CAOC/RADC Venture 2011-1 Structured Transaction 

PRIVATE OWNER INTEREST 


SALE AND ASSIGNMENT AGREEMENT 


by and among 

ACORN LOAN PORTFOLIO PRIVATE OWNER VI, LLC, 


FEDERAL DEPOSIT INSURANCE CORPORATION, 


in its capacity as Receiver, 

and 


CADC/RADC VENTURE 2011-1, LLC 


Dated as of August 24, 2011 

CADC/RADC Venture 2011-1 Structured Trunsact•on 

Pnvatc Ovmer Interest Sale Agreement 

v~rswn J 1 

FXFCUTl0:-.1 VFRSlON 
TABLE OF CONTENTS 


Page 

1. 	 Sale and Assignment; Purchase Price; Funding of Working Capital Reserve; Accoill1t 


Closing .............................................................................................................................. .3 


2. 	 LLC Operating Agreement ................................................................................................4 


3. 	 Additional Security ..............................................................................................................4 


4. 	 Specified Parent/Owner Undertaking; LPOA Letter .......................................................... .4 


5. 	 Representations and Warranties of Private Owner ..............................................................4 


6. 	 Exclusivity of Representations ...........................................................................................5 


7. 	 Assigrunent ..........................................................................................................................5 


8. 	 Beneficiaries .......................................................................................................................5 


9. 	 Vv'aivers and Amendments ................................................................................................. 5 


10. 	 (iovcrning La\V ...................................................................................................................5 


11. 	 Jurisdiction; Venue and Service ..........................................................................................6 


12. 	 Waiver of Jury Trial ........................................................................................................... 7 


13. 	 Notices .................................................................................................................................7 


14. 	 Counterparts; Facsimile Signatures .....................................................................................9 


15. 	 Headings .............................................................................................................................9 


16. 	 Compliance with Law; Rules ofConstruction .....................................................................9 


EXHIBIT A Form ofLLC Operating Agreement 

EXHIBIT B Form of Private Owner Interest Asset Value Schedule 

EXHIBIT C Form of Transferee Acknowledgment And Certification 

EXIIllliT D Form ofJoinder And Consent Agreement 

EXIIIBIT E Form of Specified Parent/Owner Undertaking 

EXHTBIT F Form of Letter Designating Individuals For Limited Power of Attorney 

J06.ll>66 vll4 
PRIVATE OWNER INTEREST 


SALE AND ASSIGNMENT AGREEMENT 


THIS PRIVATE OWNER INTEREST SALE AND ASSIGNMENT AGREEMENT (this 

"Agreement") is made as of Augw:;t 24, 2011, by and among Acorn Loan Portfolio Private 

Owner VI, LLC, a limited liability company organized and existing under the laws of Delaware 

(the "Private Owner"), the Federal Deposit Tnsurance Corporation in its capacity as Receiver 

(the "Initial Member"), and CADC/RADC Venture 2011-1, LLC, a limited liability company 

organized and existing under the laws of Delaware (the "Company"). For purposes of this 

Agreement, all terms used in this Agreement (including in the preamble and recitals hereto) that 

are defined in, or by reference in, that certain Agreement of Definitions~ CADC/RADC Venture 

2011-1 Structured Transaction dated as of the date hereof among the parties hereto and certain 

others (as the same may be amended from time to time in accordance with the terms set forth 

herein for the amendment of this Agreement) (the "Agreement of Definitions"), and are not 

otherwise defined herein, shall have the meanings and definitions given, or referred to, in the 

Agreement of Definitions, 

RECITALS 

WHEREAS, the Initial Member formed the Company by causing the Certificate of 

Formation of the Company to be filed with the Secretary of State of the State of Delaware on 

August 10, 2011, holds the sole limited liability company interest in the Company, and has 

entered into the Original LLC Operating Agreement; 

WHEREAS, pursuant to the Contribution Agreement, the Initial Member has contributed 

in part and sold in part to the Company all of the Initial Member's right, title and interest in and 

to the Assets; 

WHEREAS, after conducting a sealed bid sale for a fifty percent (50%) limited liability 

company interest in the Company (the "Private Owner Interest"), the FDIC selected Acorn 

Loan Acquisition Venture VI, L.P. (the "Winning Bidder") as the successful bidder pursuant to 

the bid form submitted by it (the "Bid Form") and, in accordance with the instructions 

governing the sealed bid sale, the Winning Bidder has deposited $300,000.00 with its bid and an 

additional $2,700,898.00 after its bid was selected (collectively, the "Earnest Moncv Deposit") 

with the FDIC; 

WHEREAS, following its selection as the successful bidder, the Winning Bidder formed 

the Private Owner as a Qualified Transferee; 

WHEREAS, the Initial Member desires to transfer the Private Ov-mer Interest to the 

Private Owner (and the Initial Member will retain a fifty percent (50%) limited liability company 

interest in the Company) and enter into the LLC Operating Agreement in the form attached 

hereto as Exhibit A, and the Private Owner desires to acquire the Private Owner Interest and 

enter into the LLC Operating Agreement; 

2 

CADC/RADC Venture 2011-1 Structured Tran~action 

Private Owner Intere>t Sale Agreement 

Vcr>tonJ.I 

F.XECUTION VF.RSION 
WHEREAS, the Initial Member and the Private Owner desire, as capital contributions to 

the Company on a 50%/50% basis, to ftmd the Working Capital Reserve Account with an 

aggregate amount of$6,000,000.00 (such sum, the "WCR Account Deposit"); and 

WHEREAS, the Initial Member's 50% share of such WCR Account Deposit is 

$3,000,000.00 (the "Initial Member WCR Account Deposit") and the Private Owner's 50% 

share of such WCR Account Deposit is $3,000,000.00 (the "Private Owner WCR Account 

Deposit"); 

NOW, THEREFORE, in consideration of the foregoing and the mutual promises and 

agreements hereinafter contained, and for other good and valuable consideration the receipt and 

sufticiency of which arc hereby acknowledged, the Initial Member, the Private Owner and the 

Company hereby agree as follows: 

1. Sale and Assignment; Purchase Price; Funding of Working Capital Reserve; 

Account Closing. 

(a) Sale and Assignment. Subject to the terms and conditions of this 

Agreement, the Initial Member hereby sells to the Private Owner, and the Private Owner hereby 

purchases from the Initial Member, all of the Initial Member's right, title and interest in and to 

the Private Owner Interest for a purchase price of $30,008,975.00 (the "Private Owner Interest 

Sale Price"). On the date hereof, in satisfaction of its obligation to pay the Private Owner 

Interest Sale Price, the Private Owner shall (i) remit to the Initial Member, by wire transfer of 

immediately available funds, to such account as the Initial Member may direct in writing, an 

amount (the "Purchase Price Pavment") equal to the positive difference (if any) between (x) 

the Private Owner Interest Sale Price and (y) the sum of (A) the Earnest Money Deposit and (B) 

the Initial Member WCR Account Deposit, and (ii) (x) remit, on behalf of the Initial Member, by 

wire transfer of immediately available funds, an amount equal to the Initial Member WCR 

Account Deposit to the Paying Agent for credit to the Working Capital Reserve Account and (y) 

remit, on its own behait: by wire transfer of immediately available funds, an amount equal to the 

Private Owner WCR Account Deposit to the Paying Agent for credit to the Working Capital 

Reserve Account. 

(b) Closing Procedure. Upon (i) the receipt by the Initial Member of (x) the 

Purchase Price Payment, (y) evidence of the cstablislunent of the Working Capital Reserve 

Account in accordance with the provisions of Section 3.6 of the Custodial and Paying Agency 

Agreement, and (z) confirmation of receipt by the Paying Agent of each of the Initial Member 

WCR Account Deposit and the Private Owner WCR Account Deposit, (ii) the delivery of the 

executed LLC Operating Agreement by the parties thereto (m; required by Section 2), (iii) the 

delivery of the Additional Security (as required by Section 3), (iv) the delivery by each Person 

specified in Section 4(a) of a Specified ParenUOwncr Undertaking, (v) the delivery by the 

Private Owner of the letter described in Section 4(b), (vi) the delivery of the completed Private 

Owner Interest Asset Value Schedule, in the form attached hereto as Exhi bit B allocating the 

3 

CADCIRADC Venture 2011·1 Strudurcd Tran~actmn 

Pri~ate Owner ln!crest Sale Agreement 

Verown 3 1 

EXECUTION VERSION 
Private Ov.mer Interest Sale Price among the Assets (the "Private Owner Interest Asset Value 

Schedule"), which shall be appended to the Contribution Agreement as the Private Owner 

Interest Asset Value Schedule thereunder, (vii) the delivery of the executed Transferee 

Acknowledgment and Certification, in the form attached hereto as Exhibit C, and (viii) the 

delivery of the executed Joinder and Consent Agreement, in the fonn attached hereto as Exhibit 

D, the sale and assignment of the Private Owner Interest to the Private Owner and the closing of 

the other transactions contemplated hereby (collectively, the ''Closing") shall be etlective. 

2. LLC Operating Agreement. Contemporaneously \Vith the execution and 

delivery of this Agreement, the Private Owner shall execute and deliver to the Company and the 

Initial Member the LLC Operating Agreement. 

3. Additional Security. Contemporaneously with the execution of this Agreement 

and the LLC Operating Agreement, the Private Owner shall (i) pursuant to the applicable 

provisions in the LLC Operating Agreement and the Custodial and Paying Agency Agreement, 

establish the Private Owner Pledged Account and (ii) deliver (or cause to be delivered) to the 

Paying Agent, the Additional Security (which, if in the form of Qualifying Cash Collateral, shall 

be remitted for deposit into the Private Owner Pledged Account). 

4. Specified Parent/Owner Undertaking; LPOA Letter. 

(a) Contemporaneously with the execution of this Agreement, the Private 

Owner shall cause to be delivered to the Initial Member and the PMN Agent an instmment in the 

form attached hereto as Exhibit E (a "Specified Parent/Owner Undertaking''), executed by 

each of (i) the Specifted Parent of the Private Owner or, if such Specified Parent consists of more 

than one Person, each such Person, and (ii) each Non-Specified Parent PO Owner. Each Person 

required pursuant to the preceding sentence to deliver a Specified Parcnt/0\vner Undertaking 

shall execute and deliver a separate Specitied Parent/Owner Undertaking. 

