Document:

Unassociated Document

    
      

      

    

    

      HSI
        ASSET
        SECURITIZATION CORPORATION,

      Depositor,

       

      WELLS
        FARGO BANK, N.A.,

      Master
        Servicer, Securities Administrator and Custodian,

       

      DEUTSCHE
        BANK NATIONAL TRUST COMPANY,

      Trustee

       

      and

       

      CLAYTON
        FIXED INCOME SERVICES INC.,

      Credit
        Risk Manager

       

      POOLING
        AND SERVICING AGREEMENT

       

      Dated
        as
        of October 1, 2006

       

      HSI
        ASSET
        CORPORATION TRUST 2006-HE1

       

      MORTGAGE
        PASS-THROUGH CERTIFICATES,

      SERIES 2006-HE1

       

       

      
        

        

      

    

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      TABLE
        OF
        CONTENTS

       

      
        	 	 	
                Page

              
	 	 	 
	
                ARTICLE
                  I

              
	 	 	 
	
                DEFINITIONS

              
	 	 	 
	 	 	 
	
                ARTICLE
                  II

              
	 	 	 
	
                CONVEYANCE
                  OF MORTGAGE LOANS;

              
	
                REPRESENTATIONS
                  AND WARRANTIES

              
	 	 	 
	
                Section
                  2.01

              	
                Conveyance
                  of Mortgage Loans

              	
                48

              
	
                Section
                  2.02

              	
                Acceptance
                  by the Custodian of the Mortgage Loans

              	
                51

              
	
                Section
                  2.03

              	
                Remedies
                  for Breaches of Representations and Warranties with Respect to
                  the
                  Mortgage Loans

              	
                52

              
	
                Section
                  2.04

              	
                Execution
                  and Delivery of Certificates

              	
                54

              
	
                Section
                  2.05

              	
                REMIC
                  Matters

              	
                54

              
	
                Section
                  2.06

              	
                Representations
                  and Warranties of the Depositor

              	
                54

              
	 	 	 
	
                ARTICLE
                  III

              
	 	 	 
	
                ADMINISTRATION
                  AND SERVICING

              
	
                OF
                  MORTGAGE LOANS

              
	 	 	 
	
                Section
                  3.01

              	
                Establishment
                  of Certain Accounts

              	
                55

              
	
                Section
                  3.02

              	
                Investment
                  of Funds in the Distribution Account

              	
                57

              
	
                Section
                  3.03

              	
                Report
                  on Assessment of Compliance with Relevant Servicing
                  Criteria

              	
                58

              
	
                Section
                  3.04

              	
                Report
                  on Attestation of Compliance with Relevant Servicing
                  Criteria

              	
                59

              
	
                Section
                  3.05

              	
                Annual
                  Officer’s Certificates

              	
                59

              
	
                Section
                  3.06

              	
                Indemnification

              	
                60

              
	
                Section
                  3.07

              	
                Advances

              	
                61

              
	 	 	 
	
                ARTICLE
                  IV

              
	 	 	 
	
                DISTRIBUTIONS

              
	 	 	 
	
                Section
                  4.01

              	
                The
                  Distribution Account

              	
                62

              
	
                Section
                  4.02

              	
                Priorities
                  of Distribution

              	
                63

              
	
                Section
                  4.03

              	
                Monthly
                  Statements to Certificateholders

              	
                69

              
	
                Section
                  4.04

              	
                Certain
                  Matters Relating to the Determination of LIBOR

              	
                72

              
	
                Section
                  4.05

              	
                Allocation
                  of Applied Realized Loss Amounts

              	
                73

              
	
                Section
                  4.06

              	
                Supplemental
                  Interest Trust.

              	
                73

              
	
                Section
                  4.07

              	
                Rights
                  of the Swap Counterparty

              	
                74

              
	
                Section
                  4.08

              	
                Termination
                  Receipts

              	
                75

              
	
                Section
                  4.09

              	
                Final
                  Maturity Reserve Trust

              	
                76

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      
        	
                ARTICLE
                  V

              
	 	 	 
	
                THE
                  CERTIFICATES

              
	 	 	 
	
                Section
                  5.01

              	
                The
                  Certificates

              	
                77

              
	
                Section
                  5.02

              	
                Certificate
                  Register; Registration of Transfer and Exchange of
                  Certificates

              	
                78

              
	
                Section
                  5.03

              	
                Mutilated,
                  Destroyed, Lost or Stolen Certificates

              	
                84

              
	
                Section
                  5.04

              	
                Persons
                  Deemed Owners

              	
                85

              
	
                Section
                  5.05

              	
                Access
                  to List of Certificateholders’ Names and Addresses

              	
                85

              
	
                Section
                  5.06

              	
                Maintenance
                  of Office or Agency

              	
                85

              
	 	 	 
	
                ARTICLE
                  VI

              
	 	 	 
	
                THE
                  DEPOSITOR

              
	 	 	 
	
                Section
                  6.01

              	
                Liabilities
                  of the Depositor

              	
                85

              
	
                Section
                  6.02

              	
                Merger
                  or Consolidation of the Depositor

              	
                86

              
	
                Section
                  6.03

              	
                Limitation
                  on Liability of the Depositor and Others

              	
                86

              
	 	 	 
	
                ARTICLE
                  VII

              
	 	 	 
	
                DEFAULT

              
	 	 	 
	
                Section
                  7.01

              	
                Master
                  Servicer to Act; Appointment of Successor

              	
                87

              
	
                Section
                  7.02

              	
                Notification
                  to Certificateholders

              	
                89

              
	 	 	 
	
                ARTICLE
                  VIII

              
	 	 	 
	
                CONCERNING
                  THE TRUSTEE

              
	 	 	 
	
                Section
                  8.01

              	
                Duties
                  of the Trustee

              	
                89

              
	
                Section
                  8.02

              	
                Certain
                  Matters Affecting the Trustee

              	
                90

              
	
                Section
                  8.03

              	
                Trustee
                  Not Liable for Certificates or Mortgage Loans

              	
                91

              
	
                Section
                  8.04

              	
                Trustee
                  May Own Certificates

              	
                92

              
	
                Section
                  8.05

              	
                Trustee’s
                  Fees Indemnification and Expenses

              	
                92

              
	
                Section
                  8.06

              	
                Eligibility
                  Requirements for the Trustee

              	
                93

              
	
                Section
                  8.07

              	
                Resignation
                  and Removal of the Trustee

              	
                94

              
	
                Section
                  8.08

              	
                Successor
                  Trustee

              	
                94

              
	
                Section
                  8.09

              	
                Merger
                  or Consolidation of the Trustee

              	
                95

              
	
                Section
                  8.10

              	
                Appointment
                  of Co-Trustee or Separate Trustee

              	
                95

              
	
                Section
                  8.11

              	
                Tax
                  Matters

              	
                96

              
	
                Section
                  8.12

              	
                Commission
                  Reporting

              	
                100

              
	
                Section
                  8.13

              	
                Tax
                  Classification of the Excess Reserve Fund Account and the Supplemental
                  Interest Trust

              	
                107

              

      

       

      
        
          
          

        

        
          -ii-

          
            

          

        

        
          
          

        

      

      
        	
                ARTICLE
                  IX

              
	 
	
                ADMINISTRATION
                  OF THE MORTGAGE LOANS

              
	
                BY
                  THE MASTER SERVICER

              
	 	 	 
	
                Section
                  9.01

              	
                Duties
                  of the Master Servicer; Enforcement of Servicer’s
                  Obligations

              	
                107

              
	
                Section
                  9.02

              	
                [Reserved]

              	
                109

              
	
                Section
                  9.03

              	
                [Reserved]

              	
                109

              
	
                Section
                  9.04

              	
                Maintenance
                  of Fidelity Bond and Errors and Omissions Insurance

              	
                109

              
	
                Section
                  9.05

              	
                Representations
                  and Warranties of the Master Servicer

              	
                109

              
	
                Section
                  9.06

              	
                Master
                  Servicer Events of Default

              	
                110

              
	
                Section
                  9.07

              	
                Waiver
                  of Default

              	
                112

              
	
                Section
                  9.08

              	
                Successor
                  to the Master Servicer

              	
                112

              
	
                Section
                  9.09

              	
                Compensation
                  of the Master Servicer

              	
                113

              
	
                Section
                  9.10

              	
                Merger
                  or Consolidation

              	
                113

              
	
                Section
                  9.11

              	
                Resignation
                  of the Master Servicer

              	
                114

              
	
                Section
                  9.12

              	
                Assignment
                  or Delegation of Duties by the Master Servicer

              	
                114

              
	
                Section
                  9.13

              	
                Limitation
                  on Liability of the Master Servicer

              	
                114

              
	
                Section
                  9.14

              	
                Indemnification;
                  Third Party Claims

              	
                115

              
	
                Section
                  9.15

              	
                Duties
                  of the Credit Risk Manager

              	
                115

              
	
                Section
                  9.16

              	
                Limitation
                  Upon Liability of the Credit Risk Manager

              	
                117

              
	
                Section
                  9.17

              	
                Removal
                  and Resignation of Credit Risk Manager

              	
                117

              
	 	 	 
	
                ARTICLE
                  X

              
	 	 	 
	
                CONCERNING
                  THE SECURITIES ADMINISTRATOR

              
	 	 	 
	
                Section
                  10.01

              	
                Duties
                  of Securities Administrator.

              	
                117

              
	
                Section
                  10.02

              	
                Certain
                  Matters Affecting the Securities Administrator.

              	
                118

              
	
                Section
                  10.03

              	
                Securities
                  Administrator Not Liable for Certificates or Mortgage
                  Loans.

              	
                120

              
	
                Section
                  10.04

              	
                Securities
                  Administrator May Own Certificates.

              	
                120

              
	
                Section
                  10.05

              	
                Securities
                  Administrator’s Fees and Expenses.

              	
                121

              
	
                Section
                  10.06

              	
                Eligibility
                  Requirements for Securities Administrator.

              	
                121

              
	
                Section
                  10.07

              	
                Resignation
                  and Removal of Securities Administrator.

              	
                122

              
	
                Section
                  10.08

              	
                Successor
                  Securities Administrator.

              	
                123

              
	
                Section
                  10.09

              	
                Merger
                  or Consolidation of Securities Administrator.

              	
                123

              
	
                Section
                  10.10

              	
                Assignment
                  or Delegation of Duties by the Securities Administrator.

              	
                124

              

      

       

      
        
          
          

        

        
          -iii-

          
            

          

        

        
          
          

        

      

      
        	
                ARTICLE
                  XI

              
	 	 	 
	
                TERMINATION

              
	 	 	 
	
                Section
                  11.01

              	
                Termination
                  upon Liquidation or Purchase of the Mortgage Loans

              	
                124

              
	
                Section
                  11.02

              	
                Final
                  Distribution on the Certificates

              	
                125

              
	
                Section
                  11.03

              	
                Additional
                  Termination Requirements

              	
                126

              
	 	 	 
	
                ARTICLE
                  XII

              
	 	 	 
	
                MISCELLANEOUS
                  PROVISIONS

              
	 	 	 
	
                Section
                  12.01

              	
                Amendment

              	
                127

              
	
                Section
                  12.02

              	
                Recordation
                  of Agreement; Counterparts

              	
                129

              
	
                Section
                  12.03

              	
                Governing
                  Law

              	
                129

              
	
                Section
                  12.04

              	
                Intention
                  of Parties

              	
                130

              
	
                Section
                  12.05

              	
                Notices

              	
                131

              
	
                Section
                  12.06

              	
                Severability
                  of Provisions

              	
                132

              
	
                Section
                  12.07

              	
                Limitation
                  on Rights of Certificateholders

              	
                132

              
	
                Section
                  12.08

              	
                Certificates
                  Nonassessable and Fully Paid

              	
                133

              
	
                Section
                  12.09

              	
                Rule of
                  Construction

              	
                133

              
	
                Section
                  12.10

              	
                Waiver
                  of Jury Trial

              	
                133

              

      

    

     

    
      
        
        

      

      
        -iv-

        
          

        

      

      
        
        

      

    

    
      SCHEDULES

      

      
        	
                Schedule I

              	
                Mortgage
                  Loan Schedule

              
	
                Schedule
                  II

              	
                Projected
                  Aggregate Scheduled Principal Balance of Forty-Year Mortgage
                  Loans

              

      

       

      EXHIBITS

       

      
        	
                Exhibit A

              	
                Form
                  of Class A and Class M Certificates

              
	
                Exhibit B

              	
                Form
                  of Class P Certificate

              
	
                Exhibit C

              	
                Form
                  of Class R Certificate

              
	
                Exhibit D

              	
                Form
                  of Class X Certificate

              
	
                Exhibit E

              	
                Form
                  of Initial Certification of Custodian

              
	
                Exhibit F

              	
                Form
                  of Document Certification and Exception Report of
                  Custodian

              
	
                Exhibit G

              	
                Form
                  of Residual Transfer Affidavit

              
	
                Exhibit H

              	
                Form
                  of Transferor Certificate

              
	
                Exhibit I-A

              	
                Form
                  of Rule 144A Investment Letter

              
	
                Exhibit
                  I-B

              	
                Form
                  of Regulation S Investment Letter

              
	
                Exhibit J

              	
                Form
                  of Request for Release

              
	
                Exhibit K

              	
                Contents
                  for Each Mortgage File

              
	
                Exhibit L

              	
                Form
                  of Sarbanes-Oxley Certification to be Provided by Master Servicer
                  (or
                  other Certification Party) signing Form 10-K

              
	
                Exhibit M

              	
                List
                  of Servicing Agreements

              
	
                Exhibit
                  N-1

              	
                [Reserved]

              
	
                Exhibit
                  N-2

              	
                [Reserved]

              
	
                Exhibit
                  N-3

              	
                [Reserved]

              
	
                Exhibit
                  O

              	
                Form
                  of Swap Agreement

              
	
                Exhibit
                  P 

              	
                Form
                  of Cap Agreement

              
	
                Exhibit
                  Q

              	
                [Reserved]

              
	
                Exhibit
                  R-1

              	
                Form
                  of Watchlist Report

              
	
                Exhibit
                  R-2

              	
                Form
                  of Loss Severity Report

              
	
                Exhibit
                  R-3

              	
                Form
                  of Prepayment Charges Report

              
	
                Exhibit
                  R-4

              	
                Form
                  of Analytics Report

              
	
                Exhibit
                  S

              	
                Servicing
                  Criteria Matrix

              
	
                Exhibit
                  T

              	
                Transaction
                  Parties

              
	
                Exhibit
                  U

              	
                Form
                  of Annual Compliance Certificate

              
	
                Exhibit
                  V

              	
                Additional
                  Form 10-D Disclosure

              
	
                Exhibit
                  W

              	
                Additional
                  Form 10-K Disclosure

              
	
                Exhibit
                  X

              	
                Form
                  8-K Disclosure Information

              
	
                Exhibit
                  Y

              	
                Additional
                  Disclosure Notification

              

      

    

     

    
      
        
        

      

      
        -v-

        
          

        

      

      
        
        

      

    

    
      THIS
        POOLING AND SERVICING AGREEMENT, dated as of October 1, 2006, among HSI ASSET
        SECURITIZATION CORPORATION, as depositor (the “Depositor”),
        WELLS
        FARGO BANK, N.A., a national banking association, as master servicer (in
        such
        capacity, the “Master
        Servicer”),
        as
        securities administrator (in such capacity, the “Securities
        Administrator”)
        and as
        custodian (in such capacity, “the Custodian”),
        CLAYTON FIXED INCOME SERVICES INC., as credit risk manager (the “Credit
        Risk Manager”),
        and
        DEUTSCHE BANK NATIONAL TRUST COMPANY, a national banking association, as
        trustee
        (the “Trustee”).

       

      WITNESSETH:

       

      In
        consideration of the mutual agreements herein contained, the parties hereto
        agree as follows:

       

      PRELIMINARY
        STATEMENT

       

      The
        Securities Administrator on behalf of the Trust Fund (exclusive of (i) the
        Swap
        Agreement, (ii) the Cap Agreement, (iii) the right to receive and the obligation
        to pay Basis Risk Carryover Amounts, (iv) the Excess Reserve Fund Account,
        (v)
        the Supplemental Interest Trust and the Supplemental Interest Trust Account
        (vi)
        the Final Maturity Reserve Trust, and (vii) the obligations to pay Class
        I
        Shortfalls (collectively, the “Excluded
        Trust Assets”))
        shall
        elect that two segregated asset pools within the Trust Fund be treated for
        federal income tax purposes as comprising three real estate mortgage investment
        conduits under Section 860D of the Code (each a “REMIC”
or,
        in
        the alternative, “REMIC 1,” REMIC 2” and “REMIC 3,” REMIC 3 also being referred
        to herein as the “Upper
        Tier REMIC.”)
        Any
        inconsistencies or ambiguities in this Agreement or in the administration
        of
        this Agreement shall be resolved in a manner that preserves the validity
        of such
        REMIC election. 

       

      Each
        Certificate, other than the Class R Certificates, represents ownership of
        a
        regular interest in the Upper Tier REMIC for purposes of the REMIC Provisions.
        In addition, each Certificate, other than the Class R, Class X and Class
        P
        Certificates, represents (i) the right to receive payments with respect to
        any
        Basis Risk Carryover Amounts (ii) the obligation to pay Class I Shortfalls,
        and
        (iii) the right to receive payments from the Final Maturity Reserve Fund.
        The
        Class R Certificate represents ownership of the sole Class of residual interest
        in each of REMIC 1, REMIC 2 and the Upper Tier REMIC for purposes of the
        REMIC
        Provisions.

