration of payments, enforcement actions, or termination of the agreement. Its core practical function is to allocate risk and provide a clear framework for addressing trust defaults, thereby protecting the interests of parties who rely on the trust's performance.
Defaults by the Underlying Trust. In connection with its receipt of any distribution on the Deposited Underlying Certificates on any Distribution Date, if (i) the amount of any distribution varies from the amount due thereon pursuant to the terms of the Underlying Agreement, (ii) the Trustee shall not have received a distribution by the close of business on such Distribution Date, or (iii) a Responsible Officer of the Trustee shall gain actual knowledge of any default under the Underlying Agreement, the Trustee shall promptly notify the Depositor, the Underlying Certificate Seller and the Certificateholders, and shall, subject to the provisions of Article V hereof, pursue such remedies as may be available to it as holder of such Deposited Underlying Certificates in accordance with the terms of the Underlying Agreement.
Defaults by the Underlying Trust. In connection with its receipt of any distribution on the Underlying MBS on any Underlying Distribution Date, if (i) the amount of any distribution varies from the amount due thereon pursuant to the terms of the Underlying Agreement, (ii) the Trustee shall not have received a distribution by the close of business on such Underlying Distribution Date, or (iii) a Responsible Officer of the Trustee shall gain actual knowledge of any default under the Underlying Agreement, the Trustee shall promptly notify the Depositor, the Underlying MBS Seller and the Certificateholders, and shall pursue such remedies as may be available to it as holder of such Underlying MBS in accordance with the terms of the Underlying Agreement.
Defaults by the Underlying Trust. In connection with its receipt of any distribution on the Deposited Underlying Certificate on any Distribution Date, if (i) the amount of any distribution varies from the amount due thereon pursuant to the terms of the Underlying Agreement, (ii) the Trustee shall not have received a distribution by the close of business on such Distribution Date, or (iii) a Responsible Officer of the Trustee shall gain actual knowledge of any default under the Underlying Agreement, the Trustee shall promptly notify the Depositor, the Underlying Certificate Seller and the Certificateholders, and shall, subject to the provisions of Article V hereof, pursue such remedies as may be available to it as holder of the Deposited Underlying Certificate in accordance with the terms of the Underlying Agreement. To the extent that the Trustee shall not have received any such distribution by the close of business on such Distribution Date, such Delayed Underlying Distributions shall be distributed on the immediately succeeding Distribution Date in the manner set forth in Section 3.04(f).