EXHIBIT 10.2
 EXECUTION COPY
      as the Borrower
 as the Originator,
 as the Servicer
 as the Seller
 as a Lender
 as the Agent
 as the Backup Servicer
  as the Custodian and the Agents Bank.




---



##### 



TABLE OF CONTENTS
 PageARTICLE I DEFINITIONS
    
    
    1SECTION 1.01. Certain Defined Terms
    
    
    1ARTICLE II THE RECEIVABLES FACILITY
    
    
    32SECTION 2.01. Borrowings
    
    
    32SECTION 2.02. The Initial Borrowing and Subsequent Borrowings
    
    
    32SECTION 2.03. Facility Maturity Date
    
    
    34SECTION 2.04. Selection of Fixed Periods
    
    
    34SECTION 2.05. Remittance Procedures
    
    
    35SECTION 2.06. Priority of Payments
    
    
    36SECTION 2.07. [RESERVED]
    
    
    38SECTION 2.08. Substitution of Pledged Receivables
    
    
    38SECTION 2.09. Payments and Computations, Etc
    
    
    39SECTION 2.10. Fees
    
    
    39SECTION 2.11. Increased Costs; Capital Adequacy
    
    
    40SECTION 2.12. Collateral Assignment of Agreements
    
    
    41SECTION 2.13. Grant of a Security Interest
    
    
    42SECTION 2.14. Evidence of Debt
    
    
    43SECTION 2.15. Survival of Representations and Warranties; Repayment Obligations
    
    
    43SECTION 2.16. Release of Pledged Receivables
    
    
    43SECTION 2.17. Prepayment
    
    
    44SECTION 2.18. Taxes
    
    
    44SECTION 2.19. Transfer of Commitment upon an Early Amortization Event
    
    
    46ARTICLE III CONDITIONS OF LOANS
    
    
    46SECTION 3.01. Conditions Precedent to Initial Borrowing
    
    
    46SECTION 3.02. Conditions Precedent to All Borrowings
    
    
    47SECTION 3.03. Advances Do Not Constitute a Waiver
    
    
    49ARTICLE IV REPRESENTATIONS AND WARRANTIES
    
    
    49SECTION 4.01. Representations and Warranties of the Borrower
    
    
    49SECTION 4.02. Representations and Warranties of the Servicer
    
    
    53SECTION 4.03. Resale of Receivables Upon Breach of Covenant or Representation and
Warranty by Borrower
    
    
    54SECTION 4.04. Representations and Warranties of the Custodian and the Agents Bank
    
    
    55SECTION 4.05. Representations and Warranties of the Seller
    
    
    56SECTION 4.06. Representations and Warranties of the Backup Servicer
    
    
    61ARTICLE V GENERAL COVENANTS OF THE BORROWER, THE SELLER, THE ORIGINATOR AND THE
SERVICER
    
    
    62SECTION 5.01. General Covenants
    
    
    62i




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##### 



TABLE OF CONTENTS
(cont.)
 PageARTICLE VI ADMINISTRATION AND SERVICING; CERTAIN COVENANTS
    
    
    72SECTION 6.01. Appointment and Designation of the Servicer
    
    
    72SECTION 6.02. Collection of Receivable Payments; Modification and Amendment of
Receivables
    
    
    74SECTION 6.03. Realization Upon Receivables
    
    
    74SECTION 6.04. Insurance Regarding Equipment
    
    
    75SECTION 6.05. Maintenance of Security Interests in Pledged Assets
    
    
    76SECTION 6.06. Taxes and Insurance Premiums Payable from Collections
    
    
    77SECTION 6.07. [RESERVED]
    
    
    77SECTION 6.08. No Rights of Withdrawal
    
    
    77SECTION 6.09. Permitted Investments
    
    
    78SECTION 6.10. Servicing Compensation
    
    
    78SECTION 6.11. Reports to the Agent; Account Statements; Servicing Information
    
    
    78SECTION 6.12. Statements as to Compliance; Financial Statement.
    
    
    81SECTION 6.13. Access to Certain Documentation; Obligors
    
    
    83SECTION 6.14. Backup Servicer.
    