(b) Contemporaneously with the execution of this Agreement, the Private 

Owner shall execute and deliver to the Receiver a letter in the fonn attached hereto as Exhibit F, 

appropriately completed. 

5. Representations and Warranties of Private Owner. The Private Owner hereby 

represents and warrants separately to each of the Initial Member and the Company as follows: 

(a) The Private Ov..mer is a Qualified Transferee, and as such represents and 

warrants that each item included in such definition is tmc and correct in all respects as of the date 

hereof as if set forth herein. 

(b) All information and documents provided to the Initial Member or its 

agents by or on behalf of the Private Owner or any Affiliate thereof (or by or on behalf of any 

Person comprising the Specified Parent of the Private Owner or any Affiliate thereof) in 

connection with this Agreement and the transactions contemplated hereby, including, but not 

limited to, the "Purchaser Eligibility Certification," the "Bid Certification," the "Structured 

Transaction Qualification Request," the "Bidder Qualification Application," the "Bid Form" and 

4 

CADC/Ri\DC Venture 2011·1 Structured Tran~acuun 

Private Owner Interest Sale Agreement 

V~r,iun 3 I 

EXECUTION VFRSION 
the "Structured Transaction Conildentiality Agreement," are true and correct in all respects as of 

the date hereof and do not fail to state any fact necessary to make the information contained 

therein not misleading. 

(c) As of the date hereof~ the only Non-Specified Parent PO Owners are 

FACP Mortgage Investments, LLC, a limited liability company and Calista Corporation, each 

fOrmed under the laws of Alaska. 

6. Exclusivity of Representations. THE PRIVATE 0\VNER INTEREST IS SOLD 

"AS IS" AND "WITH ALL FAULTS," WITHOUT ANY REPRESENTATION, WARRANTY, 

GUARANTY OR RECOURSE WHATSOEVER, INCLUDING AS TO ITS VALUE (OR THE 

VALUE, COLLECT ABILITY OR CONDITION Of THE ASSETS HELD BY THE 

COMPANY OR ANY Of THE COLLATERAL FOR ANY SUCH ASSETS), FITNESS FOR 

ANY PARTICULAR PURPOSE, MERCHANTABILITY, FITNESS FOR A SPECIFIC 

PURPOSE OR ANY OTHERMATTER, WI I ETHER EXPRESS OR IMPLIED OR BY 

OPERATION Of LAW OR OTHERWISE, AND THE INITIAL MEMBER SPECIFICALLY 

DISCLAIMS ANY WARRANTY, GUARANTY OR REPRESENTATION, ORAL OR 

WRITTEN, PAST OR PRESENT, EXPRESS OR IMPLIED, CONCERNING THE PRIVATE 

OWNER INTEREST, THE ASSETS, OR THE COLLATERAL SECURING THE ASSETS. 

7. Assignment. This Agreement and all of the provisions hereof shall be binding 

upon and inure to the beneilt of the parties hereto and their respective heirs (in the case of any 

individual), successors and permitted assigns; provided, however, that the Private Owner may 

not assign this Agreement or any of its rights, interests or obligations hereunder. Any purported 

assignment or delegation in violation of this Agreement shall be null and void ab initio. 

8. Beneficiaries. This Agreement shall inure to the benefit of, and may be enforced 

by, the Initial Member, the Private Owner and the Company and their respective successors and 

assigns. Except for the FDIC (in its corporate capacity), which shall be considered a third party 

beneficiary to this Agreement, there shall be no other third party beneficiaries hereunder. 

9. Waivers and Amendments. No amendment or waiver of any provision ofthis 

Agreement shall be effective unless the same shall be in writing and executed by the Initial 

Member, the Private Owner, the Company and the FDIC (in its corporate capacity). 

I0. Governing Law. EACH PARTY TO THIS AGREEMENT AGREES AND 

ELECTS THAT, IN ACCORDANCE WITJI SECTION 5-1401 OF TilE GENERAL 

OBLIGATIONS LAW OF THE STATE OF NEW YORK, THIS AGREEMENT IS TO BE 

GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE 

STATE OF NEW YORK, EXCLUDING ANY CONFLICT OF LAWS RULE OR PRINCIPLE 

THAT MIGHT REFER THE GOVERNANCE OR THE CONSTRUCTION OF THIS 

AGREEMENT TO TI-lE LAW OF ANOTHER JURISDICTION, AND EACH PARTY TO 

THIS AGREEMENT UNCONDITIONALLY AND IRREVOCABLY W AlVES ANY CLAIM 

TO ASSERT TIIAT THE LAWS OF ANY OTHER JURISDICTION GOVERN THIS 

5 

CAOC/RADC Venture 20 11·1 Structured Tmnsaction 

Privak O"'n~r ]nlL'n::;t Sale Agreement 

Ver~ion J l 

EXEC!! l'lON VERSI0:-.1 
AGREEMENT. NOTHING IN TillS AGREEMENT SHALL REQUIRE ANY UNLAWfUL 


ACTION OR INACTION BY ANY PARTY HERETO. 


11. .Jurisdiction; Venue and Sen'ice. 

(a) Each of the Private Owner and the Company, in each case on behalf of 


itself and its Affiliates, hereby irrevocably and unconditionally: 


(i) consents to the jurisdiction of the United States District Court for 

the Southern District of New York and to the jurisdiction of the United States District Court for 

the District of Columbia for any suit, action or proceeding against it or any of its Affiliates 

commenced hy the Initial Member arising out of, relating to, or in connection with this 

Agreement or any Transaction Document, and waives any right to: 

(A) remove or transfer such suit, action or proceeding to any 

court or dispute-resolution forum (other than the court in which the Initial Member files the 

action, suit or proceeding) without the consent of the Initial Member; 

(B) assert that venue is improper in either the United States 

District Court for the Southern District of New York or the United States District Court for the 

District of Columbia; or 

(C) assert that the United States District Court for the Southern 

District of New York or the United States District Court for the District of Columbia is an 

inconvenient forum; 

(ii) consents to the jurisdiction of the Supreme Court of the State of 

New York, County of New York, for any suit, action or proceeding against it or any of its 

Affiliates commenced by the Initial Member arising out of, relating to, or in connection with this 

Agreement or any Transaction Document (other than the LLC Operating Agreement), and 

waives any right to: 

(A) remove or transfer such suit, action or proceeding to any 

other court or dispute-resolution forum without the consent of the Initial Member); 

(B) assert that venue is improper in the Supreme Court of the 

State of New York, County of New York; or 

(C) assert that the Supreme Court of the State of New York, 

County of Ne\v York is an inconvenient forum; 

(iii) agrees to bring any suit, action or proceeding by it or any of its 

Affiliates against the Initial Member arising out of, relating to, or in connection with this 

Agreement or any Transaction Document (other than the LLC Operating Agreement) in only the 

United States District Court for the Southern District of New York or the United States District 

Court for the District of Columbia, and waives any right to remove or transfer such suit, action or 

6 

CA!JC/RADC Yenlure 2011-1 Structured Transaction 

Privale Owner lnlercol ')ak Agn:cmcnt 

Version 3 I 

EXECU rtON VCRSION 
proceeding to any other court or dispute-resolution fomm without the consent of the Initial 

Member, and agrees to consent thereafter to transfer of the suit, action or proceeding to either the 

United States District Court for the Southern District of New York or the United States District 

Court for the District of Columbia at the option of the Initial Member; and 

(iv) agrees. if the United States District Court for the Southern District 

of New York and the United States District Court for the District of Columbia both lack 

jurisdiction to hear a suit, action or proceeding falling within Section ll(a)(iii), to bring that suit, 

action or proceeding in only the Supreme Court of the State of New York, County of New York, 

and waives any right to remove or transfer such suit, action or proceeding to any other court or 

dispute-resolution fomm without the consent of the Initial Member. 

(b) Each of the Private Owner and the Company, in each case on behalf of 

itself and its Affiliates, hereby irrevocably and unconditionally agrees that any final judgment 

entered against it in any suit, action or proceeding falling within Section 11(a) may be enforced 

in any court of competent jurisdiction. 

(c) Subject to the provisions of Section 11 (d), each of the Private Owner and 

the Company, in each case on behalf of itself and its Affiliates, and the Initial Member, hereby 

irrevocably and unconditionally agrees that service of all writs, process and summonses in any 

suit, action or proceeding pursuant to Section 11(a) or Section ll(b) may be effected by the 

mailing of copies thereof by registered or certified mail, postage prepaid, to it at its address for 

notices pursuant to Section 13 (\vith copies to such other Persons as specified therein); provided, 

however, that nothing contained in this Section ll(c) shall affect the right of any party to serve 

process in any other manner permitted by Law. 

(d) Nothing in this Section 11 shall constitute consent to jurisdiction in any 

court by the FDIC, other than as expressly provided in Section ll{a)(iii) and Section ll(a)(iv), or 

in any v-,ray limit the FDIC's right to remove, transfer, seek to dismiss, or otherwise respond to 

any suit, action, or proceeding against the FDIC in any forum. 

12. Waiver of Jury Trial. EACH OF THE PRIVATE OWNER AND THE 

COMPANY, FOR ITSELF AND ITS AFFILIATES, AND THE INITIAL MEMBER, HEREBY 

IRREVOCABLY AND UNCONIJITIONALLY WAIVES ANY RIGIIT IT MAY HAVE TO A 

TRIAL BY JURY OF ANY DISPUTE ARISING OUT OF OR RELATING TO THIS 

AGREEMENT AND AGREES THAT ANY SUCH DISPUTE SHALL BE TRIED BEFORE A 

JUDGE SITTING WITHOUT A JURY. 