       

      The
        Upper Tier REMIC shall hold as its assets the uncertificated Lower Tier
        Interests in REMIC 2, other than the Class LT2-R interest, and each such
        Lower
        Tier Interest is hereby designated as a regular interest in REMIC 2 for purposes
        of the REMIC Provisions. REMIC 2 shall hold as its assets the uncertificated
        Lower Tier Interests in REMIC 1, other than the Class LT1-R interest, and
        each
        such Lower Tier Interest is hereby designated as a regular interest in REMIC
        1.
        REMIC 1 shall hold as its assets the property of the Trust Fund other than
        the
        Lower Tier Interests in REMIC 1 and REMIC 2 and the Excluded Trust
        Assets.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      REMIC
        1:

       

      The
        following table sets forth the designations, principal balances and interest
        rates for each interest in REMIC 1, each of which (other than the Class LT1-R
        Lower Tier Interest) is hereby designated as a regular interest in REMIC
        1 (the
“REMIC 1 Regular Interests”):

      

        
          	
                  Class
                    Designation

                	 	
                  Initial
                    Principal Balance

                	
                  Interest
                    Rate

                
	
                  LT1-A

                	
                  $

                	
                  48,780,613.14

                	
                  (1)

                
	
                  LT1-F1

                	
                  $

                	
                  10,363,820.50

                	
                  (2)

                
	
                  LT1-V1

                	
                  $

                	
                  10,363,820.50

                	
                  (3)

                
	
                  LT1-F2

                	
                  $

                	
                  12,254,169.50

                	
                  (2)

                
	
                  LT1-V2

                	
                  $

                	
                  12,254,169.50

                	
                  (3)

                
	
                  LT1-F3

                	
                  $

                	
                  14,128,131.50

                	
                  (2)

                
	
                  LT1-V3

                	
                  $

                	
                  14,128,131.50

                	
                  (3)

                
	
                  LT1-F4

                	
                  $

                	
                  15,966,602.50

                	
                  (2)

                
	
                  LT1-V4

                	
                  $

                	
                  15,966,602.50

                	
                  (3)

                
	
                  LT1-F5

                	
                  $

                	
                  17,749,812.50

                	
                  (2)

                
	
                  LT1-V5

                	
                  $

                	
                  17,749,812.50

                	
                  (3)

                
	
                  LT1-F6

                	
                  $

                	
                  19,457,298.00

                	
                  (2)

                
	
                  LT1-V6

                	
                  $

                	
                  19,457,298.00

                	
                  (3)

                
	
                  LT1-F7

                	
                  $

                	
                  21,067,514.00

                	
                  (2)

                
	
                  LT1-V7

                	
                  $

                	
                  21,067,514.00

                	
                  (3)

                
	
                  LT1-F8

                	
                  $

                	
                  22,559,613.00

                	
                  (2)

                
	
                  LT1-V8

                	
                  $

                	
                  22,559,613.00

                	
                  (3)

                
	
                  LT1-F9

                	
                  $

                	
                  22,852,207.50

                	
                  (2)

                
	
                  LT1-V9

                	
                  $

                	
                  22,852,207.50

                	
                  (3)

                
	
                  LT1-F10

                	
                  $

                	
                  21,802,548.50

                	
                  (2)

                
	
                  LT1-V10

                	
                  $

                	
                  21,802,548.50

                	
                  (3)

                
	
                  LT1-F11

                	
                  $

                	
                  20,753,189.50

                	
                  (2)

                
	
                  LT1-V11

                	
                  $

                	
                  20,753,189.50

                	
                  (3)

                
	
                  LT1-F12

                	
                  $

                	
                  19,754,990.00

                	
                  (2)

                
	
                  LT1-V12

                	
                  $

                	
                  19,754,990.00

                	
                  (3)

                
	
                  LT1-F13

                	
                  $

                	
                  18,804,928.00

                	
                  (2)

                
	
                  LT1-V13

                	
                  $

                	
                  18,804,928.00

                	
                  (3)

                
	
                  LT1-F14

                	
                  $

                	
                  17,881,058.50

                	
                  (2)

                
	
                  LT1-V14

                	
                  $

                	
                  17,881,058.50

                	
                  (3)

                
	
                  LT1-F15

                	
                  $

                	
                  17,003,781.50

                	
                  (2)

                
	
                  LT1-V15

                	
                  $

                	
                  17,003,781.50

                	
                  (3)

                
	
                  LT1-F16

                	
                  $

                	
                  16,192,088.00

                	
                  (2)

                
	
                  LT1-V16

                	
                  $

                	
                  16,192,088.00

                	
                  (3)

                
	
                  LT1-F17

                	
                  $

                	
                  15,429,649.50

                	
                  (2)

                
	
                  LT1-V17

                	
                  $

                	
                  15,429,649.50

                	
                  (3)

                
	
                  LT1-F18

                	
                  $

                	
                  14,704,986.50

                	
                  (2)

                

        

         

        
          
            
            

          

          
            -2-

            
              

            

          

          
            
            

          

          
            	
                    Class
                      Designation

                  	 	
                    Initial
                      Principal Balance

                  	
                    Interest
                      Rate

                  

          

        

        
          	
                  LT1-V18

                	
                  $

                	
                  14,704,986.50

                	
                  (3)

                
	
                  LT1-F19

                	
                  $

                	
                  19,198,335.50

                	
                  (2)

                
	
                  LT1-V19

                	
                  $

                	
                  19,198,335.50

                	
                  (3)

                
	
                  LT1-F20

                	
                  $

                	
                  23,510,887.00

                	
                  (2)

                
	
                  LT1-V20

                	
                  $

                	
                  23,510,887.00

                	
                  (3)

                
	
                  LT1-F21

                	
                  $

                	
                  21,223,707.00

                	
                  (2)

                
	
                  LT1-V21

                	
                  $

                	
                  21,223,707.00

                	
                  (3)

                
	
                  LT1-F22

                	
                  $

                	
                  19,166,835.00

                	
                  (2)

                
	
                  LT1-V22

                	
                  $

                	
                  19,166,835.00

                	
                  (3)

                
	
                  LT1-F23

                	
                  $

                	
                  17,335,803.50

                	
                  (2)

                
	
                  LT1-V23

                	
                  $

                	
                  17,335,803.50

                	
                  (3)

                
	
                  LT1-F24

                	
                  $

                	
                  13,339,699.50

                	
                  (2)

                
	
                  LT1-V24

                	
                  $

                	
                  13,339,699.50

                	
                  (3)

                
	
                  LT1-F25

                	
                  $

                	
                  9,633,942.00

                	
                  (2)

                
	
                  LT1-V25

                	
                  $

                	
                  9,633,942.00

                	
                  (3)

                
	
                  LT1-F26

                	
                  $

                	
                  9,107,849.00

                	
                  (2)

                
	
                  LT1-V26

                	
                  $

                	
                  9,107,849.00

                	
                  (3)

                
	
                  LT1-F27

                	
                  $

                	
                  8,807,312.00

                	
                  (2)

                
	
                  LT1-V27

                	
                  $

                	
                  8,807,312.00

                	
                  (3)

                
	
                  LT1-F28

                	
                  $

                	
                  9,196,059.50

                	
                  (2)

                
	
                  LT1-V28

                	
                  $

                	
                  9,196,059.50

                	
                  (3)

                
	
                  LT1-F29

                	
                  $

                	
                  8,583,850.50

                	
                  (2)

                
	
                  LT1-V29

                	
                  $

                	
                  8,583,850.50

                	
                  (3)

                
	
                  LT1-F30

                	
                  $

                	
                  8,017,301.50

                	
                  (2)

                
	
                  LT1-V30

                	
                  $

                	
                  8,017,301.50

                	
                  (3)

                
	
                  LT1-F31

                	
                  $

                	
                  7,492,598.00

                	
                  (2)

                
	
                  LT1-V31

                	
                  $

                	
                  7,492,598.00

                	
                  (3)

                
	
                  LT1-F32

                	
                  $

                	
                  7,006,270.50

                	
                  (2)

                
	
                  LT1-V32

                	
                  $

                	
                  7,006,270.50

                	
                  (3)

                
	
                  LT1-F33

                	
                  $

                	
                  6,554,398.50

                	
                  (2)

                
	
                  LT1-V33

                	
                  $

                	
                  6,554,398.50

                	
                  (3)

                
	
                  LT1-F34

                	
                  $

                	
                  6,064,059.50

                	
                  (2)

                
	
                  LT1-V34

                	
                  $

                	
                  6,064,059.50

                	
                  (3)

                
	
                  LT1-F35

                	
                  $

                	
                  5,366,725.00

                	
                  (2)

                
	
                  LT1-V35

                	
                  $

                	
                  5,366,725.00

                	
                  (3)

                
	
                  LT1-F36

                	
                  $

                	
                  5,070,279.50

                	
                  (2)

                
	
                  LT1-V36

                	
                  $

                	
                  5,070,279.50

                	
                  (3)

                
	
                  LT1-F37

                	
                  $

                	
                  4,790,515.00

                	
                  (2)

                
	
                  LT1-V37

                	
                  $

                	
                  4,790,515.00

                	
                  (3)

                
	
                  LT1-F38

                	
                  $

                	
                  4,526,477.00

                	
                  (2)

                
	
                  LT1-V38

                	
                  $

                	
                  4,526,477.00

                	
                  (3)

                
	
                  LT1-F39

                	
                  $

                	
                  4,277,215.50

                	
                  (2)

                
	
                  LT1-V39

                	
                  $

                	
                  4,277,215.50

                	
                  (3)

                
	
                  LT1-F40

                	
                  $

                	
                  4,041,968.50

                	
                  (2)

                

        

         

        
          
            
            

          

          
            -3-

            
              

            

          

          
            
            

          

          
            	
                    Class
                      Designation

                  	 	
                    Initial
                      Principal Balance

                  	
                    Interest
                      Rate

                  

          

        

        
          	
                  LT1-V40

                	
                  $

                	
                  4,041,968.50

                	
                  (3)

                
	
                  LT1-F41

                	
                  $

                	
                  3,819,936.50

                	
                  (2)

                
	
                  LT1-V41

                	
                  $

                	
                  3,819,936.50

                	
                  (3)

                
	
                  LT1-F42

                	
                  $

                	
                  3,610,339.00

                	
                  (2)

                
	
                  LT1-V42

                	
                  $

                	
                  3,610,339.00

                	
                  (3)

                
	
                  LT1-R

                	 	
                  (4)

                	
                  (4)

                

        

         

        
          	 	
                  (1)

                	
                  For
                    any Distribution Date (and the related Interest Accrual Period)
                    the
                    interest rate for the Class LT1-A Interest shall be the Net WAC
                    Rate.
                    

                

        

         

        
          	 	
                  (2)

                	
                  For
                    any Distribution Date (and the related Interest Accrual Period)
                    the
                    interest rate for each of these Lower Tier Interests shall be
                    the lesser
                    of (i) 10.30% and (ii) the product of (a) the Net WAC Rate and
                    (b)
                    2.

                

        

         

        
          	 	
                  (3)

                	
                  For
                    any Distribution Date (and the related Interest Accrual Period)
                    the
                    interest rate for each of these Lower Tier Interests shall be
                    the excess,
                    if any, of (i) the product of (a) the Net WAC Rate and (b) 2,
                    over (ii)
                    10.30%.

                

        

         

        
          	 	
                  (4)

                	
                  The
                    Class LT1-R interest shall not have a principal amount and shall
                    not bear
                    interest. The Class LT1-R interest is hereby designated as the
                    sole class
                    of residual interest in REMIC 1.

                

        

         

        On
          each
          Distribution Date, the Securities Administrator shall first pay or charge
          as an
          expense of REMIC 1 all expenses of the Trust Fund for such Distribution
          Date,
          other than any Net Swap Payment or Swap Termination Payment required to
          be made
          from the Trust Fund.

         

        On
          each
          Distribution Date the Securities Administrator shall distribute the Interest
          Remittance Amount (net of expenses described in the preceding paragraph)
          with
          respect to each of the Lower Tier Interests in REMIC 1 based on the
          above-described interest rates.

         

        On
          each
          Distribution Date, the Securities Administrator shall distribute the Principal
          Remittance Amount with respect to the Lower Tier Interests in REMIC 1,
          first to
          the Class LT1-A Interest until its principal balance is reduced to zero,
          and
          then sequentially, to the other Lower Tier Interests in REMIC 1 in ascending
          order of their numerical class designation, and, with respect to each pair
          of
          classes having the same numerical designation, in equal amounts to each
          such
          class, until the principal balance of each such class is reduced to zero.
          All
          losses on the Mortgage Loans shall be allocated among the Lower Tier Interests
          in REMIC 1 in the same manner that principal distributions are
          allocated.

         

        On
          each
          Distribution Date, the Securities Administrator shall distribute the Prepayment
          Premiums collected during the preceding Prepayment Period to the Class
          LT1-F42
          and Class LT1-V42 Lower Tier Interests, respectively.

         

        REMIC
          2:

         

        The
          following table sets forth the designations, principal balances and interest
          rates for each interest in REMIC 2, each of which (other than the Class
          LT2-R
          interest) is hereby designated as a regular interest in REMIC 2 (the “REMIC 2
          Regular Interests”):

         

        
          
            
            

          

          
            -4-

            
              

            

          

          
            
            

          

        

      

    

    
      
        	
                REMIC
                  2

                Lower
                  Tier 

                Class
                  Designation

              	 	
                REMIC
                  2

                Lower
                  Tier

                Interest
                  Rate

              	 	
                Initial
                  Class 

                Principal
                  Amount

              	 	
                Corresponding
                  Class of Certificate(s)

              
	
                Class
                  LT2-I-A-1

              	 	
                (1)

              	 	
                (4)

              	 	
                I-A-1

              
	
                Class
                  LT2-I-A-2

              	 	
                (1)

              	 	
                (4)

              	 	
                I-A-2

              
	
                Class
                  LT2-II-A1

              	 	
                (1)

              	 	
                (4)

              	 	
                II-A-1

              
	
                Class
                  LT2-II-A2

              	 	
                (1)

              	 	
                (4)

              	 	
                II-A-2

              
	
                Class
                  LT2-II-A3

              	 	
                (1)

              	 	
                (4)

              	 	
                II-A-3

              
	
                Class
                  LT2-II-A4

              	 	
                (1)

              	 	
                (4)

              	 	
                II-A-4

              
	
                Class
                  LT2-II-A5

              	 	
                (1)

              	 	
                (4)

              	 	
                II-A-5

              
	
                Class
                  LT2-M1

              	 	
                (1)

              	 	
                (4)

              	 	
                M-1

              
	
                Class
                  LT2-M2

              	 	
                (1)

              	 	
                (4)

              	 	
                M-2

              
	
                Class
                  LT2-M3

              	 	
                (1)

              	 	
                (4)

              	 	
                M-3

              
	
                Class
                  LT2-M4

              	 	
                (1)

              	 	
                (4)

              	 	
                M-4

              
	
                Class
                  LT2-M5

              	 	
                (1)

              	 	
                (4)

              	 	
                M-5

              
	
                Class
                  LT2-M6

              	 	
                (1)

              	 	
                (4)

              	 	
                M-6

              
	
                Class
                  LT2-M7

              	 	
                (1)

              	 	
                (4)

              	 	
                M-7

              
	
                Class
                  LT2-M8

              	 	
                (1)

              	 	
                (4)

              	 	
                M-8

              
	
                Class
                  LT2-M9

              	 	
                (1)

              	 	
                (4)

              	 	
                M-9

              
	
                Class
                  LT2-M10

              	 	
                (1)

              	 	
                (4)

              	 	
                M-10

              
	
                Class
                  LT2-Q

              	 	
                (1)

              	 	
                (5)

              	 	
                N/A

              
	
                Class
                  LT2-IO

              	 	
                (2)

              	 	
                (2)

              	 	
                N/A

              
	
                Class
                  LT2-R

              	 	
                (3)

              	 	
                (3)

              	 	
                R

              
	
                Class
                  LT2-Reserve-IO

              	 	
                (6)

              	 	
                (6)

              	 	
                N/A

              

      

      ___________________________

      
        	 	
                (1)

              	
                For
                  any Distribution Date (and the related Interest Accrual Period)
                  the
                  interest rate for each of these Lower Tier Interests in REMIC 2
                  is a per
                  annum rate equal to the weighted average of the interest rates
                  on the
                  Lower Tier Interests in REMIC 1 for such Distribution Date; provided,
                  however,
                  that (i) for any Distribution Date on which the Class LT2-IO Interest
                  is
                  entitled to a portion of the interest accruals on a Lower Tier
                  Interest in
                  REMIC 1 having an “F” in its class designation, as described in footnote
                  two below, such weighted average shall be computed by first subjecting
                  the
                  rate on such Lower Tier Interest in REMIC 1 to a cap equal to Swap
                  LIBOR
                  for such Distribution Date, and (ii) for any Distribution Date
                  on which
                  the Class LT2-Reserve-IO interest is entitled to receive interest,
                  as
                  described in footnote six below, such weighted average shall be
                  reduced by
                  0.80%.

              

      

       

      
        	 	
                (2)

              	
                The
                  Class LT2-IO is an interest only class that does not have a principal
                  balance. For only those Distribution Dates listed in the first
                  column in
                  the table below, the Class LT2-IO shall be entitled to interest
                  accrued on
                  the Lower Tier Interest in REMIC 1 listed in second column in the
                  table
                  below at a per annum rate equal to the excess, if any, of (i) the
                  interest
                  rate for such Lower Tier Interest in REMIC 1 for such Distribution
                  Date
                  over (ii) Swap LIBOR for such Distribution
                  Date.

              

      

       

      
        	
                Distribution
                  Dates

              	 	
                REMIC
                  

                1
                  Class Designation

              
	
                2

              	 	
                Class
                  LT1-F1

              
	
                2-3

              	 	
                Class
                  LT1-F2

              
	
                2-4

              	 	
                Class
                  LT1-F3

              
	
                2-5

              	 	
                Class
                  LT1-F4

              
	
                2-6

              	 	
                Class
                  LT1-F5

              
	
                2-7

              	 	
                Class
                  LT1-F6

              
	
                2-8

              	 	
                Class
                  LT1-F7

              
	
                2-9

              	 	
                Class
                  LT1-F8

              
	
                2-10

              	 	
                Class
                  LT1-F9

              

      

       

      
        
          
          

        

        
          -5-

          
            

          

        

        
          
          

        

      

      
        	
                2-11

              	 	
                Class
                  LT1-F10

              
	
                2-12

              	 	
                Class
                  LT1-F11

              
	
                2-13

              	 	
                Class
                  LT1-F12

              
	
                2-14

              	 	
                Class
                  LT1-F13

              
	
                2-15

              	 	
                Class
                  LT1-F14

              
	
                2-16

              	 	
                Class
                  LT1-F15

              
	
                2-17

              	 	
                Class
                  LT1-F16

              
	
                2-18

              	 	
                Class
                  LT1-F17

              
	
                2-19

              	 	
                Class
                  LT1-F18

              
	
                2-20

              	 	
                Class
                  LT1-F19

              
	
                2-21

              	 	
                Class
                  LT1-F20

              
	
                2-22

              	 	
                Class
                  LT1-F21

              
	
                2-23

              	 	
                Class
                  LT1-F22

              
	
                2-24

              	 	
                Class
                  LT1-F23

              
	
                2-25

              	 	
                Class
                  LT1-F24

              
	
                2-26

              	 	
                Class
                  LT1-F25

              
	
                2-27

              	 	
                Class
                  LT1-F26

              
	
                2-28

              	 	
                Class
                  LT1-F27

              
	
                2-29

              	 	
                Class
                  LT1-F28

              
	
                2-30

              	 	
                Class
                  LT1-F29

              
	
                2-31

              	 	
                Class
                  LT1-F30

              
	
                2-32

              	 	
                Class
                  LT1-F31

              
	
                2-33

              	 	
                Class
                  LT1-F32

              
	
                2-34

              	 	
                Class
                  LT1-F33

              
	
                2-35

              	 	
                Class
                  LT1-F34

              
	
                2-36

              	 	
                Class
                  LT1-F35

              
	
                2-37

              	 	
                Class
                  LT1-F36

              
	
                2-38

              	 	
                Class
                  LT1-F37

              
	
                2-39

              	 	
                Class
                  LT1-F38

              
	
                2-40

              	 	
                Class
                  LT1-F39

              
	
                2-41

              	 	
                Class
                  LT1-F40

              
	
                2-42

              	 	
                Class
                  LT1-F41

              
	
                2-43

              	 	
                Class
                  LT1-F42

              

      

       

      
        	 	
                (3)

              	
                The
                  Class LT2-R interest is the sole class of residual interests in
                  REMIC 2.
                  It does not have an interest rate or a principal balance.
                  

              

      

       

      
        	 	
                (4)

              	
                This
                  Lower Tier Interest shall have an initial class principal amount
                  equal to
                  one-half of the initial Class Principal Amount of its Corresponding
                  Class
                  of Certificates.

              

      

       

      
        	 	
                (5)

              	
                This
                  Lower Tier Interest shall have an initial class principal amount
                  equal to
                  the excess of (i) the Pool Stated Principal Balance as of the Cut-off
                  Date, over (ii) the aggregate initial Class Principal Amount of
                  each other
                  regular interest in REMIC 2 (other than any interest-only Lower
                  Tier
                  Interest).