    
    84SECTION 6.15. Additional Remedies of Agent Upon Event of Default
    
    
    88SECTION 6.16. Waiver of Defaults
    
    
    89SECTION 6.17. Maintenance of Certain Insurance
    
    
    89SECTION 6.18. Segregation of Collections
    
    
    89SECTION 6.19. UCC Matters; Protection and Perfection of Pledged Assets.
    
    
    89SECTION 6.20. Receipt of Lien Certificates
    
    
    91SECTION 6.21. Compliance with Applicable Law
    
    
    91SECTION 6.22. Performance and Compliance; Servicer Activities.
    
    
    91SECTION 6.23. Change in Agreements and Accounts
    
    
    92SECTION 6.24. Computer Software
    
    
    92ARTICLE VII EVENTS OF DEFAULT, LENDER AMORTIZATION EVENTS AND REMEDIES
    
    
    92SECTION 7.01. Events of Default and Remedies
    
    
    92SECTION 7.02. Additional Remedies of the Agent
    
    
    95ARTICLE VIII INDEMNIFICATION
    
    
    96SECTION 8.01. Indemnities by the Borrower
    
    
    96SECTION 8.02. Indemnities by Servicer
    
    
    99ARTICLE IX MISCELLANEOUS
    
    
    101SECTION 9.01. Amendments and Waivers
    
    
    101SECTION 9.02. Notices, Etc
    
    
    102SECTION 9.03. No Waiver; Remedies
    
    
    102SECTION 9.04. Binding Effect; Assignability; Multiple Lenders
    
    
    102SECTION 9.05. Qualified Purchaser
    
    
    103ii




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##### 



TABLE OF CONTENTS
(cont.)
 PageSECTION 9.06. Term of This Agreement
    
    
    103SECTION 9.07. GOVERNING LAW; JURY WAIVER; CONSENT TO JURISDICTION
    
    
    103SECTION 9.08. Costs, Expenses and Taxes
    
    
    104SECTION 9.09. No Proceedings
    
    
    105SECTION 9.10. Recourse Against Certain Parties
    
    
    106SECTION 9.11. Execution in Counterparts; Severability; Integration
    
    
    106SECTION 9.12. Tax Characterization
    
    
    106SECTION 9.13. Lenders Obligations
    
    
    106SECTION 9.14. Agent and Affiliates
    
    
    107SECTION 9.15. Lending Decisions
    
    
    107SECTION 9.16. Delegation of Duties
    
    
    107SECTION 9.17. Successor Agent
    
    
    107




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##### 



(1)
    
    LEAF III C SPE, LLC, a Delaware limited liability company (the
Borrower);(2)
    
    LEAF FUNDING, INC. (LEAF), as Originator (the Originator)(3)
    
    LEAF FINANCIAL CORPORATION (LEAF Financial), as the Servicer (as
defined herein);(4)
    
    AUTOBAHN FUNDING COMPANY LLC (Autobahn), as a Lender (as defined
herein);(5)
    
    LEAF EQUIPMENT LEASING INCOME FUND III, L.P. ( LEAF III or the
Partnership), as a Seller (the Seller)(6)
    
    DZ BANK AG DEUTSCHE ZENTRAL-GENOSSENSCHAFTSBANK,
FRANKFURT AM MAIN (DZ BANK), as agent for the Lender (the
Agent);(7)
    
    LYON FINANCIAL SERVICES, INC. (d/b/a U.S. Bank Portfolio Services) (Lyon), as
the Backup Servicer; and(8)
    
    U.S. BANK NATIONAL ASSOCIATION, as the Custodian and the Agents Bank (as each
such term is defined herein).IT IS AGREED as follows:
 ARTICLE I
 DEFINITIONS
 SECTION 1.01. Certain Defined Terms Section 1.01
  Acquisition Loan
 Adjusted EBITDA
 Adverse Claim




---



##### 



Affected Party Section 2.11
 Affiliate
 Agent
 Agents Bank
 Agents Bank Fee Exhibit F
 Aggregate Net Investment
 Agreement
 Assigned Documents Section 2.12
 Assignment
 Assignment and Acceptance Section 9.04
 Authorized Officer manager
 Autobahn
 2