13. Notices. All notices, requests, demands and other communications required or 

permitted to be given or delivered under or by reason ofthe provisions of this Agreement shall 

be in writing and shall be given by certified or registered mail, postage prepaid, by delivery by 

hand or by nationally recognized courier service, or by electronic mail, in each case mailed or 

delivered tn the applicable address or electronic mail address specified in, or in the manner 

provided in, this Section 13 below. All such notices, requests, demands and other 

communications shall be deemed to be given or made upon the carl ier to occur of (i) actual 

7 

CADC/RADC V10ntu•e 20 11·1 Struetured Tramactlon 

Private Owner Interest ~ale Agreement 

V~r1ion 3 I 

FXFClJTION VERSION 
receipt (or refusal thereof) by the relevant party hereto and (ii) (A) if delivered by hand or by 

nationally recognized courier service, \Vhcn signed for (or refused) by or on behalf of the 

relevant party hereto; (B) if delivered by mail, when delivered (or refused), and (C) if delivered 

by electronic mail (which form of delivery is subject to the provisions of this paragraph), when 

delivered and capable of being accessed from the recipient's office computer, provided that any 

notice, request, demand or other communication that is received other than during regular 

business hours of the recipient shall be deemed to have been given at the opening of business on 

the next Business Day of the recipient. In no event shall a voice mail message be effective as a 

notice, communication or confirmation hereunder. From time to time, any party may designate a 

new address for purposes of notice to it hereunder by notice to such effect to the other parties 

hereto in the manner set forth in this Section 13. 

If to the Initial Member, to: 

Assistant Director- Structured Transactions 


Federal Deposit lnsurance Corporation 


550 17th Street, NW (Room F-7015) 


Washington, D.C. 20429-0002 


Attention: Ralph Malami 


E-mail Address: rmalami@fdic.gov 


with a copy to: 

Supervisory Counsel 

FDIC Legal Division 

Litigation and Resolutions Branch, Receivership Section 

Special Issues Unit 

3501 Fairfax Drive (Room D-7102) 

Arlington, Virginia 22226 

Attention: Kathleen Russo 

E-mail Address: krusso@fdic.gov 

If to the Private Owner or to the Company, to: 

c/o Sabal Financial Group, L.P. 


4675 MacArthur Court, Suite 150 


Newport Beach, CA 90071 


Attention: R. Patterson Jackson 


E-mail Address 

with copies to: 

Paul Hastings LLP 

515 South Flower Street, 251

h floor 

Los Angeles, CA 90071 

8 

CADC/RA.DC Vc~ture 201 !-I Structured Tran>action 

Private Owner lntcrcot Sale Agreement 

Vcr~10n 3.1 

EXECUTION V~RSJON 
Attention: 

E-mail Address 

14. Counterparts; Facsimile Signatures. This Agreement may be executed in any 

number of counterparts, each of which shall be an original and all of which shall together 

constitute one and the same instrument. It shall not be necessary for any counterpart to bear the 

signature of all parties hereto. This Agreement and any amendments hereto, to the extent signed 

and delivered by facsimile or other electronic means, shall he treated in all manner and respects 

as an original agreement and shall be considered to have the same binding legal effect as if it 

were the original signed version thereof delivered in person. No signatory to this Agreement 

shall raise the use of a facsimile machine or other electronic means to deliver a signature or the 

fact that any signature or agreement was transmitted or conununicated through the use of a 

facsimile machine or other electronic means as a defense to the formation or enforceability of a 

contract and each such Person forever waives any such defense. 

15. Headings. Section or paragraph titles or captions contained in this Agreement are 

inserted only as a matter of convenience and for reference and in no way define, limit, extend or 

describe the scope of this Agreement or the intent of any provisions hereof. All Section and 

paragraph references contained herein shall refer to Sections and paragraphs in this Agreement 

unless otherwise specified. 

16. Compliance with Lm-Y; Rules of Construction. Except as otherwise specifically 

provided herein, each party to this Agreement shall, at its own cost and expense, obey and 

comply with all Laws, as they may pertain to such party's performance of its obligations 

hereunder. The Rules of Construction apply to this Agreement. 

[REMAINDER Of PAGE INTENTIONALLY LEFT BLANK] 

9 


CADCiRADC Venture 20 ll-1 Strudurcd Tranoac!lon 

Private Owntr lntcrc<>l Sale Agreem~nl 

Vcrstnn 3 l 

EXFC!ITJ(JN VERSION 
IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed as 

of the datL: first \Vritten above. 

PRIVATE OWNER: 

ACORN LOAN PORTFOLIO PRIVATE 

OWNER VI, LLC 

By: Acorn Loan Acquisition Venture VI, L.P., its 

managing member 

Title: Authorized Signatory 

INITIAL MEMBER: 

FEDERAL DEPOSIT INSURANCE 

CORPORATION, IN ITS CAPACITY AS 

RECEIVER FOR THE FAILED BANKS 

By: __~~---------­

Name: Heidi Silverberg 

Title: Senior Capital Markets Specialist 

[Signature hge to Pm·ate Owner ln!cre'i! Sak anJ ,\~signmem Agreement· P;~gc I of2] 

CADC!RADC Vent me 2011-1 Stn•ctured fmns8c!ion 

l'riv~!c Own~r !merest Sale Agreement 

VerSion J.l 

EXEC L'TION VERSION 
IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed as 

of the date first \Vritten above. 

PRIVATE OWNER: 

ACORN LOAN PORTFOLIO PRIVATE 

OWNER VI, LLC 

By: Acorn Loan Acquisition Venture VI, L.P., its 

managing member 

By: Nam_e_:______________ 

Title: Authorized Signatory 


By: _______ 


Name: 


Title: Authorized Signatory 


INITIAL MEMBER: 


FEDERAL DEPOSIT INSURANCE 


CORPORATION, IN ITS CAPACITY AS 


RECEIVER FOR THE FAILED BANKS 


By: 

Title: Senior Capital Markets Specialist 

[S1gnature Page to Pnvate Owner lntcre~l Sak and A~:.ignmenl 1\gr~emenl- Page 1 or 11 

CADCIRADC Vcnlur~ 20 Il-l Structure<.~ Transaet10n 

Pnvatc Owner Jntcrest Sulc Agreement 

Vers10n J. 1 

EXEClrJlON VERSION 
COMPANY: 

CADC/RADC VENTURE 2011-1, LLC 

By: Federal Deposit Insurance Corporation, in its 

capacity as Receiver for the Failed Banks, as Sole 

Member and Manager 

[Signallnc Pugc to Private Owner Interest Sak and A>s1gnmcnt Agreement- Page 2 of2J 

CADURADC Venture 2l!! l -l Structured Transaction 

Private Owner Interest SHie Agrccmcnt 

Ver~10n 3.1 

FXFCUTION VFRSJON 
Exhibit A 

Form of LLC Operating Agreement 

Ci\DC/RADC Venture 2011-1 Structur~d Transaction 

Private Owne1 lnlerc>t Sale Agreern~nt 

Vcr<>inn J l 

EXfl:UmlN Vl:RSJON 
CADC/RADC Venture 2011-l Structured Transaction 

LIMITED LIABILITY COMPANY OPERATING AGREEMENT 

CADCIRADC Venture 2011-1, LLC 

CADC/RAilC Vcotun 2Ull-l Structuretl I r~osactioo 

ln1tial Limited Liability Company Opemtmg Agreement 

Vcr>ionJ.l 

FXFCUTlON VERSION 

v.3 
TABLE OF CONTENTS 


ARTICLE I Certain Definitions ............................................................................................, .. 1 


l.I Definitions ........................................................................................................... ! 


ARTICLE II Organization ofthe Company ............................................................................. .3 


2.1 Formation..............................................................................................................3 


2.2 Name..................................................................................................................3 


2.3 Registered Office; Chief Executive Office ........................................................... ] 


2.4 Purpose; Duration ................................................................................................3 


ARTICLE Ill Management and Operations ofthe Company......... . ........................................ ] 


3.1 Management of the Company's A1Tairs................... . ...................................... ] 


ARTICLE IV Contributions; Other Matters ...............................................................................4 


4.1 Capital Contributions ............................................................................................4 


4.2 Interests Uncertificated ......................................................................................... 5 


ARTICLE V Distributions and Allocations ..............................................................................5 


5.1 Distributions.........................................................................................................5 


5.2 Allocations ............................................................................................................5 


ARTICLE Vl Accounting ..........................................................................................................5 


6.1 Fisca!Ycar ........................................................................................................... 5 


ARTICLE VII Dissolution and Winding-Up of the Company ...................................................5 


7.1 Dissolution ............................................................................................................5 


7.2 Winding-Up Procedures .......................................................................................5 


7.3 Termination of the Company ................................................................................ 6 


ARTICLE Vlll Manager Liability .................................................................................................6 


8.1 
 Liability of1\·Ianager. ............................................................................................6 


ARTICLE IX Miscellaneous ......................................................................................................7 


9.1 Entire Agreement....................... . .................................................................... 7 


9.2 Governing La\v .................................................................................................... 7 


CADC!RAOC Ventu~e 2011-1 Structu~ed Tran~action 

irJIIiul Limited Liabihty Company Operating Agr~cmcnt 

Version 3 l 

v.J 

EXECUTION VERSION 
TARLE OF CONTENTS 

(continued) 

Page 

9.3 Waivers and Amendments ...................................................................................? 


9.4 Counterparts; Facsimile Signatures .....................................................................? 


9.5 Successors and Assigns ....................................................................................... 8 


9.6 Construction..........................................................................................................8 


9.7 Severability ...........................................................................................................9 


Exhibit AM Form of Certificate of Formation of the Company 

" CADC/RADC Venture 2011-1 Structured Transaction 

l111!ial Lm11ted LJabili!y Company Operating Agn:~ment 

Vcroion 3.1 

~-J 

EXECCTI()N VERSION 
CADC/RADC Venture 2011-1, LLC 


LIMITED LIABILITY COMPANY OPERATING AGREEMENT 


THIS LIMITED LIABILITY COMPANY OPERATING AGREEMENT (as the same 

may be amended or modified from time to time in accordance with the terms hereof, this 

"Agreement"), is made and effective as of August 10,2011, by and among the Federal Deposit 

Insurance Corporation (the "FDIC"), as the Receiver defined below (the ''Initial Member"), and 

CADC/RADC Venture 2011-1, LLC, a Delaware limited liability company (the "Company"). 

WHEREAS, the FDIC has been appointed receiver (in such capacity, the "Receh•er'') 

for each of the Failed Banks; and 

WHEREAS, on August 10, 2011, the Initial Member formed the Company as a 

Delaware limited liability company; and 

\VI-IEREAS, the parties desire to set forth herein the terms and conditions that will 

govern the ownership and operation of the Company. 

