Defaulted Instrument definition
Defaulted Instrument a Designated Instrument that shall be deemed defaulted at the earlier of the date on which (i) the Servicer has determined, in its sole discretion, in accordance with the Servicing Standard, that such Designated Instrument is not collectible, (ii) all or part of a Scheduled Payment thereunder is more than 60 days delinquent as of the last day of any calendar month or (iii) otherwise ceases to be an Eligible Mortgage Loan.
Defaulted Instrument means an Instrument that, as of any -------------------- Determination Date occurring after the Transfer Date related to such Instrument, has (a) either (i) been determined, by the Servicer, in its sole discretion, in accordance with the Servicing Standards, to not be collectible or (ii) had all or part of a Scheduled Payment thereunder more than 180 days delinquent as of the end of the immediately preceding Collection Period or (b) ceased to have the benefit of the related Mortgage.
Examples of Defaulted Instrument in a sentence
If on the relevant Issue Date the Relevant Dealer does not pay the subscription price due from it in respect of any Instrument (the “Defaulted Instrument”) and, as a result, the Defaulted Instrument remains in the Issuing and Paying Agent’s distribution account with the relevant clearing system after such Issue Date (rather than being credited to the Relevant Dealer’s account against payment), the Issuing and Paying Agent will continue to hold the Defaulted Instrument to the order of the Issuer.