              

      

       

      
        	 	
                (6)

              	
                The
                  Class LT2-Reserve-IO is an interest only class that does not have
                  a
                  principal balance. For only those Distribution Dates on or after
                  the
                  Distribution Date in November 2016 to and including the Distribution
                  Date
                  in October 2036, the Class LT2-Reserve-IO shall have a notional
                  principal
                  balance equal to the aggregate Stated Principal Balance of the
                  Mortgage
                  Loans having an original term to maturity of 40 years and shall
                  accrue
                  interest on such notional principal balance at a per annum rate
                  of
                  0.80%.

              

      

       

      On
        each
        Distribution Date, interest shall be distributed on the Lower Tier Interests
        in
        REMIC 2 based on the above-described interest rates; provided,
        however,
        that
        interest that accrues on the Class LT2-Q Interest shall be deferred in an
        amount
        equal to one-half of the increase, if any, in the Overcollateralization Amount
        for such Distribution Date. Any interest so deferred shall itself bear interest
        at the interest rate for the Class LT2-Q Interest. An amount equal to the
        interest so deferred shall be distributed as additional principal on the
        other
        Lower Tier Interests in REMIC 2 having a principal balance in the manner
        described under priority (a) below.

       

      
        
          
          

        

        
          -6-

          
            

          

        

        
          
          

        

      

      On
        each
        Distribution Date principal shall be distributed, and Realized Losses shall
        be
        allocated, among the Lower Tier Interests in REMIC 2 in the following order
        of
        priority:

       

      (a) First,
        to
        the Class LT2-I-A-1, Class LT2-I-A-2, Class LT2-II-A1, Class LT2-II-A2, Class
        LT2-II-A3, Class LT2-II-A4, , Class LT2-II-A5, Class LT2-M1, Class LT2-M2,
        Class LT2-M3, Class LT2-M4, Class LT2-M5, Class LT2-M6, Class LT2-M7, Class
        LT2-M8, Class LT2-M9, and Class LT2-M10 Interests until the principal balance
        of
        each such Lower Tier Interest equals one-half of the Class Principal Amount
        of
        the Corresponding Class of Certificates immediately after such Distribution
        Date; and

       

      (b) Second,
        to the Class LT2-Q Interests, any remaining amounts.

       

      On
        each
        Distribution Date, the Securities Administrator shall be deemed to have
        distributed the Prepayment Premiums passed through with respect to the Class
        LT1-F42 and Class LT1-V42 Lower Tier Interests in REMIC 1 on such Distribution
        Date to the Class LT2-Q Interest.

       

      Upper
        Tier REMIC

       

      The
        Upper
        Tier REMIC shall issue the following Classes of Upper Tier REMIC Regular
        Interests and each such interest, other than the Class R Interest, is hereby
        designated as a regular interest in the Upper Tier REMIC.

       

      Upper
        Tier REMIC

      

        
          	
                  Upper
                    Tier REMIC 

                  Class Designation

                	 	
                  Upper
                    Tier REMIC Interest Rate and Corresponding Class Interest
                    Rate

                	 	 Initial
                  Upper Tier REMIC Principal Amount and Corresponding Class Certificate
                  Balance or Class Notional Balance	 	
                  Corresponding

                  Class of
                    Certificates

                
	
                  Class I-A

                	 	
                  (1)

                	 	
                  $

                	
                  591,377,000

                	 	
                  Class I-A(11)

                
	
                  Class II-A-1

                	 	
                  (2)

                	 	
                  $

                	
                  243,654,000

                	 	
                  Class II-A(11)

                
	
                  Class II-A-2

                	 	
                  (3)

                	 	
                  $

                	
                  50,837,000

                	 	
                  Class II-A-2(11)

                
	
                  Class II-A-3

                	 	
                  (4)

                	 	
                  $

                	
                  116,679,000

                	 	
                  Class II-A-3(11)

                
	
                  Class II-A-4

                	 	
                  (5)

                	 	
                  $

                	
                  37,734,000

                	 	
                  Class II-A-4(11)

                
	
                  Class
                    II-A-5

                	 	
                  (6)

                	 	
                  $

                	
                  12,000,000

                	 	
                  Class II-A-5(11)

                
	
                  Class M-1

                	 	
                  (7)

                	 	
                  $

                	
                  42,014,000

                	 	
                  Class M-1(11)

                
	
                  Class M-2

                	 	
                  (7)

                	 	
                  $

                	
                  36,922,000

                	 	
                  Class M-2(11)

                
	
                  Class M-3

                	 	
                  (7)

                	 	
                  $

                	
                  22,918,000

                	 	
                  Class M-3(11)

                
	
                  Class M-4

                	 	
                  (7)

                	 	
                  $

                	
                  20,371,000

                	 	
                  Class M-4(11)

                

        

         

        
          
            
            

          

          
            -7-

            
              

            

          

          
            
            

          

        

         

          	
                  Upper
                    Tier REMIC 

                  Class Designation

                	 	
                  Upper
                    Tier REMIC Interest Rate and Corresponding Class Interest
                    Rate

                	 	 Initial
                  Upper Tier REMIC Principal Amount and Corresponding Class Certificate
                  Balance or Class Notional Balance	 	
                  Corresponding

                  Class of
                    Certificates

                

        

        
          	
                  Class M-5

                	 	
                  (7)

                	 	
                  $

                	
                  19,734,000

                	 	
                  Class M-5(11)

                
	
                  Class M-6

                	 	
                  (7)

                	 	
                  $

                	
                  17,824,000

                	 	
                  Class M-6(11)

                
	
                  Class M-7

                	 	
                  (7)

                	 	
                  $

                	
                  17,188,000

                	 	
                  Class M-7(11)

                
	
                  Class M-8

                	 	
                  (7)

                	 	
                  $

                	
                  9,549,000

                	 	
                  Class M-8(11)

                
	
                  Class M-9

                	 	
                  (7)

                	 	
                  $

                	
                  8,276,000

                	 	
                  Class M-9(11)

                
	
                  Class M-10

                	 	
                  (7)

                	 	
                  $

                	
                  10,185,000

                	 	
                  Class M-10(11)

                
	
                  Class X

                	 	
                  (8)

                	 	 	
                  (8)

                	 	
                  Class X

                
	
                  Class R

                	 	
                  (9)

                	 	 	
                  (9)

                	 	
                  Class R

                
	
                  Class P

                	 	
                  (10)

                	 	 	
                  (10)

                	 	
                  Class
                    P

                
	 	 	 	 	 	 	 	 

        

        
          	
                  (1)

                	
                  The
                    Class I-A Interest will bear interest during each Interest Accrual
                    Period
                    at a per annum rate equal to (a) on or prior to the Optional
                    Termination Date, the lesser of (i) LIBOR plus the applicable
                    Interest Margin and (ii) the Group I Available Funds Cap or
                    (b) after the Optional Termination Date, the lesser of (i) LIBOR
                    plus the applicable Interest Margin and (ii) the Group I Available
                    Funds Cap. For purposes of the REMIC Provisions, the reference
                    to “Group I
                    Available Funds Cap” in clause (ii) of the preceding sentence shall be
                    deemed a reference to the REMIC 2 Net Funds Cap; therefore, on
                    any
                    Distribution Date on which the Interest Rate for the Class I-A
                    Certificates exceeds the REMIC 2 Net Funds Cap, interest accruals
                    based on
                    such excess shall be treated as having been paid from the Excess
                    Reserve
                    Fund Account or the Supplemental Interest Trust, as applicable;
                    on any
                    Distribution Date on which the Interest Rate on the Class I-A
                    Certificates
                    is based on the Group I Available Funds Cap, the amount of interest
                    that
                    would have accrued on the Class I-A Certificates if the REMIC
                    2 Net Funds
                    Cap were substituted for the Group I Available Funds Cap shall
                    be treated
                    as having been paid by the Class I-A Certificateholders to the
                    Supplemental Interest Trust, all pursuant to and as further provided
                    in
                    Section 8.11 hereof.

                

        

         

        
          	
                  (2)

                	
                  The
                    Class II-A-1 Interest will bear interest during each Interest
                    Accrual
                    Period at a per annum rate equal to (a) on or prior to the Optional
                    Termination Date, the lesser of (i) LIBOR plus the applicable
                    Interest Margin and (ii) the Group II Available Funds Cap or
                    (b) after the Optional Termination Date, the lesser of (i) LIBOR
                    plus the applicable Interest Margin and (ii) the Group II Available
                    Funds Cap. For purposes of the REMIC Provisions, the reference
                    to “Group
                    II Available Funds Cap” in clause (ii) of the preceding sentence shall be
                    deemed a reference to the REMIC 2 Net Funds Cap; therefore, on
                    any
                    Distribution Date on which the Interest Rate for the Class II-A-1
                    Certificates exceeds the REMIC 2 Net Funds Cap, interest accruals
                    based on
                    such excess shall be treated as having been paid from the Excess
                    Reserve
                    Fund Account or the Supplemental Interest Trust, as applicable;
                    on any
                    Distribution Date on which the Interest Rate on the Class II-A-1
                    Certificates is based on the Group II Available Funds Cap, the
                    amount of
                    interest that would have accrued on the Class II-A-1 Certificates
                    if the
                    REMIC 2 Net Funds Cap were substituted for the Group II Available
                    Funds
                    Cap shall be treated as having been paid by the Class II-A-1
                    Certificateholders to the Supplemental Interest Trust, all pursuant
                    to and
                    as further provided in Section 8.11
                    hereof.

                

        

         

        
          	
                  (3)

                	
                  The
                    Class II-A-2 Interest will bear interest during each Interest
                    Accrual
                    Period at a per annum rate equal to (a) on or prior to the Optional
                    Termination Date, the lesser of (i) LIBOR plus the applicable
                    Interest Margin and (ii) the Group II Available Funds Cap or
                    (b) after the Optional Termination Date, the lesser of (i) LIBOR
                    plus the applicable Interest Margin and (ii) the Group II Available
                    Funds Cap. For purposes of the REMIC Provisions, the reference
                    to “Group
                    II Available Funds Cap” in clause (ii) of the preceding sentence shall be
                    deemed a reference to the REMIC 2 Net Funds Cap; therefore, on
                    any
                    Distribution Date on which the Interest Rate for the Class II-A-2
                    Certificates exceeds the REMIC 2 Net Funds Cap, interest accruals
                    based on
                    such excess shall be treated as having been paid from the Excess
                    Reserve
                    Fund Account or the Supplemental Interest Trust, as applicable;
                    on any
                    Distribution Date on which the Interest Rate on the Class II-A-2
                    Certificates is based on the Group II Available Funds Cap, the
                    amount of
                    interest that would have accrued on the Class II-A-2 Certificates
                    if the
                    REMIC 2 Net Funds Cap were substituted for the Group II Available
                    Funds
                    Cap shall be treated as having been paid by the Class II-A-2
                    Certificateholders to the Supplemental Interest Trust, all pursuant
                    to and
                    as further provided in Section 8.11
                    hereof.

                

        

         

        
          
            
            

          

          
            -8-

            
              

            

          

          
            
            

          

        

        
          	
                  (4)

                	
                  The
                    Class II-A-3 Interest will bear interest during each Interest
                    Accrual
                    Period at a per annum rate equal to (a) on or prior to the Optional
                    Termination Date, the lesser of (i) LIBOR plus the applicable
                    Interest Margin and (ii) the Group II Available Funds Cap or
                    (b) after the Optional Termination Date, the lesser of (i) LIBOR
                    plus the applicable Interest Margin and (ii) the Group II Available
                    Funds Cap. For purposes of the REMIC Provisions, the reference
                    to “Group
                    II Available Funds Cap” in clause (ii) of the preceding sentence shall be
                    deemed a reference to the REMIC 2 Net Funds Cap; therefore, on
                    any
                    Distribution Date on which the Interest Rate for the Class II-A-3
                    Certificates exceeds the REMIC 2 Net Funds Cap, interest accruals
                    based on
                    such excess shall be treated as having been paid from the Excess
                    Reserve
                    Fund Account or the Supplemental Interest Trust, as applicable;
                    on any
                    Distribution Date on which the Interest Rate on the Class II-A-3
                    Certificates is based on the Group II Available Funds Cap, the
                    amount of
                    interest that would have accrued on the Class II-A-3 Certificates
                    if the
                    REMIC 2 Net Funds Cap were substituted for the Group II Available
                    Funds
                    Cap shall be treated as having been paid by the Class II-A-3
                    Certificateholders to the Supplemental Interest Trust, all pursuant
                    to and
                    as further provided in Section 8.11
                    hereof.

                

        

         

        
          	
                  (5)

                	
                  The
                    Class II-A-4 Interest will bear interest during each Interest
                    Accrual
                    Period at a per annum rate equal to (a) on or prior to the Optional
                    Termination Date, the lesser of (i) LIBOR plus the applicable
                    Interest Margin and (ii) the Group II Available Funds Cap or
                    (b) after the Optional Termination Date, the lesser of (i) LIBOR
                    plus the applicable Interest Margin and (ii) the Group II Available
                    Funds Cap. For purposes of the REMIC Provisions, the reference
                    to “Group
                    II Available Funds Cap” in clause (ii) of the preceding sentence shall be
                    deemed a reference to the REMIC 2 Net Funds Cap; therefore, on
                    any
                    Distribution Date on which the Interest Rate for the Class II-A-4
                    Certificates exceeds the REMIC 2 Net Funds Cap, interest accruals
                    based on
                    such excess shall be treated as having been paid from the Excess
                    Reserve
                    Fund Account or the Supplemental Interest Trust, as applicable;
                    on any
                    Distribution Date on which the Interest Rate on the Class II-A-4
                    Certificates is based on the Group II Available Funds Cap, the
                    amount of
                    interest that would have accrued on the Class II-A-4 Certificates
                    if the
                    REMIC 2 Net Funds Cap were substituted for the Group II Available
                    Funds
                    Cap shall be treated as having been paid by the Class II-A-4
                    Certificateholders to the Supplemental Interest Trust, all pursuant
                    to and
                    as further provided in Section 8.11
                    hereof.

                

        

         

        
          	
                  (6)

                	
                  The
                    Class II-A-5 Interest is a principal-only interest that will
                    not accrue
                    interest on its Class Certificate
                    Balance.

                

        

         

        
          	
                  (7)

                	
                  The
                    Class M-1, Class M-2, Class M-3, Class M-4,
                    Class M-5, Class M-6, Class M-7, Class M-8,
                    Class M-9 and Class M-10 Interests will bear interest during
                    each Interest Accrual Period at a per annum rate equal to (a) on or
                    prior to the Optional Termination Date, the lesser of (i) LIBOR plus
                    the applicable Interest Margin and (ii) the Class M Available Funds
                    Cap or (b) after the Optional Termination Date, the lesser of
                    (i) LIBOR plus the applicable Interest Margin and (ii) the Class
                    M Available Funds Cap. For purposes of the REMIC Provisions,
                    the reference
                    to Class M Available Funds Cap in clause (ii) of the preceding
                    sentence
                    shall be deemed to be a reference to the REMIC 2 Net Funds Cap;
                    therefore,
                    on any Distribution Date on which the Interest Rate for the Class
                    M-1,
                    M-2, M-3, M-4, M-5, M-6, M-7, M-8, M-9 and M-10 Certificates,
                    as
                    applicable, exceeds the REMIC 2 Net Funds Cap, interest accruals
                    based on
                    such excess shall be treated as having been paid from the Excess
                    Reserve
                    Fund Account or the Supplemental Interest Trust, as applicable;
                    on any
                    Distribution Date on which the Interest Rate on the Class M-1,
                    M-2, M-3,
                    M-4, M-5, M-6, M-7, M-8, M-9 and M-10 Certificates, as applicable,
                    is
                    based on the Class M Available Funds Cap, the amount of interest
                    that
                    would have accrued on each such Class of Certificates if the
                    REMIC 2 Net
                    Funds Cap were substituted for the Class M Available Funds Cap
                    shall be
                    treated as having been paid by the Class M-1, M-2, M-3, M-4,
                    M-5, M-6,
                    M-7, M-8, M-9 and M-10 Certificateholders, as applicable, to
                    the
                    Supplemental Interest Trust, all pursuant to and as further provided
                    in
                    Section 8.11 hereof. 

                

        

         

        
          
            
            

          

          
            -9-

            
              

            

          

          
            
            

          

        

        
          	
                  (8)

                	
                  For
                    purposes of the REMIC Provisions, the Class X Interest shall
                    have an
                    initial principal balance of $15,914,838.14 (initial overcollateralization
                    of $15,914,938.14 less $100.00 attributable to the Class P Principal
                    Amount), and the right to receive distributions of such amount
                    represents
                    a regular interest in the Upper Tier REMIC. The Class X Certificate
                    shall
                    also comprise two notional components, each of which represents
                    a regular
                    interest in the Upper Tier REMIC. The first such component has
                    a notional
                    balance that will at all times equal the aggregate of the Class
                    Principal
                    Amounts of the Lower Tier Interests in REMIC 2, and, for each
                    Distribution
                    Date (and the related Interest Accrual Period) this notional
                    component
                    shall bear interest at a per annum rate equal to the excess,
                    if any, of
                    (i) (a) the weighted average of the interest rates on the Lower
                    Tier
                    Interests in REMIC 2 (other than any interest-only regular interest)
                    minus
                    (b) the Credit Risk Manager’s Fee over (ii) the Adjusted Lower Tier WAC.
                    The second notional component represents the right to receive
                    all
                    distributions in respect of the Class LT2-IO in REMIC 2 (the
“LT3-I”
                    interest). In addition, for purposes of the REMIC Provisions,
                    the Class X
                    Certificate shall represent beneficial ownership of (i) the Excess
                    Reserve
                    Fund Account; (ii) the Supplemental Interest Trust, including
                    the Swap
                    Agreement, Swap Account, Cap Agreement, and Cap Account, and
                    (iii) an
                    interest in the notional principal contracts described in Section
                    8.11
                    hereof.

                

        

         

        
          	
                  (9)

                	
                  The
                    Class R Interest is the sole Class of residual interest in the Upper
                    Tier REMIC. The Class R Interest is issued without a principal amount
                    does not bear a stated Interest Rate. The Class R Certificate
                    will be
                    issued as a single certificate evidencing the initial Percentage
                    Interest
                    of such Class, and shall represent ownership of each of the Class
                    R, Class
                    LT1-R, and Class LT2-R Interests.

                

        

         

        
          	
                  (10)

                	
                  The
                    Class P Interest shall not bear interest at a stated Interest
                    Rate.
                    Prepayment Charges paid with respect to the Mortgage Loans shall
                    be paid
                    to the Class P Certificateholders as provided in Section 4.02(b).
                    For
                    purposes of the REMIC Provisions, the Class P Interest shall
                    represent a
                    regular interest in the Upper Tier REMIC. The Class P Certificate
                    will
                    have a Class P Principal Amount of
                    $100.

                

        

         

        
          	
                  (11)

                	
                  Each
                    of these Certificates will represent not only the ownership of
                    the
                    Corresponding Class of Upper Tier REMIC Regular Interest but also the
                    right to receive payments from (i) the Excess Reserve Fund Account
                    in
                    respect of any Basis Risk Carryover Amounts and (ii) the Supplemental
                    Interest Trust in respect of proceeds from the Derivative Agreements.
                    For
                    federal income tax purposes, the Securities Administrator will
                    treat a
                    Certificateholder’s right to receive payments from the Excess Reserve Fund
                    Account as payments made pursuant to an a notional principal
                    contract
                    written by the Class X
                    Certificateholders.