NOW, THEREFORE, in consideration of the foregoing and the mutual promises and 

agreements contained herein, and for other good and valuable consideration the receipt and 

sufficiency of which arc hereby acknowledged, the parties hereto agree as follows: 

ARTICLE I 

Certain Definitions 

1.1 Definitions. For purposes of this Agreement, the following tem1s shall 

have the meanings and definitions hereinafter respectively set forth (terms defined in the singular 

to include the plural and vice versa). 

"Act" shall mean lhe Delaware Limited Liability Company Act, 6 Del. C. §§ 18­

"Affiliate" shall mean. with respect to any specified Person, (i) any other Person 

directly or indirectly Controlling or Controlled by or under common Control with such specified 

Person, (ii) any Person owning or Controlling ten percent (10%) or more of the outstanding 

voting securities, voting equity interests, or beneficial interests of the Person specified, (iii) any 

officer, director, general partner, managing member, trustee, employee or promoter of the Person 

specified or any Immediate Family Member of such officer, director, general partner, managing 

member, trustee, employee or promoter. (iv) any corporation, partnership, limited liability 

company or trusl for which any Person referred to in clause (ii) or (iii) acts in that capacity, or (v) 

any Person who is an officer, director, general partner, managing member, trustee or holder of 

len percent (10%) or more of the outstanding voting securities, voting equity interests or 

beneficial interests of any Person described in clauses (i) through .(iy). 

CADC/RAllC Venture 2011-1 StructurrU Tr9n~action 

lnitoall.nnitcd Liabilo!y Company Op~nl!ong Agreement 

VtrSIO!I 3 I 

" EXFCUTIOl\ VERSION 
"Agreement" shall have the meaning given in the preamble. 

"Certificate" shall have the meaning given in Section 2.l(a). 

'·Company" shall have the meaning given in the preamble. 

"Control" (including the phrases "Controlled by" and "under common Control 

with") when used with respect to any specified Person shall mean the possession, direct or 

indirect, of the power to direct or cause the direction of the management and policies of such 

Person, whether through the ownership of voting securities or interests, by contract or otherwise. 

"FDIC" shall have the meaning given in the preamble. 

"GAAP" shall mean United States generally accepted accounting principles as in 

effect from time to time. 

"Governmental Authority" shall mean (i) any United States or non·United 

States national, federal, state, local, municipal, provincial or international government or any 

political subdivision of any thereof or (ii) any governmental, regulatory or administrative 

authority, agency or commission, or judicial or arbitral body of any of the foregoing described in 

clause (i). 

"Immediate Family Member" shatl mean, with respect to any individual, his or 

her spouse, parents, parents-in-law, grandparents, descendants, nephews, nieces, brothers, sisters, 

brothers-in-law, sisters-in-law, children (whether natural or adopted), children-in-law, 

stepchildren, b>randchildrcn (whether natural or adopted) and grandchildren-in-la\v. 

''Initial Member" shall have the meaning given in the preamble. 

"Law" shall mean any applicable statute, law, ordinance, regulation, rule, code, 

injunction, judgment, decree or order (including any executive order) of any Governmental 

Authority. 

"Manager" shall have the meaning given in Section 3.1(a). 

"Person" shall mean any individual, corporation, partnership (general or limited), 

limited liability company, limited liability partnership, finn, joint venture, association, jointstock company, trust, estate, unincorporated organization, governmental or regulatory body or 

other entity. 

"Receiver" shall have the meaning given in the preamble. 

"Treason Regulations" shall mean the regulations promulgated by the United 

States Department of the Treasury pursuant to and in respect of provisions of the Internal 

Revenue Code of 1986, as amended, and all references to sections of the Treasury Regulations 

2 

('ADCIR-\DC Venture 2011-1 Structured Transaction 

Initial L1mited Lmbil1lY C01npany Operating Agreement 

Vcr01011 3 1 

FXFCI HJON VERSION 

v.3 
shall include any corresponding provision or provisions of succeeding, substitute, proposed or 

final Treasury Regulations. 

ARTICLE II 

Organization of the Companv 

2.1 Formation. 

(a) On August 10, 2011, the Initial Member caused the Certificate of 

Fom1ation in the form attached as Exhibit A hereto (the "Certificate'') to be filed in the office of 

the Secretary of State of the State of Delaware. The Certificate shall not be amended except to 

change the registered agent or office of the Company. 

(b) The Initial Member hereby agrees to be, and is hereby admitted as, the 

sole member of the Company. 

2.2 Name. 

(a) The name of the Company shall be "CADC/RADC Venture 2011-1, 

LLC". 

(b) The business of the Company shall be conducted only under the name of 

the Company or such other name or names that comply vvith applicable Law as the Initial 

Member may select from time to time. 

2.3 Registered Office; Chief Executive Ofiice. The Company, at its own 

expense, shall maintain a registered office and registered agent in Delaware to the extent 

required by the Act \vhich office and agent shall be as determined by the Initial Member from 

time to time and which shall be set forth in the Certificate. Initially, the registered office in 

Delaware shall be at, and the name and address of the Company's registered agent in Delaware 

shall be, as specified in the Certificate as originally filed. 

2.4 Purpose; Duration. 

(a) The Company may engage in any lawful business unless a more limited 

purpose is stated in the Certificate. 

(b) Subject to Section 7. 1. the Company shall continue m existence 

perpetually. 

ARTICLE Ill 

Management and Operations of the Company 

3.1 Management of the Comp<mv's Affairs. 

3 

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lnit1al Limn~J ]lai-Hloty Company Operating Agr~cmcnt 

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FXl:Cl:TION VERSION 
(a) The management of the Company is vested exclusively in the manager of 

the Company (the "Manager"). The Initial Member is hereby appointed as the Manager. 

Subject to the terms and conditions ofthis Agreement, the Manager shall have full and exclusive 

power and discretion to, and shall, manage the business and affairs of the Company in 

accordance with this Agreement (including without limitation the power to incur any 

indebtedness of any nature whatsoever). 

(b) No Person dealing with the Company or the Manager shall be required to 

determine, and any such Person may conclusively assume and rely upon, the authority of the 

Manager to execute any instrument or make any undertaking on hehalf of the Company. No 

Person dealing with the Company or the Manager shall be required to determine any facts or 

circumstances bearing upon the existence of such authority. Without limitation of the foregoing, 

any Person dealing with the Company or the Manager is entitled to rely upon a certificate signed 

by the Manager as to: 

(i) the identity of the Initial Member; 

(ii) the existence or non-existence of any fact or facts that constitute a 

condition precedent to acts by the Manager or are in any other manner germane to the affairs of 

the Company; 

(iii) the identity of Persons who are authorized to execute and deliver 

any instrument or document of or on behalf ofthe Company; or 

(iv) any act or failure to act by the Company or any other matter 

\Vhatsoever involving the Company or the Initial Member. 

(c) Notwithstanding anything to the contrary contained in this Agreement. the 

parties hereto acknowledge and agree that 

(v) nothing contained in this Agreement creates any fiduciary duty on 

behalf of the lnitial Member or the Manager; and 

(vi) the Company hereby expressly waives any fiduciary duties that 

may otherwise be deemed to be owed by the Initial Member or the Manager to the 

Cmnpany. 

ARTICLE IV 

Contributions; Other Matters 

4.1 Capital Contributions. Except as otherv.'ise expressly provided in this 

Agreement m the Act, the Initial Member shall not be obligated to make any contribution of 

capital to the Company or have any liability for the debts and obligations of the Company. This 

Section 4.1 is in furtherance o1~ and not in limitation of, Section 18-303(a) of the Act. 

4 

CADC/RADC V~nture 2011-1 Structuretl Transacduu 

Initial Limited L~:ibilily Company· Opcrat1ng Agreement 

V~rsmnJ.l 

>] 

FXECl!TltlN VERSitlN 
4.2 Interests Uncertiticated. No certificates shall be issued evidencing the 

membership interest of the Initial Member in the Company. 

ARTICLE V 

Distributions and Allocations 

5.1 Distributions. Subject to applicable Law and any limitations contained 

elsewhere in this Agreement, the Manager may elect from time to time to make distributions to 

the Initial Member. 

5.2 Allocations. All inwme and loss of the Company shall be allocated to the 

Initial Member. 

ARTICLE VI 

Accounting 

6.1 Fiscal Year. The books and records of the Company shall be kept on an 

accrual basis and the iiscal year of the Company shall commence on January 1 and end on 

Decem bcr 3 1 . 

ARTICLE VII 

Dissolution and Winding-Up of the Company 

7.1 Dissolution. A dissolution of the Company shall take place upon the iirst 

to occur of the fol !owing: 

(a) An election to dissolve the Company made by written consent of the 

Initial Member; 

(b) The entry of a decree ofjudicial dissolution under the Act; or 

(c) Any other event which, under the Act, automatically causes dissolution, 

notwithstanding the provisions of this Section 7.1. 

7.2 Winding-Up Procedures. If a dissolution of the Company pursuant to 

Section 7.1 occurs, subject to the Company's compliance \Vith its obligations under the 

agreements to which it is a party and the other terms and conditions of this Agreement, the 

Manager shall proceed as promptly as practicable to wind up the affairs of the Company in an 

orderlv and businesslike marmer. A final accounting shall be made by Manager. As part of the 

winding up of the affairs of the Company, the following steps will be taken: 

(a) The assets of the Company shall be sold except to the extent that some or 

all of the assets of the Company arc retained by the Company for distribution to the Initial 

Member as hereinafter provided. 

(b) The Company ::.hall comply with Section l8-804(b) of the Act. 

5 

CAilC/RAD(; Venture 201!-l Strurturetl Transadion 

lniti:Il Lunned Lmbtlily Company Operating Agr~cmcnt 

Vers1on 3.1 

V ..1 

EXECUT!O>-J VERSION 
(c) Distributions of the assets of the Company after a dissolution of the 

Company shall be conducted as follows: 

(i) first. to creditors, including the Initial Member, to the extent 

permitted by Law. in satisfaction of liabilities of the Company (whether by 

payment or the making of reasonable provision fOr payment thereof) other than 

liabilities for which reasonable provision for payment has been made and 

liabilities for distributions to the Initial Member under Section 18-60 I of the Act; 

and 

(ii) next, to the Initial Member. 

