Omnibus Asset Servicing Agreement


 

 Exhibit 10.27
  
  
 


 
 

  
  
  
  
  
  
  
  
  
  
  
  
 OMNIBUS ASSET SERVICING AGREEMENT
 between
  
 FIRST MIDWEST BANK
  
 as the Owner
  
 and
  
 BAYVIEW LOAN SERVICING, LLC
  
 as the Servicer
  
 Dated as of November 23, 2009
  
    
 
   
  
 
   
 
 
  
  
 
Exhibit 10.27

  
 TABLE OF CONTENTS
  
  
 ARTICLE
 I DEFINITIONS                                        1

  
 1.1           
Certain Defined Terms.                                      1
  
 ARTICLE II AGREEMENTS OF THE SERVICER                              9
  
 2.1           
General.                
                     9
 2.2           
Collection of Asset Payments.     
                       10
 2.3
           General Servicing Procedures.                             
10
 
2.4           Other. 
                      
               15
 2.5
           Accounting, Remittances and Owner Reporting.                        
16
 
2.6           Delinquency
Control.                    
            17
 2.7           
Foreclosure and Other Similar Realization on Collateral.                     
17
 
2.8           Acquired
Collateral.                   
               19
 2.9           
Books and Records.       
                           20
 2.10
           No Delinquency Advances/Non-Recoverable
Advance.              
           21
 2.11           
No Prepayment Interest Shortfalls or Payments for Civil Relief Act Reductions.      
           
21
 
2.12           
Reimbursement of the Servicer.                                
 21
 
2.13           Licenses.                                  
          21
 2.14
           Confidentiality/Protecting Customer Information.            
              22
  
 ARTICLE
 III AGREEMENTS OF THE OWNER                            
22
  
 3.1
           Transfer of Servicing.                                 22
 3.2           
Documentation.                            
                                  
 22
 3.3           
Transfer Notices.       
                          22
 3.4
           Losses.     
                                 23   
 3.5
           Licenses.    
                                   23
 3.6
           Confidentiality/Protecting Customer Information.                         23
  
 ARTICLE
 IV COMPENSATION                                               24
  
 4.1           
Servicing Compensation.                                       24
  
 ARTICLE V TERM AND TERMINATION                             
24
  
 5.1
           Term.                                         24

 5.2
           Termination.                
                         24
 5.3           
Transfer Upon Termination; Costs and Expenses.                                        25
 5.4
           Reimbursement.                                                             
 
 25
 
5.5           Accounting.                                                
25
 
5.6           Survival.                                           25
  
 ARTICLE VI REPRESENTATIONS AND WARRANTIES OF THE
OWNER                           26

 
 6.1           
Authority.                                         26
 6.2           
Authorization, Enforceability and Execution.                             26
 6.3           
No Conflict.                                      26
 6.4           
No Consent.                                                 26
 6.5
           No Litigation.                                               27
 6.6
           Statements Made.                                        27
 6.7           
The Assets.                                      27
  
 ARTICLE
 VII REPRESENTATIONS AND WARRANTIES OF THE SERVICER                      27
  
 7.1
           Authority.                   
                           28
 7.2           
Authorization, Enforceability and Execution.                             
 28
 
7.3           No
Conflict.                                       28
 7.4
           No Consent.                                  28   
 7.5
           No
Litigation.                                            
29
  
 ARTICLE
 VIII INDEMNIFICATION AND LIABILITY                                             
29
  
 8.1
           Standard of Liability; Indemnification.                              29
 8.2
           Indemnification by the Owner.              
                     29
 8.3
           Procedure for Indemnification.                                          
 30
 
8.4           
Limits on Servicer Obligations.                                                     
 30
  
 ARTICLE IX ANNUAL REPORTING            
                       
 31
  
 9.1           Servicer Compliance Statement.
                                  31
 9.2           
Report on Assessment of Compliance and Attestation.                            31
  
 ARTICLE X MISCELLANEOUS              
                               31
  
 10.1           
Independence of Parties.                                        31
 10.2
           Changes in Practices.               
                      
31
 10.3
           Assignment of Servicing.                                      
 31
 
10.4           Prior
Agreements.                                            32
 10.5           Entire
Agreement.                                            32
 10.6
           Invalidity.                                                  32

 10.7
           Effect.                                                        
 32
 10.8
           Damage Limitation.               
                       32
 10.9           
Applicable Law.                                                    32
 10.10
               Notices.               
                                         33
 10.11
               Waivers.                                                             
 
 33
 10.12
               Binding Effect.                                             33
 10.13               
Headings.                                                     33
 10.14               
Appendices, Schedules and Exhibits.                                 33   
 10.15
               Counterparts.                                  33
 

  
    
 
   
  
 
   
 
 
 



            This OMNIBUS ASSET SERVICING AGREEMENT is made as of November 23, 2009 by and between First Midwest Bank (the “Owner”), and Bayview Loan Servicing, LLC (the “Servicer”).
  
 RECITALS:
  
 WHEREAS, from time to time the Owner will acquire ownership of certain Assets
(as defined herein);
  
 WHEREAS, the Owner desires that the Servicer perform certain servicing functions for the Owner, and the Servicer desires to perform such servicing
functions, with respect to the Assets made subject to this Agreement by the mutual agreement of the Owner and the Servicer from time to time; and
  
 WHEREAS, different categories of Assets
will require different terms for servicing and other operative terms, and the Owner and the Servicer desire to supplement this Agreement with Appendices (as defined herein) related to specific categories of Assets, as necessary and as mutually
agreed to by the Owner and the Servicer from time to time.
  
 NOW, THEREFORE, in consideration of the mutual promises contained herein and
for other good and valuable consideration the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:
  
 ARTICLE I

  
 DEFINITIONS
  
 1.1 
Certain Defined Terms. 
  
 For purposes of this Agreement, each of the following terms shall have the meaning specified with respect thereto.
  
 “Acquired Collateral Account” shall have the meaning assigned thereto in Section 2.8(b) hereof.
  
 “Acquired Collateral” shall mean Collateral acquired by the Servicer through foreclosure, deed-in-lieu of foreclosure, other realization upon a Security Instrument,
or otherwise in connection with a defaulted Loan, or as to which the servicing or management is transferred to the Servicer and made subject to this Agreement and the applicable Appendix by the written agreement of the parties, including but not
limited to Mortgaged Property in the case of a Mortgage Loan.
  
 “Affiliate” shall mean with respect to any specified Person, any
other Person controlling or controlled by or under common control with such specified Person.  For the purposes of this definition, “control” when used with respect to any specified Persons means the power to direct the
management and policies of such Person, directly or indirectly, whether through the ownership of voting securities, by contract or otherwise and the terms “controlling” and “controlled” have meanings correlative to the
foregoing.
  
 “Agreement” shall mean this Omnibus Asset Servicing Agreement, as supplemented by the Appendices executed by the parties from time to time, and together with all
schedules and exhibits hereto and thereto, as the same may be from time to time amended.
  
 “Ancillary Income” shall include, but not be limited to late
fees, late charges, not sufficient funds fees, satisfaction fees, assumption and modification fees and interest on Custodial Accounts, Escrow Accounts (to the extent not required to be paid to the related Borrower pursuant to Applicable
Requirements) and Acquired Collateral Accounts, and any other amounts specified in an applicable Appendix.  Ancillary Income shall not include any prepayment premiums, penalties or charges or yield maintenance payments.
  
 “Appendix” shall mean an appendix to this Agreement containing additional terms and obligations of the parties related to one or more specific categories of Assets
subject to this Agreement, as executed by the parties from time to time, and as the same may be from time to time amended.
  

“Applicable Requirements” shall mean, as of the time of
reference, all of the following, as applicable:  (i) all Asset-related obligations of the Servicer, including without limitation those contractual obligations of the Servicer contained in this Agreement and in the Asset Documents for which
the Servicer is responsible; (ii) all applicable Asset-related federal, state and local legal and regulatory requirements (including statutes, rules, regulations and ordinances) binding upon the Servicer; and (iii) generally accepted servicing
customs and practices in the servicing industry for the related Asset.
  
 “Asset” shall mean an asset made subject to this Agreement and
the applicable Appendix by the mutual written agreement of the parties, which may include, among other assets: (i) a Single Family Mortgage Loan, (ii) a Multifamily Mortgage Loan, (iii) a Commercial Mortgage Loan, (iv) a Residential Construction
Loan, (v) a Commercial Construction Loan, (vi) a HELOC, (vii) a Reverse Mortgage Loan, (viii) a Revolving Unsecured Loan, (ix) a Vehicle Loan, (x) a Farm Loan, (xi) an Equipment Lease Loan, (xiii) a Closed-End Unsecured Consumer Loan,
(xiv) Acquired Collateral, and (xv) any asset falling into such other categories of assets agreed to by the parties in writing.
  
 “Asset Documents” shall mean
with respect to any Asset, as applicable, the related Note with applicable addenda and riders, Security Instrument with applicable addenda and riders, Assignment and any intervening related Assignments, title Insurance Policy, mortgage Insurance
Policy, Collateral Insurance Policy, appraisal report, and all other documents and instruments pertaining to an Asset, to the extent in the Owner’s or the Owner’s agent’s (including a custodian’s) possession and delivered to
Servicer.
  
 “Asset Payment” shall mean the scheduled monthly principal and/or interest payment on an Asset for any month, and any other payment due from a Borrower pursuant to
the Asset Documents, as such payments may have been reduced by any Deficient Valuation.
  
 “Asset Schedule” shall mean a listing of Assets to be made
subject to this Agreement, as agreed to by the parties from time to time, and containing such information as may be agreed to by the parties.  An Asset Schedule may, but is not required to be, incorporated into or attached to an Appendix.

  
 “Assignment” shall mean with respect to each Asset, an assignment of the Security Instrument, notice of transfer or equivalent instrument sufficient under the laws of
the jurisdiction wherein the related Collateral and/or Borrower is located or domiciled (as appropriate under Applicable Requirements) to reflect of record the transfer of the Security Instrument.
  
 “Borrower” shall mean with respect to any Asset, the Person or Persons primarily obligated to make payments on the related Note.
  
 “Business Day” shall mean any day other than a Saturday, Sunday or national holiday, or a day on which banking and savings and loan institutions in the State of
Florida and federally chartered savings banks are authorized or obligated by law or executive order to be closed.
  
 “Closed-End Unsecured Consumer Loan” shall mean an unsecured,
closed-end Loan made for a consumer purposes, made subject to this Agreement and the applicable Appendix by the written agreement of the parties
  
 “Code” shall mean the Internal
Revenue Code of 1986, as amended.
  
 “Collateral” shall mean any and all of the collateral securing the obligations of a Borrower under a Security Instrument, including but not
limited to the Mortgaged Property in the case of a Mortgage Loan.
  
 “Collection Period” shall mean, unless otherwise provided in the
related Appendix, (a) as to any Servicer Remittance Date, the calendar month preceding the calendar month in which such Servicer Remittance Date occurs, and (b) as to the first Servicer Remittance Date hereunder, the Cut-off Date through the last
Business Day of the calendar month preceding the calendar month in which the first Servicer Remittance Date occurs.
  
 “Commercial Construction Loan” shall mean a Loan secured by
commercial real property (or by mixed residential/commercial, or single family or multifamily residential real property, including condominium developments, to the extent such Loan is made to a commercial Borrower developing such property) for the
financing of the construction thereof and made subject to this Agreement and the applicable Appendix by the written agreement of the parties.
 