---



##### 



Backup Servicer
 Backup Servicer Fee Exhibit F
 Backup Servicer Monthly Certification Section 6.14.
 Balloon Payment
 Bankruptcy Code et seq.
 Bankruptcy Event
   Base Rate The Wall Street Journa The Wall Street Journal
 3




---



##### 



Benefit Plan
 Borrower
 Borrowing
 Borrowing Base Certificate Exhibit
A Section 6.11(d)
 Borrowing Base Deficiency
 Borrowing Date
 Brokered Contract
 Business Day
 Calculated Swap Amortizing Balance
 Capital Limit Section 2.06 minus Section 2.05(a)
 4




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##### 



Capital Stock
 Change of Control
 Closing Date
 Code
 Collateral Account Agreement
 Collateral Receipt
 Collection Account provided
 Collection Date
 5




---



##### 



Collections provided however
 Commercial Paper Remittance Report Exhibit B
 Commitment Fee
 Commitment Percentage Section 9.04(b)
 Computer Tape or Listing
 Continued Errors Section 6.14(h)
 Contract
 CP Disruption Event
 CP Rate provided however
 6




---



##### 



provided further however provided however
 CP Rollover Fixed Period
 Credit and Collection Policy Schedule IV Section 5.01(j)
 Cumulative Net Loss Rate Section 4.03 minus
 Custodial Agreement
 Custodian
 7




---



##### 



Custodian Fee Exhibit F
 Cut-Off Date
 Debt
 Default Funding Rate
 Defaulted Receivable
      Delinquency Rate
 8




---



##### 



Delinquent Receivable
 Depository Institution
 Discount Rate
 Discounted Balance
 DZ Bank
 Early Amortization Commencement Date Section 7.01(a) Section 7.01
 Early Amortization Event
 Section 2.19
   9




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##### 



EBITDA
 Eligible Depository Institution
 Eligible Receivable Schedule III paragraph 53A Schedule III
 Eligible Receivables Balance minus
 Equipment
 ERISA
 Errors Section 6.14(h)
 Event of Default Section 7.01
 Expiration Date Section 2.04(a)
 Facility
 Facility Amount plus plus
 10




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##### 



Facility Fees Section 2.10
 Facility Maturity Date
 Fee Letter
 Fees Section 2.10(a)
 First Priority Assets Section
3.02(c)(v)
 Fitch
 Fixed Period Section 2.04
 GAAP
 General Business Loan
 Government Contract
 Government Entity
 Guaranty Amounts
 Hedged Rate
 11




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##### 



Hedging Liabilities
 Increased Costs Section 2.11
 Indemnified Amounts Section 8.01
 Indemnified Party Section 8.01
 Independent Accountants
 Independent Manager Section 5.01(b)
 Installment Contract
 Insurance Certificate
 Insurance Policy
 Insurance Proceeds
 12




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##### 



Interest Coverage Ratio
 Interest Expense
 Investment Company Act
 IRC
 Issuer
 LEAF
 LEAF III Partnership
 LEAF III Guaranty
 LEAF Blanket Policy Exhibit
H
 LEAF Parties
 LEAF Purchase Event
 Lease Contract
 13




---



##### 



Lender Article II Section 9.04(b)
 Lender Amortization Event clause
(i)
 Lender Margin
 Leverage Ratio
 LIBOR One-Month LIBOR
 LIBOR Determination Date
 Lien Certificate
 Lienholder Nominee Agreement Exhibit L
 Liquidation Fee
 14




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##### 



Liquidation Proceeds provided however
 Liquidity/Credit Enhancement Facility
 Liquidity Purchase Agreement
 Liquidity Provider
 Loan Article II
 Loans Outstanding Sections 2.01 2.02 Section 2.06 Section 2.16 provided however
 Lockbox
 Lockbox Utilization Rate
 15




---



##### 



Lyon
 Master DDA Account
 Master DDA Control Agreement
 Master DDA Intercreditor Agreement
 Master DDA Securities Intermediary
 Material Adverse Effect
 16