7.3 Termination of the Company. Upon the dissolution of the Company and 

the completion of the winding up process set forth in Section 7.?, the Manager (or such other 

Person or Persons as the Act may require or pcnnit) shall cause the cancellation of the Certificate 

and shall take (or cause to he taken) such other actions as may be necessary to terminate the 

Company. 

ARTICLE VIII 

Manager Liabilitv 

8.1 Liabilitv of Manager. 

(a) The Manager may rely, and shall he protected in acting or refraining from 

acting, upon any resolution, certificate, statement, instrument, opinion, report, notice, request, 

consent, order, bond, debenture or other paper or document reasonably believed by it to be 

genuine and to have been signed or presented by the proper party or parties. 

(b) The Manager may consult with legal counsel, accountants, appraisers, 

management consultants, investment bankers and other consultants and advisers selected by it, 

and any act taken or omitted to be taken in reliance upon the opinion of such Persons as to 

matters that the Manager reasonably believes to be within such Person's professional or expert 

competence shall be conclusively presumed to have been done or omitted in good faith and in 

accordance with such opinion. 

(c) The Manager shall not be liable to the Company for its good faith reliance 

on the provisions of this Agreement. 

(d) In addition to, and without limitation o.t: the foregoing, the Manager shall 

not have any liability to the Company or the Initial Member on account of any act or omission of 

the Manager, provided only that this sentence shall not apply in the case of intentional fraud. 

(e) The preceding Sections 8.1(a), (b), (c) and@ are in addition to, and 

without limitation of, Section 3.l(c). 

6 

CADC/KAOC Vcntu~e 2011-1 Strurtu1·cd Transaction 

Initial I .imited Liability Company Operatmg Agreement 

VerSIJlJl 3 I

,, 

EXECUTION VERSION 
ARTICLE IX 

Miscellaneous 

9.I Entire Agreement. This Agreement constitutes the entire agreement and 

understanding, and supersedes all other prior agreements and understandings, both written and 

oral, bet\\'een the Initial Member or its Affiliates or any of them and the Company with respect to 

the subject matter hereof. 

9.2 Governing Law. THIS AGREEMENT IS GOVERNED BY AND IS TO 

BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, 

EXCLUDING ANY CONFLICT-OF-LAWS RULE OR PRINCIPLE THAT MIGHT REFER 

THE GOVERNANCE OR TilE CONSTRUCTION OF THIS AGREEMENT TO TilE LAWS 

OF ANOTHER JURISDICTION, AND EACH PARTY TO TillS AGREEMENT 

UNCONDITIONALLY AND IRREVOCABLY WAIVES ANY CLAIM TO ASSERT THAT 

THE LAWS OF ANY OTHER JURISDICTION GOVERN THIS AGREEMENT. In the event 

of a direct conflict between the provisions of this Agreement and any mandatory, non-wai vable 

provision of the Act, such provision of the Act shall control to the extent necessary to eliminate 

such direct conflict Nothing in this Agreement shall require any unlawful action or inaction by 

any Person. 

9.3 Waivers and Amendments. This Agreement may be amended or 

modified, and the terms hereof may be waived, only by a written instrument signed by the Initial 

Member. Except where a specific period for action or inaction is provided herein, no failure on 

the part of the Initial Member to exercise, and no delay on the part of the Initial Member in 

exercising, any right, power or privilege hereunder shall operate as a waiver thereof; nor shall 

any waiver on the part of the Initial Member of any such right, power or privilege, or any single 

or partial exercise of any such, right, power or privilege, preclude any other or further exercise 

thereof or the exercise of any other right, power or privilege. For the avoidance of doubt, any 

amendment, modification or waiver of, or in respect of, Section 3.l(c) or Section 8.1 of this 

Agreement shall (unless the Initial Member, specifically in its capacity as Manager, specifically 

shall agree otherwise) be prospective only and not in any way atfcct the limitations on fiduciary 

duties and liability of the Manager w1der said sections of this Agreement as in effect 

immediately prior to such amendment, modification or waiver \.Vith respect to claims arising 

from or relating to matters occurring, in whole or in part, prior to such amendment, modification 

or waiver, regardless of when such claims may be asserted. 

9.4 Counterparts; Facsimile Signatures. 

(a) This Agreement may be executed in any number of counterparts, each of 

v.rhich shall be an original and all of which shall together constitute one and the same instrument. 

It shall not be necessary for any counterpart to bear the signature of all parties hereto. 

(b) This Agreement and any amendments hereto, to the extent signed and 

delivered by facsimile or other electronic means, shall be treated in all manner and respects as an 

original agreement and shall be considered to have the same binding legal etTect as if it were the 

7 

('AilCIRAilC \'rnrurr 201 1-1 StruNurcd Transaction 

ln•tial l.nnitcd I _,ahility Cnmp1my Operating Agr~emem 

\'~r>ion3.1 

d 

E'XECUTION VERSJOJ\' 
original signed version thereof delivered in person. No signatory to this Agreement shall raise 

the use of a facsimile machine or other electronic means to deliver a signature or the fact that any 

signature or agreement was transmitted or communicated through the usc of a facsimile machine 

or other electronic means a.s a defense to the formation or enforceability of a contract and each 

such Person forever waives any such defense. 

9.5 Successors and Assigns. Except as otherwise specifically provided in this 

Agreement, this Agreement shall be binding upon and inure to the benefit of the Initial Member 

and the Company and their respective successors and permitted assigns. This Agreement, as in 

efTect on the date that any particular Person shall cease to be the Initial Member, shall continue 

to bind such Person in relation to the period during which it was the Initial Member. 

9.6 Construction. 

(a) Captions. Paragraph titles or captions contained in this Agreement are 

inserted only as a matter of convenience and for reference and in no way define, limit, extend or 

describe the scope of this Agreement or the intent of any provisions hereof. All section and 

paragraph references contained herein shall refer to this Agreement unless otherwise specified. 

(b) References to Persons Exclusive. References to "Affiliates" of a specified 

Person refer to, and include, only other Persons which from time to time constitute "Aililiates" 

of such specified Person, and do not include, at any particular time, other Persons that may have 

been, but at such time have ceased to be, "Afii.liates," of such specified Person, except to the 

extent that any .such reference specifically provides othcnvise. A reference to the Initial Member 

or other Person, in and of itself, docs not, and shall not be deemed to, refer to or include any 

other Person having an interest in the Initial Member or other Person (such as, without limitation, 

any stockholder or member of or partner in the Initial Member, or other Person). 

(c) Use of"Or." The term "or" is not exclusive. 

(d) References to Laws. A reference in this Agreement to a Law includes any 

amendment, modification or replacement to such Law. 

(c) Use of Accountino Terms. Accounting terms used herein shall have the 

meanings assigned to them by GAAP applied on a consistent basis by the accounting entity to 

which they refer. 

(f) References to Documents. References to any document, instrument or 

agreement (i) shall be deemed to include all appendices, exhibits, schedules and other 

attaclunents thereto and all documents, instruments or agreements issued or executed in 

replacement thereof, and (ii) .shall mean such document, instrument or agreement, or replacement 

thereof, as amended, modified and supplemented from time to time in accordance with its terms 

and as the same is in effect at any given time. 

("ADCIRAI)(: Venture 2011-1 Strudured Transaction 

Initial Limited Liab1lily Company Opctal•ng ,\grnomcnt 

Version 3.1 

v.J 

LXECUTION Vt::RSJON 
(g) Use of"Herein." Unless otherwise specified, the words "hereof," "herein" 

and "hereunder" and words of similar import when used in this Agreement shall refer to this 

Agreement as a whole and not to any particular provision of this Agreement. 

(h) Use of "Including." The words "include" and "including" and words of 

similar import when used in this Agreement are not limiting and shall be construed to be 

followed by the words '\vithout limitation," whether or not they arc in fact followed by such 

words. 

(i) Use of "During." The word "during" when used in this Agreement with 

respect to a period of time shall be construed to mean commencing at the beginning of such 

period and continuing until the end of such period. 

9.7 Severabilitv. Any provision of this Agreement which is prohibited or 

unenforceable in any jurisdiction shall be ineffective, but such ineffectiveness shall be limited as 

follo\vs: (i) if such provision is prohibited or unenforceable in such jurisdiction only as to a 

particular Person or Persons and/or under any particular circumstance or circumstances, such 

provision shall be ineffective, but only in such jurisdiction and only with respect to such 

particular Person or Persons and/or under such particular circumstance or circumstances, as the 

case may be; (ii) without limitation of clause (i), such provision shall in any event be ineffective 

only as to such jurisdiction and only to the extent of such prohibition or unenforceability, and 

such prohibition or uncnforccability in such jurisdiction shall not invalidate or render 

unenforceable such provision in any other jurisdiction; and (iii) without limitation of clauses (i) 

or @, such ineffectiveness shall not invalidate any of the remaining provisions of this 

Agreement. Without limitation of the preceding sentence, it is the intent of the parties to this 

Agreement that in the event that in any court proceeding, such court determines that any 

provision of this Agreement is prohibited or unenforceable in any jurisdiction (because of the 

dumtion or scope (geographic or otherwise) of such provision, or for any other reason) such 

court shall have the power to, and shall, (x) modify such provision (including without limitation, 

to the extent applicable, by limiting the duration or scope of such provision and/or the Persons 

against whom, and/or the circumstances under which, such provision shall be effective in such 

jurisdiction) for purposes of such proceeding to the minimum extent necessary so that such 

provision, as so modified, may then be enforced in such proceeding and (y) enforce such 

provision, as so modified pursuant to clause (x), in such proceeding. Nothing in this Section 9.7 

is intended to, or shall, limit (I) the ability of any party to this Agreement to appeal any court 

ruling or the etfect of any favorable ruling on appeal or (2) the intended effect of Section 9.2. 

[Remainder (!lPage lnfentiunalZv Left Blank} 

9 

CADC!RADC Vfnture 201 J.J Structured Transaction 

Initial Lrmited Liability Compimy Op~ratmg Agreement 

Versmn 3. I 

d 

F.XFCliTION VF.RSI<)N 
--------------------

IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by 

their respective officers or agents thereunto duly authorized on the date first above written. 