 “Commercial Mortgage Loan” shall mean a Loan secured by commercial
real property (or by mixed residential/commercial or multifamily residential real property, including condominium developments) and made subject to this Agreement and the applicable Appendix by the written agreement of the parties.
 

 “Custodial
Account” shall have the meaning assigned thereto in Section 2.3(e) hereof.
  
 “Cut-off Date” shall mean the cut-off date for any Asset, as set
forth in the related Asset Schedule, or otherwise mutually agreed to by the parties in writing.
  
 “Deficient Valuation” shall mean with respect to any Asset, the
dollar amount of any reduction in the principal balance owed by the related Borrower, as ordered by a court in connection with a bankruptcy proceeding with respect to the related Borrower.
  
 “Determination Date” shall mean the 15th day of each month or, if such day is not a
Business Day, the immediately preceding Business Day, or such other date as provided in the applicable Appendix with respect to a given category of Assets.
  
 “Eligible Account” shall mean  (i) An account or accounts maintained with a federal or state chartered depository institution or trust company the
short-term unsecured debt obligations of which (or, in the case of a depository institution or trust company that is the principal subsidiary of a holding company, the short-term unsecured debt obligations of such holding company) are rated at the
time any amounts are held on deposit therein (a) “P-1” by Moody’s (or at least “A2” if such institution has no short-term rating from Moody’s), (b) at least “A-2” by S&P (or at least
“BBB+” if such institution has no short-term rating from S&P) and (c) “F1” by Fitch (with respect to the preceding clauses (a), (b) and (c), in each case if such rating agency is a Rating Agency, and such applicable
ratings from S&P, Fitch and Moody’s, the “Required Ratings”), provided, in each case, that following a downgrade, withdrawal or suspension of any such institution’s
rating below any applicable Required Rating, each such account shall promptly (and in any case within not more than 30 calendar days) be moved to another institution which has the Required Ratings, or to one or more segregated trust accounts as
provided in clause (ii); or (ii) a segregated trust account or accounts maintained with the trust department of a federal or state chartered depository institution or trust company, which institution or company has capital and surplus of not less
than $50 million, acting in its fiduciary capacity.
  
 “Eligible Investments” shall mean any of the following (which may
be purchased by or through the Servicer or any Affiliate):
  
 (i) obligations of, or
guaranteed as to the full and timely payment of principal and interest by, the United States or obligations of any agency or instrumentality thereof, when such obligations are backed by the full faith and credit of the United States;

 
 (ii) repurchase
agreements on obligations specified in clause (i); provided that the short-term debt obligations of the party agreeing to repurchase are rated at least one of the following:  F1 by
Fitch, A-1 by S&P or P-1 by Moody’s;
  
 (iii) federal funds,
certificates of deposit, time deposits and bankers’ acceptances (which shall each have an original maturity of not more than 90 days and, in the case of bankers’ acceptances, shall in no event have an original maturity of more than 365
days) of any United States depository institution or trust company incorporated under the laws of the United States or any state; provided that the short-term obligations of such depository
institution or trust company are rated at least one of the following:  F1 by Fitch, A-1 by S&P or P-1 by Moody’s;
  
 (iv) commercial paper (having original maturities of not more than 30 days) of any corporation incorporated under the laws of the United States or any state thereof which on the date
of acquisition is rated at least one of the following:  F1 by Fitch, A-1 by S&P or P-1 by Moody’s;
  
 (v) securities bearing interest or sold at a discount issued by any corporation incorporated under the laws of the United States of America or any state thereof which have a
short-term credit rating from a rating agency, at the time of investment or the contractual commitment providing for such investment, at least one of the following:  F1 by Fitch, A-1 by S&P or P-1 by Moody’s;
  
 (vi) securities of money
market funds or mutual funds rated AAAm or AAAm-G by S&P, AAA or better by Fitch or Aa1 by Moody’s (including any such funds for which the Servicer, or any Affiliate, receives compensation as administrator, sponsor, agent or the like); and

  
 (vii) any other demand,
money market, common trust fund or time deposit or obligation, or interest-bearing or other security, or other investment rated in the highest rating category by each rating agency that rates such security;
  
 provided that (A) such obligation or security is held for a temporary period pursuant to Treasury Regulation Section
1.860G-2(g)(1) and (B) no instrument described above is permitted to evidence either the right to receive (a) only interest or only principal with respect to obligations underlying such instrument or (b) both principal and interest payments derived
from obligations underlying such instrument and the interest and principal payments with respect to such instrument provided a yield to maturity at par greater than 120% of the yield to maturity at par of the underlying obligations; and provided, further, that no instrument described above may be purchased at a price greater than par if such instrument may be prepaid or
called at a price less than its purchase price prior to stated maturity.
  
 “Equipment Lease Loan” shall mean a Loan secured by a
Borrower’s leasehold interest in commercial equipment, and made subject to this Agreement and the applicable Appendix by the written agreement of the parties.
  
 “Escrow Payments” shall have the meaning assigned thereto in Section 2.3(f) of this Agreement.
  
 “Farm Loan” shall mean a Loan secured by real property used for agricultural purposes, or other Loan made pursuant to United States Department of Agriculture Rural
Housing Services or Farm Service Agency programs as agreed to by the parties, and made subject to this Agreement and the applicable Appendix by the written agreement of the parties.
  
 “FDIC” shall mean the Federal Deposit Insurance Corporation.
  
 “Fitch” shall
mean  Fitch, Inc., or any successor thereto.
  
 “HELOC” shall mean an open-ended loan or line of credit secured
by residential real property that includes one through four dwelling units, made subject to this Agreement and the applicable Appendix by the written agreement of the parties.
  
 “Insurance Policy” shall mean any hazard, title, flood or other insurance policy insuring the Asset.
  
 “Liquidation Proceeds” shall mean any amounts (including the proceeds of any Insurance Policy and the proceeds from the sale of any Acquired Collateral) recovered by
the Servicer in connection with an Asset, whether through trustee’s sale, foreclosure sale or otherwise, other than amounts required to be paid to the Borrower pursuant to the terms of the applicable Asset Documents or otherwise pursuant to
applicable law.
  
 “Loan” shall mean an Asset comprised of an extension of credit to a Borrower that is evidenced by a Note and may be secured by Collateral pursuant to a Security
Instrument.  A Loan includes a Mortgage Loan.
  
 “Loan Rate” shall mean the annual rate of interest borne by a
Note, which is set forth in such Note.
  
 “Loss Share Agreement” shall mean a loss share agreement relating to one or more Assets entered into between the FDIC and the Owner, in the form
provided to Servicer on or prior to the applicable Transfer Date, and specified in the applicable Appendix.
  
 “Moody’s” shall mean Moody’s Investors Service, Inc.,
or any successor thereto.
  
 “Mortgage” shall mean, with respect to any Mortgage Loan, the written instrument creating a valid lien on real property, which instrument may be
in the form of a mortgage, deed of trust, deed to secure debt or other instrument creating a lien on or interest in the Mortgaged Property and any other Collateral.
  
 “Mortgage Loan” shall mean a Single Family Mortgage Loan, Multifamily Mortgage Loan, Commercial Mortgage Loan, Residential Construction Loan, Commercial Construction
Loan, HELOC, Reverse Mortgage Loan, Farm Loan (to the extent secured by real property), or any other Loan secured by interest in real property made subject to this agreement and the applicable Appendix by the written agreement of the
parties.
  
 “Mortgaged Property” shall mean any of the fee simple interest in real property, together with improvements thereto and any fixtures, leases and other real or
personal property, or interests therein, securing the related Note related to a Mortgage Loan.
  
 “Multifamily Mortgage Loan” shall mean a Loan secured by
residential real property that includes five or more dwelling units, made subject to this Agreement and the applicable Appendix by the written agreement of the parties.
  
 “Non-Recoverable Advance” means any Servicing Advance which the Servicer has determined in its good faith business judgment would not be ultimately recoverable by the
Servicer from Liquidation Proceeds or other collections and recoveries in respect of the Asset or Collateral.
  
 “Note” shall mean the original executed promissory note
evidencing the indebtedness of a Borrower under a Loan, or if such Loan is not evidenced by a promissory note, the original executed document or other instrument primarily evidencing the indebtedness of the Borrower under such Loan, or lost note
affidavit if and as permitted under Applicable Requirements.
  
 “Out of Pocket Expenses” shall mean the direct, out-of-pocket
expenditures of the Servicer incurred, or to be incurred, as the context requires, in connection with the servicing, administration, management, property protection, disposition, operation, full, partial or discounted liquidation, sale or
enforcement proceedings, foreclosure or other realization on Collateral underlying Assets, including, but not limited to amounts to be paid for or paid to or on behalf of independent legal counsel (including court filing fees), independent
arbitrators, independent repossession agents, appraisers, brokers, environmental consultants, property managers, tax services, receivers, and state and federal regulatory agencies incident to their audits or inquiries, required UCC searches and
title searches, tax searches, structural reviews, third-party fees, Asset-related travel, property inspections, and the like and for arbitration filing fees, UCC and mortgage filing and release fees, charges the Servicer has paid in connection with
checks from Borrowers returned for insufficient funds, and expenses not otherwise reimbursed to maintain, store, and dispose of the Collateral.
  
 “Owner” shall mean First
Midwest Bank.
  
 “Person” shall mean an individual, partnership, corporation (including a statutory trust), joint stock company, limited liability company, trust, association, joint
venture, governmental authority or any other entity of whatever nature.
  
 “Preservation Expenses” shall mean the expenditures made by the
Servicer in connection with a foreclosure or other realization on Collateral, or in connection with Acquired Collateral and its management and servicing, prior to the liquidation thereof, including, without limitation, expenditures for real estate
or personal property taxes and assessments (including any penalties, late fees or late charges incurred for late payment or nonpayment), payments to senior lienholders or holders of any ground lease, Insurance Policy premiums, property restoration
or preservation.
  
 “Rating Agency” shall mean each of Fitch, Moody’s and S&P and any successors thereto.
  
 “Regulation AB” shall mean Subpart 229.1100 – Asset Backed Securities (Regulation AB), 17 C.F.R. §§229.1100-229.1123, as such may be amended from time
to time, and subject to such clarification and interpretation as have been provided by the United States Securities and Exchange Commission in the adopting release (Asset-Backed Securities, Securities Act Release No. 33-8518, 70 Fed. Reg. 1,506,
1,531 (Jan. 7, 2005)) or by the staff of the Securities and Exchange Commission, or as may be provided by the Securities and Exchange Commission or its staff from time to time.
  
 “Residential Construction Loan” shall mean a Loan secured by residential real property that includes one through four dwelling units, for the financing of the
construction thereof, and made subject to this Agreement and the applicable Appendix by the written agreement of the parties.
  
 “Reverse Mortgage Loan” shall
mean a Loan that is, or is intended to be, insured by the Federal Housing Administration pursuant to FHA’s Home Equity Conversion Mortgage program, is intended for sale to Fannie Mae pursuant to Fannie Mae’s Home Keeper program, or is
another reverse mortgage loan product, secured by residential real property that includes one through four dwelling units, and made subject to this Agreement and the applicable Appendix by the written agreement of the parties.
  