---



##### 



Maximum Facility Amount
 Maximum Substitution Amount multiplied by
 Minimum Partners Capital
 Minimum Servicer Tangible Net Worth
 Monthly Remittance Report Exhibit
C Section 6.11(b)
 Monthly Report Date
 Moodys
 Multiemployer Plan
 Net Income
 Net Investment
 New SBSS Exempt Contract
 17




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##### 



Non-CP Rate
 Notice of Borrowing Section 2.02(b)
 Notice of Pledge
 Obligations
 Obligor
 Obligor Financing Statement Exhibit E
 Officers Certificate
 Opinion of Counsel
 Originator
 Originator Checklist Exhibit K
 Other Conveyed Property
 18




---



##### 



Other Taxes Section 2.18(b)
 Overall Hedge Position
 Overconcentration Amount
     19




---



##### 



20




---



##### 



Exhibit I
   Overdue Payment
 Partnership
 Partnership Advances
 Partners Capital
 Permitted Investments
   21




---



##### 



provided
 Permitted Liens
 Person
 Pledge Article II
 Pledged Assets Section 2.13
 Pledged Receivables Section 2.13(a)
 22




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##### 



Pledged Receivables Balance
 Predecessor Servicer Work Product Section 6.14(h)
 Purchase and Contribution Agreement
 Purchase Date
 PUT Payment
 Qualified Institutional Buyer
 Qualifying Interest Rate Hedge
 Qualifying Hedge Counterparty
 Rating Agencies
 Receivable
 23




---



##### 



Receivable File
  provided however
    provided
  paragraph 53A Schedule III th
 24




---



##### 



provided however
             25




---



##### 



Receivables Schedule
 Records
 Recoveries
 26




---



##### 



Registrar of Titles
 Related Security
    Release Fee
 Release Price
 Remittance Date st provided
 Remittance Period provided
 Replacement Receivable Section 2.08
 Restricted Cash
 S&P
 27




---



##### 



SBSS Eligible Contract
 Scheduled Payments
 Secured Parties
 Securities Account Agreement
 Security Deposit
 Servicer Section 6.01
 Servicer Default
    28




---



##### 



Section 7.01(d) 7.01(e)
   Servicer Indemnified Amounts Section
8.02
 Servicing Charges
 Servicing Fee
 Servicing Fee Rate
 Servicing Officer
 SIC Code
 State
 Subordinated Debt
 29




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##### 



Subsequent Borrowing
 Subsequent Borrowing Contract
 Subsequent Borrowing Date
 Substituted Receivable Section 2.08
 Take-Out Securitization
 Tangible Net Worth
 Transaction Documents
 UCC
 Underwriting Guidelines Exhibit J
 United States
 Unmatured Event of Default
 Unused Fee
 30




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##### 



Vehicle
 Weighted Average Expected Net Loss Rate Schedule VI
 Weighted Average Hedged Rate
 Whole Loan Sale
 Yield
 
 where: YR
    
    =
    
    the Yield Rate for such Fixed Period;L
    
    =
    
    the aggregate amount of Loans Outstanding allocated to such
Fixed Period; andED
    
    =
    
    the actual number of days elapsed during such Fixed Period;
 provided however
 31




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##### 



Yield Rate
    Other Terms
 Computation of Time Periods
 ARTICLE II
 THE RECEIVABLES FACILITY
 SECTION 2.01. Borrowings Loans
 SECTION 2.02. The Initial Borrowing and Subsequent Borrowings Sections 2.01 2.02 Article III
 Notice of Borrowing
 32




---



##### 



Article III
 Section 2.02(b)
 Section 2.02(b) Section 2.06(a)(I)(i) xi Section 2.06(a)(II) provided however
  Section 2.16
  33




---



##### 



SECTION 2.03. Facility Maturity Date
 SECTION 2.04. Selection of Fixed Periods Section 2.04 Expiration Date provided however
  provided
 34