INITIAL MEMBER 

FEDERAL DEPOSIT INSURANCE 

CORPORATION IN ITS CAPACITY AS 

RECEIVER FOR THE FAILED BANKS 

By: 

Name: 

c----:---c­ Title: Attorney·in-Fact 

COMPANY 

CADC/RADC VENTURE 2011-1, LLC 

By: Federal Deposit Insurance Corporation in its 

capacity as receiver for the Failed Banks, as Sole 

Member and Manager 

By:·cN~a-m_e_:____________________________ 

Title: Attomey·in-Fact 

rsignature Page to li11tial L1mited Liability Company Opcratiog .Agn:emeot] 

CADC!RAnC Venture 2UII·I Strucfllred Transactio11 

Jniual Lirrutcd L1ah1lity Company Operating Agreement 

Ver~ion 3 1 

d 

EXECUTION VERSION 
EXHIBIT A 

FORM OF 

CERTIFICATE OF FORMATION 


OF 


CADCIRADC VENTURE 2011-1, LLC 


Pursuant to and in accordance with the provisions of Section 18-201 of the 

Delaware Limited Liability Company Act, the undersigned hereby certifies that: 

FIRST, the name of the limited liability company is CADC/RADC Venture 2011­

1, LLC (the "Company"). 

SECOND, the address of the registered office of the Company in the State of 

Delaware is Corporation Service Company, 2711 Centerville Road, Suite 400, Wilmington, DE, 

in the City of Wilmington, County of New Castle. The name of the registered agent at such 

address is Corporation Service Company. 

lN WITNESS WHEREOF, the undersigned has executed this Certificate of 

Formation of the Company on this 9th day of August, 2011. 

By:~--~~~~--------------­ Name: Heidi Silverberg 

Title: Authorized Person 

Exhibit A-1 

CAOC/RA.I)C \'enture 2011-1 ~tn1ctnred Transactinn 


Initial Limited Liability Cumrm1y Orcratmg AgreenJCnt 


Version 3. I 

EXECUTION VERSION 

v.l 
Exhibit B 

Form of Private Owner Interest Asset Value Schedule 

CADC!RADC Vcntun: 20 Il-l Structured Trano;action 

Pnvatc Owner lntcr~st Sale Agrc~rncnt 

Vcr~aln 3. I 

FXECUT!0l\' VFR<;ION 
Exhibit C 

(FORM OF TRANSFEREE ACKNOWLEDGMENT AND CERTIFICATION] 

TRANSFEREE ACKNOWLEDGMENT AND CERTIFICATION 

Reference is made to the Private Owner Interest Sale and Assignment Agreement dated 

August 24, 2011 (the "Private Owner Interest Sale Agreement") by and among Acorn Loan 

Portfolio Private Owner VI, LLC, a Delav,rare limited liability compa.'1y (the "Private Owner"), 

the Federal Deposit Insurance Corporation in its capacity as Receiver (the "Initial Member"), 

and CADCIRADC Venture 2011-1, LLC (the "Company"). Capitalized terms used, and not 

otherwise defined, in this Transferee Acknowledgement and Certification have the meanings 

given in the Private Owner Interest Sale Agreement (including without limitation in the 

Agreement of Definitions referred to therein). 

The undersigned, the Private Owner, hereby acknowledges and certifies to the Initial 

Member that it has read and understands, and is prepared to cause the Company to comply with, 

the obligations imposed upon the Company under the Contribution Agreement and the 

Transaction Documents. Without limiting the fOregoing, and subject to the provisions of the 

Contribution Agreement and the Transaction Documents, the Private Owner is aware of and 

prepared to cause the Company to comply with the obligations as specified in the Contribution 

Agreement (i) to remove the Initial Member and the applicable Failed Bank as a party to any 

Assumed Closing Date Asset Litigation (including without !imitation the actions on the List (as 

defined below)), and to substitute the Company as the real party-in-interest in any such Assumed 

Closing Date Asset Litigation and (ii) to take all actions necessary to file (x) proofs of claims in 

pending bankruptcy cases involving any Assets for which the Initial Member or the applicable 

Failed Bank has not already filed a proof of claim, and (y) all documents required by Rule 3001 

of the Federal Rules of Bankruptcy Procedure and to take all such similar actions as may be 

required in any relevant jurisdiction in any pending bankruptcy or insolvency case or proceeding 

in such jurisdiction involving any Assets in order to evidence and assert the Company's rights. 

Attached hereto as Schedule I is a list of litigation made available with respect to the 

Assets (the "List"). The undersigned acknowledges that the Initial Member makes no 

representation or warranty as to the completeness or accuracy of the List or the information 

contained or referred to therein and that (without limitation of the foregoing) there may be 

additional litigation or bankruptcy actions pending against the Failed Banks or the Initial 

Member with respect to the Assets or with respect to other parties with respect to the Assets. 

Date: August 24, 2011 

Acorn Loan Portfolio Private Owner VI, LLC 

By: Acorn Loan Acquisition Venture VI, L.P., its 

managing member 

By: 

Nam~e-:-----~ 

Title: Autl1orizcd Signatory 

CADC/RADC Venture 2011-1 StruCtllr~d Transact•un 

Priv~te Owner lnten.'<>t Sale Agrc~m~nt 

Ve~il>n 3. I 

EXECUT!O~ VERSION 
By: Nam--e-,-------------------------------­

Title: Authorized Signatory 

CADC!RADC Venture 2011-1 Structured Tran.1action 

Pnvntc Owner Interest Siile Agr!.'cmcnt 

Vn:.ion J I 

EXLCUTION VLRS!ON 
SCHEDULE I TO TRANSFEREE ACKNOWLEDGEMENT AND CERTIFICATION 


LIST OF LITIGATION 

[Attachl 

CADC/RADC Venture 2011-1 Structured Tran~adion 

Private Owner !ntcr~st Sole Agreement 

Vcr>ll>n J. 1 

EXECUTION VERSION 
Exhibit D 

[FORM OF JOINDER ANn CONSENT AGREEMENT[ 

JOINDER AND CONSENT AGREEMENT 

TillS JOINDER AND CONSENT AGREEMENT, dated as of August 24, 2011, is 

delivered pursuant to Section l(b) of the Private Owner Interest Sale and Assignment 

Agreement. dated as of August 24, 2011, by and among Acorn Loan Portfolio Private Owner VI, 

LLC, a limited liability company organized and existing under the laws of Delaware (the 

"Private Owner"), the federal Deposit Imurance Corporation, in its capacity as Receiver (the 

"Initial Member"), and CADC/RADC Venture 2011-1, LLC, a limited liability company 

organized and existing under the Jaws of Delaware (the "Company") (the "Private Owner 

Interest Sale Agreement"). Capitalized tenns used herein without definition are used as 

defined in the Private Owner Interest Sale Agreement (including without limitation in the 

Agreement of Definitions referred to therein). 

By executing and delivering this Joinder and Consent Agreement, the Private Owner 

hereby becomes a party to the Asset Contribution and Sale Agreement, dated as of the date of 

this Joinder and Consent Agreement, by and between the Initial Member and the Company (the 

"Contribution Agreement") with the same force and effect as if originally named as a party to 

the Contribution Agreement and, without limiting the generality of the foregoing, consents to 

and assumes all obligations and liabilities imposed upon the Private Owner pursuant to the 

Contribution Agreement. The Private Owner hereby agrees to be bound for all intents and 

purposes as a party to the Contribution Agreement. 

(remainder ofpage blank) 

CADC/RADC Venture 20 Il-l Structmed Tramaction 

Pnvate 0\\11er Interest Sill~ Agrcerncm 

Ver>rnn 3_1 

EXECUTION VERSION 
IN WITNESS WHEREOF, the Private Owner has caused this Joinder and Consent 

Agreement to be duly executed and delivered as of the date first above written. 

PRIVATE OWNER: 


ACORN LOAN PORTFOLIO PRIVATE OWNER VI, LLC 


By: Acorn Loan Acquisition Venture VT, L.P., its managing member 


By:

Nan-re-,-------------­

Title: Authorized Signatory 


By: _______ 


Name: 


Title: Authorized Signatory 


ACKNOWLEDGED AND AGREED as ofthe date 


first above written: 


INITIAL MEMBER: 


FEDERAL DEPOSIT INSURANCE CORPORATION, in its capacity as Receiver for the 


Failed Banks 


By:__=---c-::-:-:----:----------­

Name: Heidi Silverberg 

Title: Senior Capital Markets Specialist 

COMPANY: 

CADC/RADC VENTURE 2011-1, LLC 

By: federal Deposit Insurance Corporation, in its capacity as Receiver for the Failed Banks, as 

Sole Member and Manager 

By: -· -----­ Name: Heidi Silverberg 

Title: Senior Capital Markets Specialist 

CADCIRADC Vcnlure 2011·1 Structured Transaction 

Prival~ Owner Jnleresl Sale Agreclllelll 

Version3.1 

EXECUTION VER"liON 
Exhibit E 

[Form of Specified Parent/Owner Undertaking] 

SPECIFIED PARENT/OWNER UNDERTAKING 

This SPECIFIED PARENT/OWNER UNDERTAKING (this "Undertaking"), dated as of 

August 24,2011 1 is made by , a L___j (the "Promisor"), for the severable 

benefit of each ofthe Company, and the Initial Member, the PrviN Agent (for the benefit of the 

Secured Parties) and each Purchase Money Notes Guarantor (as such terms are defined 

hereinbelow) (collectively, the "Beneficiaries").2 

W I TN E S S E T H: 

Wl-IEREAS, Promisor and/or Affiliates of the Promisor, either alone or together with one 

or more other Persons, Control and/or hold an Ownership Interest in, the Private Owner; 

\VHEREAS, it is contemplated that contemporaneously with the execution and delivery 

hereof, (i) the Transferor and the Company will execute and deliver the Contribution Agreement, 

pursuant to which, inter alia, the Assets will be sold in part and contributed in part to the 

Company, and the Purchase Money Notes \.\Till be issued to the Transferor, (ii) the Federal 

Deposit Insurance Corporation in its capacity as Receiver, the Company and the Private Owner 

will execute and deliver that certain Private Owner Interest Sale and Assigrunent Agreement 

dated of even date herewith (the "Private Owner Interest Sale Agreement"), pursuant to which, 

inter alia, the Private Owner will acquire the Private Owner Interest and become a member of the 

Company, and (iii) the Company and the P:MN Agent will execute and deliver the 

Reimbursement, Security and Guaranty Agreement pursuant to which, inter alia, the Company 

will grant a security interest to the P:MN Agent for the benefit ofthe Secured Parties to secure the 

Secured Obligations (including the Purchase Money Notes); and 

WHEREAS, the parties to the Contribution Agreement, the Private Owner Interest Sale 

Agreement and the Reimbursement, Security and Guaranty Agreement (other than the Private 

Owner) arc not willing to proceed with the execution and delivery thereof unless the Promisor, 

contemporaneously therewith, executes and delivers this Undertaking (and the Private Owner is 

required to cause the Promisor to execute and deliver this Undertaking pursuant to the Prfvate 

Ov·mcr Interest Sale Agreement);3 

1To be dated the Closing Date in the case of any Undertaking delivered on the Closing Date. To be dated the date 

of delivery in the case of any Undertaking delivered after Ihe Closing Date. 