 “Revolving Unsecured Loan” means an unsecured, open-ended Loan, made subject to this Agreement and the applicable Appendix by the written agreement of the parties.

  
 “S&P” shall mean Standard and Poor’s Ratings Services, a division of The McGraw-Hill Companies, Inc., or any successor thereto.
  
 “Security Instrument” shall mean, with respect to any Loan secured by any Collateral, any and all documents, agreements, filings, financing statements or other
materials evidencing the Owner’s or the Servicer’s interest (as applicable) in the Collateral securing the obligations of Borrower with respect to such Loan, including but not limited to a Mortgage in the case of a Mortgage
Loan.
  
 “Servicer” shall mean Bayview Loan Servicing, LLC or any successor or permitted assign under the terms of this Agreement.
  
 “Servicer Remittance Date” shall mean the 18th day of each month and if such day is not
a Business Day, the next succeeding Business Day, or such other date as provided in the applicable Appendix with respect to a given category of Assets.
  
 “Servicing Advance” shall mean
the Out of Pocket Expenses incurred by the Servicer in the performance of its servicing obligations under this Agreement, including, but not limited to, the cost of (i) the preservation, restoration and protection of any Asset or Collateral, (ii)
any enforcement or administrative or judicial proceedings, including foreclosures and other realizations on Mortgages, Security Instruments, liens and other security interests in Collateral, (iii) the management (including fees in connection
therewith) and liquidation of any Acquired Collateral or Assets, (iv) taxes, assessments, water rates, sewer rents and other charges which are or may become a lien upon the Collateral or Assets, fire and hazard insurance coverage, (v) all
Preservation Expenses, and (vi) other amounts designated as Servicing Advances pursuant to this Agreement or an applicable Appendix.  In addition, Servicing Fees, to the extent not paid when due, shall be deemed, and shall be reimbursable
as, a Servicing Advance.
  
 “Servicing Fees” shall have the meaning assigned thereto in Section 4.1 hereof.
  
 “Servicing Fee Schedule” shall mean the applicable listing of Servicing Fees with respect to any Assets, as agreed to by the parties from time to time.  A
Servicing Fee Schedule may, but is not required to be, incorporated into or attached to an Appendix.
  
 “Servicing Standard” shall have the meaning assigned thereto in
Section 2.1(c) hereof.
  
 “Single Family Mortgage Loan” shall mean a Loan secured by residential real property that includes one through four dwelling units, made subject
to this Agreement and the applicable Appendix by the written agreement of the parties.
  
 “Termination Date” shall mean the date for termination of this
Agreement with respect to any or all Assets, that is the earlier of (i) mutual consent of the Servicer and the Owner in writing to termination or (ii) a termination in accordance with Section 5.2 hereof.
  
 “Transfer Date” shall mean each date on which the Servicer shall assume responsibility for performing the servicing functions and responsibilities related to an Asset
as provided herein and in the applicable Appendix.
  
 “Termination Fee” shall mean the applicable fee associated with
the termination of this Agreement with respect to any or all Assets, as set forth in the applicable Servicing Fee Schedule or Appendix.
  
 “UCC” shall mean the Uniform
Commercial Code, as in effect in the applicable jurisdictions.
  
 “Vehicle Loan” shall mean a Loan secured by one or more motor
vehicles or boats, and made subject to this Agreement and the applicable Appendix by the written agreement of the parties.
  

ARTICLE II
  
 AGREEMENTS OF THE SERVICER
  
 2.1 General.

  
 (a) Appointment.  Owner hereby appoints Servicer, and Servicer hereby accepts such appointment, to service and administer the Assets for Owner in accordance with the terms of this
Agreement.
  
 (b) Authority.  The Servicer shall have full power and authority, acting alone or through agents (but subject to Section 10.3), to do or cause to be done any and all things in
connection with such servicing and administration which the Servicer may deem necessary or desirable and consistent with the terms of this Agreement and the applicable Appendices, subject to the Servicing Standard, and any and all things that may
otherwise be authorized by Owner.
  
 (c) Servicing Standard.  The Servicer shall service and administer the Assets on behalf of, and in the best interests of and for the benefit of, the Owner (as determined by the
Servicer in its good faith and reasonable business judgment) in accordance with (i) Applicable Requirements, (ii) the terms of this Agreement, (iii) the applicable Appendices, (iv) the applicable Asset Documents, and (v) to the extent
consistent with the foregoing requirements, in the same manner in which, and with the same care, skill, prudence and diligence with which the Servicer services and administers similar assets for third parties; provided, however, that such skill,
prudence and diligence shall be at least as favorable as the degree of care, skill, prudence and diligence generally applied by prudent institutional lenders (or owners of the underlying assets, as applicable) servicing their own assets and
exercising reasonable business judgment without regard to:
  
 (i) any relationship
that the Servicer or any Affiliate of the Servicer may have with the related Borrower;
  
 (ii) the Servicer’s obligation to make Servicing Advances; or
  
 (iii) the Servicer’s right to receive compensation for its services hereunder or with respect to any particular transaction.
  
 The standard set forth in the immediately preceding sentence shall be referred to herein as the “Servicing Standard.”  Owner acknowledges that the Assets
include and involved a variety of types of Loans, Collateral, Acquired Collateral, payment status, payment methods and interest calculations, and the applicable Servicing Standard will vary in respect of such differences among the
Assets.
  
 (d) Loss Share Agreement.  The Servicer shall provide Owner with the information and services set forth in the related Appendices in order to facilitate Owner’s compliance with
its obligations under the Loss Share Agreement(s) specified in such Appendices.
  
 (e) Appendices.  Additional detailed procedures for the servicing of any category of Assets shall be as
provided in the related Appendices.  In the event of any conflict between this Agreement and an applicable Appendix, the applicable Appendix shall govern.
  
 2.2 Collection of
Asset Payments.
  
 The Servicer shall make reasonable efforts to collect all payments called for under the terms and provisions of the Asset Documents (other than any
prepayment premiums, penalties or charges that the Servicer has waived in accordance with the Servicing Standard), and shall, to the extent such procedures shall be consistent with this Agreement, follow such collection procedures for all Assets
that are consistent with the Servicing Standard.  The Servicer may, consistent with the Servicing Standard, waive, modify or vary any non-material term of any Asset Documents or consent to the postponement of strict compliance with any
such term or in any manner grant a non-material indulgence to any Borrower.  Notwithstanding the foregoing, in the event that any Asset is in default or, in the judgment of the Servicer, such default is reasonably foreseeable, the
Servicer, consistent with the Servicing Standard, may also waive, modify or vary any term of such Asset Documents (including, with respect to a Loan, material modifications that would change the Loan Rate, defer or forgive the payment of principal
or interest or extend the final maturity date of such Loan), accept payment from the related Borrower of an amount less than the principal balance in final satisfaction of such Asset or consent to the postponement of strict compliance with any term
or otherwise grant any indulgence to any Borrower.
  
 2.3 General Servicing Procedures.
  
 Until the principal and interest of each
Loan and satisfaction of the Borrower’s obligations with respect to each Asset is paid in full, unless this Agreement is sooner terminated with respect to such Asset pursuant to the terms hereof, and subject to all Applicable Requirements and
the Servicing Standard, the Servicer shall:
  
 (a) With respect to
Loans requiring advances of principal to Borrowers or other Persons, disburse Loan proceeds in accordance with the requirements of the Asset Documents, and as may be provided in the applicable Appendix, provided that notwithstanding anything to the
contrary in this Agreement, the Servicer shall not be required to advance its own funds for such purposes.  In the event Servicer funds any such advances with its own funds, such amounts shall, in addition, be deemed to be Servicing
Advances, recoverable as provided in this Agreement.
  
 (b) Collect applicable
payments of principal, interest and, to the extent required under the Asset Documents, applicable deposits for taxes, assessments and other public charges that are generally impounded, reserve funds, fire and hazard insurance premiums, mortgage
insurance premiums, flood insurance premiums and other insurance premiums, as required and as they become due.
  
 (c) Accept Asset Payments in accordance with the Asset Documents.  Deficiencies or excesses in payments or deposits shall be accepted and applied, or accepted and
unapplied.
  
 (d) Apply all Asset
Payments and impound deposits collected from the Borrower, and maintain permanent account records capable of producing, in chronological order: the date, amount, distribution, installment due date or other transactions affecting the amounts due from
or to the Borrower and indicating the latest outstanding balances of principal, impound deposits, advances, and unapplied payments.
  
 (e) Unless otherwise provided in the applicable Appendix, establish and maintain one or more accounts (collectively, the “Custodial Account”), entitled “Bayview
Loan Servicing, LLC, as servicer for First Midwest Bank, as Owner.”  Each Custodial Account shall be an Eligible Account.  The Servicer will be required to deposit into each Custodial Account no later than the second
Business Day after receipt all proceeds (except Ancillary Income and amounts to be deposited into Escrow Accounts or Acquired Collateral Accounts pursuant to this Agreement) of the related Asset received by the Servicer and to remit such proceeds to
the Owner not later than the Servicer Remittance Date.  Funds in each Custodial Account may be invested only in Eligible Investments in accordance with the provisions set forth in Section 2.3(h) hereof.  The Servicer shall, from
time to time, make withdrawals from each Custodial Account for any of the following purposes: (i) to remit to the Owner in the amounts and in the manner set forth in Section 2.5(a) and (b); (ii) to fund disbursements of principal to the Borrowers or
other Persons with respect to Residential Construction Loans, Commercial Construction Loans, Revolving Unsecured Loans, HELOCs, Reverse Mortgage Loans, and other Assets providing for disbursements of principal; (iii) to pay the Servicer any unpaid
Servicing Fees and to reimburse the Servicer for any unreimbursed Servicing Advances from the general funds in the Custodial Account; (iv) to reimburse the Servicer for any expenses incurred by the Servicer of its obligations under this Agreement
from the general funds in the Custodial Account; (v) to pay to the Servicer as servicing compensation (in addition to the Servicing Fees) on the Servicer Remittance Date any interest or investment income earned on funds deposited in the Custodial
Account; (vi) to reimburse the Servicer for any penalty, late fee or late charge incurred by the Servicer for the late payment or nonpayment of any property taxes and assessments by any prior servicer of any Asset; (vii) to withdraw any amounts
deposited to the Custodial Account in error; and (viii) following the Termination Date with respect to the related Assets, to clear and terminate the Custodial Account.   Notwithstanding anything to the contrary in this Agreement, the
Servicer is not obligated to deposit Ancillary Income into the Custodial Account, although it may do so for ease of operations, and to the extent the Servicer does deposit such amounts into the Custodial Account, the Servicer shall be permitted to
withdraw such amounts at any time in its sole discretion.  In addition, the Servicer may withdraw amounts from a Custodial Account to make distributions in accordance with the terms of a cash management agreement or similar agreement in
respect of any Asset serviced hereunder.
  