                

        

         

        The
          minimum denomination for each Class of Certificates, other than the
          Class P, Class R and the Class X Certificates, will be $25,000 of
          Certificate Balance ($100,000 with respect to initial investors resident
          in a
          Member State of the European Economic Area subject to the EU Prospectus
          Directive 2003/71/EC) with integral multiples of $1 in excess thereof,
          except
          that one Certificate in each Class may be issued in a different amount. The
          minimum denomination for each of the Class P and Class X Certificates
          will be a 10.00% Percentage Interest in such Class, and the minimum denomination
          for the Class R Certificates shall be 100% Percentage Interest in such
          Class.

         

        Set
          forth
          below are designations of Classes of Certificates to the categories used
          herein:

      

    

    

      
        	
                Book-Entry
                  Certificates

              	
                All
                  Classes of Certificates other than the Physical
                  Certificates.

              
	
                 

              	
                 

              
	
                Class A
                  Certificates

              	
                Class
                  I-A, Class II-A-1, Class  II-A-2, Class II-A-3, Class II-A-4 and
                  Class II-A-5 Certificates.

              
	
                 

              	
                 

              
	
                Class M
                  Certificates

              	
                Class M-1,
                  Class M-2, Class M-3, Class M-4, Class M-5,
                  Class M-6, Class M-7, Class M-8, Class M-9 and
                  Class M-10 Certificates.

              
	
                 

              	
                 

              
	
                
                  ERISA-Restricted
                    Certificates

                

              	
                Any
                  Class P, Class X and Class R Certificates and any Certificate with
                  a
                  rating which falls below the lowest applicable permitted rating
                  under the
                  Underwriters’ Exemption.

              

      

       

      
        
          
          

        

        
          -10-

          
            

          

        

        
          
          

        

      

      
        	
                
                  ERISA-Restricted
                    Trust Certificates

                

              	
                Any
                  Class A Certificate or Class M Certificate.

              
	
                 

              	
                 

              
	
                Group
                  I Certificates

              	
                The
                  Class I-A Certificates.

              
	
                 

              	
                 

              
	
                Group
                  II Certificates

              	
                Collectively,
                  the Class II-A-1, Class II-A-2, Class II-A-3, Class II-A-4 and
                  Class
                  II-A-5, Certificates.

              
	
                 

              	
                 

              
	
                LIBOR
                  Certificates

              	
                All
                  Classes of Certificates other than the Private
                  Certificates.

              
	
                 

              	
                 

              
	
                Offered
                  Certificates

              	
                All
                  Classes of Certificates other than the Private
                  Certificates.

              
	
                 

              	
                 

              
	
                Physical
                  Certificates

              	
                Class P,
                  Class X and Class R Certificates.

              
	
                 

              	
                 

              
	
                Principal-Only
                  Certificates

              	
                The
                  Class II-A-5 Certificates.

              
	
                 

              	
                 

              
	
                Private
                  Certificates

              	
                Class
                  M-10, Class P, Class X and Class R
                  Certificates.

              
	
                 

              	
                 

              
	
                Rating
                  Agencies

              	
                Fitch,
                  Moody’s and Standard & Poor’s.

              
	
                 

              	
                 

              
	
                Regular
                  Certificates

              	
                All
                  Classes of Certificates other than the Class R
                  Certificates.

              
	
                 

              	
                 

              
	
                Residual
                  Certificates

              	
                Class R
                  Certificates.

              

      

    

    
       

      ARTICLE
        I

       

      DEFINITIONS

       

      Whenever
        used in this Agreement, the following words and phrases, unless the context
        otherwise requires, shall have the following meanings:

       

      10-K
        Filing Deadline: As defined in Section 8.12(a)(ii).

       

      Account:
        Any of
        the Collection Accounts, the Distribution Account and any Escrow Account,
        with
        respect to the Supplemental Interest Trust, the Excess Reserve Fund Account
        and
        the Supplemental Interest Trust Account and with respect to the Final Maturity
        Reserve Trust, the Final Maturity Reserve Fund. Each Account shall be an
        Eligible Account.

       

      Additional
        Disclosure Notification:
        The
        form of notice set forth on Exhibit Y.

       

      Additional
        Form 10-D Disclosure:
        As
        defined in Section 8.12(a)(i). 

       

      Additional
        Form 10-K Disclosure:
        As
        defined in Section 8.12(a)(ii). 

       

      
        
          
          

        

        
          -11-

          
            

          

        

        
          
          

        

      

      Additional
        Termination Event:
        As
        defined in the Cap Agreement or the Swap Agreement, as applicable.

       

      Adjustable
        Rate Mortgage Loan:
        A
        Mortgage Loan which provides for the adjustment of the Mortgage Rate payable
        in
        respect thereto.

       

      Adjusted
        Lower Tier WAC: For
        any
        Distribution Date (and the related Accrual Period), an amount equal to (i)
        two,
        multiplied by (ii) the weighted average of the interest rates for such
        Distribution Date for the Class LT2-I-A-1, LT2-II-A-1, LT2-II-A-2, LT2-II-A-3,
        LT2-II-A-4, LT2-II-A-5, LT2-M-1, LT2-M-2, LT2-M-3, LT2-M-4, LT2-M-5, LT2-M-6,
        LT2-M-7, LT2-M-8, LT2-M-9, LT2-M-10 and LT2-Q Interests, weighted in proportion
        to their Class Principal Amounts as of the beginning of the related Accrual
        Period and computed by subjecting the rate on the Class LT2-Q Interest to
        a cap
        of 0.00%, and by subjecting the rate on each of the Class LT2-I-A-1, LT2-II-A-1,
        LT2-II-A-2, LT2-II-A-3, LT2-II-A-4, LT2-II-A-5, LT2-M-1, LT2-M-2, LT2-M-3,
        LT2-M-4, LT2-M-5, LT2-M-6, LT2-M-7, LT2-M-8, LT2-M-9 and LT2-M-10 Interests
        to a
        cap that corresponds to the Interest Rate (determined by substituting the
        REMIC
        2 Net Funds Cap for the applicable Available Funds Cap) for the Corresponding
        Class of Certificates; provided,
        however,
        that
        for each Class of LIBOR Certificates, the Certificate Interest Rate shall
        be
        multiplied by the quotient of (a) the actual number of days in the Interest
        Accrual Period, divided by (b) 30. 

       

      Advance:
        Any
        P&I Advance or Servicing Advance.

       

      Affected
        Party:
        As
        defined in the Swap Agreement.

       

      Affiliate:
        With
        respect to any Person, any other Person controlling, controlled by or under
        common control with such first Person. For the purposes of this definition,
        “control” 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:
        This
        Pooling and Servicing Agreement and all amendments or supplements
        hereto.

       

      Amounts
        Held for Future Distribution:
        As to
        the Certificates on any Distribution Date, the aggregate amount held in the
        Collection Accounts of the Servicers at the close of business on the related
        Determination Date on account of (i) Principal Prepayments, Insurance
        Proceeds, Condemnation Proceeds, Liquidation Proceeds and Subsequent Recoveries
        on the Mortgage Loans received after the end of the related Prepayment Period
        and (ii) all Scheduled Payments on the Mortgage Loans due after the end of
        the related Due Period.

       

      Applied
        Realized Loss Amount:
        With
        respect to any Distribution Date, the amount, if any, by which the aggregate
        Class Certificate Balance of the LIBOR Certificates and the Principal-Only
        Certificates after distributions of principal on such Certificates on such
        Distribution Date exceeds the aggregate Stated Principal Balance of the Mortgage
        Loans for such Distribution Date.

       

      
        
          
          

        

        
          -12-

          
            

          

        

        
          
          

        

      

      Appraised
        Value:
        The
        value set forth in an appraisal made in connection with the origination of
        the
        related Mortgage Loan as the value of the Mortgaged Property.

       

      Assignment
        of Mortgage:
        An
        assignment of the Mortgage, notice of transfer or equivalent instrument in
        recordable form (other than the assignee’s name and recording information not
        yet returned from the recording office), reflecting the sale of the Mortgage
        to
        the Trustee.

       

      Available
        Funds:
        With
        respect to any Distribution Date and the Mortgage Loans to the extent received
        by the Master Servicer (x) the sum of (i) all scheduled installments
        of interest (net of the related Expense Fees) and principal due on the Due
        Date
        on such Mortgage Loans in the related Due Period and received by the Servicers
        on or prior to the related Determination Date, together with any
        P&I Advances in respect thereof; (ii) all Condemnation Proceeds,
        Insurance Proceeds, Liquidation Proceeds and Subsequent Recoveries received
        by
        the Servicers during the related Prepayment Period (in each case, net of
        unreimbursed expenses incurred in connection with a liquidation or foreclosure
        and unreimbursed Advances, if any); (iii) all partial or full prepayments
        on the Mortgage Loans received by the Servicers during the related Prepayment
        Period together with all Compensating Interest paid by the Servicers in
        connection therewith (excluding any Prepayment Charges); (iv) all
        Substitution Adjustment Amounts with respect to the substitutions of Mortgage
        Loans that occur on or prior to the related Determination Date; (v) all
        amounts received with respect to such Distribution Date as the Repurchase
        Price
        in respect of a Mortgage Loan repurchased by a Mortgage Loan Seller or the
        Sponsor on or prior to the related Determination Date; and (vi) the
        proceeds with respect to the termination of the Trust Fund pursuant to
        clause (a) of Section 11.01; reduced by (y) amounts in
        reimbursement for Advances previously made with respect to the Mortgage Loans
        and other amounts as to which a Servicer, the Depositor, the Master Servicer,
        the Securities Administrator, the Credit Risk Manager or the Trustee are
        entitled to be paid or reimbursed pursuant to the Servicing Agreements or
        this
        Agreement.

       

      Back-up
        Certification:
        As
        defined in Section 3.05.

       

      Basic
        Principal Payment Amount:
        With
        respect to any Distribution Date, the excess of (i) the Principal
        Remittance Amount for such Distribution Date over (ii) the Excess
        Overcollateralization Amount, if any, for such Distribution Date.

       

      Basis
        Risk Carryover Amount:
        With
        respect to each Class of LIBOR Certificates, as of any Distribution Date,
        the sum of (A) if on such Distribution Date the Interest Rate for any
        Class of LIBOR Certificates is based upon the Group I Available Funds Cap,
        the Group II Available Funds Cap or the Class M Available Funds Cap, as
        applicable, the excess of (i) the amount of interest such Class of
        Certificates would otherwise be entitled to receive on such Distribution
        Date
        had such Interest Rate been calculated (x) as the sum of LIBOR and the
        applicable Interest Margin on such Class of Certificates for such
        Distribution Date, over (ii) the amount of interest payable on such
        Class of Certificates, in the case of any Group I Certificates, based on
        the Group I Available Funds Cap, Class of Group II Certificates, based on
        the
        Group II Available Funds Cap and in the case of any Class of Class M
        Certificates, based on the Class M Available Funds Cap and (B) the portion
        of any such excess described in clause (A) for such Class of
        Certificates from all previous Distribution Dates not previously paid, together
        with interest thereon at a rate equal the applicable Interest Rate for each
        such
        Class of Certificates for such Distribution Date. 

       

      
        
          
          

        

        
          -13-

          
            

          

        

        
          
          

        

      

      Basis
        Risk Payment:
        For any
        Distribution Date, an amount equal to the lesser of (i) the aggregate of
        the Basis Risk Carryover Amounts of the LIBOR Certificates and (ii) the
        Class X Distributable Amount (prior to any reduction for Basis Risk
        Payments).

       

      Book-Entry
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Business
        Day:
        Any day
        other than (i) Saturday or Sunday, or (ii) a day on which banking and
        savings and loan institutions, in (a) the States of New York, California,
        Maryland or Minnesota, (b) the Commonwealth of Pennsylvania or any other
        State in which a Servicer’s servicing operations are located, or (c) any
        State in which the Corporate Trust Office is located, are authorized or
        obligated by law or executive order to be closed.

       

      Cap
        Account:
        The
        sub-account of the Supplemental Interest Trust Account created pursuant to
        Section 4.06(a).

       

      Cap
        Agreement:
        The
        interest rate cap agreement entered into by the Supplemental Interest Trust
        and
        the Cap Counterparty, dated November 3, 2006, which agreement provides for
        the
        monthly payment specified to the securities administrator of the Supplemental
        Interest Trust (for the benefit of Certificateholders) commencing with the
        Distribution Date in May 2007 and ending on the Distribution Date in November
        2013, by the Cap Counterparty, but subject to the conditions set forth therein,
        together with any schedule, confirmations or other agreements relating thereto,
        attached as Exhibit P

       

      Cap
        Amount:
        With
        respect to each Distribution Date, the amount of any Cap Payment deposited
        into
        the Cap Account.

       

      Cap
        Counterparty:
        The
        counterparty to the Supplemental Interest Trust under the Cap Agreement,
        and any
        successor in interest or its assigns. Initially, the Cap Counterparty shall
        be
        Wachovia Bank, National Association.

       

      Cap
        Payment:
        With
        respect to each Distribution Date, any payment required to be made by the
        Cap
        Counterparty to the Supplemental Interest Trust pursuant to the terms of
        the Cap
        Agreement.

       

      Cap
        Payment Date:
        For as
        long as the Cap Agreement is in effect or any amounts remain unpaid thereunder,
        the Business Day immediately preceding each Distribution Date.

       

      Cap
        Replacement Receipts:
        As
        defined in Section 4.08(b)(i).

       

      Cap
        Replacement Receipts Account:
        As
        defined in Section 4.08(b)(i).

      

      Cap
        Termination Payment:
        Upon
        the designation of an “Early Termination Date” as defined in the Cap Agreement,
        the payment required to be made by the Cap Counterparty to the Supplemental
        Interest Trust pursuant to the terms of the Cap Agreement and any unpaid
        amounts
        due on previous Cap Payment Dates and accrued interest thereon as provided
        in
        the Cap Agreement, as calculated by the Cap Counterparty and furnished to
        the
        Securities Administrator.

       

      
        
          
          

        

        
          -14-

          
            

          

        

        
          
          

        

      

      Cap
        Termination Receipts:
        As
        defined in Section 4.08(b)(i).

       

      Cap
        Termination Receipts Account:
        As
        defined in Section 4.08(b)(i).

       

      Certificate:
        Any one
        of the Certificates executed by the Securities Administrator in substantially
        the forms attached hereto as exhibits.

       

      Certificate
        Balance:
        With
        respect to any Certificate, other than a Class X, Class P or
        Class R Certificate, at any date, the maximum dollar amount of principal to
        which the Holder thereof is then entitled hereunder, such amount being equal
        to
        the Denomination thereof minus all distributions of principal previously
        made
        with respect thereto and in the case of any Class M Certificates, reduced
        by any
        Applied Realized Loss Amounts allocated to such Class of Certificates
        pursuant to Section 4.05; provided,
        however,
        that
        immediately following the Distribution Date on which a Subsequent Recovery
        is
        distributed, the Class Certificate Balances of any Class or Classes of
        Certificates that have been previously reduced by Applied Realized Loss Amounts
        will be increased, in order of seniority, by the amount of any Subsequent
        Recovery distributed on such Distribution Date (up to the amount of Unpaid
        Realized Loss Amount for such Class or Classes for such Distribution Date).
        The Class P Certificates are issued with an initial Class P Principal
        Amount of $100. The Class X and Class R Certificates have no
        Certificate Balance. 

       

      Certificate
        Owner:
        With
        respect to a Book-Entry Certificate, the Person who is the beneficial owner
        of
        such Book-Entry Certificate.

       

      Certificate
        Register:
        The
        register maintained pursuant to Section 5.02.

       

      Certificateholder
        or
Holder:
        The
        person in whose name a Certificate is registered in the Certificate Register,
        except that, solely for the purpose of giving any consent pursuant to this
        Agreement, any Certificate registered in the name of the Depositor or any
        Affiliate of the Depositor shall be deemed not to be Outstanding and the
        Percentage Interest evidenced thereby shall not be taken into account in
        determining whether the requisite amount of Percentage Interests necessary
        to
        effect such consent has been obtained; provided,
        however,
        that if
        any such Person (including the Depositor) owns 100.00% of the Percentage
        Interests evidenced by a Class of Certificates, such Certificates shall be
        deemed to be Outstanding for purposes of any provision hereof that requires
        the
        consent of the Holders of Certificates of a particular Class as a condition
        to the taking of any action hereunder. The Securities Administrator is entitled
        to rely conclusively on a certification of the Depositor or any Affiliate
        of the
        Depositor in determining which Certificates are registered in the name of
        an
        Affiliate of the Depositor.

       

      Certification
        Parties:
        As
        defined in Section 3.05.

       

      Certifying
        Person:
        As
        defined in Section 3.05.

       

      Class:
        All
        Certificates bearing the same class designation as set forth in the Preliminary
        Statement.

       

      
        
          
          

        

        
          -15-

          
            

          

        

        
          
          

        

      

      Class I-A
        Certificates:
        All
        Certificates bearing the Class designation of “Class I-A”.

       

      Class II-A-1
        Certificates:
        All
        Certificates bearing the Class designation of “Class II-A-1”.

       

      Class II-A-2
        Certificates:
        All
        Certificates bearing the Class designation of “Class II-A-2”.

       

      Class II-A-3
        Certificates:
        All
        Certificates bearing the Class designation of “Class II-A-3”.

       

      Class II-A-4
        Certificates:
        All
        Certificates bearing the Class designation of “Class II-A-4”.

       

      Class II-A-5
        Certificates:
        All
        Certificates bearing the Class designation of “Class II-A-5”.

       

      Class A
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Class Certificate
        Balance:
        With
        respect to any Class of LIBOR Certificates and the Principal-Only Certificates
        and as to any date of determination, the aggregate of the Certificate Balances
        of all Certificates of such Class as of such date. With respect to the
        Class X, Class P and Class R Certificates, zero. With respect to any Lower
        Tier
        Interest and as to any date of determination, the initial Class Principal
        Balance as shown or described in the table set forth in the Preliminary
        Statement to this Agreement for the issuing REMIC, as reduced by any principal
        distributed with respect to such Lower Tier Interest and Realized Losses
        allocated to such Lower Tier Interest.

       

      Class
        I Shortfalls: As
        defined in Section 8.11 hereof. For
        purposes of clarity, the Class I Shortfall for any Distribution Date shall
        equal
        the amount payable to the Derivative Counterparty on such Distribution Date
        in
        excess of the amount payable with respect to the Class LT3-I interest in
        the
        Upper Tier REMIC on such Distribution Date, all as further provided in Section
        8.11 hereof.
        

       

      Class
        M Available Funds Cap:
        With
        respect to the Class M Certificates as of any Distribution Date, a per annum
        rate equal to the weighted average of the Group I Available Funds Cap and
        the
        Group II Available Funds Cap, weighted on the basis of the Group Subordinate
        Amount for the Group I Mortgage Loans and the Group Subordinate Amount for
        the
        Group II Mortgage Loans, respectively.