---



##### 



SECTION 2.05. Remittance Procedures Section 2.05
 Yield and Liquidation Fees Section 2.05(a) provided however Section 2.06(a)(I)(xi) 2.06 (a)(II) Section 2.05(a)
 Fixed Period Loan Principal Repayment
 Remittance Date Transfers From Collection Account Section 2.05(c) Section 2.06 Section 2.05(a)
 35




---



##### 



Section 6.06 Section 2.05(c)
  SECTION 2.06. Priority of Payments
 Section 6.06
  Section
9.08 Section
9.08 provided
    36




---



##### 



Section 2.06(a) clause (xii)
  Section 2.06(a)
 clause (i) (xi) Paragraph (I)
    37




---



##### 



Agents Right to Withdraw from Collection Account Section 2.06
 Borrower Deficiency Payments Section 2.06
 Instructions to the Agents Bank Section 2.06 Section 2.06 Section 2.06 Section 2.06
 SECTION 2.07.
 SECTION 2.08. Substitution of Pledged Receivables Substituted Receivable Replacement Receivable
 38




---



##### 



SECTION 2.09. Payments and Computations, Etc provided however
 provided however
 Section 2.02 Section 2.04
 SECTION 2.10. Fees Fees
 Section 2.10 Section 2.06
 39




---



##### 



SECTION 2.11. Increased Costs; Capital Adequacy Affected Party Increased Costs Section 2.09(c) provided however, Section 2.11(a)
 Section 2.06
 40




---



##### 



Section 2.11(b)
 Section 2.11 Section 2.11,
 Section 2.11(a) 2.11(b)
 SECTION 2.12. Collateral Assignment of Agreements Assigned Documents provided however
 41




---



##### 



SECTION 2.13. Grant of a Security Interest Pledged
Assets
 Pledged Receivables
        42




---



##### 



SECTION 2.14. Evidence of Debt
 SECTION 2.15. Survival of Representations and Warranties; Repayment Obligations Section 4.01 Section 4.02 Section 4.01 Section 4.02 Section 4.03
 SECTION 2.16. Release of Pledged Receivables Section 2.13 provided Section 2.08 Section 2.16
 43




---



##### 



Section 2.16
   SECTION 2.17. Prepayment Section 4.03
 SECTION 2.18. Taxes Section 2.09 excluding Section 2.18(e) Taxes Section 2.18
 44




---



##### 



Other Taxes
 Section 2.18 provided
  Section 2.18(e)
  45




---



##### 



Section 2.18 Section 9.07
 Section 2.18
 SECTION 2.19. Transfer of Commitment upon an Early Amortization Event Section 9.04,
 ARTICLE III
 CONDITIONS OF LOANS
 SECTION 3.01. Conditions Precedent to Initial Borrowing
  Schedule V
 46




---



##### 



Schedule I
 SECTION 3.02. Conditions Precedent to All Borrowings
 Section 6.11(b)
   Section 4.01
   Section 2.02
 47




---



##### 



inter alia Section 2.02
 First Priority Assets
  48




---



##### 



Section 2.11
     Assignment
 SECTION 3.03. Advances Do Not Constitute a Waiver
 ARTICLE IV
 REPRESENTATIONS AND WARRANTIES
 SECTION 4.01. Representations and Warranties of the Borrower
  49




---



##### 



50




---



##### 



th
 Schedule II Section 6.19
 51




---



##### 



Schedule II Section 6.19
      Section 2.13
   52




---



##### 



SECTION 4.02. Representations and Warranties of the Servicer
  53




---



##### 



SECTION 4.03. Resale of Receivables Upon Breach of Covenant or Representation and Warranty
by Borrower Section 4.01 Section 4.03
 54




---



##### 



SECTION 4.04. Representations and Warranties of the Custodian and the Agents Bank
    55




---



##### 



SECTION 4.05. Representations and Warranties of the Seller
   56




---



##### 



57




---



##### 



Schedule II Section 6.19 Schedule II Section 6.19
   58




---



##### 



59




---



##### 



60




---



##### 



SECTION 4.06. Representations and Warranties of the Backup Servicer
     61




---



##### 



ARTICLE V
 GENERAL COVENANTS OF THE BORROWER, THE SELLER, THE ORIGINATOR
AND THE SERVICER
 SECTION 5.01. General Covenants
  Independent Manager
 62