 (f) Unless otherwise
provided in the applicable Appendix, establish and maintain one or more accounts (the “Escrow Accounts”, in the form of time deposit or demand accounts, titled, “Bayview Loan Servicing, LLC, as servicer for First Midwest Bank, as
Owner, and various Borrowers”) into which (x) all collections from the Borrowers for the payment of taxes, assessments and other public charges that are generally impounded, reserve funds, fire and hazard insurance premiums, mortgage insurance
premiums, flood insurance premiums and other insurance premiums and comparable items for the account of the Borrowers (“Escrow Payments”) and (y) all amounts representing proceeds of any hazard or other Insurance Policies which are to be
applied to the restoration or repair of any Collateral shall be deposited and retained.  The Escrow Accounts shall be Eligible Accounts.  The Servicer shall deposit in the Escrow Accounts, no later than the second Business Day
after receipt, and retain therein, all Escrow Payments collected on account of the Assets, for the purpose of effecting the timely payment of any such items as required under the terms of this Agreement.  Withdrawals of amounts from an
Escrow Account may be made only to (i) effect timely payment of taxes, assessments, hazard insurance premiums, and comparable items for each Asset; (ii) reimburse the Servicer out of related collections for any Servicing Advances made pursuant to
Section 2.3(j) (with respect to taxes and assessments) and Section 2.3(k) (with respect to hazard insurance) with respect to each Asset; (iii) refund to the Borrowers any sums as may be determined to be overages; (iv) pay interest, if required and
as described below, to the Borrowers on balances in the Escrow Account; (v) to withdraw any amount deposited in the Escrow Accounts in error; or (vi) clear and terminate the Escrow Account at the termination of the Servicer’s obligations and
responsibilities in respect of the related Assets under this Agreement; (vii) for application to restoration or repair of the Collateral; and (viii) for transfer to the Custodial Account and application to reduce the principal balance of the Assets
in accordance with the terms of the related Note and other Asset Documents.  As part of its servicing duties, the Servicer shall pay to the Borrowers interest on funds in Escrow Accounts, to the extent required by law and, to the extent
that interest earned on funds in the Escrow Accounts is insufficient, to pay such interest from its or their own funds, without any reimbursement therefor.  As applicable, the Servicer will determine the amount of deposits to be made by
the Borrowers and will furnish to each Borrower, at least once a year, an analysis of the escrow/impound account, to the extent required by Applicable Requirements.
  
 (g) Be responsible for monitoring and reconciling the Custodial Accounts and Escrow Accounts in accordance with
Applicable Requirements.  The Servicer shall attempt to promptly resolve any discrepancies and shall be responsible for all expenses and consequences for failure to reconcile and resolve such discrepancies.
  
 (h) Direct, in its discretion, any depository institution maintaining the Custodial Accounts to invest the
funds in one or more Eligible Investments.  All such Eligible Investments shall be held to maturity, unless payable on demand.  Any investment of funds in a Custodial Account shall be made in the name of the Servicer as nominee
of the Owner.  The Servicer shall deposit in the Custodial Account, from its own funds, the amount of any loss incurred in respect of any such Eligible Investment made with funds in such account immediately upon realization of any loss.

  
 (i) Maintain accurate
records reflecting the status of taxes, ground rents and other recurring charges generally accepted by the servicing industry for the related Asset, which would become a lien on any Collateral.  For all Assets providing for the payment to
and collection by the Servicer of impound deposits for taxes, ground rents or such other recurring charges, the Servicer shall remit payments for such charges before the later of (i) any penalty date and (ii) 30 days after the applicable Transfer
Date.
  
 (j) In accordance with
the standards of the preceding Section 2.3(i), advance or cause to be advanced funds as necessary for the purpose of effecting the timely payment of taxes and assessments with respect to any Collateral, which Servicing Advances shall be reimbursable
in the first instance from related collections from the Borrowers.  Servicing Advances incurred by the Servicer in connection with the servicing of the Assets (including any penalties in connection with the payment of any taxes and
assessments or other charges) on any Collateral shall be recoverable by the Servicer to the extent described herein.
  
 (k) Use its reasonable efforts in accordance with the Servicing Standard to cause the related Borrower to maintain for each Asset (other than any Acquired Collateral), to the extent
applicable, and if the Borrower does not so maintain, shall itself maintain to the extent the Owner as holder has an insurable interest, insurance with coverage on the related Collateral in a commercially reasonable amount, to the extent provided in
the applicable Appendix.  The Servicer shall maintain such insurance from an insurer with coverage on Collateral in a commercially reasonable amount.  The Servicer shall require that all Insurance Policies required hereunder
shall name the Servicer and its successors and assigns as the holder, as loss payee.
  
 (l) Deposit into the related Custodial Account any amounts collected by the Servicer under any Insurance Policies (other than amounts to be applied to the restoration and repair of
the related Collateral or amounts to be released to the Borrower in accordance with the terms of the related Asset Documents, or amounts typically deposited into Escrow Accounts).  It is understood and agreed that no earthquake or other
additional insurance is to be required of any Borrower or to be maintained by the Servicer other than pursuant to the terms of the related Asset Documents and pursuant to such applicable laws and regulations as shall at any time be in force and as
shall require such additional insurance.  If any Mortgaged Property is located in a federally designated special flood hazard area, the Servicer will use its reasonable efforts in accordance with the Servicing Standard to cause the related
Borrower to maintain or will itself obtain flood insurance in respect thereof.  If any Acquired Collateral is comprised of improved real property is located in a federally designated special flood hazard area, the Servicer will obtain
flood insurance in respect thereof.  Costs of the Servicer of maintaining insurance policies shall be paid by the Servicer as a Servicing Advance and shall be reimbursable to the Servicer.  The Servicer agrees to prepare and
present, on behalf of itself and the Owner, claims under each related insurance policy in a timely fashion in accordance with the terms of such policy and to take such reasonable steps as are necessary to receive payment or to permit recovery
thereunder.
  
 (m) Except as may
otherwise be provided in the applicable Appendix, unless the Servicer is required to exercise its rights under a “due on sale clause” pursuant to the last paragraph of this Section 2.3(m), approve the sale, assignment or other transfer
of any Collateral, if the current Borrower makes a request therefor, provided that the Servicer shall have received sixty (60) days’ prior written notice of the proposed transfer, no
event of default under the related Asset Documents shall have occurred and be continuing, and the following additional criteria are satisfied.
  
 (i) the current Borrower shall pay any and all fees and out-of-pocket costs incurred in connection with the transfer of the Collateral (including without limitation counsel fees and
disbursements and all recording fees, insurance premiums intangible and other taxes, and with respect to Mortgaged Property, any applicable title insurance premiums and mortgage and transfer taxes);
  
 (ii) if applicable, the
proposed transferee or its principals shall have demonstrated expertise in owning and operating properties similar in location, size and operation to the Collateral, which expertise shall be determined by the Servicer, in the Servicer’s sole
discretion;
  
 (iii) the proposed
transferee and its principals shall, as of the date of such transfer, have an aggregate net worth and liquidity acceptable to the Servicer, in the Servicer’s sole discretion;
  
 (iv) the proposed
transferee shall assume all of the obligations of the current Borrower under the related Asset Documents in all respects, including without limitation by entering into an assumption agreement in form and substance satisfactory to the Servicer (in
the Servicer’s sole discretion) and, if applicable, shall execute in favor of the Owner a guaranty and an affidavit and indemnity of borrower and guarantor regarding hazardous and toxic materials in the case of Mortgage Loans;

 
 (v) no event of default
under the related Asset Documents, or other event which, with the giving of notice, passage of time or both would constitute an event of default under the related Asset Documents, shall otherwise occur as a result of such transfer, and the proposed
transferee and its principals shall deliver (A) all organization documentation requested by the Servicer, which shall be satisfactory to the Servicer (in the Servicer’s sole discretion) and (B) all certificates, agreements and covenants
required by the Servicer; and
  
 (vi) with respect to
Mortgage Loans, the current Borrower shall deliver, at its sole cost and expense, an endorsement to the existing title policy insuring the Security Instrument, as modified by the assumption agreement, as a valid first lien on the Mortgaged Property
and naming the proposed transferee as owner of the Mortgaged Property, which endorsement shall insure that, as of the date of the recording of the assumption agreement, the Mortgaged Property shall not be subject to any additional exceptions or
liens other than those contained in the title policy issued in conjunction with the related Asset Documents.
  
 When any Collateral has been or is about to be conveyed by the Borrower, to
the extent it has knowledge of such conveyance or prospective conveyance, exercise its rights to accelerate the maturity of the related Asset under any “due-on-sale” clause contained in the related Security Instrument or Note; provided, however, that the Servicer shall not exercise any such right if either (i) the “due-on-sale” clause, in the reasonable belief of the Servicer, is not enforceable under
applicable law or (ii) the Servicer determines that such enforcement would not be in the best economic interest of the Owner.  In such event, the Servicer shall make reasonable efforts to enter into an assumption and modification agreement
with the Person to whom such Collateral has been or is about to be conveyed, pursuant to which such Person becomes liable under the Note and, unless prohibited by applicable law or the Security Instrument, the Borrower remains liable
thereon.  If the foregoing is not permitted under applicable law, the Servicer is authorized to enter into a substitution of liability agreement with such Person, pursuant to which the original Borrower is released from liability and such
Person is substituted as the Borrower and becomes liable under the Note.  In connection with any such assumption or substitution agreement, the Asset Payments on the related Loan shall not be changed but shall remain as in effect
immediately prior to the assumption or substitution, the stated maturity or outstanding principal amount of such Loan shall not be changed nor shall any required Asset Payments of principal or interest be deferred or forgiven.  Any fee
collected by the Servicer for consenting to any such conveyance or entering into an assumption or substitution agreement shall be retained by or paid to the Servicer as Ancillary Income.
  
 (n) With respect to a Loan that contains a provision in the nature of a “due-on-encumbrance”
clause, which by its terms (i) provides that such Loan becomes due and payable (or may become due and payable at the lender’s option) upon the creation of any lien or other encumbrance on the related Collateral or (ii) requires the consent of
the related lender to the creation of any such lien or other encumbrance on the related Collateral, then for so long as such Loan is owned by the Owner, and to the extent it has knowledge of such lien or other encumbrance, the Servicer, on behalf of
the Owner, will be requested to exercise (or decline to exercise) any right it may have as the lender of record with respect to such Loan to (x) accelerate the payments thereon or (y) withhold its consent to the creation of any such lien or other
encumbrance, in a manner consistent with the Servicing Standard.
  
 (o) Monitor all UCC
financing statements and certificates of title, and file all UCC continuation statements as necessary to avoid a lapse in continuation of a security interest in any Collateral constituting personal property.
  
 2.4 Other.
  
 (a) The Owner hereby
authorizes the Servicer, at the Servicer’s option, to bring or defend any claim, action, arbitration, litigation or other similar proceeding, in the name of the Owner, to effectuate the servicing of the Assets.  Without limiting the
preceding sentence, the Servicer may also assert claims or defend against claims involving the insurance coverage with respect to the Assets.  To the extent that the Servicer incurs any fees, costs, liabilities, judgments, attorney’s
fees in connection with the circumstances described in this Section 2.4(a), the Servicer shall be entitled to be reimbursed for these items as Servicing Advances.
  
 (b) The Owner shall execute powers of attorney to the Servicer and furnish it with any other documents as the
Servicer shall reasonably request to enable the Servicer to carry out its servicing and administrative duties hereunder.  The Owner shall execute any documentation furnished to it by the Servicer for recordation by the Servicer in the
appropriate jurisdictions, as shall be necessary to effectuate the foregoing.
  
 2.5 Accounting, Remittances and Owner Reporting.
  
 Unless otherwise provided in the applicable Appendix, the Servicer shall:
  
 (a) On each Servicer Remittance Date, remit by wire transfer of immediately available funds to the Owner all amounts deposited in the related Custodial Account relating to the
related Assets as of the close of business on the final Business Day of the related Collection Period, net of charges against and withdrawals from the Custodial Account permitted pursuant to this Agreement.
  