2 If this Undertaking is being executed after the Closing Date, lhe bracketed language may be omitted ifthe Secured 

Obligations have, prior to execution, been indefeasibly paid in full. 

This "Whereas" clause, and the immedillte!y preceding "Whereas" clause. are to be included in an Undertaking 

executed on the Closing Date. 

CADC!RADC Ventur~ 2011·1 Strudurcd Transad•un 

Pn><lt~ Own~r lnterc~t S~le Agreement 

V~rsJOn 3.1 

LX[ClJ"J ION Vf:RSJON 

3 
WHEREAS, prior to the date hereot: (i) the Transferor and the Company executed and 

delivered the Contribution Agreement, pursuant to which, inter alia, the Assets were sold in part 

and contributed in part to the Company, and the Purchase Money Notes were issued to the 

Transferor, (ii) the Federal Deposit Insurance Corporation in its capacity as Receiver and the 

Private Owner executed and delivered that certain Private Owner Interest Sale and Assignment 

Agreement dated August 24, 2011 (the "Private Owner Interest Sale Agreement"), pursuant to 

which, inter alia, the Private Owner acquired the Private Owner Interest and become a member 

of the Company, and (iii) the Company and the P:MN Agent executed and delivered the 

Reimbursement, Security and Guaranty Agreement pursuant to v..rhich, inter alia, the Company 

granted a security interest to the PMN Agent for the benefit of the Secured Parties to secure the 

Secured Obligations (including the Purchase Money Notes); and 

WHEREAS, pursuant to one or more undertakings executed and delivered pursuant to the 

Private Owner Interest Sale Agreement, one or more other Persons procured that the Promisor 

would execute and deliver this Undertaking (and in any event the failure of the Promisor to 

execute and deliver this Undertaking would constitute an "Event of Default" under each of the 

LLC Operating Agreement and the Reimbursement, Security and Guaranty Agreement, to the 

detriment of the Private Owner and the Promisor);4 

NOW, THEREFORE, in order to induce the parties to the Contribution Agreement, the 

Private Owner Interest Sale Agreement and the Reimbursement, Security and Guaranty 

Agreement (other than the Private Owner) to proceed with the execution and delivery thereof, 

and for other good and valuable consideration, the receipt and adequacy of which are hereby 

acknowledged,JS [in order to fulfill the requirements of the prior undertaking(s), and to avoid the 

Events of Default, described above,] 6 the Promisor hereby irrevocably and unconditionally 

undertakes and covenants, for the several benefit of each of the Beneficiaries, as foUows: 

1. Certain Definitions. Capitalized terms used, but not otherwise defined, in 

this Undertaking (including in the preamble and recitals hereto) shall have the respective 

meanings ascribed to such tenns in the Private Owner Interest Sale Agreement (including in the 

Agreement of Definitions referenced therein). 

2. Representations and Warranties. The Promisor hereby represents and 

warrants to each of the Beneficiaries that: 

(a) The Promisor has all power and authority necessary to enter into this 

Undertaking and to perform its obligations hereunder; 

(b) This Undertaking has been duly executed and delivered by the Promisor, 

and constitutes the valid and legally binding agreement of the Promisor, enforceable in 

4 	 This "Whereas" clause, and the immediately preceding "\Vhercas'' clause, are to be included in an Undertaking 

cxecult:d aficr Lhe Closing Date. 

5 	 Bracketed language to be included in an Undertaking executed on the Closing Date. 

6 	 Bracketed language to be included in an Undertaking executed after the Closing Date. 

CADCIRADC Vc~lurc 201 I· I Strucltm:d 1 ra~sac11on 

Pnva!t Owner lnt~rcst Sale Agrc~m~nl 

Vcr<;io~ 3. I 

EXECUTION VERSION 
accordance with its terms against the Promisor subject to the effect of bankruptcy, insolvency, 

moratorium and other similar Jaws relating to creditors' rights generally; 

(c) The execution, delivery and performance of (including compliance by the 

Promisor with) this Undertaking will not result in any violation or breach ot~ or default under, 

any contract, agreement or other instrument to which the Promisor or any of its Affiliates is a 

party or by which the Promisor or any of its Affiliates is bound, any fiduciary duty owed by the 

Promisor or any of its Affiliates to any third party, or any judgment, order, decree, statute, law, 

ordinance, rule or regulation applicable to the Promisor or any of its Affiliates or to the 

properties ofthe Promisor or any of its Affiliates; and 

(d) No consent, approval, order, or authorization ot: or registration, 

declaration or filing with, any governmental authority remains to be obtained or made by the 

Promisor or any of its Affiliates in connection \Vith the execution and delivery of this 

Undertaking by the Promisor or the performance of its obligations hereunder. 

3. Undertakings. 

(a) The Promisor (i) shall not, and it shall procure that none of its Affiliates, 

and no Non~Spccificd Parent PO Owner, shall, at any time prior to the first day after the sixth 

anniversary of the Transaction .Termination Date, institute or join, or join or assist any other 

Person in instituting or joining, or cause the Private 0\Nncr or the Company to institute, a 

Specified Proceeding, and (ii) without limitation of clause (i), shall procure that the Private 

Owner shall not, prior to the [Transaction Termination Datej !Final Distribution], institute any 

Specified Proceeding. 

(b) The Promisor shall procure that each other Non·Specified Parent PO 

Owner shall, contemporaneously with its first becoming a Non-Specified Parent PO Owner, 

execute and deliver to the Beneficiaries an instrument in the form of this Undertaking. 

4. Binding Effect; Beneficiaries; Assignment. This Undertaking shall be 

binding upon the successors and assigns of the Promisor. This Undertaking is for the benefit of 

(but solely for the benefit oJ) each of the Beneficiaries and their respective successors or assigns 

(each of whom arc hereby constituted an express third-party beneficiary of this Undertaking) and 

no other Person shall be deemed to have any rights or remedies hereunder or by reason of the 

existence ofthis Undertaking or any term hereof 

5. Waivers and Amendments. This Undertaking may not be amended, and 

no waiver of any provision of this Undertaking shall be effective, in each case except by an 

instmmcnt in writing and executed by the Promisor and each Beneficiary. 

6. Specific Enforcement. The Promisor agrees that there can be no adequate 

remedy at law for any failure by it to comply with the tem1s hereof and, accordingly, (i) each 

Beneficiary shall be entitled to equitable relief, including but not limited to injunction, in the 

event of any such failure (or any threat thereof), in addition to whatever remedies such 

Beneficiary might have at law, and (ii) the Promisor shall not oppose the granting of such relief 

and hereby irrevocably waives any requirement for the secllrity or posting of any bond in 

connection with such relief. The Promisor agrees to indemnify and hold hannlcss each 

CADC/RADC Venture 2011·1 Structured l"ran,action 

Private Dwner lnteresl Sale Agreeme11t 

Version 3 l 

EXECU l"lON VERSION 
Beneficiary from and against any Losses incurred by such Bene!lciary in connection with or 

arising out of any breach ofthis Undertaking by the Promisor. 

7. Governing Law. IN ACCORDANCE WITH SECTION 5-140I OF THE 

GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK, THIS UNDERTAKING 

IS TO BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF 

THE STATE OF NEW YORK, EXCLUDING ANY CONFLICT OF LAWS RULE OR 

PRINCIPLE TIIAT MIGHT REFER THE GOVERNANCE OR THE CONSTRUCTION OF 

THIS UNDERTAKING TO THE LAW OF ANOTHER JURISDICTION, AND PROMISOR 

UNCONDITIONALLY AJm IRREVOCABLY WAIVES ANY CLAIM TO ASSERT THAT 

THE LAWS OF ANY OTHER JURISDICTION GOVERN TillS AGREEMENT. 

8. Jurisdiction· Venue and Service. 

(a) The Promisor hereby irrevocably and unconditionally: 

(i) consents to the jurisdiction of the United States District Court for 

the Southern District of New York and to the jurisdiction of the United States District Court for 

the District of Columbia for any suit, action or proceeding against it commenced by any 

Beneficiary arising out of, relating to, or in connection with this Undertaking, and waives any 

right to: 

(A) remove or transfer such suit, action or proceeding to any 

court or dispute-resolution forum (other than the court in which such Beneficiary files the action, 

suit or proceeding) without the consent of such Beneficiary; 

(B) assert that venue is improper in either the United States 

District Court for the Southern District of New York or the United States District Court for the 

District of Columbia; or 

(C) assert that the United States District Court for the Southern 

District of New York or the United States District Court for the District of Columbia is an 

inconvenient forwn; 

(ii) consents to the jurisdiction of the Supreme Court of the State of 

New York, County of New York, for any suit, action or proceeding against it commenced by any 

Beneficiary arising out of, relating to, or in connection with this Undertaking, and waives any 

right to: 

(A) remove or transfer such suit, action or proceeding to any 

other court or dispute-resolution forum without the consent of such Beneficiary~ 

(B) assert that venue is improper in the Supreme Court of the 

State of New York, County of New York; or 

(C) assert that the Supreme Court of the State of New York, 

County ofNe\v York is an inconvenient forwn; 

CAOC/RAOC Venture 2011-1 Stn1dur~U Tramactinn 

Private Owner lntcre~t Sale Agreement 

Ver~1nn 1 I 

EXECUTION VERSION 
(iii) agrees to bring any suit, action or proceeding by it against any 

Beneficiary arising out of, relating to, or in connection with this Undertaking in only the United 

States District Court for the Southem District of New York or the United States District Court 

for the District of Columbia, and waives any right to remove or tnmsfer such suit, action or 

proceeding to any other court or dispute-resolution forum without the consent of such 

Beneficiary, and agrees to consent thereafter to transfer of the suit, action or proceeding to either 

the United States District Court for the Southern District of New York or the United States 

District Court for the District of Columbia at the option of such Beneficiary; and 

(iv) agrees, if the United States District Court for the Southern District 

of New York and the United States District Court for the District of Columbia both lack 

jurisdiction to hear a suit, action or proceeding falling within Section 8(a)(iii), to bring that suit, 

action or proceeding in only the Supreme Court of the State of New York, County of New York, 

and waives any right to remove or transfer such suit, action or proceeding to any other court or 

dispute-resolution forum without the con~ent of the applicable Beneficiary. 

