THIS AGREEMENT UNLESS SUCH LOAN
DEFAULT ARISES SOLELY FROM THE OCCURRENCE OF A CREDIT EVENT IN WHICH CASE DEMAND
SHALL BE DEEMED TO BE MADE ONLY UPON RECEIPT OF WRITTEN REQUEST FROM THE
SERVICER.
THE FOREGOING LIMITATION SHALL NOT IN ANY WAY LIMIT THE OBLIGATION OF
THE SPONSOR TO PURCHASE THE LOANS AND ASSUME THE LOAN COMMITMENTS RELATING
THERETO UPON THE OCCURRENCE OF A CREDIT EVENT WITHOUT REGARD TO ANY LIMITATIONS
SET FORTH IN THIS ARTICLE 10.
CONTINUING GUARANTY. THE OBLIGATIONS OF THE SPONSOR PURSUANT TO THIS ARTICLE 10
CONSTITUTE A GUARANTEE WHICH IS CONTINUING IN NATURE AND SHALL BE EFFECTIVE WITH
RESPECT TO THE FULL AMOUNT OUTSTANDING UNDER ALL GUARANTEED OBLIGATIONS, NOW
EXISTING OR HEREAFTER MADE OR EXTENDED, REGARDLESS OF THE AMOUNT, SUBJECT ONLY
TO THE LIMITATIONS SET FORTH IN THE PRECEDING SECTION 10.2.
WAIVERS. THE SPONSOR HEREBY WAIVES NOTICE OF SERVICER'S AND EACH PARTICIPANT'S
ACCEPTANCE OF THIS AGREEMENT AND THE CREATION, EXTENSION OR RENEWAL OF ANY LOANS
OR OTHER GUARANTEED OBLIGATIONS. SPONSOR HEREBY CONSENTS AND AGREES THAT, AT ANY
TIME OR TIMES, WITHOUT NOTICE TO OR FURTHER APPROVAL FROM SPONSOR, AND WITHOUT
IN ANY WAY AFFECTING THE OBLIGATIONS OF SPONSOR HEREUNDER, SERVICER AND THE
PARTICIPANTS MAY, WITH OR WITHOUT CONSIDERATION (I) RELEASE, COMPROMISE WITH, OR
AGREE NOT TO SUE, IN WHOLE OR IN PART, ANY BORROWER OR ANY OTHER OBLIGOR,
GUARANTOR, ENDORSER OR SURETY ON ANY LOANS OR ANY OTHER GUARANTEED OBLIGATIONS,
(II) RENEW, EXTEND, ACCELERATE, OR INCREASE OR DECREASE THE PRINCIPAL AMOUNT OF
ANY LOANS OR OTHER GUARANTEED OBLIGATIONS, EITHER IN WHOLE OR IN PART, (III)
AMEND, WAIVE, OR OTHERWISE MODIFY ANY OF THE TERMS OF ANY LOANS OR OTHER
GUARANTEED OBLIGATIONS OR OF ANY MORTGAGE, DEED OF TRUST, SECURITY AGREEMENT, OR
OTHER UNDERTAKING OF ANY OF THE BORROWERS OR ANY OTHER OBLIGOR, ENDORSER,
GUARANTOR OR SURETY IN CONNECTION WITH ANY LOANS OR OTHER GUARANTEED
OBLIGATIONS, AND (IV) APPLY ANY PAYMENT RECEIVED FROM BORROWERS OR FROM ANY
OTHER OBLIGOR, GUARANTOR, ENDORSER OR SURETY ON THE LOANS OR OTHER GUARANTEED
OBLIGATIONS TO ANY OF THE LIABILITIES OF BORROWERS OR OF SUCH OTHER OBLIGOR,
GUARANTOR, ENDORSER, OR SURETY WHICH SERVICER MAY CHOOSE, SUBJECT, HOWEVER, TO
THE RIGHTS OF SPONSOR TO BRING A SEPARATE ACTION FOR ANY BREACH OF THE OPERATIVE
DOCUMENTS PURSUANT TO SECTION 10.11.
ADDITIONAL ACTIONS.
SUBJECT TO SECTION 10.11, SPONSOR HEREBY CONSENTS AND
AGREES THAT THE SERVICER MAY AT ANY TIME OR TIMES, EITHER WITH OR WITHOUT
CONSIDERATION, SURRENDER, RELEASE OR RECEIVE ANY PROPERTY OR OTHER COLLATERAL OF
ANY KIND OR NATURE WHATSOEVER HELD BY IT OR FOR ITS ACCOUNT SECURING ANY LOANS
OR OTHER GUARANTEED OBLIGATIONS, OR SUBSTITUTE ANY COLLATERAL SO HELD BY
SERVICER FOR OTHER COLLATERAL OF LIKE OR DIFFERENT KIND, WITHOUT NOTICE TO OR
FURTHER CONSENT FROM SPONSOR, AND SUCH SURRENDER, RECEIPT, RELEASE OR
SUBSTITUTION SHALL NOT IN ANY WAY AFFECT THE OBLIGATIONS OF SPONSOR HEREUNDER.
SUBJECT TO SECTION 10.11, SERVICER SHALL HAVE FULL AUTHORITY TO ADJUST,
COMPROMISE, AND RECEIVE LESS THAN THE AMOUNT DUE UPON ANY SUCH COLLATERAL, AND
MAY ENTER INTO ANY