 (b) The Servicer shall remit the amounts described in this Section 2.5 by wire transfer of immediately
available funds to the account designated by the Owner.
  
 (c) Upon payment of a
Loan in full and receipt from the Owner or its agent of any documents or information necessary to effect such release, have prepared and file any necessary release or satisfaction documents, continue servicing of the Asset pending final settlement,
and refund any of the Borrower deposits.
  
 (d) Make applicable Loan
Rate adjustments in compliance with the related Asset Documents, Applicable Requirements and the Servicing Standard.  The Servicer shall execute and deliver all appropriate notices required by the related Asset Documents, Applicable
Requirements and the Servicing Standard of applicable information regarding such interest rate adjustment, and methods of implementation of such interest rate adjustments and of all prepayments of any Asset hereunder by the Borrower.

 
 (e) Furnish reports in
the format provided in Exhibit A hereto on or before the fifth (5th) Business Day of each calendar month, with respect to the preceding Collection Period, and such other reports (or
copies of reports) in the format and on the dates set forth in the related Appendices.
  
 (f) Perform such other customary duties and execute such other documents in connection with its duties hereunder as the Owner from time to time reasonably may require subject to the
provisions of Section 2.5(g) hereof.
  
 (g) In the event the
Owner requests the Servicer to provide special reports or data files or render other related services to the Owner or any third party, the Servicer shall use commercially reasonable efforts to provide said reports, data files, or related services
subject to the payment a separate fee to be determined in advance by the Owner and the Servicer. The Servicer shall thereupon bill the requesting party for the cost of such reports, data files or related services including related delivery costs, in
accordance with the negotiated fee schedule.
  
 2.6 Delinquency Control.
  
 The Servicer shall in accordance with the Servicing Standard:

 
 (a) Be responsible for
protecting the Owner’s interest in the Assets by dealing effectively with the Borrowers who are delinquent or in default.  The Servicer’s delinquent Asset servicing program shall include an adequate accounting system which will
immediately and positively indicate the existence of delinquent Assets, a procedure that provides for sending delinquent notices, and assessing late charges, and a procedure for the individual analysis of distressed or chronically delinquent Assets;

  
 (b) Maintain a
collection department and an on-line automated collection system that substantially complies with the Servicer’s collection guidelines, as applicable; and
  
 (c) Provide the Owner with a month-end collection and delinquency report identifying any delinquent Assets, and
from time to time as the need may arise, provide the Owner with Asset service reports relating to any items of information which the Servicer is otherwise required to provide hereunder, or detailing any matters the Servicer believes should be
brought to the special attention of the Owner.
  
 2.7 Foreclosure and Other Similar Realization on Collateral.
  
 (a) The Servicer shall use its best efforts, consistent with the Servicing Standard, to foreclose upon or otherwise comparably convert the ownership of Collateral securing such of
the Assets (if any) as come into and continue in default and as to which no satisfactory arrangements can be made for collection of delinquent payments or for other disposition of such Assets.  To the extent the Acquired Collateral was
subject to the UCC, Servicer may exercise all of Owner’s rights and remedies as a secured creditor under the UCC, and under the Asset Documents, including selling the interests of the Borrower in the Collateral at public or private sale, in
the entirety or in separate parts, as the Servicer may determine.  The Servicer shall be initially responsible for all costs and expenses incurred by it in any such proceedings; provided,
however, that such costs and expenses will be recoverable as Servicing Advances by the Servicer.  The foregoing is subject to the provision that, in any case in which Collateral shall have suffered damage that is not covered by a
hazard Insurance Policy or other Insurance Policy, the Servicer shall not be required to expend its own funds toward the restoration of such Collateral unless it shall determine in its discretion that such restoration will increase the net
Liquidation Proceeds for the related Asset after reimbursement to itself for such expenses and that such expenses will be recoverable to it through Liquidation Proceeds or otherwise.
  
 (b) As an alternative to foreclosure or comparable conversion of the ownership of Collateral, subject to the
terms of any applicable Loss Share Agreement, the Servicer may sell a defaulted Asset if the Servicer determines that such a sale is likely to increase the amount of Liquidation Proceeds, and any such sale of a defaulted Asset by the Servicer shall
be effected in a manner expected, in the reasonable judgment of the Servicer, to maximize Liquidation Proceeds.  Notwithstanding the forgoing, the Servicer has no duty to pursue Asset sales as part of its loss mitigation
procedures.
  
 (c) Notwithstanding the
foregoing provisions of this Section 2.7 or any other provision of this Agreement, with respect to any Mortgage Loan as to which the Servicer has received actual notice of, or has actual knowledge of, the presence of any toxic or hazardous substance
on the related Mortgaged Property, the Servicer shall neither obtain title to such Mortgaged Property as a result of or in lieu of foreclosure or otherwise, nor otherwise acquire possession of, or take any other action with respect to, such
Mortgaged Property, if, as a result of any such action, the Owner would be considered to hold title to, to be a “mortgagee-in-possession” of, or to be an “owner” or “operator” of such Mortgaged Property within the
meaning of the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended from time to time, or any comparable law, unless the Servicer has also previously determined, based on its reasonable judgment and a report
prepared by a Person that regularly conducts environmental audits in accordance with customary industry standards, that:
  

(i) such Mortgaged Property is in compliance with applicable environmental laws or, if not, that it would be in the best economic interest of the Owner to take such actions as are
necessary to bring the Mortgaged Property into compliance therewith; and
  
 (ii) there are no circumstances present at such Mortgaged Property relating to the use, management or disposal of any hazardous substances, hazardous materials, hazardous wastes or
petroleum-based materials for which investigation, testing, monitoring, containment, clean-up or remediation could be required under any federal, state or local law or regulation, or that if any such materials are present for which such action could
be required, that it would be in the best economic interest of the Owner to take such actions with respect to the affected Mortgaged Property.
  
 (d) With respect to each Mortgage Loan, the Servicer shall make the determination described above on the basis of a report prepared by a Person that regularly conducts environmental
audits in accordance with customary industry standards, without regard to whether the Servicer has received notice or has actual knowledge of the presence of any toxic or hazardous substances on the related Mortgaged Property.
  
 (e) The cost of the environmental audit report contemplated by this Section 2.7 shall be advanced by the
Servicer, subject to the Servicer’s right to be reimbursed therefor as a Servicing Advance.
  
 (f) If the Servicer determines, as described above, that it is in the best economic interest of the Owner to take such actions as are necessary to bring any such Mortgaged Property
into compliance with applicable environmental laws, or to take such action with respect to the containment, clean-up or remediation of hazardous substances, hazardous materials, hazardous wastes, or petroleum-based materials affecting any such
Mortgaged Property, then the Servicer shall take such action as it deems to be in the best economic interest of the Owner.  The cost of any such compliance, containment, cleanup or remediation shall be advanced by the Servicer, subject to
the Servicer’s right to be reimbursed therefor as a Servicing Advance.
  
 (g) Notwithstanding the foregoing provisions of this Section or any other provision of this Agreement, the Servicer shall not foreclose upon or otherwise comparably convert the
ownership of Collateral securing an Asset if in the reasonable judgment of the Servicer it would not be in the best economic interests of the Owner to do so.  In such event, the Servicer will not be required to make any further Servicing
Advances in connection with the Asset.
  
 2.8 Acquired Collateral.
  
 Except to the extent that the Applicable Requirements or any applicable
Appendices provide otherwise, the following provisions shall apply to the management and disposition of Acquired Collateral:
  

(a) The deed, title, or certificate or bill of sale to any Acquired Collateral shall be taken in the name of the Owner or any other entity or entities used by the Owner to hold
Acquired Collateral for investors/owners.
  
 (b) The Servicer shall
segregate and hold all funds collected and received in connection with the operation of any Acquired Collateral separate and apart from its own funds and general assets and shall establish and maintain with respect to Acquired Collateral an account
held in trust for the Owner (the “Acquired Collateral Account”), which shall be an Eligible Account.  The Servicer shall be permitted to allow the Custodial Account to serve as the Acquired Collateral Account, subject to
separate ledgers for each Acquired Collateral.  The Servicer shall be entitled to retain or withdraw any interest income paid on funds deposited in the Acquired Collateral Account.
  
 (c) The Servicer shall have full power and authority, subject only to the specific requirements and
prohibitions of this Agreement, to do any and all things in connection with any Acquired Collateral as are consistent with the manner in which the Servicer manages and operates similar property owned by the Servicer or any of its Affiliates, all on
such terms and for such period as the Servicer deems to be in the best interests of the Owner.  In connection therewith, the Servicer shall deposit, or cause to be deposited, in the Acquired Collateral Account all revenues received by it
with respect to an Acquired Collateral and shall withdraw therefrom funds necessary for the proper operation, management and maintenance of such Acquired Collateral including, without limitation: (i) all insurance premiums due and payable in respect
of such Acquired Collateral; (ii) all taxes and assessments in respect of such Acquired Collateral that may result in the imposition of a lien thereon; and (iii) all costs and expenses necessary to maintain such Acquired Collateral.  To
the extent that amounts on deposit in the Acquired Collateral Account with respect to an Acquired Collateral are insufficient for the purposes set forth in clauses (i) through (iii) above with respect to such Acquired Collateral, the Servicer shall
advance from its own funds such amount as is necessary for such purposes if, but only if, the Servicer would make such advances if the Servicer owned the Acquired Collateral and if in the Servicer’s judgment, the payment of such amounts will
be recoverable from the rental or sale of the Acquired Collateral.
  
 (d) Upon request by the
Owner or in the Servicer’s discretion, with respect to any Acquired Collateral, the Servicer shall obtain estimations of the value of the Acquired Collateral from parties selected by the Servicer, which may be broker price opinions if the
Acquired Collateral is real property, and shall solicit, in a commercially reasonable manner, bids for the purchase of such Acquired Collateral.
  
 (e) Each disposition of Acquired Collateral shall be carried out by the Servicer at such price and upon such terms and conditions as the Servicer reasonably determines to be in the
best interest of the Owner and provided the sales price and the related terms and conditions are results of arm’s-length negotiation.  To the extent the Acquired Collateral was subject to the UCC, Servicer may exercise all of
Owner’s rights and remedies as a secured creditor under the UCC, and under the Asset Documents, including selling the Acquired Collateral at public or private sale, in the entirety or in separate parts, as the Servicer may
determine.  The proceeds of sale of the Acquired Collateral shall be promptly deposited in the Acquired Collateral Account.  As soon as practical thereafter the expenses of such sale shall be paid and the Servicer shall reimburse
itself for any related unreimbursed Servicing Advances, unpaid Servicing Fees and unreimbursed advances made pursuant to this Section, and on the Servicer Remittance Date immediately following the date on which such sale proceeds are received, the
net cash proceeds of such sale remaining in the Acquired Collateral Account shall be distributed to the Owner.
  
 (f) In addition to the withdrawals from the Custodial Account permitted under Section 2.3(e), the Servicer may from time to time make withdrawals from the Acquired Collateral Account
for any Acquired Collateral to reimburse itself for unreimbursed Servicing Advances made in respect of such Acquired Collateral or the related Loan.  On the Servicer Remittance Date, the Servicer shall withdraw from each Acquired
Collateral Account maintained by it and remit to the Owner the income from the related Acquired Collateral received during the prior calendar month, net of any withdrawals made pursuant hereto.
  