(b) The Promi~or hereby irrevocably and unconditionally agrees that any final 

judgment entered against it in any suit, action or proceeding falling within Section 8(a) may be 

enforced in any court of competent jurisdiction. 

(c) Subject to the provisions of Section 8(d), the Promisor hereby irrevocably 

and unconditionally agrees that service of all writs, process and summonses in any suit, action or 

proceeding pursuant to Section 8(a) or Section 8(b) may be effected by the mailing of copies 

thereof by registered or certified mail, postage prepaid, to it at its address for notices pursuant to 

Section 9; provided, however, that nothing contained in this .Section 8(c) shall affect the right of 

any party to serve process in any other manner permitted by Law. 

(d) Nothing in this Section 8 shall constitute consent to jurisdiction in any 

court by the FDIC, other than as expressly provided in Section 8(a)(iii) and Section 8(a)(iv), or in 

any way limit the fDIC's right to remove, transfer, seek to dismiss, or otherwise respond to any 

suit, action, or proceeding against the FDIC in any forum. 

9. Notices. All notices, requests, demands and other communications required or 

permitted to be given or delivered under or by reason of the provisions of thi~ Undertaking to the 

Promisor shall be in writing and shall be given by certified or registered mail, postage prepaid, 

by delivery by hand or by nationally recognized courier service, or by electronic mail, in each 

case mailed or delivered to the applicable address or electronic mail address specified in, or in 

the mmmer provided in, this Section 9 below. All such notices, requests, demands and other 

communications shall be deemed to be given or made upon the earlier to occur of (i) actual 

receipt (or refusal thereof) by the Promisor and (ii) (A) if delivered by hand or by nationally 

recognized courier service, when signed for (or refused) by or on behalf of the Promisor; (B) if 

delivered by mail, when delivered (or refused), and (C) if delivered by electronic mail (which 

form of delivery is subject to the provisions of this paragraph), \Vhen delivered and capable of 

being accessed from the Promisor's office computer, provided that any notice, request demand 

or other communication that is received other than during regular business hours of the Promisor 

shall be deemed to have been given at the opening of business on the next Business Day of the 

Promisor. In no event shall a voice mail message be effective as a notice, communication or 

CADCIRADC Vemure 2011·1 Structured Tr.msact1on 

Private Owner !ntereot Sale Agreement 

Veroion 3 I 

EXH't!TION VLRSION 
confirmation hereunder. From time to time, the Promisor may designate a new address for 

purposes of notice to it hereunder by notice to such effect to each of the Beneficiaries in the 

manner set forth in the Custodial and Paying Agency Agreement. 

[PROMISOR] 

Attention: 


E~mail Address: [ _____j 


with copies to: 

Attention: 


E-mail Address: [ _____j 


10. Counterparts: Facsimile Signatures. This Agreement may be executed in 

any number of counterparts, each of which shall be an original and all of which shall together 

constitute one and the same instrument. This Agreement and any amendments hereto, to the 

extent signed and delivered by facsimile or other electronic means, shall be treated in all manner 

and respects as an original agreement and shall be considered to have the san1e binding legal 

etlect as if it were the original signed version thereof delivered in person. The Promisor shall not 

raise the use of a facsimile machine or other electronic means to deliver a signature or the fact 

that any signature or agreement was transmitted or communicated through the usc of a facsimile 

machine or other electronic means as a defense to the formation or enforceability of a contract 

and the Promisor forever waives any such defense. 

11. Headings. Section or paragraph titles or captions contained in this 

Undertaking are inserted only as a matter of convenience and for reference and in no way define, 

limit, extend or describe the scope of this Undertaking or the intent of any provisions hereof. All 

Section and paragraph references contained herein shall refer to Sections and paragraphs in this 

Undertaking unless otherwise specified. 

12. Rules of Construction. The Rules of Constmction apply to this 

Undertaking. 

13. Severability. Any provision of this Undertaking which is prohibited or 

unenforceable in any jurisdiction shall be ineffective, but such ineffectiveness shall be limited as 

follows: (i) if su~h provision is prohibited or unenforceable in such jurisdiction only as to a 

particular Person or Persons and/or under any particular circumstance or circumstances, such 

provision shall be ineffective, but only in such jurisdiction and only with respect to such 

particular Person or Persons and/or under such particular circumstance or circumstances, as the 

case may be; (ii) without limitation of clause (i), such provision shall in any event be ineffective 

only as to such jurisdiction and only to the extent of such prohibition or unenforceability, ami 

CADCiRADC Venture 2011-1 Strur:turc(] Tran~act•on 

Private Owner Interest Sale Agreement 

Vcrsinn 3 1 

FXFClrl lOJ'i VLRSION 
such prohibition or uncnforccability in such jurisdiction shall not invalidate or render 

unenforceable such provision in any other jurisdiction; and (iii) without limitation of clauses (i) 

or (ii), such ineffectiveness shall not invalidate any of the remaining provisions of this 

Undertaking. Without limitation of the preceding sentence, it is the intent of the Promisor that in 

the event that in any court proceeding, such court detennines that any provision of this 

Undertaking is prohibited or unenforceable in any jurisdiction (because of the duration or scope 

(geographic or othcnvisc) of such provision, or for any other reason), such court shall have the 

power to, and shall, (x) modify such provision (including, to the extent applicable, by limiting 

the duration or scope of such provision and/or the Persons against whom, and/or the 

circumstances under \Vhich, such provision shall be effective in such jurisdiction) for purposes of 

such proceeding to the minimum extent necessary so that such provision, as so modified, may 

then be enforced in such proceeding, and (y) enforce such provision, as so modified pursuant to 

clause (x), in such proceeding. Nothing in this Section 13 is intended to, or shall, limit the ability 

of any Beneficiary to appeal any court ruling or the efTect of any favorable ruling on appeal or 

the intended effect of Section 7. 

[The rest of this page intentionally has been left blank.] 

C:ADC!RADC Vemurc 2011-1 Structured Transaction 

Privme Owner Interest Sak Agre-ement 

Version 3.1 

EXEClJI !ON VERSION 
__ 

IN WITNESS WHEREOF, the undersigned has executed and delivered this Undertaking 

as of the date first above written. 

[NAME OF SIGNATORY] 

By: N'~am e_:~----------~----

Title: 

CADCIR/\DC Venture 20 11·1 Structured T ransactinn 

Private Owner Interest Sale Agreemem 

Versinn .1 I 

EX[Cl:TION VFRSfON 
Exhibit F 

[Fnrm of Letter Designating Individuals for Limited Po\\'Cr of Attorney) 

August 24, 2011 

Federal Deposit Insurance Corporation, 

as Receiver for the Failed Banks 

550 17th Street, NW (Room F-70!5) 

Washington, D.C. 20429-0002 

Attention: Ralph Malami 

Attention: Kathleen Russo 

Re: Designation oflndividuals for Limited Power of Attorney 

Ladies and Gentlemen: 

We refer to (i) that certain Private Owner Interest Sale and Assignment Agreement dated as of 

the date hereof, by and among Acorn Loan Portfolio Private Owner VI, LLC, a limited liability 

company organized and existing under the laws of Delaware, the Federal Deposit Insurance 

Corporation in its capacity as Receiver, and CADC/RADC Venture 2011-1, LLC, a limited 

liability company organized and existing under the laws of Delaware (the "Private Owner 

Interest Sale Agreement") and (ii) the Contribution Agreement (as defined in the Agreement of 

Definitions referred to herein). For purposes of this letter, all terms used in this letter that arc 

defined in, or by reference in, that certain Agreement of Definitions- CADC/RADC Venture 

2011-1 Structured Transaction dated as of the date hereof among the parties to the Private Owner 

Interest Sale Agreement and certain others (the "Agreement of Definitions"), and are not 

otherwise defined herein, shall have the meanings and definitions given, or referred to, in the 

Agreement of Definitions. This letter is being delivered pursuant to Section 4(b) of the Private 

Owner Interest Sale Agreement. 

We hereby designate the following individuals as the individuals that should be listed in Exhibit 

A to the Limited Power of Attorney: 

Vanessa A Orta 

R. Patterson Jackson 

Maureen Connaughton 

Ron Wanvick 

Cary Klcimnan 

Brian Laibow 

Mark Jacobs 

Derek Smith 

CAOC/IWJC Venture 2011·1 Slrucnued Transadion 

Privale Owner Interest Sale Agrcenwnt 

Version 3_1 

FXECUTIOl'-i VLRSION 
We hereby certify that we have complied with the requirements of Section J.l(d)(iv) of the 

Contribution Agreement in relation to the designation set forth in the preceding sentence. 

This letter shall be deemed to be a Transaction Document. This letter may be executed and 

delivered by facsimile or other electronic means, and in any number of counterparts, each of 

which shall be deemed to be an original and all ofv..rhich shall together constitute one instrument. 

Very truly yours, 

PRIVATE OWNER: 

Acorn Loan Portfolio Private Owner VI, LLC 

By: Acorn Loan Acquisition Venture VI, L.P., its 

managing member 

By: Nam_c_:______________ 

Title: Authorized Signatory 

By:-----------­

Name: 


Title: Authorized Signatory 


CADCiRADC Venture 2011-1 Structured Tran>acrion 

f'flvUie Owner Interest Sale Agreement 

Version 3_1 

EXECUTJO}; VERSIO~