---



##### 



63




---



##### 



Section 2.06
      64




---



##### 



65




---



##### 



Section 6.12(c), (d), (e) and (f)
       66




---



##### 



Section 9.01
  Section 6.06
  67




---



##### 



Section 2.10 Section 2.10 paragraph
(ff)
        68




---



##### 



69




---



##### 



70




---



##### 



71




---



##### 



ARTICLE VI
 ADMINISTRATION AND SERVICING; CERTAIN COVENANTS
 SECTION 6.01. Appointment and Designation of the Servicer Section 6.01 Servicer Article VI
 Article VI
 72




---



##### 



provided however Section 6.02(a) provided
  73




---



##### 



SECTION 6.02. Collection of Receivable Payments; Modification and Amendment of
Receivables.
  provided however
 SECTION 6.03. Realization Upon Receivables
 74




---



##### 



provided however Section 6.01 Section 6.06
 SECTION 6.04. Insurance Regarding Equipment provided however Section 6.06 provided
 75




---



##### 



SECTION 6.05. Maintenance of Security Interests in Pledged Assets
 Section 6.05(a)
 76




---



##### 



SECTION 6.06. Taxes and Insurance Premiums Payable from Collections provided Section 6.04(a) Section 5.01(bb) provided
 paragraph (a)
 SECTION 6.07.
 SECTION 6.08. No Rights of Withdrawal Section
2.06(a)(I)(i) (xi) Sections 2.06(a)(II)(i)
 77




---



##### 



SECTION 6.09. Permitted Investments Article II
 SECTION 6.10. Servicing Compensation Section 2.06(a)
 SECTION 6.11. Reports to the Agent; Account Statements; Servicing Information
  78




---



##### 



79




---



##### 



80




---



##### 



SECTION 6.12. Statements as to Compliance; Financial Statement
        81




---



##### 



82




---



##### 



SECTION 6.13. Access to Certain Documentation; Obligors provided provided however
  83




---



##### 



provided however
  SECTION 6.14. Backup Servicer
 Section 6.11(b) Section 6.11(b)
  Section 2.05(c)
   Exhibit G
 84




---



##### 



Section
6.14(f)
  Section 6.14
 85




---



##### 



Section
6.14 provided further however Article IV provided however
 86




---



##### 



Section 6.01(a)
 Predecessor Servicer Work Product Errors Continued Errors
    87




---



##### 



provided however Section 6.14(q)
 SECTION 6.15. Additional Remedies of Agent Upon Event of Default Section 7.01
 88




---



##### 



SECTION 6.16. Waiver of Defaults
 SECTION 6.17. Maintenance of Certain Insurance
 Section 6.17
 SECTION 6.18. Segregation of Collections
 SECTION 6.19. UCC Matters; Protection and Perfection of Pledged Assets
 Schedule II Section 6.19 Section 6.19
 89




---



##### 



Section 6.19 Article VI
  90




---



##### 



SECTION 6.20. Receipt of Lien Certificates provided
 SECTION 6.21. Compliance with Applicable Law
 SECTION 6.22. Performance and Compliance; Servicer Activities
  91




---



##### 



SECTION 6.23. Change in Agreements and Accounts
 SECTION 6.24. Computer Software Section 6.14(a) Section 6.14(a)
 ARTICLE VII
 EVENTS OF DEFAULT, LENDER AMORTIZATION EVENTS AND REMEDIES
 SECTION 7.01. Events of Default and Remedies Event of Default
        92




---



##### 



Section 7.01
    93




---



##### 



provided
 94




---



##### 



Section 7.01(a)
 provided clause
(iv) clause (i) Section 6.05(c)
 SECTION 7.02. Additional Remedies of the Agent Section 7.01
 95




---



##### 



Section 2.06(a).
 Section 7.01
 Section 7.02
    ARTICLE VIII
 INDEMNIFICATION
 SECTION 8.01. Indemnities by the Borrower Indemnified Party Article VIII Indemnified Amounts
 96