 (g) The Servicer shall file required information returns (or extensions, if necessary), if any, with respect to
the receipt of interest received in a trade or business, reports of foreclosures and abandonments of any Collateral and cancellation of indebtedness income with respect to any Collateral as required by the Code, to the extent set forth in the
applicable Appendix.  Such reports shall be in form and substance sufficient to meet the reporting requirements imposed by the Code and a copy thereof shall be sent to the Owner promptly after the filing thereof.
  
 2.9 Books and Records
.
  
 (a) Upon written request
of the Owner, the Servicer shall furnish a detailed statement of its financial condition, shall give such requesting party or its authorized representative opportunity upon notice at any time during its normal business hours to examine the
Servicer’s books and records and operating procedures, or shall cause a nationally recognized certified public accountant selected and employed by it to provide the Owner not later than ninety (90) days after the close of the Servicer’s
fiscal year, with a certified statement of the Servicer’s financial condition as of the close of its fiscal year.  The Servicer shall make its servicing personnel available during regular business hours to respond to reasonable
inquiries from the Owner.  Any additional requests for loan audit or confirmations to be performed by the Servicer’s audit firm on the Assets shall be at the sole expense of the requesting party.  The Servicer will keep
records in accordance with industry standards pertaining to each Asset, and such records shall be the property of the Owner and upon termination of this Agreement shall be delivered to the Owner at the Owner’s expense.
  
 (b) The Servicer shall provide to the Owner, and the supervisory agents and examiners of the Owner (which, in
the case of supervisory agents and examiners, may be required by applicable state and federal regulations), access to the Asset Documents, such access being afforded without charge but only upon reasonable request and during normal business hours at
the offices of the Servicer designated by it.
  
 2.10 No Delinquency Advances/Non-Recoverable Advance.
  
 The Servicer shall not be obligated to make
any advances for principal or interest payments in respect of any Asset.  Notwithstanding anything in this Agreement to contrary, no Servicing Advance shall be required to be made hereunder by the Servicer if such Servicing Advance would,
if made, constitute a Non-Recoverable Advance in the reasonable judgment of the Servicer.
  
 2.11 No Prepayment Interest Shortfalls or Payments for Civil Relief Act
Reductions.
  
 (a) The Servicer shall
not be obligated to make any payments with respect to prepayment interest shortfalls with respect to any Asset.
  
 (b) The Servicer shall not be obligated to make any payments with respect to amounts by which interest collectible on a Loan is less than the interest that would normally be accrued
on a Loan at the Loan Rate as a result of application of the Servicemembers Civil Relief Act, as such may be amended from time to time, and similar state and local laws and regulations.
  
 2.12 Reimbursement
of the Servicer.
  
 In the event the Servicer is entitled to reimbursement for any Servicing Advances, disbursements of principal under a Loan, or other expenses incurred under
this Agreement (including penalties, late fees or late charges incurred by the Servicer), any such request for reimbursement shall be reasonably documented by the Servicer in accordance with the Servicing Standard.  In the event that
amounts on deposit in the Custodial Account are insufficient to reimburse the Servicer for (i) Servicing Advances, (iii) disbursements of principal under Loans, (iii) penalties, late fees or late charges incurred by the Servicer, or (iv) expenses
and costs incurred and reimbursable in accordance with Section 8.1 hereof, the Servicer shall be entitled to request reimbursement from the Owner by providing the Owner with an invoice (and the documentation required in accordance with the previous
sentence) on the related the Servicer Remittance Date, or on any date on which such the aggregate total of such amounts outstanding and reimbursable to Servicer exceed $1,000,000 (provided that such invoices shall not be provided any more frequent
than weekly), and the Owner shall reimburse the Servicer in full no later than five (5) Business Days thereafter.
  
 2.13 Licenses.
  
 The Servicer shall maintain at all times during the term of this Agreement, without suspension or revocation, all material licenses and approvals required by applicable
regulatory agencies and governmental authorities, including all material licenses and approvals necessary in each state where Assets, Collateral and Borrowers are located if the laws of such state require licensing or qualification in order to
conduct the business of the Servicer with respect to the Assets, Collateral and Borrowers, including as contemplated in this Agreement, and in any event the Servicer shall remain in compliance with the laws of any such state to the extent necessary
to ensure the enforceability of the Assets.
  
 2.14 Confidentiality/Protecting Customer Information.
  
 The Servicer agrees that it shall comply
with all applicable laws and regulations regarding the privacy or security of any personal information concerning Borrowers and shall maintain appropriate administrative, technical and physical safeguards to protect the security, confidentiality and
integrity of Customer Information, including, if applicable, maintaining security measures designed to meet the Interagency Guidelines Establishing Standards for Safeguarding Customer Information, 66 Fed. Reg. 8616 and complying with the privacy
regulations under Title V of the Gramm-Leach-Bliley Act, 15 U.S.C. § 6801 et seq., and the rules promulgated thereunder.
  
 ARTICLE III
  
 AGREEMENTS OF THE OWNER

  
 3.1 Transfer of Servicing.
  
 On or prior to the applicable Transfer Date, the Owner shall take or cause to
be taken such steps as may be necessary or appropriate to effectuate and evidence the transfer of the servicing of the related Assets to the Servicer in accordance with applicable law and Applicable Requirements, including any transfer instructions
prescribed in any applicable Appendix, at its sole cost and expense.  Subject to the foregoing, Servicer shall use commercially reasonable efforts to assist Owner in transferring the servicing of the related Assets to
Servicer.
  
 3.2 Documentation.
  
 At its sole cost and expense, on or prior to the related Transfer Date, the
Owner shall provide the Servicer with:
  
 (a) All Asset Documents
or records in its possession, other than Asset Documents delivered to a custodian, with respect to which Owner shall ensure that Servicer can obtain such Asset Documents directly from such custodian; and
  
 (b) Sufficient data and documentation for each Asset to enable the Servicer to place and continue to service
the Asset on its computer system.
  
 3.3 Transfer Notices.
  
 The Owner and the Servicer shall cooperatively (other than to the extent
either party individually is subject to related requirements pursuant to applicable law, in which case such party shall), in accordance with Applicable Requirements:
  
 (a) Provide or cause to be provided any notices to Borrowers of the transactions contemplated herein as
required by applicable law and Applicable Requirements.  The parties shall cooperate to accomplish such notification in a timely and efficient manner as will best facilitate the assumption by the Servicer of the servicing responsibilities.

  
 (b) Notify, or cause to
be notified, as applicable, all insurers, by overnight or registered mail, that all insurance premium billings related to the Assets must be sent to the Servicer.  Additionally, the Owner shall, prior to the Transfer Date, obtain or cause
to be obtained the written consent of any insurers that have the contractual right to approve the assumption of the servicing responsibilities by the Servicer.
  
 (c) Notify, or cause to be notified, as applicable, taxing authorities of the assumption of the servicing
responsibilities by the Servicer and include instructions to deliver all notices and tax bills to the Servicer or the applicable tax service provider, as the case may be, from and after the Transfer Date.
  
 (d) Notify, or cause to be notified, as applicable, all attorneys who, on the Transfer Date, are providing
legal services to or on behalf of the Owner or with respect to the Assets in connection with pending litigation, including but not limited to foreclosure litigation, involving one or more of the Assets, of the transfer of the servicing rights and
obligations with respect to the Assets to the Servicer.
  
 3.4 Losses.
  
 The Owner shall remain responsible, as between the Owner and the Servicer,
for losses related to the Owner’s investment in the Assets. Anything herein contained in this Agreement to the contrary notwithstanding, the representations, warranties and covenants of the Servicer contained in this Agreement shall not be
construed as a warranty or guarantee by the Servicer as to future payments by any Borrower.
  
 3.5 Licenses.
  
 The Owner shall maintain at all times during the term of this Agreement, without suspension or revocation, all material licenses and approvals required by applicable regulatory
agencies and governmental authorities, including all material licenses and approvals necessary in each state where Assets, Collateral and Borrowers are located if the laws of such state require licensing or qualification in order to conduct business
of the Owner with respect to the Assets, Collateral and Borrowers, including as contemplated in this Agreement, and in any event the Owner shall remain in compliance with the laws of any such state to the extent necessary to ensure the
enforceability of the Assets.
  
 3.6 Confidentiality/Protecting Customer Information.
  
 The Owner agrees that it shall comply with
all applicable laws and regulations regarding the privacy or security of any personal information concerning Borrowers and shall maintain appropriate administrative, technical and physical safeguards to protect the security, confidentiality and
integrity of Customer Information, including, if applicable, maintaining security measures designed to meet the Interagency Guidelines Establishing Standards for Safeguarding Customer Information, 66 Fed. Reg. 8616 and complying with the privacy
regulations under Title V of the Gramm-Leach-Bliley Act, 15 U.S.C. § 6801 et seq., and the rules promulgated thereunder.
  
 ARTICLE IV
  
 COMPENSATION
  
 4.1 Servicing
Compensation.
  
 The Owner shall pay the Servicer on each the Servicer Remittance Date or such other date(s) as provided in the applicable Appendix or as otherwise agreed to
by the parties in writing,  servicing fees (the “Servicing Fees”) as set forth in the applicable Servicing Fee Schedule.  The Servicer, at its sole option, may net the Servicing Fees (or a portion thereof) and any
Ancillary Income that has been deposited in the Custodial Account (or portion thereof) from the amounts on deposit in the Custodial Account and the Owner hereby approves of such action.  The Servicer shall also be entitled to any and all
Ancillary Income as additional compensation for the services provided hereunder.  The Owner hereby authorizes the Servicer, to deduct and withdraw the Servicing Fees and Ancillary Income that has been deposited in the Custodial Account
from the Custodial Account.
  
 ARTICLE V
  
 TERM
 AND TERMINATION
  
 5.1 Term.
  
 The term of this Agreement with respect to any Asset shall commence on the
related Transfer Date and shall extend to the related Termination Date.
  
 5.2 Termination.
  
 (a) In the event that the Servicer materially breaches any of its obligations under this Agreement, the Owner
shall give prompt written notice to the Servicer.  If such breach is not cured by the Servicer within two (2) Business Days in the case of a breach of the Servicer’s obligation to make the remittances required pursuant to Section
2.5, or within thirty (30) days in the case of a breach of any other provision of this Agreement by the Servicer, after receipt of such notice, the Owner may terminate this Agreement.
  
 (b) In the event that the Owner materially breaches any of its obligations under this Agreement, the Servicer
shall give prompt written notice to the Servicer.  If such breach is not cured by the Owner within two (2) Business Days in the case of a breach of the Owner’s obligation to pay the Servicer as required pursuant to Sections 2.12 and
4.1, or within thirty (30) days in the case of a breach of any other provision of this Agreement by the Owner, after receipt of such notice, the Servicer may terminate this Agreement.  In connection with any such termination, Owner shall
pay the related Termination Fee, if any.
  
 (c)  Upon ninety
(90) calendar days’ notice to the Servicer, the Owner may terminate, without cause at its sole option, this Agreement with respect to some or all of the Assets, provided that Owner shall pay the related Termination Fee, if any.