       

      Class M
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Class M
        Principal Payment Amount:
        With
        respect to any Distribution Date and any Class of Class M
        Certificates, the lesser of (i) the excess of (a) the Principal
        Payment Amount over (b) the aggregate amount distributed on that
        Distribution Date as principal to all Classes of Certificates more senior
        than
        that Class of Class M Certificates (provided,
        however,
        for
        this purpose, the Class M-1, Class M-2 and Class M-3 Certificates will be
        treated as having the same seniority) and (ii) the excess of (a) the sum
        of the
        aggregate Class Certificate Balances of all Class of Certificates more
        senior than that Class of Class M Certificates (after giving effect to
        all amounts distributed on that Distribution Date to those Classes of more
        senior certificates (provided,
        however,
        for
        this purpose, the Class M-1, Class M-2 and Class M-3 Certificates will be
        treated as having the same seniority)) and the Class Certificate Balance of
        that Class of Class M Certificates immediately prior to that
        Distribution Date over (b) the lesser of:

       

      
        
          
          

        

        
          -16-

          
            

          

        

        
          
          

        

      

      (x) the
        percentage set forth in the table below for the applicable Class of
        Class M Certificates multiplied by the aggregate Stated Principal Balance
        of the Mortgage Loans for that Distribution Date:

      

      
        	
                Class

              	 	
                Percentage

              
	
                M-1,
                  M-2 and M-3

              	 	
                81.30%*

              
	
                M-4

              	 	
                84.50%

              
	
                M-5

              	 	
                87.60%

              
	
                M-6

              	 	
                90.40%

              
	
                M-7

              	 	
                93.10%

              
	
                M-8

              	 	
                94.60%

              
	
                M-9

              	 	
                95.90%

              
	
                M-10

              	 	
                97.50%

              

      

       

      and

       

      (y) the
        excess, if any, of the aggregate Stated Principal Balance of the Mortgage
        Loans
        for that Distribution Date over 0.50% of the aggregate Stated Principal Balance
        of the Mortgage Loans as of the Cut-off Date, until the Class Certificate
        Balance of that Class of Class M Certificates has been reduced to
        zero.

      _______________

      
        	
              	*	
                The
                  amount calculated according to such percentage will be allocated
                  sequentially to the Class M-1, Class M-2 and Class M-3
                  Certificates.

              

      

       

      Class M-1
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-1”.

       

      Class M-2
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-2”.

       

      Class M-3
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-3”.

       

      Class M-4
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-4”.

       

      Class M-5
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-5”.

       

      
        
          
          

        

        
          -17-

          
            

          

        

        
          
          

        

      

      Class M-6
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-6”.

       

      Class M-7
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-7”.

       

      Class M-8
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-8”.

       

      Class M-9
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-9”.

       

      Class M-10
        Certificates:
        All
        Certificates bearing the Class designation of “Class M-10”.

       

      Class Notional
        Balance:
        Not
        applicable.

       

      Class P
        Certificates:
        All
        Certificates bearing the Class designation of “Class P”.

       

      Class P
        Principal Amount:
        As of
        the Closing Date, $100.00.

       

      Class R
        Certificates:
        All
        Certificates bearing the Class designation of “Class R”.

       

      Class X
        Certificates:
        All
        Certificates bearing the Class designation of “Class X”.

       

      Class
        X Distributable Amount:
        With
        respect to any Distribution Date, the amount of interest that has accrued
        on the
        Class X Notional Balance, as described in the Preliminary Statement, but
        that
        has not been distributed prior to such date. In addition, such amount shall
        include the initial Overcollateralization Amount of $15,914,838.14
        ($15,914,938.14 less $100 of such amount allocated to the Class P Certificates)
        to the extent such amount has not been distributed on an earlier Distribution
        Date as part of the Overcollateralization Reduction Amount.

       

      Class
        X Notional Balance:
        With respect to
        any Distribution Date (and the related Interest Accrual Period) the aggregate
        principal balance of the regular interests in REMIC 2 as specified in the
        Preliminary Statement hereto.

       

      Closing
        Date:
        November 3, 2006.

       

      Code:
        The
        Internal Revenue Code of 1986, including any successor or amendatory
        provisions.

       

      Collection
        Account:
        With
        respect to each Servicer, the account defined as a “Custodial Account” in the
        related Servicing Agreement

      

      Commission:
        The
        United States Securities and Exchange Commission.

       

      
        
          
          

        

        
          -18-

          
            

          

        

        
          
          

        

      

      Compensating
        Interest:
        For any
        Distribution Date, the lesser of (a) the amount, if any, by which the
        Prepayment Interest Shortfall, if any, for such Distribution Date, with respect
        to all voluntary Principal Prepayments (excluding any payments made upon
        liquidation of any Mortgage Loan) exceeds all Prepayment Interest Excesses
        for
        such Distribution Date, and (b) the aggregate amount of the Servicing Fee
        actually retained by or paid to the applicable Servicer for such Distribution
        Date.

       

      Condemnation
        Proceeds:
        All
        awards or settlements in respect of a Mortgaged Property, whether permanent
        or
        temporary, partial or entire, by exercise of the power of eminent domain
        or
        condemnation.

       

      Corporate
        Trust Office:
        With
        respect to the Securities Administrator, (i) for transfer, presentation or
        surrender of Certificates, the office at Wells Fargo Center, Sixth Street
        and
        Marquette Avenue, Minneapolis, Minnesota 55479, Attention: Corporate Trust
        Services -HASCO 2006-HE1, and (ii) for all other purposes, 9062 Old Annapolis
        Road, Columbia, Maryland 21045, Attention: Corporate Trust Services - HASCO
        2006-HE1 or at such other address as the Securities Administrator may designate
        from time to time by notice to the Certificateholders, the Depositor, the
        Master
        Servicer and the Trustee. With respect to the Trustee, the designated office
        of
        the Trustee in the State of California at which any particular time its
        corporate trust business with respect to this Agreement is administered,
        which
        office at the date of the execution of this Agreement is located at 1761
        East
        St. Andrew Place, Santa Ana, California 92705-4934, Attention: Trust
        Administration - HB06HE1, facsimile number (714) 247-6329, and its telephone
        number is (714) 247-6000 and which is also the address to which notices to
        and
        correspondence with the Trustee under this Agreement should be directed.
        

       

      Corresponding
        Class:
        As
        described in the Preliminary Statement.

       

      Countrywide
        Servicing:
        Countywide Home Loans Servicing LP.

       

      Credit
        Enhancement Percentage:
        With
        respect to any Distribution Date, the percentage obtained by dividing
        (x) the sum of (i) the aggregate Class Certificate Balance of the
        Class M Certificates and (ii) the Overcollateralization Amount
        (assuming the Overcollateralization Amount is not less than zero and in each
        case after taking into account the distributions of the Principal Payment
        Amount
        for such Distribution Date assuming no Trigger Event has occurred) by
        (y) the aggregate Stated Principal Balance of the Mortgage Loans for such
        Distribution Date.

       

      Credit
        Risk Manager:
        Clayton
        Fixed Income Services Inc., formerly known as The Murrayhill Company, a Colorado
        corporation, and its successors and assigns. 

       

      Credit
        Risk Management Agreement:
        Each of
        the Credit Risk Management Agreements, dated as of the Closing Date, entered
        into by (i) the Servicers and the Credit Risk Manager, and (ii) the Master
        Servicer and the Credit Risk Manager.

       

      Credit
        Risk Manager’s Fee:
        With
        respect to any Distribution Date and each Mortgage Loan, an amount equal
        to the
        product of (a) one twelfth, (b) the Credit Risk Manager’s Fee Rate and (c) the
        Stated Principal Balance of such Mortgage Loan as of the first day of the
        related Due Period.

       

      
        
          
          

        

        
          -19-

          
            

          

        

        
          
          

        

      

      Credit
        Risk Manager’s Fee Rate:
        0.014% per
        annum.

       

      Cumulative
        Loss Percentage:
        With
        respect to any Distribution Date, the percentage equivalent of a fraction,
        the
        numerator of which is the aggregate amount of Realized Losses incurred from
        the
        Cut-off Date to the last day of the calendar month preceding the month in
        which
        such Distribution Date occurs and the denominator of which is the Cut-off
        Date
        Pool Principal Balance of the Mortgage Loans.

       

      Cumulative
        Loss Trigger Event:
        If,
        with respect to any Distribution Date, the quotient (expressed as a
        percentage) of (x) the aggregate amount of Realized Losses incurred since
        the Cut-off Date through the last day of the related Prepayment Period, divided
        by (y) the Cut-off Date Pool Principal Balance, exceeds the applicable loss
        percentages set forth below with respect to such Distribution Date:

      

      
        	Distribution
                Date Occurring In:	 	Loss
                Percentage:
	
                November
                  2008 through October 2009 

              	 	
                1.30%
                  for the first month, plus an additional 1/12th of 

                1.60%
                  for each month thereafter 

              
	
                November
                  2009 through October 2010 

              	 	
                2.90%
                  for the first month, plus an additional 1/12th of 

                1.70%
                  for each month thereafter 

              
	
                November
                  2010 through October 2011 

              	 	
                4.60%
                  for the first month, plus an additional 1/12th of 

                1.30%
                  for each month thereafter 

              
	
                November
                  2011 through October 2012

              	 	
                5.90%
                  for the first month, plus an additional 1/12th of 

                0.75%
                  for each month thereafter 

              
	
                November
                  2012 through October 2013

              	 	
                6.65%
                  for the first month, plus an additional 1/12th of 

                0.05%
                  for each month thereafter 

              
	
                November
                  2013 and thereafter

              	 	
                6.70%

              

      

       

      Custodial
        File:
        The
        meaning assigned to such term in Section 2.01(a).

       

      Custodian:
        Initially, Wells Fargo, or any successor custodian appointed
        hereunder.

       

      Cut-off
        Date:
        October
        1, 2006.

       

      Cut-off
        Date Pool Principal Balance:
        The
        aggregate Stated Principal Balances of all Mortgage Loans as of the Cut-off
        Date.

       

      Cut-off
        Date Principal Balance:
        As to
        any Mortgage Loan, the Stated Principal Balance thereof as of the close of
        business on the Cut-off Date.

       

      Data
        Tape Information:
        With
        respect to each Mortgage Loan, the same information (provided as of the Cut-off
        Date) included in the data fields specified under the definition of “Mortgage
        Loan Schedule” in the applicable Transfer Agreement, with such additions and
        modifications as agreed upon by the applicable Mortgage Loan Seller and the
        Depositor. A copy of each Transfer Agreement is attached at Exhibit Q
        hereto.

       

      
        
          
          

        

        
          -20-

          
            

          

        

        
          
          

        

      

      Debt
        Service Reduction:
        With
        respect to any Mortgage Loan, a reduction by a court of competent jurisdiction
        in a proceeding under the United States Bankruptcy Code in the Scheduled
        Payment
        for such Mortgage Loan which became final and non-appealable, except such
        a
        reduction resulting from a Deficient Valuation or any reduction that results
        in
        a permanent forgiveness of principal.

       

      Defaulting
        Party:
        As
        defined in the Swap Agreement or Cap Agreement, as applicable.

       

      Deficient
        Valuation:
        With
        respect to any Mortgage Loan, a valuation of the related Mortgaged Property
        by a
        court of competent jurisdiction in an amount less than then outstanding
        principal balance of the Mortgage Loan, which valuation results from a
        proceeding initiated under the United States Bankruptcy Code.

       

      Definitive
        Certificates:
        Any
        Certificate evidenced by a Physical Certificate and any Certificate issued
        in
        lieu of a Book-Entry Certificate pursuant to Section 5.02(e).

       

      Deleted
        Mortgage Loan:
        A
        Mortgage Loan repurchased by a Mortgage Loan Seller or the Sponsor and removed
        from the Trust Fund.

       

      Delinquency
        Rate:
        For any
        calendar month, a fraction, expressed as a percentage, the numerator of which
        is
        the aggregate Stated Principal Balance of 60+ Day Delinquent Mortgage Loans
        as
        of the close of business on the last day of such month (not including those
        Mortgage Loans that are liquidated as of the end of the related Prepayment
        Period), and the denominator of which is the aggregate Stated Principal Balance
        of the Mortgage Loans as of the close of business on the last day of such
        month
        (not including those Mortgage Loans that are liquidated as of the end of
        the
        related Prepayment Period).

       

      Delinquency
        Trigger Event:
        With
        respect to any Distribution Date on or after the Stepdown Date, the
        circumstances in which the Rolling Three Month Delinquency Rate as of the
        last
        day of the immediately preceding calendar month exceeds the applicable
        percentages of the Credit Enhancement Percentage for the prior Distribution
        Date
        as set forth below for the most senior Class of LIBOR Certificates then
        outstanding:

      

      
        	
                Class

              	 	
                Percentage

              
	
                A

              	 	
                40.30%

              
	
                M-1

              	 	
                49.77%

              
	
                M-2

              	 	
                62.71%

              
	
                M-3

              	 	
                74.78%

              
	
                M-4

              	 	
                90.22%

              
	
                M-5

              	 	
                112.77%

              
	
                M-6

              	 	
                145.67%

              
	
                M-7

              	 	
                202.67%

              
	
                M-8

              	 	
                258.97%

              
	
                M-9

              	 	
                341.08%

              
	
                M-10

              	 	
                559.36%

              

      

       

      
        
          
          

        

        
          -21-

          
            

          

        

        
          
          

        

      

      Denomination:
        With
        respect to each Certificate, the amount set forth on the face thereof as
        the
“Initial Certificate Balance of this Certificate” or the Percentage Interest
        appearing on the face thereof.

       

      Depositor:
        HSI
        Asset Securitization Corporation, a Delaware corporation, and its successors
        in
        interest.

       

      Depository:
        The
        initial Depository shall be The Depository Trust Company, the nominee of
        which
        is CEDE & Co., as the registered Holder of the Book-Entry Certificates.
        The Depository shall at all times be a “clearing corporation” as defined in
        Section 8-102(a)(5) of the Uniform Commercial Code of the State of New
        York.

       

      Depository
        Institution:
        Any
        depository institution or trust company, including the Trustee and the
        Securities Administrator, that (a) is incorporated under the laws of the
        United States of America or any State thereof, (b) is subject to
        supervision and examination by federal or state banking authorities and
        (c) has outstanding unsecured commercial paper or other short-term
        unsecured debt obligations that are rated P-1 by Moody’s, F1+ by Fitch and A-1
        by Standard & Poor’s.

       

      Depository
        Participant:
        A
        broker, dealer, bank or other financial institution or other Person for whom
        from time to time a Depository effects book-entry transfers and pledges of
        securities deposited with the Depository.

       

      Derivative
        Agreement:
        The
        Swap Agreement and the Cap Agreement.

       

      Derivative
        Counterparty:
        Collectively, the Cap Counterparty and the Swap Counterparty.

       

      Derivative
        Payment Date:
        For so
        long as either the Cap Agreement or the Swap Agreement is in effect, the
        Business Day preceding each Distribution Date.

       

      Determination
        Date:
        With
        respect to each Remittance Date, the Business Day immediately preceding such
        Remittance Date.

       

      Disqualified
        Non-U.S. Person:
        With
        respect to a Class R Certificate, any Non-U.S. Person or agent thereof
        other than (i) a Non-U.S. Person that holds the Class R Certificate in
        connection with the conduct of a trade or business within the United States
        and
        has furnished the transferor and the Securities Administrator with an effective
        IRS Form W-8ECI or (ii) a Non-U.S. Person that has delivered to both the
        transferor and the Securities Administrator an opinion of a nationally
        recognized tax counsel to the effect that the transfer of the Class R
        Certificate to it is in accordance with the requirements of the Code and
        the
        regulations promulgated thereunder and that such transfer of the Class R
        Certificate will not be disregarded for federal income tax
        purposes.

       

      
        
          
          

        

        
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      Distribution
        Account:
        The
        separate Eligible Account created and maintained by the Securities Administrator
        pursuant to Section 3.01(c) in the name of the Securities Administrator as
        paying agent for the benefit of the Trustee and the Certificateholders and
        designated “Wells Fargo Bank, N.A. as paying agent in trust for registered
        holders of HSI Asset Securitization Corporation Trust 2006-HE1 Mortgage
        Pass-Through Certificates, Series 2006-HE1”. Funds in the Distribution
        Account shall be held in trust for the Certificateholders for the uses and
        purposes set forth in this Agreement.

       

      Distribution
        Account Deposit Date:
        As to
        any Distribution Date, 12:00 noon New York City time on the third Business
        Day
        immediately preceding such Distribution Date.

       

      Distribution
        Date:
        The
        25th day of each calendar month, or if such day is not a Business Day, the
        next
        succeeding Business Day, commencing in November 2006.

       

      Document
        Certification and Exception Report:
        The
        form of report attached to Exhibit F hereto.

       

      Due
        Date:
        The day
        of the month on which the Scheduled Payment is due on a Mortgage Loan, exclusive
        of any days of grace.

       

      Due
        Period:
        With
        respect to any Distribution Date, the period commencing on the second day
        of the
        calendar month preceding the month in which such Distribution Date occurs
        and
        ending on the first day of the calendar month in which such Distribution
        Date
        occurs.

       

      Early
        Termination Event:
        As
        defined in the Derivative Agreement.

       

      EDGAR:
        The
        Commission’s Electronic Data Gathering and Retrieval System.

       

      Eligible
        Account:
        Either
        (i) an account maintained with a federal or state-chartered depository
        institution or trust company that complies with the definition of Eligible
        Institution, (ii) an account maintained with the corporate trust department
        of a
        federal depository institution or state-chartered depository institution
        subject
        to regulations regarding fiduciary funds on deposit similar to Title 12 of
        the
        U.S. Code of Federal Regulation Section 9.10(b), which, in either case, has
        corporate trust powers and is acting in its fiduciary capacity or (iii) any
        other account acceptable to each Rating Agency. Eligible Accounts may bear
        interest, and may include, if otherwise qualified under this definition,
        accounts maintained with the Securities Administrator.

       

      Eligible
        Institution:
        A
        federal or state-chartered depository institution or trust company the
        commercial paper, short-term debt obligations, or other short-term deposits
        of
        which are rated at least “A-1+” by Standard & Poor’s if the amounts on
        deposit are to be held in the account for no more than 365 days (or at least
        “A-2” if the amounts on deposit are to be held in the account for no more than
        30 days), “P-1” by Moody’s and “F1+” by Fitch (or a comparable rating if another
        Rating Agency is specified by the Depositor by written notice to each of
        the
        Servicers and the Securities Administrator) or long-term unsecured debt
        obligations are rated at least “AA-” by Standard & Poor’s if the amounts on
        deposit are to be held in the account for no more than 365 days.

       

      
        
          
          

        

        
          -23-

          
            

          

        

        
          
          

        

      

      ERISA:
        The
        Employee Retirement Income Security Act of 1974, as amended.

       

      ERISA-Qualifying
        Underwriting:
        A best
        efforts or firm commitment underwriting or private placement that meets the
        requirements of Prohibited Transaction Exemption (“PTE”) 96-84,
        61 Fed. Reg. 58234 (1996), as amended by PTE 97-34, 62 Fed. Reg. 39021
        (1997), PTE 2000-58, 65 Fed. Reg. 67765 (2000) and PTE 2002-41, 67 Fed.
        Reg. 54487 (2002) (or any successor thereto), or any substantially
        similar administrative exemption granted by the U.S. Department of
        Labor.

       

      ERISA-Restricted
        Certificate:
        As
        specified in the Preliminary Statement.

       

      ERISA-Restricted
        Trust Certificate:
        As
        specified in the Preliminary Statement.

       

      Escrow
        Account:
        With
        respect to each Servicer, the meaning assigned to such term in the related
        Servicing Agreement.

       

      Event
        of Default:
        With
        respect to each Servicer, the meaning assigned to such term in the related
        Servicing Agreement.

       

      Excess
        Overcollateralization
        Amount:
        With
        respect to any Distribution Date, the excess, if any, of (a) the
        Overcollateralization Amount on such Distribution Date over (b) the
        Overcollateralization Target Amount for such Distribution Date.