---



##### 



any
       97




---



##### 



Section 2.18(a)
 98




---



##### 



Section 8.01 Section 8.01,
 Section 8.01
 SECTION 8.02. Indemnities by Servicer Servicer Indemnified Amounts any
    99




---



##### 



Section 6.01
   Section 2.18(a)
  100




---



##### 



Article V Article VI
  Section 8.02
 Section 8.02
 Section 8.01 Section 8.02
  ARTICLE IX
 MISCELLANEOUS
 SECTION 9.01. Amendments and Waivers Section 9.01(b)
 Section 9.01(a)
 101




---



##### 



Section 9.01
 SECTION 9.02. Notices, Etc
 SECTION 9.03. No Waiver; Remedies
 SECTION 9.04. Binding Effect; Assignability; Multiple Lenders provided however Section 9.04 Assignment and Acceptance Section 9.04 Section 9.04 provided however
 102




---



##### 



provided however Commitment Percentage
 Section 9.04(a) Section 9.04
   SECTION 9.05. Qualified Purchaser
 SECTION 9.06. Term of This Agreement Articles V VI Articles V VI provided however Articles III IV Article VIII Article IX Section 9.08 Section 9.09
 SECTION 9.07. GOVERNING LAW; JURY WAIVER; CONSENT TO JURISDICTION . THIS AGREEMENT
SHALL, IN ACCORDANCE WITH SECTION 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE STATE OF
NEW YORK, BE GOVERNED BY THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO ANY CONFLICTS OF LAW
PRINCIPLES THEREOF THAT WOULD CALL FOR THE APPLICATION OF THE LAWS OF ANY OTHER JURISDICTION,
 103




---



##### 



EXCEPT TO THE EXTENT THAT THE VALIDITY OR PERFECTION OF THE INTERESTS OF THE LENDER IN THE
PLEDGED RECEIVABLES, OR REMEDIES HEREUNDER, IN RESPECT THEREOF, ARE GOVERNED BY THE LAWS OF A
JURISDICTION OTHER THAN THE STATE OF NEW YORK. EACH OF THE PARTIES HERETO WAIVES, TO THE FULLEST
EXTENT PERMITTED BY LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION
ARISING DIRECTLY OR INDIRECTLY OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY OF THE
TRANSACTIONS CONTEMPLATED HEREUNDER. EACH PARTY TO THIS AGREEMENT SUBMITS TO THE NONEXCLUSIVE
JURISDICTION OF THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK AND OF ANY
NEW YORK STATE COURT SITTING IN NEW YORK, NEW YORK (OR TO THE EXTENT PERMITTED BY LAW, IN SUCH
FEDERAL COURT) FOR PURPOSES OF ALL LEGAL PROCEEDINGS ARISING OUT OF OR RELATING TO THIS AGREEMENT
OR THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT OR BY THE OTHER TRANSACTION DOCUMENTS. EACH
PARTY TO THIS AGREEMENT IRREVOCABLY WAIVES, TO THE FULLEST EXTENT IT MAY EFFECTIVELY DO SO, ANY
OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE LAYING OF THE VENUE OF ANY SUCH PROCEEDING
BROUGHT IN SUCH A COURT AND ANY CLAIM THAT ANY SUCH PROCEEDING BROUGHT IN SUCH A COURT HAS BEEN IN
AN INCONVENIENT FORUM.
 SECTION 9.08. Costs, Expenses and Taxes
 104




---



##### 



Other Costs
  Section 9.08
 SECTION 9.09. No Proceedings
 105




---



##### 



SECTION 9.10. Recourse Against Certain Parties it being expressly agreed and understood Section 9.10 Section 9.10
 SECTION 9.11. Execution in Counterparts; Severability; Integration
 SECTION 9.12. Tax Characterization
 SECTION 9.13. Lenders Obligations
 106




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SECTION 9.14. Agent and Affiliates
 SECTION 9.15. Lending Decisions
 SECTION 9.16. Delegation of Duties
 SECTION 9.17. Successor Agent Article VIII Article IX
 [Signature page to follow.]
 107