 
 (d) Upon ninety (90)
calendar days’ notice to the Owner, the Servicer may terminate, without cause at its sole option, this Agreement with respect to some or all of the Assets.
  
 5.3 
Transfer Upon Termination; Costs and Expenses.
  
 In connection with any termination, the Servicer hereby agrees to transfer the servicing of the applicable Assets that remain outstanding to the Owner or a successor servicer
designated by the Owner.  Upon any termination of this Agreement or Assets subject to this Agreement, the Servicer shall prepare, execute and deliver to the successor entity designated by the Owner any and all Asset Documents and other
instruments in its possession with respect to the related Assets, place in such successor’s possession all related Assets, and, in a timely manner, do or cause to be done all other acts or things necessary or appropriate to effect the purposes
of such notice of termination, including but not limited to the transfer of the Assets and related Asset Documents and data (i) at the Servicer’s sole cost and expense if the termination is pursuant to Section 5.2(a) or 5.2(d), or (ii) at the
Owner’s sole cost and expense if the termination is for any other reason.
  
 5.4 Reimbursement.
  
 In connection with any termination or transfer, on the servicing transfer date, the Owner shall reimburse the Servicer for all related unreimbursed Servicing Advances, advances
of principal on Loans, and expenses subject to recovery or reimbursement hereunder, and any related unpaid Servicing Fees, net of any amounts owed to the Owner by the Servicer pursuant to this Agreement.
  
 5.5 Accounting.
  
 Upon termination of this Agreement, the Servicer shall additionally account
for and turn over to the Owner or the Owner’s designee all related funds collected hereunder, less the Servicing Fees then due the Servicer, and deliver to the Owner, the Owner’s designee, as applicable, all records and Asset Documents
relating to each Asset then serviced and will advise the Borrowers that their Loans will henceforth be serviced by the applicable successor servicer in accordance with Applicable Requirements.
  
 5.6 Survival.

  
 The indemnification obligations and representations and warranties of the parties set forth in this Agreement, the obligations of the parties set forth in Sections 2.12, 2.14,
3.4, 3.6, 4.1, 5.3, 5.4, 5.5, 5.6, 10.8, 10.9, and 10.10 of this Agreement, and any obligations of the parties in the applicable Appendices that by their terms survive termination, shall survive the termination or assignment of this
Agreement.
  
 

  
 ARTICLE VI 
                              
  

 REPRESENTATIONS
 AND WARRANTIES OF THE OWNER
  
 As of the date hereof and as of each Transfer Date, the Owner warrants and
represents to the Servicer as follows:
  
 6.1 Authority.
  
 The Owner is duly organized, validly existing and in good standing under the
laws of the jurisdiction of its organization and has all material licenses and approvals necessary to carry on its business as now being conducted, including all licenses and approvals required by applicable regulatory agencies and governmental
authorities, and is licensed, qualified and in good standing in each state where Assets, Collateral and Borrowers are located if the laws of such state require licensing or qualification in order to conduct business of the type conducted by the
Owner as contemplated in this Agreement, and in any event the Owner is in compliance with the laws of any such state to the extent necessary to ensure the enforceability of the terms of this Agreement.
  
 6.2 Authorization, Enforceability and Execution.
  
 The Owner has the absolute and unrestricted
right, power, authority, and capacity to execute and deliver this Agreement, and to perform its obligations hereunder. The Owner has duly authorized, executed, and delivered this
Agreement.  This Agreement constitutes the legal, valid, and binding obligation of the Owner, enforceable against it in accordance with its terms, except to the extent bankruptcy, insolvency, reorganization, fraudulent conveyance, or
similar laws affect the enforcement of creditors’ rights generally.  The signatory executing this Agreement on behalf of the Owner is duly authorized to execute and deliver such document.
  
 6.3 No Conflict
.
  
 Neither the execution and delivery of this Agreement nor the consummation of the transactions contemplated hereby, nor compliance with its terms and conditions, shall: (a)
violate, conflict with, result in the breach of, or constitute a default under, be prohibited by, or require any additional approval under any of the terms, conditions or provisions of the Owner’s Articles of Incorporation or By-Laws, or of
the Owner’s other formative documents, including partnership, limited partnership or joint venture agreements, if any, or of any mortgage, indenture, deed of trust, loan or credit agreement or instrument to which the Owner is now a party or by
which it is bound, or of any order, judgment or decree of any court or governmental authority applicable to the Owner, (b) result in the violation of any law, rule, regulation, order, judgment or decree to which the Owner or its property is subject,
or impair the ability of the Servicer to service the Assets or (c) result in the creation or imposition of any lien, charge or encumbrance of any material nature upon any of the properties or assets of the Owner.
  
 6.4 No Consent
.
  
 No consent, approval, authorization or order of any court or governmental agency, instrumentality or body is required for the execution, delivery and performance by or compliance
by the Owner with this Agreement or if required, such approval has been obtained prior to the date of execution hereof or related Transfer Date, as applicable.
  
 6.5 No Litigation
.
  
 There is no litigation, proceeding, claim, demand or governmental investigation pending or, to the knowledge of the Owner, threatened, nor is there any order, injunction or
decree outstanding against or relating to the Owner or the Assets, which could result in any material liability to the Servicer or materially impair the ability of the Owner or Servicer to perform its obligations hereunder; nor does the Owner know
of any material basis for any such litigation, proceeding, claim or demand or governmental investigation.  The Owner is not in default in any material respect with respect to any order of any court, governmental authority or arbitration
board or tribunal to which the Owner is a party or is subject, and the Owner is not in violation of any laws, ordinances, governmental rules or regulations to which it is subject, which such default or violation might materially and adversely affect
any of the Assets or result in material cost or liability to the Servicer.
  
 6.6 Statements Made.
  
 No representation, warranty or written statement made by the Owner in this Agreement or with respect to any Assets, contains, or will contain, any untrue statement of a material
fact or omits, or will omit, to state a material fact necessary to make the statements contained herein or therein not misleading.
  
 6.7 The Assets.
  
 The Owner hereby makes the following representations and warranties to the Servicer as of the related Transfer Date only:
  
 (a) There are no accrued liabilities of the Owner with respect to the Assets or circumstances under which such
accrued liabilities will arise against the Servicer.
  
 (b) To the best of the
Owner’s knowledge, the information set forth in the schedule of Assets and the information contained on the electronic data file delivered to the Servicer is true and correct in all material respects.
  
 (c) The Owner has, on or before the Transfer Date, delivered, or caused to be delivered to the Servicer or the
applicable custodian all of the books, records, data, files and other Asset Documents, including records on microfiche, electronic form of their equivalent, in the Owner’s possession or in the possession of the immediately preceding owner or
servicer of the Asset.
  
 (d) The Owner is the
record titleholder of each Asset, holding title sufficient to enable the Servicer to foreclose upon or otherwise realize against the related Collateral in accordance with this Agreement.
  
 ARTICLE VII
  
 REPRESENTATIONS
 AND WARRANTIES OF THE SERVICER
  
 As of the date hereof and as of each Transfer Date, the Servicer warrants and
represents to the Owner as follows:
  
 7.1 
Authority.
  
 The Servicer is duly organized, validly existing and in good standing under
the laws of the jurisdiction of its organization and has all material licenses and approvals necessary to carry on its business as now being conducted, including all licenses and approvals required by applicable regulatory agencies and governmental
authorities, and is licensed, qualified and in good standing in each state where Assets, Collateral and Borrowers are located if the laws of such state require licensing or qualification in order to conduct business of the type conducted by the
Servicer as contemplated in this Agreement, and in any event the Servicer is in compliance with the laws of any such state to the extent necessary to ensure the enforceability of the terms of this Agreement.
  
 7.2 
Authorization, Enforceability and Execution.

 
 The Servicer has the absolute and unrestricted right, power, authority, and capacity to execute and deliver this Agreement, and to perform its obligations hereunder. The Servicer has duly authorized, executed, and delivered this Agreement.  This Agreement constitutes the legal, valid, and binding obligation of the Servicer, enforceable against it
in accordance with its terms, except to the extent bankruptcy, insolvency, reorganization, fraudulent conveyance, or similar laws affect the enforcement of creditors’ rights generally.  The signatory executing this Agreement on
behalf of the Servicer is duly authorized to execute and deliver such document.
  
 7.3 No Conflict.
  
 Neither the execution and delivery of this Agreement nor the consummation of the transactions contemplated hereby, nor compliance with its terms and conditions, shall: (a)
violate, conflict with, result in the breach of, or constitute a default under, be prohibited by, or require any additional approval under any of the terms, conditions or provisions of the Servicer’s Certificate of Formation, Operating
Agreement, or of the Servicer’s other formative documents, including partnership, limited partnership or joint venture agreements, if any, or of any mortgage, indenture, deed of trust, loan or credit agreement or instrument to which the
Servicer is now a party or by which it is bound, or of any order, judgment or decree of any court or governmental authority applicable to the Servicer, (b) result in the violation of any law, rule, regulation, order, judgment or decree to which the
Servicer or its property is subject, or impair the ability of the Servicer to service the Assets or (c) result in the creation or imposition of any lien, charge or encumbrance of any material nature upon any of the properties or assets of the
Servicer.
  
 7.4 No Consent.
  
 No consent, approval, authorization or order of any court or governmental
agency, instrumentality or body is required for the execution, delivery and performance by or compliance by the Servicer with this Agreement or if required, such approval has been obtained prior to the date of execution hereof or related Transfer
Date, as applicable.
  
 7.5 No Litigation.
  
 There is no litigation, proceeding, claim, demand or governmental
investigation pending or, to the knowledge of the Servicer, threatened, nor is there any order, injunction or decree outstanding against or relating to the Servicer, which, if decided against the Servicer, could have a material adverse effect upon
any of the Assets, result in any material liability to the Servicer or materially impair the ability of the Servicer to perform its obligations hereunder.  The Servicer is not in default in any material respect with respect to any order of
any court, governmental authority or arbitration board or tribunal to which the Servicer is a party or is subject, and the Servicer is not in violation of any laws, ordinances, governmental rules or regulations to which it is subject, which such
default or violation might materially and adversely affect any of the Assets or result in material cost or liability to the Owner.
  
 ARTICLE VIII
  
 INDEMNIFICATION AND
 LIABILITY
  
 8.1 Standard of Liability; Indemnification.
  
 The Servicer shall not be liable to the
Owner or its officers, employees, agents and directors for any actions or omissions to act in connection with the servicing of the Assets pursuant to this Agreement or for errors in judgment, except for actions or omissions to act of the Servicer
which involve the Servicer’s fraud, negligence, willful misconduct or bad faith.  The Servicer and any director, officer, employee or agent of the Servicer may rely in good faith on any document of any kind prima facie properly
executed and submitted by any Person respecting any matters arising hereunder.
  
 The Servicer agrees to indemnify, defend, and hold harmless, the Owner, its
officers, employees, agents and directors from any liability, claim, loss, demand, action, damage, assessment, deficiencies, taxes, costs and expenses, including reasonable attorneys’ fees (“Damages”), directly or indirectly
resulting from or arising out of the Servicer’s fraud, negligence, willful misconduct or bad faith.
  