       

      Excess
        Reserve Fund Account:
        The
        separate Eligible Account created and maintained by the Securities Administrator
        under the Supplemental Interest Trust pursuant to Sections 3.01(a) and
        3.01(b) in the name of the Securities Administrator as paying agent for the
        benefit of the LIBOR Certificateholders and the Class X Certificateholders
        and
        designated “Wells Fargo Bank, N.A. as paying agent in trust for registered
        holders of HSI Asset Securitization Corporation Trust 2006-HE1, Mortgage
        Pass-Through Certificates, Series 2006-HE1”. Funds in the Excess Reserve
        Fund Account shall be held in trust for such Certificateholders for the uses
        and
        purposes set forth in this Agreement. Amounts on deposit in the Excess Reserve
        Fund Account shall not be invested. The Excess Reserve Fund Account shall
        be
        considered part of the Supplemental Interest Trust but not part of any
        REMIC.

       

      Exchange
        Act:
        The
        Securities Exchange Act of 1934, as amended, and the rules and regulations
        thereunder.

       

      Excluded
        Trust Assets:
        As
        defined in the Preliminary Statement.

       

      Expense
        Adjusted Mortgage Rate:
        With
        respect to any Distribution Date and as to each Mortgage Loan, the per annum
        rate equal to the Mortgage Rate as of the first day of the related Due Period
        less the Expense Fee Rate.

       

      Expense
        Fee Rate:
        As to
        each Mortgage Loan, a per annum rate equal to the sum of the Servicing Fee
        Rate
        and the Master Servicing Fee Rate.

       

      Expense
        Fees:
        As to
        each Mortgage Loan and any Distribution Date, the sum of the Servicing Fee
        and
        the Master Servicing Fee.

       

      
        
          
          

        

        
          -24-

          
            

          

        

        
          
          

        

      

      Extra
        Principal Payment Amount:
        As of
        any Distribution Date, the lesser of (x) the related Total Monthly Excess
        Spread for such Distribution Date and (y) the related Overcollateralization
        Deficiency for such Distribution Date.

       

      Fannie
        Mae:
        The
        Federal National Mortgage Association, or any successor thereto.

       

      FDIC:
        The
        Federal Deposit Insurance Corporation, or any successor thereto.

       

      Final
        Maturity Required Deposit:
        For any
        Distribution Date beginning on the Distribution Date in November 2016 up
        to and
        including the Final Maturity Reserve Funding Date will equal the lesser of
        (a)
        the product of (i) 0.80% and (ii) the aggregate Stated Principal Balance
        of the
        Mortgage Loans having an original term to maturity of 40 years as of the
        last
        day of the related Due Period (after giving effect to principal prepayments
        in
        the Prepayment Period related to such Distribution Date) and (b) the excess
        of
        (i) the Final Maturity Funding Cap for such Distribution Date over (ii) the
        amount on deposit in the Final Maturity Reserve Fund immediately prior to
        such
        Distribution Date.

       

      Final
        Maturity Funding Cap:
        For any
        Distribution Date beginning with the Distribution Date in November 2016 will
        equal the lesser of (i) the aggregate Class Certificate Balance of the
        Certificates immediately prior to that Distribution Date and (ii) the aggregate
        Stated Principal Balance of all outstanding Mortgage Loans with original
        terms
        to maturity of 40 years as of the as of the last day of the related Due Period
        (after giving effect to principal prepayments received during the Prepayment
        Period related to that Distribution Date).

       

      Final
        Maturity OC Trigger Event:
        The
        event in effect with respect to any Distribution Date on or after the
        Distribution Date in November 2026 if the sum of (x) the Overcollateralization
        Amount and (y) the amount on deposit in the Final Maturity Reserve Fund on
        that
        Distribution Date (after giving effect to any deposits into the Final Maturity
        Reseve Fund on that Distribution Date) is less than the outstanding Stated
        Principal Balance of all Mortgage Loans with original terms to maturity of
        40
        years as of the last day of the related Due Period (after giving effect to
        principal prepayments in the Prepayment Period related to that Distribution
        Date).

       

      Final
        Maturity Reserve Fund:
        The
        account created pursuant to Section 4.09 of this Agreement.

       

      Final
        Maturity Reserve Funding Date:
        The
        earlier of (i) the Distribution Date on which the amount on deposit in the
        Final
        Maturity Reserve Fund is equal to the Final Maturity Funding Cap and (ii)
        the
        Distribution Date in October 2036.

       

      Final
        Maturity Reserve Trust:
        The
        corpus of a trust created pursuant to Section 4.09 of this Agreement and
        designated as the “Final Maturity Reserve Trust” consisting of the Final
        Maturity Reserve Fund, but which is not an asset of any REMIC.

       

      Final
        Recovery Determination:
        With
        respect to any defaulted Mortgage Loan or any REO Property (other than a
        Mortgage Loan or REO Property purchased by the Mortgage Loan Seller or the
        Sponsor as contemplated by this Agreement, any Transfer Agreement or the
        Purchase Agreement, as applicable), a determination made by any Servicer
        that
        all Insurance Proceeds, Condemnation Proceeds, Liquidation Proceeds and other
        payments or recoveries which the Servicer, in its reasonable good faith
        judgment, expects to be finally recoverable in respect thereof have been
        so
        recovered. 

       

      
        
          
          

        

        
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      Final
        Scheduled Distribution Date:
        The
        Final Scheduled Distribution Date for each Class of Certificates is the
        Distribution Date occurring in October 2036.

       

      Fitch:
        Fitch,
        Inc., or any successor thereto. If Fitch is designated as a Rating Agency
        in the
        Preliminary Statement, for purposes of Section 12.05 the address for
        notices to Fitch shall be Fitch, Inc., One State Street Plaza, New York,
        New
        York 10004, Attention: MBS Monitoring - HASCO (HSI Asset Securitization
        Corporation Trust 2006-HE1), or such other address as Fitch may hereafter
        furnish to the Depositor and the Securities Administrator.

       

      Fixed
        Rate Mortgage Loan:
        A
        Mortgage Loan with respect to which the Mortgage Rate set forth in the Mortgage
        Note is fixed for the term of such Mortgage Loan.

       

      Form
        8-K Disclosure Information:
        As
        defined in Section 8.12(a)(iii).

       

      Freddie
        Mac:
        The
        Federal Home Loan Mortgage Corporation, a corporate instrumentality of the
        United States created and existing under Title III of the Emergency Home
        Finance Act of 1970, as amended, or any successor thereto.

       

      Gross
        Margin:
        With
        respect to each Adjustable Rate Mortgage Loan, the fixed percentage amount
        set
        forth in the related Mortgage Note to be added to the Index to determine
        the
        Mortgage Rate.

       

      Group I
        Available Funds Cap:
        With
        respect to the Group I Mortgage Loans as of any Distribution Date, the per
        annum
        rate (subject to adjustment based on the actual number of days elapsed in
        the
        related Interest Accrual Period) equal to (x) the weighted average of the
        Expense Adjusted Mortgage Rate for each Group I Mortgage Loan then in effect
        at
        the beginning of the related Due Period (not including for this purpose any
        Group I Mortgage Loans for which Principal Prepayments in Full have been
        received and distributed in the month prior to that Distribution Date)
minus
        (y) a
        percentage equal to the product of (i) a fraction, the numerator of which
        is
        equal to the sum of (a) the portion of the Net Derivative Payment or Swap
        Termination Payment (other than a Swap Termination Payment resulting
        from a Derivative Counterparty Trigger Event)
        made to
        the Swap Counterparty with respect to such Due Period allocated to the Group
        I
        Mortgage Loans based on the applicable Group Percentage and (b) the portion
        of
        the Final Maturity Required Deposit for such Due Period allocable to the
        Group I
        Mortgage Loans based
        on
        the applicable Group Percentage
        and the
        denominator of which is equal to the aggregate Stated Principal Balance of
        the
        Group I Mortgage Loans as of the beginning of the related Due Period and
        (ii)
        12.

       

      Group I
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Group I
        Mortgage Loans:
        The
        Mortgage Loans identified on the Mortgage Loan Schedule as Group I Mortgage
        Loans.

       

      
        
          
          

        

        
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      Group I
        Principal Payment Amount:
        With
        respect to any Distribution Date prior to the Stepdown Date, the Principal
        Payment Amount multiplied by the Group Principal Allocation Percentage for
        the Group I Certificates.

       

      Group I
        Senior Principal Payment Amount:
        With
        respect to any Distribution Date, the lesser of (i) the Group I Principal
        Payment Amount for that Distribution Date and (ii) the excess of (a) the
        aggregate Class Certificate Balance of the Group I Certificates
        immediately prior to that Distribution Date over (b) the lesser of
        (x) 65.30% of the aggregate Stated Principal Balance of the Group I
        Mortgage Loans for that Distribution Date and (y) the excess, if any, of
        the aggregate Stated Principal Balance of the Group I Mortgage Loans for
        that Distribution Date over 0.50% of the aggregate State Principal Balance
        of
        the Group I Mortgage Loans as of the Cut-off Date.

       

      Group II
        Available Funds Cap:
        With
        respect to the Group II Mortgage Loans as of any Distribution Date, the per
        annum rate (subject to adjustment based on the actual number of days elapsed
        in
        the related Interest Accrual Period) equal to (x) the weighted average of
        the
        Expense Adjusted Mortgage Rate for each Group II Mortgage Loan then in effect
        at
        the beginning of the related Due Period (not including for this purpose any
        Group II Mortgage Loans for which Principal Prepayments in Full have been
        received and distributed in the month prior to that Distribution Date)
minus
        (y) a
        percentage equal to the product of (i) a fraction, the numerator of which is
        equal to the sum of (a) the portion of the Net Derivative Payment or Swap
        Termination Payment (other than a Swap Termination Payment resulting from
        a
        Derivative Counterparty Trigger Event) made to the Swap Counterparty with
        respect to such Due Period allocated to the Group II Mortgage Loans based
        on the
        applicable Group Percentage and (b) the portion of the Final Maturity Required
        Deposit for such Due Period allocable to the Group II Mortgage Loans based
        on
        the applicable Group Percentage and the denominator of which is equal to
        the
        aggregate Stated Principal Balance of the Group II Mortgage Loans as of the
        beginning of the related Due Period and (ii) 12.

       

      Group II
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Group II
        Mortgage Loans:
        The
        Mortgage Loans identified on the Mortgage Loan Schedule as Group II
        Mortgage Loans.

       

      Group II
        Principal Payment Amount:
        With
        respect to any Distribution Date, the Principal Payment Amount multiplied
        by the
        Group Principal Allocation Percentage for the Group II
        Certificates.

       

      Group II
        Senior Principal Payment Amount:
        With
        respect to any Distribution Date, the lesser of (i) the Group II Principal
        Payment Amount for that Distribution Date and (ii) the excess of (a) the
        aggregate Class Certificate Balance of the Group II Certificates
        immediately prior to that Distribution Date over (b) the lesser of
        (x) 65.30% of the aggregate Stated Principal Balance of the Group II
        Mortgage Loans for that Distribution Date and (y) the excess, if any, of
        the aggregate Stated Principal Balance of the Group II Mortgage Loans for
        that Distribution Date over 0.50% of the aggregate State Principal Balance
        of
        the Group II Mortgage Loans as of the Cut-off Date.

       

      
        
          
          

        

        
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      Group Available
        Funds Cap:
        The
        Group I Available Funds Cap or the Group II Available Funds Cap, as
        applicable.

       

      Group
        Percentage: For
        any
        Distribution Date and for each of the Group I Mortgage Loans and the
        Group II Mortgage Loans, a fraction (expressed as a percentage) the
        numerator of which is the aggregate Stated Principal Balance of the Mortgage
        Loans in such Loan Group as of the beginning of the related Due Period and
        the
        denominator of which is equal to the aggregate Stated Principal Balance of
        all
        the Mortgage Loans as of such date.

       

      Group Principal
        Allocation Percentage:
        With
        respect to any Distribution Date, the percentage equivalent of a fraction,
        determined as follows:

       

      (i) with
        respect to the Group I Certificates, a fraction, the numerator of which is
        the portion of the Principal Remittance Amount for that Distribution Date
        that
        is attributable to the principal received or advanced on the Group I
        Mortgage Loans and the denominator of which is the Principal Remittance Amount
        for that Distribution Date; and

       

      (ii) with
        respect to the Group II Certificates, a fraction, the numerator of
        which is the portion of the Principal Remittance Amount for that Distribution
        Date that is attributable to the principal received or advanced on the
        Group II Mortgage Loans and the denominator of which is the Principal
        Remittance Amount for that Distribution Date.

       

      Group Subordinate
        Amount:
        For any
        Distribution Date and (i) for the Group I Mortgage Loans, the excess
        of the aggregate Stated Principal Balance of the Group I Mortgage Loans as
        of the beginning of the related Due Period over the Class Certificate
        Balance of the Group I Certificates immediately prior to such Distribution
        Date
        and (ii) for the Group II Mortgage Loans, the excess of the aggregate
        Stated Principal Balance of the Group II Mortgage Loans as of the beginning
        of the related Due Period over the aggregate Class Certificate Balance of
        the Group II Certificates immediately prior to the current Distribution Date
        

       

      Independent:
        When
        used with respect to any accountants, a Person who is “independent” within the
        meaning of Rule 2-01(B) of the Commission’s Regulation S-X. Independent means,
        when used with respect to any other Person, a Person who (A) is in fact
        independent of another specified Person and any Affiliate of such other Person,
        (B) does not have any material direct or indirect financial interest in such
        other Person or any Affiliate of such other Person, (C) is not connected
        with
        such other Person or any Affiliate of such other Person as an officer, employee,
        promoter, underwriter, trustee, partner, director or Person performing similar
        functions and (D) is not a member of the immediate family of a Person defined
        in
        clause (B) or (C) above.

       

      Index:
        As to
        each Adjustable Rate Mortgage Loan, the six-month LIBOR index or one-year
        LIBOR
        index, as applicable, from time to time in effect for the adjustment of the
        Mortgage Rate as set forth in the related Mortgage Note.

       

      Initial
        Certification:
        As
        defined in Section 2.02.

       

      
        
          
          

        

        
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      Insurance
        Policy:
        With
        respect to any Mortgage Loan included in the Trust Fund, any insurance policy,
        including, but not limited to, any standard hazard insurance policy, flood
        insurance policy, earthquake insurance policy, title insurance policy or
        Primary
        Mortgage Insurance Policy (if any), including all riders and endorsements
        thereto in effect, including any replacement policy or policies.

       

      Insurance
        Proceeds:
        With
        respect to each Mortgage Loan, proceeds of Insurance Policies insuring the
        Mortgage Loan or the related Mortgaged Property.

       

      Interest
        Accrual Period:
        With
        respect to each Class of LIBOR Certificates and any Distribution Date, the
        period commencing on the Distribution Date occurring in the month preceding
        the
        month in which the current Distribution Date occurs and ending on the day
        immediately preceding the current Distribution Date (or, in the case of the
        first Distribution Date, the period from and including the Closing Date to
        but
        excluding such first Distribution Date). For purposes of computing interest
        accruals on each Class of LIBOR Certificates, each Interest Accrual Period
        has the actual number of days in such month and each year is assumed to have
        360 days. 

       

      Interest
        Carry Forward Amount:
        As of
        any Distribution Date and any Class of LIBOR Certificates, the sum of, if
        applicable, (i) the portion of the Interest Payment Amount from Distribution
        Dates prior to the current Distribution Date remaining unpaid immediately
        prior
        to the current Distribution Date (excluding any Basis Risk Carryover Amount
        with
        respect to such Class), and (ii) interest on the amount in clause (i) above
        at
        the applicable Interest Rate (to the extent permitted by applicable
        law).

       

      Interest
        Margin:
        Except
        as set forth in the following sentence, with respect to each Class of
        Regular Certificates, the following percentages: Class I-A Certificates,
        0.140%; Class II-A-1 Certificates, 0.050%; Class II-A-2 Certificates,
        0.110%; Class II-A-3 Certificates, 0.160%; Class II-A-4 Certificates,
        0.240%; Class M-1 Certificates, 0.250%; Class M-2 Certificates,
        0.310%; Class M-3 Certificates, 0.340%; Class M-4 Certificates,
        0.380%; Class M-5 Certificates, 0.410%; Class M-6 Certificates,
        0.480%, Class M-7 Certificates, 0.850%, Class M-8 Certificates,
        1.100%, Class M-9 Certificates, 2.000% and Class M-10 Certificates, 2.000%.
        On the first Distribution Date after the Optional Termination Date, the Interest
        Margins shall increase to the following percentages: Class I-A
        Certificates, 0.280%; Class II-A-1 Certificates, 0.100%; Class II-A-2
        Certificates, 0.220%; Class II-A-3 Certificates, 0.320%; Class II-A-4
        Certificates, 0.480%; Class M-1 Certificates, 0.375%; Class M-2
        Certificates, 0.465%; Class M-3 Certificates, 0.510%; Class M-4
        Certificates, 0.570%; Class M-5 Certificates, 0.615%; Class M-6
        Certificates, 0.720%, Class M-7 Certificates, 1.275%, Class M-8
        Certificates, 1.650%, Class M-9 Certificates, 3.000% and Class M-10
        Certificates, 3.000%.

       

      Interest
        Payment Amount:
        With
        respect to any Distribution Date for each Class of LIBOR Certificates, the
        amount of interest accrued during the related Interest Accrual Period at
        the
        applicable Interest Rate on the related Class Certificate Balance
        immediately prior to such Distribution Date, as reduced by such Class’s share of
        Net Prepayment Interest Shortfalls and Relief Act Interest Shortfalls for
        such
        Distribution Date allocated to such Class pursuant to
        Section 4.02.

       

      
        
          
          

        

        
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      Interest
        Rate:
        For
        each Class of LIBOR Certificates, each Class of Upper Tier REMIC Regular
        Interest and each class of Lower Tier Interest, the per annum rate set forth
        or
        calculated in the manner described in the Preliminary Statement.

       

      Interest
        Remittance Amount:
        With
        respect to any Distribution Date and the Mortgage Loans in a Loan Group,
        that
        portion of Available Funds attributable to interest relating to the Mortgage
        Loans in that Loan Group.

       

      Investor:
        With
        respect to each MERS Designated Mortgage Loan, the Person named on the MERS
        System as the investor pursuant to the MERS Procedures Manual.

       

      IRS:
        The
        Internal Revenue Service.

       

      Late
        Collections:
        With
        respect to any Mortgage Loan and any Due Period, all amounts received after
        the
        Determination Date immediately following such Due Period, whether as late
        payments of Scheduled Payments or as Insurance Proceeds, Condemnation Proceeds,
        Liquidation Proceeds, Subsequent Recoveries or otherwise, which represent
        late
        payments or collections of principal and/or interest due (without regard
        to any
        acceleration of payments under the related Mortgage and Mortgage Note) but
        delinquent for such Due Period and not previously recovered.

       

      LIBOR:
        With
        respect to any Interest Accrual Period for the LIBOR Certificates, the rate
        determined by the Securities Administrator on the related LIBOR Determination
        Date on the basis of the offered rate for one-month U.S. dollar deposits
        as such
        rate appears on Telerate Page 3750 as of 11:00 a.m. (London time) on such
        date; provided,
        that if
        such rate does not appear on Telerate Page 3750, the rate for such date
        will be determined on the basis of the rates at which one-month U.S. dollar
        deposits are offered by the Reference Banks at approximately 11:00 a.m.
        (London time) on such date to prime banks in the London interbank market.
        In
        such event, the Securities Administrator shall request the principal London
        office of each of the Reference Banks to provide a quotation of its rate.
        If at
        least two such quotations are provided, the rate for that date will be the
        arithmetic mean of the quotations (rounded upwards if necessary to the nearest
        whole multiple of 1/16%). If fewer than two quotations are provided as
        requested, the rate for that date will be the arithmetic mean of the rates
        quoted by major banks in New York City, selected by the Securities Administrator
        (after consultation with the Depositor), at approximately 11:00 a.m. (New
        York City time) on such date for one-month U.S. dollar loans to leading European
        banks.