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THE BORROWER:
    LEAF III C SPE, LLC
 By:
    /s/ Miles HermanName:
    Miles HermanTitle:
    President, COO c/o LEAF Financial CorporationOne Commerce Square2005 Market Street15th FloorPhiladelphia, PA 19103Attn: Miles HermanTel: (800) 819-5556 Ext. 3358
 THE ORIGINATOR:
    
    LEAF FUNDING, INC.
 By:
    /s/ Miles HermanName:
    Miles HermanTitle:
    Senior Vice President c/o LEAF Financial CorporationOne Commerce Square2005 Market Street15th FloorPhiladelphia, PA 19103Attn: Miles HermanTel: (800) 819-5556 Ext. 3358
 Receivables Loan and Security Agreement




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THE SELLER:
    
    LEAF EQUIPMENTLEASING INCOME FUND III, L.P.
 By:
    LEAF Asset Management, LLC By:
    /s/ Miles HermanName:
    Miles HermanTitle:
    President, COO c/o LEAF Financial CorporationOne Commerce Square2005 Market Street15th FloorPhiladelphia, PA 19103Attn: Miles HermanTel: (800) 819-5556 Ext. 3358
 THE SERVICER:
    LEAF FINANCIAL CORPORATION
 By:
    s/ Miles HermanName:
    Miles HermanTitle:
    President, COO One Commerce Square
2005 Market Street
15th Floor
Philadelphia, PA 19103
Attn: Miles Herman
Tel: (800) 819-5556 Ext. 3358
 Receivables Loan and Security Agreement




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THE BACKUP SERVICER:
    
    LYON FINANCIAL SERVICES, INC. (d/b/a U.S. BankPortfolio Services)
 By:
    /s/ John DockenName:
    John DockenTitle:
    Senior Vice President U.S. Bank Portfolio Services1310 Madrid StreetAttention: Joe AndriesMarshall, Minnesota 56258Tel. (507) 532-7129
Fax. (800) 806-0775
 Receivables Loan and Security Agreement




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THE AGENT:
    
    DZ BANK AG DEUTSCHE ZENTRAL- 
GENOSSENSCHAFTSBANK, FRANKFURT AM MAIN
 By:
    /s/ Daniel MarinoName:
    Daniel MarinoTitle:
    First Vice President By:
    /s/ Jayan KrishnanName:
    Jayan KrishnanTitle:
    Assistant Vice President 609 Fifth AvenueNew York, New York 10017Attention: Daniel MarinoFacsimile No.: 212-745-1651Confirmation No.: 212-745-1664
 Receivables Loan and Security Agreement




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THE LENDER:
    
    AUTOBAHN FUNDING COMPANY LLC
 By:
    DZ BANK AG DEUTSCHE ZENTRAL-GENOSSENSCHAFTSBANK,FRANKFURT AM MAIN, its attorney-in-fact By:
    /s/ Daniel MarinoName:
    Daniel MarinoTitle:
    First Vice President By:
    /s/ Jayan KrishnanName:
    Jayan KrishnanTitle:
    Assistant Vice President 609 Fifth AvenueNew York, New York 10017Attention: Daniel MarinoFacsimile No.: 212-745-1651Confirmation No.: 212-745-1664
 Receivables Loan and Security Agreement




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THE CUSTODIAN ANDTHE AGENTS BANK:
    
    U.S. BANK NATIONAL ASSOCIATION
 By:
    /s/ Diane L. ReynoldsName:
    Diane L. ReynoldsTitle:
    Vice President U.S. Bank National AssociationEP-MN-WS3D60 Livingston AvenueSt. Paul, Minnesota 55107-1419Attention: Structured Finance/LEAF III C SPE, LLCTel. (651) 495-3923Fax. 800-831-7910with a copy to:U.S. Bank National Association1133 Rankin StreetSuite 100St. Paul, Minnesota 55116Attention: LEAF III C SPE, LLCTel (651) 695-5867Fax (651) 695-5896
 Receivables Loan and Security Agreement