Examples of Special Reserve Account in a sentence
Contemporaneously with the execution of this Agreement and the LLC Operating Agreement, the Private Owner shall, pursuant to the applicable provisions in the LLC Operating Agreement and the Custodial and Paying Agency Agreement, establish the Special Reserve Account and deliver (or cause to be delivered) to the Initial Member the Additional Security, in the form of a Qualifying Letter of Credit.
Upon the occurrence of an Event of Default, the Initial Member may direct the Company to withdraw funds from the Special Reserve Account to pay for any Company expenses in connection with such Event of Default and as otherwise determined in the sole and absolute discretion of the Initial Member.
The “Incentive Threshold Event” shall occur as of a Distribution Date if (A) the aggregate distributions made to the Private Owner (including any amounts that were deposited into the Special Reserve Account that would have otherwise been distributed to the Private Owner) pursuant to the Priority of Payments as of such Distribution Date is equal to or greater than the product of two and the Incentive Threshold Base Amount, and (B) the Incentive Threshold as of such Distribution Date is equal to zero.
On the Closing Date, the Manager shall cause the Company to establish the Special Reserve Account with the Paying Agent for the exclusive purpose of holding Qualifying Cash Collateral (including in the form of any proceeds from a drawing on a Qualifying Letter of Credit at any time deposited in the Special Reserve Account in accordance herewith).
No Servicer or Subservicer shall be paid any fees or indemnified out of any Mortgage Loan Proceeds (or funds in the Collection Account, the Liquidity Account, the Special Reserve Account or any other Company account), it being understood that all fees and related costs of liabilities of the Servicers and Subservicers shall be the sole responsibility of the Manager (without any right of reimbursement from the Company or the Initial Member).