       

      LIBOR
        Certificates:
        As
        specified in the Preliminary Statement.

       

      LIBOR
        Determination Date:
        With
        respect to any Interest Accrual Period for the LIBOR Certificates, the second
        London Business Day preceding the commencement of such Interest Accrual
        Period.

       

      Liquidated
        Mortgage Loan:
        With
        respect to any Distribution Date, a defaulted Mortgage Loan (including any
        REO
        Property) which was liquidated in the calendar month preceding the month
        of such
        Distribution Date and as to which a Servicer has certified to the Securities
        Administrator that it has received all amounts it expects to receive in
        connection with the liquidation of such Mortgage Loan including the final
        disposition of an REO Property.

       

      
        
          
          

        

        
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      Liquidation
        Proceeds:
        Cash
        received in connection with the liquidation of a Liquidated Mortgage Loan,
        whether through a trustee’s sale, foreclosure sale or otherwise.

       

      Loan
        Group:
        The
        Group I Mortgage Loans or the Group II Mortgage Loans, as
        applicable.

       

      Loan-to-Value
        Ratio
        or
LTV:
        As of
        any date and as to any Mortgage Loan, the ratio (expressed as a
        percentage) of the outstanding principal balance of the Mortgage Loan to
        (a) in the case of a purchase, the lesser of (i) the sale price of the
        Mortgaged Property and (ii) its appraised value at the time of sale or
        (b) in the case of a refinancing or modification, the appraised value of
        the Mortgaged Property at the time of the refinancing or
        modification.

       

      London
        Business Day:
        Any day
        on which dealings in deposits of United States dollars are transacted in
        the
        London interbank market.

       

      Lower
        Tier Interest:
        An
        interest in any REMIC formed hereby other than the Upper Tier
        REMIC.

       

      Master
        Agreement:
        The
        ISDA Form Master Agreement, dated November 3, 2006, entered into between
        the
        Supplemental Interest Trust and the Derivative Counterparty.

       

      Master
        Servicer:
        Wells
        Fargo and any successors in interest, and if a successor master servicer
        is
        appointed hereunder, such successor.

       

      Master
        Servicer Event of Default:
        As
        defined in Section 9.06.

       

      Master
        Servicing Fee:
        As to
        any Distribution Date and each Mortgage Loan, an amount equal to
        1/12th
        the
        product of (a) the Master Servicing Fee Rate and (b) the outstanding Stated
        Principal Balance of the Mortgage Loan serviced by Countrywide Servicing
        as of
        the prior Distribution Date (or as of the Cut-off Date in the case of the
        first
        Distribution Date).

       

      Master
        Servicing Fee Rate:
        With
        respect to any Mortgage Loan serviced by Countrywide Servicing, a per annum
        rate
        equal to 0.005%.

       

      Master
        Servicing Officer:
        Any
        officer of the Master Servicer involved in, or responsible for, the
        administration and master servicing of the Mortgage Loans.

       

      MERS:
        Mortgage Electronic Registration Systems, Inc., a Delaware corporation, and
        its
        successors in interest.

       

      MERS
        Designated Mortgage Loan:
        Any
        Mortgage Loan as to which the related Mortgage, or an Assignment of Mortgage,
        has been or will be recorded in the name of MERS, as nominee for the holder
        from
        time to time of the Mortgage Note.

       

      MERS
        Procedure Manual:
        The
        MERS Procedures Manual, as it may be amended, supplemented or otherwise modified
        from time to time.

       

      
        
          
          

        

        
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      MERS®
        System:
        MERS
        mortgage electronic registry system, as more particularly described in the
        MERS
        Procedures Manual.

       

      MIN:
        The
        Mortgage Identification Number of Mortgage Loans registered with MERS on
        the
        MERS® System.

       

      Monthly
        Statement:
        The
        statement made available to the Certificateholders by the Securities
        Administrator through its website pursuant to Section 4.03.

       

      Moody’s:
        Moody’s
        Investors Service, Inc. If Moody’s is designated as a Rating Agency in the
        Preliminary Statement, for purposes of Section 12.05 the address for
        notices to Moody’s shall be Moody’s Investors Service, Inc., 99 Church Street,
        New York, New York 10007, Attention: Residential Mortgage Pass-Through Group,
        HASCO (HSI Asset Securitization Corporation Trust Series 2006-HE1), or such
        other address as Moody’s may hereafter furnish to the Depositor and the
        Securities Administrator.

       

      Mortgage:
        The
        mortgage, deed of trust or other instrument identified on the Mortgage Loan
        Schedule as securing a Mortgage Note.

       

      Mortgage
        File:
        The
        items pertaining to a particular Mortgage Loan contained in either the Servicing
        File or Custodial File.

       

      Mortgage
        Loan:
        An
        individual Mortgage Loan that is the subject of this Agreement, each Mortgage
        Loan originally sold and subject to this Agreement being identified on the
        Mortgage Loan Schedule, which Mortgage Loan includes, without limitation,
        the
        Mortgage File, the Scheduled Payments, Principal Prepayments, Liquidation
        Proceeds, Subsequent Recoveries, Condemnation Proceeds, Insurance Proceeds,
        REO
        Disposition proceeds, Prepayment Charges, and all other rights, benefits,
        proceeds and obligations arising from or in connection with such Mortgage
        Loan,
        excluding replaced or repurchased Mortgage Loans.

       

      Mortgage
        Loan Seller:
        Any
        entity which sold Mortgage Loans to the Sponsor pursuant to a Transfer
        Agreement.

       

      Mortgage
        Loan Schedule:
        A
        schedule of Mortgage Loans prepared by the Depositor, delivered to the Trustee
        on the Closing Date and referred to on Schedule I, such schedule setting
        forth the Data Tape Information with respect to each Mortgage Loan.

       

      Mortgage
        Note:
        The
        note or other evidence of the indebtedness of a Mortgagor under a Mortgage
        Loan.

       

      Mortgage
        Rate:
        The
        annual rate of interest borne on a Mortgage Note, which shall be adjusted
        from
        time to time.

       

      Mortgaged
        Property:
        With
        respect to each Mortgage Loan, the real property (or leasehold estate, if
        applicable) identified on the Mortgage Loan Schedule as securing repayment
        of
        the debt evidenced by the related Mortgage Note.

       

      
        
          
          

        

        
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      Mortgagor:
        The
        obligor(s) on a Mortgage Note.

       

      Net
        Derivative Payment:
        The net
        payment required to be made on the Derivative Payment Date either by (a)
        the
        Supplemental Interest Trust to the Derivative Counterparty, to the extent
        that
        the fixed amount payable by the Supplemental Interest Trust under the terms
        of
        the Swap Agreement exceeds the aggregate amount of the corresponding floating
        amount payable by the Derivative Counterparty under the terms of the Swap
        Agreement and any amounts payable by the Derivative Counterparty under the
        Cap
        Agreement, or (b) the Derivative Counterparty to the Supplemental Interest
        Trust, to the extent that the aggregate amount of the floating amount payable
        by
        the Derivative Counterparty under the terms of the Swap Agreement and any
        such
        amount payable by the Derivative Counterparty under the Cap Agreement exceeds
        the corresponding fixed amount payable by the Supplemental Interest Trust
        under
        the terms of the Swap Agreement, plus in the case of a payment made under
        either
        clause (a) or clause (b) any unpaid amounts due under such clause from previous
        Derivative Payment Dates, and accrued interest thereon as provided in the
        applicable Derivative Agreement, as calculated by the Derivative Counterparty
        and furnished to the securities administrator of the Supplemental Interest
        Trust. Any Swap Termination Payment or Cap Termination Payment will be made
        exclusive of the Net Derivative Payment required to be made by the Derivative
        Counterparty or Supplemental Interest Trust, as applicable, under the Swap
        Agreement or the Cap Agreement.

       

      Net
        Monthly Excess Cash Flow:
        For any
        Distribution Date, the amount of interest and principal remaining for
        distribution pursuant to subsection 4.02(a)(iii) (before giving effect to
        distributions pursuant to such subsection).

       

      Net
        Prepayment Interest Shortfall:
        For any
        Distribution Date, the amount by which the sum of the Prepayment Interest
        Shortfalls for such Distribution Date exceeds the sum of Compensating Interest
        payments made with respect to such Distribution Date.

       

      Net
        Swap Payment:
        With
        respect to each Swap Payment Date, the net payment (not including any Swap
        Termination Payment) required to be made pursuant to the terms of the Swap
        Agreement plus any unpaid amounts due on previous Swap Payment Dates and
        accrued
        interest thereon as provided in the Swap Agreement, as calculated by the
        Swap
        Counterparty and furnished to the Securities Administrator.

       

      Net
        WAC Rate:
        With
        respect to any Distribution Date (and the related Interest Accrual Period),
        a
        per annum rate equal to the weighted average of the Expense Adjusted Mortgage
        Rates of the Mortgage Loans as of the first day of the related Due Period
        (not
        including for this purpose Mortgage Loans for which Principal Prepayments
        in
        Full have been received and distributed in the month prior to that Distribution
        Date).

       

      NIM
        Issuer:
        The
        entity established as the issuer of the NIM Securities.

       

      NIM
        Securities:
        Any
        debt securities secured or otherwise backed by some or all of the Class X
        and Class P Certificates that are rated by any Rating Agency.

       

      NIM
        Trustee:
        The
        indenture trustee for the NIM Securities.

       

      Non-Delay
        Certificates:
        As
        specified in the Preliminary Statement.

       

      
        
          
          

        

        
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      Non-Permitted
        Transferee:
        A
        Person other than a Permitted Transferee.

       

      Non-U.S.
        Person:
        A
        person that is not a U.S. Person.

       

      Nonrecoverable
        P&I Advance:
        Any
        P&I Advance previously made or proposed to be made in respect of a Mortgage
        Loan or REO Property that, in the good faith business judgment (taking into
        account Accepted Servicing Practices) of the related Servicer, the Master
        Servicer, as successor servicer, or any successor master servicer including
        the
        Trustee, as applicable, will not or, in the case of a proposed P&I Advance,
        would not be ultimately recoverable from related Late Collections on such
        Mortgage Loan or REO Property as provided herein.

       

      Nonrecoverable
        Servicing Advance:
        Any
        Servicing Advances previously made or proposed to be made in respect of a
        Mortgage Loan or REO Property, which, in accordance with Accepted Servicing
        Practices, will not or, in the case of a proposed Servicing Advance, would
        not
        be ultimately recoverable from related Late Collections. 

       

      Notice
        of Final Distribution:
        The
        notice to be provided by the Securities Administrator pursuant to
        Section 11.02 to the effect that final distribution on any of the
        Certificates shall be made only upon presentation and surrender
        thereof.

       

      Offered
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Offering
        Documents:
        The
        Prospectus and the Private Placement Memorandum.

       

      Officer’s
        Certificate:
        A
        certificate signed by an officer of a Servicer or the Master Servicer, as
        applicable, with responsibility for the servicing of the Mortgage Loans and
        listed on a list delivered to the Trustee and the Securities Administrator
        pursuant to this Agreement.

       

      Opinion
        of Counsel:
        A
        written opinion of counsel, which may be in-house or outside counsel to the
        Depositor, the Sponsor, the Master Servicer or the Trustee, acceptable to
        the
        Trustee or the Securities Administrator, as applicable, except that any opinion
        of counsel relating to (a) the qualification of any REMIC created hereunder
        as a
        REMIC or (b) compliance with the REMIC Provisions must be an opinion of
        Independent counsel.

       

      Option
        to Purchase:
        On the
        first Optional Termination Date and any Distribution Date thereafter, the
        Master
        Servicer, upon instruction by the Depositor, shall
        have the option to purchase the Mortgage Loans. If the Depositor fails to
        instruct the Master Servicer to purchase the Mortgage Loans, the Master Servicer
        has the right and, at its own option, may purchase the Mortgage Loans on
        the
        first Distribution Date and any Distribution Date thereafter on which the
        aggregate Stated Principal Balance of the Mortgage Loans as of the last day
        of
        the related Due Period is less than or equal to 5.00% of the Cut-off Date
        Pool
        Principal Balance.

       

      Optional
        Termination Date:
        Any
        Distribution Date on which the aggregate Stated Principal Balance of the
        Mortgage Loans, as of the last day of the related Due Period, is less than
        or
        equal to 10.00% of the Cut-off Date Pool Principal Balance.

       

      OTS:
        Office
        of Thrift Supervision, and any successor thereto.

       

      
        
          
          

        

        
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      Outstanding:
        With
        respect to the Certificates as of any date of determination, all Certificates
        theretofore executed and authenticated under this Agreement except:

       

      (i) Certificates
        theretofore canceled by the Securities Administrator or delivered to the
        Securities Administrator for cancellation; and

       

      (ii) Certificates
        in exchange for which or in lieu of which other Certificates have been executed
        and delivered by the Securities Administrator pursuant to this
        Agreement.

       

      Outstanding
        Mortgage Loan:
        As of
        any Due Date, a Mortgage Loan with a Stated Principal Balance greater than
        zero
        which was not the subject of a Principal Prepayment in Full prior to such
        Due
        Date and which did not become a Liquidated Mortgage Loan prior to such Due
        Date.

       

      Overcollateralization
        Amount:
        As of
        any Distribution Date, the excess, if any, of (a) the aggregate Stated
        Principal Balance of the Mortgage Loans for such Distribution Date over
        (b) the aggregate of the Class Certificate Balances of the LIBOR
        Certificates and the Principal-Only Certificates as of such Distribution
        Date
        (after giving effect to the payment of the Principal Remittance Amount on
        such
        Certificates on such Distribution Date).

       

      Overcollateralization
        Deficiency:
        With
        respect to any Distribution Date, the excess, if any, of (a) the
        Overcollateralization Target Amount applicable to such Distribution Date
        over
        (b) the Overcollateralization Amount applicable to such Distribution
        Date.

       

      Overcollateralization
        Reduction Amount:
        With
        respect to any Distribution Date, an amount equal to the lesser of (a) the
        Excess Overcollateralization Amount and (b) the Net Monthly Excess Cash
        Flow.

       

      Overcollateralization
        Target Amount:
        Prior
        to the Stepdown Date, an amount equal to 1.25% of the aggregate Stated Principal
        Balance of the Mortgage Loans as of the Cut-off Date. On and after the Stepdown
        Date provided a Trigger Event is not in effect, an amount equal to the greater
        of (i) 2.50% of the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the last day of the related Due Period and (ii) 0.50% of the aggregate
        Stated
        Principal Balance of the Mortgage Loans as of the Cut-off Date; provided,
        however,
        that
        if, on any Distribution Date a Trigger Event exists, the Overcollateralization
        Target Amount shall not be reduced to the applicable percentage of then current
        aggregate Stated Principal Balance of the Mortgage Loans until the Distribution
        Date on which a Trigger Event no longer exists but rather shall remain the
        Overcollateralization Target Amount as determined for the immediately preceding
        Distribution Date. When the Class Certificate Balance of each Class of
        LIBOR Certificates and the Principal-Only Certificates have been reduced
        to
        zero, the Overcollateralization Target Amount will thereafter equal
        zero.

       

      Ownership
        Interest:
        As to
        any Residual Certificate, any ownership interest in such Certificate including
        any interest in such Certificate as the Holder thereof and any other interest
        therein, whether direct or indirect, legal or beneficial.

       

      
        
          
          

        

        
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      P&I
        Advance:
        As to
        any Mortgage Loan or REO Property, any advance made by a Servicer in respect
        of
        any Remittance Date representing the aggregate of all payments of principal
        and
        interest, net of the applicable Servicing Fee, that were due during the related
        Due Period on the Mortgage Loans and that were delinquent on the related
        Determination Date, plus certain amounts representing assumed payments not
        covered by any current net income on the Mortgaged Properties acquired by
        foreclosure or deed in lieu of foreclosure as determined pursuant to the
        related
        Servicing Agreement.

       

      Percentage
        Interest:
        As to
        any Certificate, the percentage interest evidenced thereby in distributions
        required to be made on the related Class, such percentage interest being
        set
        forth on the face thereof or equal to the percentage obtained by dividing
        the
        Denomination of such Certificate by the aggregate of the Denominations of
        all
        Certificates of the same Class.

       

      Permitted
        Investments:
        Any one
        or more of the following obligations or securities acquired at a purchase
        price
        of not greater than par, regardless of whether issued by the Securities
        Administrator, the Trustee or any of their respective Affiliates:

       

      (i) direct
        obligations of, or obligations fully guaranteed as to timely payment of
        principal and interest by, the United States or any agency or instrumentality
        thereof, provided such obligations are backed by the full faith and credit
        of
        the United States;

       

      (ii) demand
        and time deposits in, certificates of deposit of, or 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 or a remaining maturity of more than 30 days)
        denominated in United States dollars and issued by, any Depository Institution
        and rated F1+ by Fitch, A-1+ by Standard & Poor’s and P-1 by
        Moody’s;

       

      (iii) repurchase
        obligations with respect to any security described in clause (i) above
        entered into with a Depository Institution (acting as principal);

       

      (iv) securities
        bearing interest or sold at a discount that are issued by any corporation
        incorporated under the laws of the United States of America or any state
        thereof
        and that are rated by Fitch, Moody’s and Standard & Poor’s (in each case, to
        the extent they are designated as Rating Agencies in the Preliminary Statement),
        and by each other Rating Agency that rates such securities, in its highest
        long-term unsecured rating categories at the time of such investment or
        contractual commitment providing for such investment;

       

      (v) commercial
        paper (including both non-interest-bearing discount obligations and
        interest-bearing obligations payable on demand or on a specified date not
        more
        than 30 days after the date of acquisition thereof) that is rated by Fitch,
        Moody’s and Standard & Poor’s (in each case, to the extent they are
        designated as Rating Agencies in the Preliminary Statement), and by each
        other
        Rating Agency that rates such securities, in its highest short-term unsecured
        debt rating available at the time of such investment;

       

      
        
          
          

        

        
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      (vi) units
        of
        money market funds, including money market funds managed or advised by the
        Trustee, the Securities Administrator or an Affiliate thereof, that have
        been
        rated “Aaa” by Moody’s, “AAA” by Standard & Poor’s and, if rated by
        Fitch, “AAA” by Fitch; and

       

      (vii) if
        previously confirmed in writing to the Securities Administrator, any other
        demand, money market or time deposit, or any other obligation, security or
        investment, as may be acceptable to each of the Rating Agencies as a permitted
        investment of funds backing “Aaa” or “AAA” rated securities;

       

      provided,
        however,
        that no
        instrument described hereunder shall evidence either the right to receive
        (a) only interest with respect to the 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 provide a yield to maturity at par greater
        than
        120.00% of the yield to maturity at par of the underlying
        obligations.

