Secured Note Servicing Sample Clauses

Secured Note Servicing. Prior to an Event of Default, Servicer shall service the Secured Note on behalf of Lenders. Such services shall include each of the following: (a) Servicer shall provide written notification to Borrower of Servicer’s appointment as agent for the Lenders to service the Secured Note, and shall instruct Borrower to make all Loan Payments due under the Loan Documents payable to Servicer. (b) Upon Servicer’s receipt of any Loan Payments, such Loan Payments shall be immediately deposited into a non-interest bearing trust account (the “Trust Account”) established with a federally insured bank in the name of Servicer, as agent for the Lenders, and maintained in accordance with the provisions of subsection 10238(k) of the California Real Estate Law (if applicable), Section 10145 and other applicable provisions of the California Business and Professions Code, Article 15 (commencing with Section 2830.1) of Chapter 6 of Title 10 of the California Code of Regulations, any applicable rules or regulations promulgated by the California Department of Real Estate and any other applicable laws, rules and regulations. The Lenders acknowledge that they shall not receive any interest on funds held in the Trust Account. (c) Loan Payments shall not be commingled with any other assets of Servicer or used for any other transactions or purposes whatsoever other than the transaction for which such Loan Payments are received by Servicer. (d) Prior to the occurrence of an Event of Default under the Loan Documents, that portion of any Loan Payment received by Servicer that constitutes Principal, accrued interest, and any other sums payable to the Lenders for any month under the Secured Note and this Agreement shall be delivered to each of the Lenders in accordance with Section 8.1. Following the occurrence of an Event of Default, all Loan Payments or Property Proceeds received by the Servicer shall be distributed (as provided in Section 8.2). (e) Servicer shall maintain records of its receipt, maintenance and disbursement of all Loan Payments, and shall cause the Trust Account to be inspected as required by such laws, rules and regulations as are applicable thereto and as may reasonably be requested by Lenders in accordance with this Agreement. (f) To the extent required by subsection 10238(k)(3) of the California Real Estate Law, Servicer shall arrange for the inspection of Servicer’s trust account by an independent certified public accountant and forward the report of such accountant ...