 Except as otherwise expressly provided herein, the Servicer shall not be
under any obligation to appear in, prosecute or defend any legal action which is not incidental to its duties to service the Assets in accordance with this Agreement and which in its opinion may involve it in any expense or liability; provided, however, that the Servicer may, with the consent (not to be unreasonably withheld) of the Owner, undertake any such action which it may deem necessary or desirable in respect of this
Agreement and the rights and duties of the parties hereto.  In such event, or if the Servicer deems it necessary to defend any such action, the Servicer shall be entitled to reimbursement from the related Custodial Account for its
reasonable legal expenses and costs of such action.
 

 8.2 
Indemnification by the Owner.
  
 The Owner agrees to indemnify, defend, and holds harmless the Servicer, its officers, employees, agents and directors from any Damages, directly or indirectly resulting from or
arising out of (i) the Owner’s failure to observe or perform any or all of the Owner’s covenants, agreements, warranties or representations contained in this Agreement; (ii) the origination, making, funding, sale or servicing of the
Assets prior to the related Transfer Date or after the related Termination Date, (iii) the absence or unavailability of any documents evidencing or relating to an Asset, including but not limited to any documents necessary to service the Assets in
accordance with Applicable Requirements, other than to the extent resulting for the actions or omissions of the Servicer, (iv) compliance with any instructions of the Owner to the extent that compliance with such instructions does not comply with
Applicable Requirements, (iv) the continuation by the Servicer of the past practices of any prior servicer or owner of the Asset that fails to comply with Applicable Requirements or the Servicing Standard, except if and to the extent the Servicer
reasonably should have become aware of such compliance failure under the Servicing Standard, or (v) any actions or omissions to act by the Servicer in connection with the servicing of the Assets (including, without limitation, actions or omission in
connection with any Loss Share Agreement), in each case unless due to the Servicer’s fraud, negligence, willful misconduct or bad faith.
  
 8.3 Procedure for Indemnification.
  
 Promptly upon receipt of notice of any claim, demand or assessment or the commencement of any suit, demand, action or proceeding in respect of which indemnity may be sought
pursuant to the terms of this Agreement, the party seeking indemnification (the “Indemnitee”) will use its best efforts to notify the other party (the “Indemnitor”) in writing thereof in sufficient time for the Indemnitor to
respond to such claim or answer or otherwise plead in such action.  Except to the extent that the Indemnitor is prejudiced thereby, the omission of the Indemnitee to promptly notify the Indemnitor of any such claim or action shall not
relieve the Indemnitor from any liability which it may have to the Indemnitee in connection therewith.  If any claim, demand or assessment shall be asserted or suit, action or proceeding commenced against the Indemnitee, the Indemnitor
will be entitled to participate therein, and to the extent it may wish to assume the defense, conduct or settlement thereof, with counsel reasonably satisfactory to the Indemnitee.  After notice from the Indemnitor to the Indemnitee of its
election to assume the defense, conduct, or settlement thereof, the Indemnitor will not be liable to the Indemnitee for any legal or other expenses consequently incurred by the Indemnitee in connection with the defense, conduct or settlement
thereof.  The Indemnitee will cooperate with the Indemnitor in connection with any such claim and make its personnel, books and records relevant to the claim available to the Indemnitor.  In the event the Indemnitor does not wish
to assume the defense, conduct or settlement of any claim, demand or assessment, the Indemnitee will not settle such claim, demand or assessment without the prior written consent of the Indemnitor, which consent shall not be unreasonably withheld.

  
 8.4 Limits on Servicer Obligations.
  

Anything in this Agreement to the contrary notwithstanding, the Servicer
shall not be responsible or liable for any obligations of Owner or any other Person under any other agreement related to the Assets, other than as expressly set forth herein, including but not limited to any obligations of Owner or any other Person
under any agreements related to the origination, sale or repurchase of the Assets.
  
  
    ARTICLE IX     
                            

ANNUAL
 REPORTING
  
 9.1 Servicer Compliance Statement.

  
 On or before March 20 of each calendar year, commencing in 2010, the Servicer shall deliver to the Owner one or more statements of compliance addressed to the Owner and signed by
an authorized officer of the Servicer, to the effect that (i) a review of the Servicer’s activities during the immediately preceding calendar year (or applicable portion thereof) and of its performance under this Agreement during such period
has been made under such officer’s supervision, and (ii) to the best of such officers’ knowledge, based on such review, the Servicer has fulfilled all of its obligations under this Agreement in all material respects throughout such
calendar year (or applicable portion thereof) or, if there has been a failure to fulfill any such obligation in any material respect, specifically identifying each such failure known to such officer and the nature and the status
thereof.
  
 9.2 Report
 on Assessment of Compliance and Attestation.
  
 On or before March 20 of each calendar year, commencing in 2010, the Servicer
shall, to the extent applicable to the servicing of Assets serviced pursuant to this Agreement by Servicer during the preceding calendar year, deliver to the Owner: (a) a report regarding the Servicer’s assessment of compliance with applicable
servicing criteria during the immediately preceding calendar year, as required under Rules 13a-18 and 15d-18 of the Securities Exchange Act of 1934, as amended, and Item 1122 of Regulation AB with a related report of a registered public accounting
firm for such assessment of compliance; or (b) a Uniform Single Attestation Program audit report from its independent auditors.
  
  ARTICLE
X   
  
 MISCELLANEOUS
  
 10.1 Independence
of Parties.
  
 The Servicer shall have the status of, and act as, an independent contractor.  Nothing herein contained shall be construed to create a partnership or joint venture
between the Owner and the Servicer.
  
 10.2 Changes in Practices.
  
 The parties hereto acknowledge that the standard practices and procedures of
the servicing industry change or may change over a period of time.  To accommodate these changes, the Servicer may from time to time notify the Owner of such material changes in practices and procedures.
  
 10.3 
Assignment of Servicing.
  
 This Agreement may not be assigned by the Servicer without the prior written consent of the Owner; provided, however, that this Agreement shall be assumed by (i) any entity into
which the Servicer may be merged or consolidated, or any entity succeeding to the business of the Servicer; provided, however, that the successor or surviving Person shall be an institution whose business includes the servicing of mortgage loans or
(ii) any Affiliate of the Servicer.  This Section does not prohibit the Servicer from engaging service providers to assist the Servicer in performance of its obligations under this Agreement.  This Section does not limit or
impair the Servicer’s right to terminate this Agreement in accordance with Section 5.2(c) of this Agreement.  The Owner may not assign this Agreement without the prior written consent of the Servicer; provided, however, that this
Agreement can be assigned to (i) any entity into which the Owner may be merged or consolidated, or any entity succeeding to the business of the Owner; or (ii) any Affiliate of the Owner.
  
 10.4 Prior Agreements
.
  
 If any provision of this Agreement is inconsistent with any prior Agreements between the parties, oral or written, the terms of this Agreement shall prevail, and after the
effective date of this Agreement, the relationship and agreements between the Owner and the Servicer shall be governed in accordance with the terms of this Agreement.
  
 10.5 Entire Agreement
.
  
 This Agreement contains the entire agreement between the parties hereto and cannot be modified in any respect except by an amendment in writing signed by both
parties.
  
 10.6 Invalidity.
  
 The invalidity of any portion of this Agreement shall in no way affect the
remaining portions hereof.
  
 10.7 Effect.
  
 Except as otherwise stated herein, this Agreement shall remain in effect
until the Termination Date, unless sooner terminated pursuant to the terms hereof.
  
 10.8 Damage Limitation.
  
 IN NO EVENT WILL EITHER PARTY BE LIABLE TO THE OTHER FOR ANY INDIRECT, SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES OF ANY KIND INCLUDING, BUT NOT LIMITED TO LOST PROFITS, LOSS
OF GOODWILL OR BUSINESS INTERRUPTION, ARISING OUT OF THIS AGREEMENT.
  
 10.9 Applicable Law.
  
 THIS AGREEMENT SHALL BE CONSTRUED AND GOVERNED IN ACCORDANCE WITH THE LAWS OF
THE STATE OF FLORIDA.  VENUE FOR ANY LITIGATION ARISING UNDER THIS AGREEMENT OR ITS SUBSEQUENT PERFORMANCE SHALL BE MIAMI-DADE COUNTY, FLORIDA.  ANY LITIGATION BETWEEN THE PARTIES ARISING FROM THIS AGREEMENT SHALL ONLY BE BROUGHT
IN MIAMI-DADE COUNTY, FLORIDA AND THE PARTIES HEREBY AGREE TO SUCH JURISDICTION IN MIAMI-DADE COUNTY, FLORIDA.  ANY ISSUE REGARDING ENFORCEABILITY OF THE ASSET DOCUMENTS OR DOCUMENTS RELATING TO ACQUIRED COLLATERAL SHALL BE DETERMINED IN
ACCORDANCE WITH THE LAWS SPECIFIED THEREIN, OR APPLICABLE UNDER APPLICABLE LAW.
  
 10.10 Notices.
  
 All notices, requests, demands and other communications which are required or permitted to be given under this Agreement shall be in writing and shall be deemed to have been duly
given upon receipt or upon three (3) Business Days after the delivery or mailing thereof, as the case may be, sent by certified mail, return receipt requested, or by nationally recognized overnight carrier, to the attention of the person named at
the address set forth on the signature page hereof.
  
 10.11 Waivers
.
  
 The Owner and the Servicer may:
  
 (a) Waive compliance with any of the terms, conditions or covenants required to be complied with by the other hereunder; and
  
 (b) Waive or modify performance of any of the obligations of the other hereunder.
  
 The waiver by either party hereto of a breach of any provision of this Agreement shall not operate or be construed as a waiver of any other subsequent breach.
  
 10.12
Binding Effect.
  
 This Agreement shall inure to the benefit of and be binding upon the parties hereto and their successors and assigns.
  
 10.13 Headings
.
  
 Headings of the Articles and Sections in this Agreement are for reference purposes only and shall not be deemed to have any substantive effect.
  
 10.14
Appendices, Schedules and Exhibits.
  
 The Appendices to this Agreement, and the exhibits and schedules to this Agreement and to the Appendices, are hereby incorporated and made a part hereof and are integral parts of
this Agreement.
  
 10.15 Counterparts
.
  
 This Agreement may be executed simultaneously in any number of counterparts.  Each counterpart shall be deemed to be an original, and all such counterparts shall
constitute one and the same instrument.  Delivery of an executed counterpart of a signature page of this Agreement in Portable Document Format (PDF) or other electronically imaged form, or by facsimile transmission, shall be effective as
delivery of a manually executed original counterpart of this Agreement.
  
 [SIGNATURE PAGE TO FOLLOW]
 
 
    
 
   
  
 
   
 
 
 
 
 IN WITNESS WHEREOF, each party has caused this Agreement to be signed in its corporate name on its behalf by its proper officials duly authorized as of the
day, month and year first above written.
  
 Servicer:

  
 BAYVIEW LOAN SERVICING, LLC
  
 By:      /s/ RICHARD
O'BRIEN                                        
                              
 Name:           Richard O’Brien
 Title:             President
 Addresss:    4425 Ponce de Leon Blvd, 5th Floor   
                           Coral Gables, Florida 33146
 

 

  
 Owner:
  
 FIRST MIDWEST BANK
  
 

 By:       /s/ STEPHANIE R.
WISE                                         
                           
 Name:           Stephanie
R. Wise
 Title:     E.V.P. Business and Institutional Services
 Address:      c/o First Midwest Bancorp, Inc.
 One Pierce Place, Suite 1500
 P.O. Box 4169

Itasca, Illinois
60143-4169