       

      Permitted
        Transferee:
        Any
        Person other than (i) the United States, any State or political subdivision
        thereof, or any agency or instrumentality of any of the foregoing, (ii) a
        foreign government, international organization or any agency or instrumentality
        of either of the foregoing, (iii) an organization (except certain farmers’
cooperatives described in Section 521 of the Code) which is exempt from tax
        imposed by Chapter 1 of the Code (including the tax imposed by Section 511
        of the Code on unrelated business taxable income) on any excess inclusions
        (as
        defined in Section 860E(c)(1) of the Code) with respect to any Residual
        Certificate, (iv) rural electric and telephone cooperatives described in
        Section 1381(a)(2)(C) of the Code, (v) a Person that is a Disqualified
        Non-U.S. Person or a U.S. Person with respect to whom income from a Residual
        Certificate is attributable to a foreign permanent establishment or fixed
        base,
        within the meaning of an applicable income tax treaty, of such Person or
        any
        other U.S. Person, (vi) an “electing large partnership” within the meaning
        of Section 775 of the Code and (vii) any other Person so designated by
        the Depositor based upon an Opinion of Counsel that the Transfer of an Ownership
        Interest in a Residual Certificate to such Person may cause any REMIC formed
        hereby to fail to qualify as a REMIC at any time that the Certificates are
        outstanding. The terms “United States”, “State” and “international organization”
shall have the meanings set forth in Section 7701 of the Code or successor
        provisions. A corporation will not be treated as an instrumentality of the
        United States or of any State or political subdivision thereof for these
        purposes if all of its activities are subject to tax and, with the exception
        of
        Freddie Mac, a majority of its board of directors is not selected by such
        government unit.

       

      Person:
        Any
        individual, corporation, partnership, joint venture, association, limited
        liability company, joint-stock company, trust, unincorporated organization
        or
        government, or any agency or political subdivision thereof.

       

      Physical
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Pool
        Stated Principal Balance:
        As to
        any Distribution Date, the aggregate of the Stated Principal Balances of
        the
        Mortgage Loans for such Distribution Date that were Outstanding Mortgage
        Loans
        on the Due Date in the related Due Period.

       

      
        
          
          

        

        
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      Prepayment
        Charge:
        Any
        prepayment premium, penalty or charge collected by a Servicer with respect
        to a
        Mortgage Loan from a Mortgagor in connection with any Principal Prepayment
        pursuant to the terms of the related Mortgage Note.

       

      Prepayment
        Interest Excess:
        With
        respect to any Distribution Date and any Mortgage Loan serviced by Wells
        Fargo,
        any interest collected by Wells Fargo, as Servicer, with respect to any such
        Mortgage Loan as to which a Principal Prepayment in Full occurs from the
        1st day
        of the month through the 13th day of the month in which such Distribution
        Date
        occurs and that represents interest that accrues from the 1st day of such
        month
        to the date of such Principal Prepayment in Full;
        and
        with respect to any Distribution Date and any Mortgage Loan serviced by
        Countrywide Servicing, any interest collected by Countrywide Servicing with
        respect to any such Mortgage Loan as to which a Principal Prepayment occurs
        from
        the 1st day of the month through the 15th day of the month in which such
        Distribution Date occurs and that represents interest that accrues from the
        1st
        day of such month to the date of such Principal Prepayment in Full.

       

      Prepayment
        Interest Shortfall:
        With
        respect to each Servicer, the meaning assigned to such term in the related
        Servicing Agreement.

       

      Prepayment
        Period:
        With
        respect to each Servicer, the meaning assigned to such term (or to the term
        “Principal Prepayment Period” with respect to Wells Fargo) in the related
        Servicing Agreement.

       

      Primary
        Mortgage Insurance Policy:
        Any
        mortgage guaranty insurance, if any, on an individual Mortgage Loan as evidenced
        by a policy or certificate, whether such policy is obtained by the related
        Mortgage Loan Seller, the lender or the borrower.

       

      Principal-Only
        Certificate:
        Any
        Class II-A-5 Certificate.

       

      Principal
        Payment Amount:
        For any
        Distribution Date, the sum of (i) the Basic Principal Payment Amount for
        such Distribution Date and (ii) the Extra Principal Payment Amount for such
        Distribution Date.

       

      Principal
        Prepayment:
        Any
        full or partial payment or other recovery of principal on a Mortgage Loan
        (including upon liquidation of a Mortgage Loan) that is received in advance
        of
        its scheduled Due Date, excluding any Prepayment Charge thereon, and that
        is not
        accompanied by an amount of interest representing scheduled interest due
        on any
        date or dates in any month or months subsequent to the month of prepayment.
        

       

      Principal
        Prepayment in Full:
        Any
        Principal Prepayment made by a Mortgagor of the entire principal balance
        of a
        Mortgage Loan.

       

      Principal
        Remittance Amount:
        With
        respect to any Distribution Date, the amount equal to the sum of the following
        amounts (without duplication) with respect to the related Due Period:
        (i) each scheduled payment of principal on a Mortgage Loan due during such
        Due Period and received by the Servicers on or prior to the related
        Determination Date or advanced by the Servicers for the related Remittance
        Date,
        (ii) all Principal Prepayments received during the related Prepayment
        Period; (iii) all net Liquidation Proceeds, Condemnation Proceeds and
        Insurance Proceeds on the Mortgage Loans allocable to principal, and all
        Subsequent Recoveries, actually collected by the Servicers during the related
        Prepayment Period; (iv) the portion of the Repurchase Price allocable to
        principal with respect to each Mortgage Loan repurchased by a Mortgage Loan
        Seller or the Sponsor, as the case may be, that was repurchased on or prior
        to
        the related Determination Date; and (v) all Substitution Adjustment Amounts
        allocable to principal with respect to the substitutions of Mortgage Loans
        that
        occur on or prior to the related Determination Date; and (vi) the allocable
        portion of the proceeds received with respect to the termination of the Trust
        Fund pursuant to clause (a) of Section 11.01 (to the extent such
        proceeds relate to principal).

       

      
        
          
          

        

        
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      Private
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Private
        Placement Memorandum:
        The
        Private Placement Memorandum, dated November 1, 2006 relating to the offering
        of
        the Class M-10 Certificates.

       

      Prospectus:
        The
        Prospectus, dated April 3, 2006, as supplemented by the Prospectus
        Supplement.

       

      Prospectus
        Supplement:
        The
        Prospectus Supplement, dated November
        1, 2006
        relating
        to the Offered Certificates.

       

      PTCE:
        As
        defined in Section 5.02(b).

       

      Purchase
        Agreement:
        The
        Mortgage Loan Purchase Agreement, dated as of October 1, 2006, between the
        Depositor and the Sponsor.

       

      Rating
        Agency:
        Each of
        the Rating Agencies specified in the Preliminary Statement. If such organization
        or a successor is no longer in existence, “Rating Agency” shall be such
        nationally recognized statistical rating organization, or other comparable
        Person, as is designated by the Depositor, notice of which designation shall
        be
        given to the Trustee and the Securities Administrator. References herein
        to a
        given rating or rating category of a Rating Agency shall mean such rating
        category without giving effect to any modifiers. For purposes of
        Section 12.05, the addresses for notices to each Rating Agency shall be the
        address specified therefor in the definition corresponding to the name of
        such
        Rating Agency, or such other address as either such Rating Agency may hereafter
        furnish to the Depositor and the Securities Administrator.

       

      Realized
        Losses:
        With
        respect to any date of determination and any Liquidated Mortgage Loan, the
        amount, if any, by which (a) the unpaid principal balance of such
        Liquidated Mortgage Loan together with accrued and unpaid interest thereon
        exceeds (b) the Liquidation Proceeds with respect thereto net of the
        expenses incurred by the applicable Servicer in connection with the liquidation
        of such Liquidated Mortgage Loan and net of the amount of unreimbursed Servicing
        Advances with respect to such Liquidated Mortgage Loan.

       

      Record
        Date:
        With
        respect to any Distribution Date and any Certificate, the close of business
        on
        the Business Day immediately preceding such Distribution Date; provided,
        however,
        that,
        for any Certificate issued in definitive form, the Record Date shall be the
        close of business on the last Business Day of the month preceding the month
        in
        which such applicable Distribution Date occurs (or, in the case of the first
        Distribution Date, the Closing Date).

       

      
        
          
          

        

        
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      Reference
        Bank:
        As
        defined in Section 4.04.

       

      Regulation
        AB:
        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 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
        Commission, or as may be provided by the Commission or its staff from time
        to
        time.

       

      Regulation
        S:
        Regulation S promulgated under the Securities Act or any successor provision
        thereto, in each case as the same may be amended from time to time; and all
        references to any rule, section or subsection of, or definition or term
        contained in, Regulation S means such rule, section, subsection, definition
        or
        term, as the case may be, or any successor thereto, in each case as the same
        may
        be amended from time to time.

       

      Regulation
        S Investment Letter:
        As
        defined in Section 5.02(b).

       

      Regular
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Relevant
        Servicing Criteria:
        The
        Servicing Criteria applicable to the parties having reporting obligations
        hereunder, as set forth on Exhibit S attached hereto. For clarification
        purposes, multiple parties can have responsibility for the same Relevant
        Servicing Criteria. With respect to any Servicing Function Participant engaged
        by the Master Servicer, the Securities Administrator, the Custodian or any
        Servicer, the term “Relevant Servicing Criteria” may refer to a portion of the
        Relevant Servicing Criteria applicable to such parties.

       

      Relief
        Act Interest Shortfall:
        With
        respect to any Distribution Date and any Mortgage Loan, any reduction in
        the
        amount of interest collectible on such Mortgage Loan for the most recently
        ended
        Due Period as a result of the application of the Servicemembers Civil Relief
        Act
        or any applicable similar state statutes.

       

      REMIC:
        Each
        pool of assets in the Trust Fund designated as a REMIC pursuant to the
        Preliminary Statement.

       

      REMIC
        1:
        As
        described in the Preliminary Statement.

       

      REMIC
        2:
        As
        described in the Preliminary Statement.

       

      REMIC
        3:
        As
        described in the Preliminary Statement.

       

      REMIC
        2 Net Funds Cap:
        For any
        Distribution Date (and the related Interest Accrual Period) and any Class
        of
        LIBOR Certificates, an amount equal to (i) the weighted average of the interest
        rates on the Lower Tier Interests in REMIC 2, weighted in proportion to their
        Class Certificate Balances as of the beginning of the related Interest Accrual
        Period, multiplied by (ii) the quotient of (a) 30, divided by (b) the actual
        number of days in the Interest Accrual Period.

       

      
        
          
          

        

        
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      REMIC
        Provisions:
        Provisions of the federal income tax law relating to real estate mortgage
        investment conduits, which appear at Sections 860A through 860G of
        Subchapter M of Chapter 1 of the Code, and related provisions, and regulations
        promulgated thereunder, as the foregoing may be in effect from time to time
        as
        well as provisions of applicable state laws.

       

      Remittance
        Date:
        To the
        extent provided in the related Servicing Agreement, (i) with respect to Wells
        Fargo, as Servicer, the 18th
        calendar
        day of any month, or if such 18th
        day is
        not a Business Day, the first Business Day immediately following and (ii)
        with
        respect to Countrywide Servicing, the 24th
        day of
        any month, or if such 24th
        day is
        not a Business Day, the first Business Day immediately preceding.

       

      REO
        Disposition:
        The
        final sale by a Servicer of any REO Property.

       

      REO
        Property:
        A
        Mortgaged Property acquired by the Trust Fund through foreclosure or
        deed-in-lieu of foreclosure in connection with a defaulted Mortgage
        Loan.

       

      Reportable
        Event:
        As
        defined in Section 8.12(a)(iii).

       

      Reporting
        Servicer:
        As
        defined in Section 8.12(a)(ii).

       

      Repurchase
        Price:
        With
        respect to any Mortgage Loan, an amount equal to the sum of (i) the unpaid
        principal balance of such Mortgage Loan as of the date of repurchase,
        (ii) interest on such unpaid principal balance of such Mortgage Loan at the
        Mortgage Rate from the last date through which interest has been paid to
        the
        date of repurchase, (iii) all unreimbursed Servicing Advances, (iv) the
        amount of any costs and damages incurred by the Trust Fund as a result of
        any
        violation of any applicable federal, state or local predatory- or
        abusive-lending law arising from or in connection with the origination of
        such
        Mortgage Loan and (v) all expenses incurred by the Master Servicer, the
        related Servicer or Trustee arising out of the Master Servicer’s, the related
        Servicer’s or Trustee’s enforcement of the applicable Mortgage Loan Seller’s or
        Sponsor’s repurchase obligation hereunder. 

       

      Request
        for Release:
        The
        Request for Release submitted by a Servicer to the Trustee, substantially
        in the
        form of Exhibit J.

       

      Residual
        Certificates:
        As
        specified in the Preliminary Statement.

       

      Responsible
        Officer:
        When
        used with respect to the Trustee, the Securities Administrator, the Master
        Servicer, any vice president, any assistant vice president, any assistant
        secretary, any assistant treasurer, any associate, or any other officer of
        the
        Trustee, the Securities Administrator or the Master Servicer customarily
        performing functions similar to those performed by any of the above designated
        officers who at such time shall be officers to whom, with respect to a
        particular matter, such matter is referred because of such officer’s knowledge
        of and familiarity with the particular subject and who shall have direct
        responsibility for the administration of this Agreement.

       

      
        
          
          

        

        
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      Rolling
        Three Month Delinquency Rate:
        With
        respect to any Distribution Date, the average of the Delinquency Rates for
        each
        of the three (or one or two, in the case of the first and second Distribution
        Dates) immediately preceding calendar months.

       

      Rule 144A
        Investment Letter:
        As
        defined in Section 5.02(b).

       

      Sarbanes-Oxley
        Act:
        The
        Sarbanes-Oxley Act of 2002 and the rules and regulations of the Commission
        promulgated thereunder (including any interpretations thereof by the
        Commission’s staff).

       

      Sarbanes-Oxley
        Certification:
        A
        written certification signed by an officer of the Master Servicer that complies
        with (i) the Sarbanes-Oxley Act, and (ii) Exchange Act Rules 13a-14(d) and
        15d-14(d), as in effect from time to time; provided that if, after the Closing
        Date (a) the Sarbanes-Oxley Act is amended, (b) the Rules referred to in
        clause
        (ii) are modified or superseded by any subsequent statement, rule or regulation
        of the Commission or any statement of a division thereof, or (c) any future
        releases, rules and regulations are published by the Commission from time
        to
        time pursuant to the Sarbanes-Oxley Act, which in any such case affects the
        form
        or substance of the required certification and results in the required
        certification being, in the reasonable judgment of the Master Servicer,
        materially more onerous that then form of the required certification as of
        the
        Closing Date, the Sarbanes-Oxley Certification shall be as agreed to by the
        Master Servicer and the Depositor following a negotiation in good faith to
        determine how to comply with any such new requirements.

       

      Scheduled
        Payment:
        The
        scheduled monthly payment on a Mortgage Loan due on any Due Date allocable
        to
        principal and/or interest on such Mortgage Loan which, unless otherwise
        specified herein, shall give effect to any related Debt Service Reduction
        and
        any Deficient Valuation that affects the amount of the monthly payment due
        on
        such Mortgage Loan.

       

      Securities
        Act:
        The
        Securities Act of 1933, as amended and the rules and regulations
        thereunder.

       

      Securities
        Administrator:
        Wells
        Fargo and any successors in interest, and if a successor securities
        administrator is appointed hereunder, such successor. 

       

      Securities
        Administrator Float Period:
        With
        respect to the Distribution Date and the related amounts in the Distribution
        Account, the period commencing on the Remittance Date immediately preceding
        such
        Distribution Date and ending on such Distribution Date. 

       

      Senior
        Interest Payment Amount:
        With
        respect to any Distribution Date and any Class of Class A
        Certificates, the sum of the Interest Payment Amount and the Interest Carry
        Forward Amount, if any, for that Distribution Date for that Class.

       

      Servicer:
        Each of
        Wells Fargo and Countrywide Servicing, and any successors in
        interest.

       

      Service(s)(ing):
        In
        accordance with Regulation AB, the act of servicing and administering the
        Mortgage Loans or any other assets of the Trust Fund by an entity that meets
        the
        definition of “servicer’ set forth in Item 1101 of Regulation AB and is subject
        to the disclosure requirements set forth in Item 1108 of Regulation AB. For
        clarification purposes, any uncapitalized occurrence of this term in this
        Agreement shall have the meaning commonly understood by participants in the
        residential mortgage-backed securitization market.

       

      
        
          
          

        

        
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      Servicing
        Advances:
        With
        respect to the Servicers and the Master Servicer (including the Trustee in
        its
        capacity as successor master servicer), all customary and reasonable “out of
        pocket” costs and expenses (including reasonable attorneys’ fees and expenses)
        incurred by the Servicers in the performance of its servicing obligations
        under
        the related Servicing Agreement or by the Master Servicer (including the
        Trustee
        in its capacity as successor master servicer) in the performance of its
        obligations hereunder, including, but not limited to, the cost of (i) the
        preservation, restoration, inspection and protection of the Mortgaged Property,
        (ii) any enforcement or judicial proceedings, including foreclosures, (iii)
        the
        management and liquidation of the REO Property and (iv) any other expenses
        permitted to be reimbursed as Servicing Advances under the related Servicing
        Agreement, as applicable.

       

      Servicing
        Agreement:
        Each
        reconstituted servicing agreement or assignment, assumption and recognition
        agreement set forth on Exhibit M hereto and relating to a Servicer and the
        servicing of the related Mortgage Loans by such Servicer, as the same may
        be
        amended from time to time.

       

      Servicing
        Criteria:
        The
        criteria set forth in paragraph (d) of Item 1122 of Regulation AB, as such
        may
        be amended from time to time.

       

      Servicing
        Fee:
        With
        respect to each Servicer, the meaning assigned to such term in the related
        Servicing Agreement.

       

      Servicing
        Fee Rate:
        With
        respect to each Mortgage Loan, the rate specified in the related Servicing
        Agreement.

       

      Servicing
        File:
        With
        respect to each Servicer, the meaning assigned to such term in the related
        Servicing Agreement.

       

      Servicing
        Function Participant: Any
        Sub-Servicer or Subcontractor of a Servicer, the Master Servicer, the Custodian
        or the Securities Administrator, respectively.

       

      Servicing
        Officer:
        Any
        officer of a Servicer involved in, or responsible for, the administration
        and
        servicing of the Mortgage Loans whose name and facsimile signature appear
        on a
        list of servicing officers furnished to the Master Servicer and the Trustee
        by
        such Servicer on the Closing Date, as such list may from time to time be
        amended.

       

      Similar
        Law:
        As
        defined in Section 5.02(b).

       

      60+
        Day Delinquent Mortgage Loan:
        Each
        Mortgage Loan with respect to which any portion of a Scheduled Payment is,
        as of
        the last day of the prior Due Period, two months or more past due (including
        any
        such Mortgage Loan in foreclosure, any such Mortgage Loan related to REO
        Property and any such Mortgage Loan where the related Mortgagor has filed
        for
        bankruptcy), without giving effect to any grace period.

       

      
        
          
          

        

        
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      Sponsor:
        HSBC
        Bank USA, National Association, a national banking association, and its
        successors in interest. 

       

      Standard &
        Poor’s:
        Standard & Poor’s Ratings Services, a division of The McGraw-Hill
        Companies, Inc. If Standard & Poor’s is designated as a Rating Agency
        in the Preliminary Statement, for purposes of Section 12.05 the address for
        notices to Standard & Poor’s shall be Standard & Poor’s, 55
        Water Street, New York, New York 10041, Attention: Residential Mortgage
        Surveillance Group - HASCO (HSI Asset Securitization Corporation Trust,
        Series 2006-HE1), or such other address as Standard & Poor’s may
        hereafter furnish to the Depositor and the Securities
        Administrator.

       

      Standard &
        Poor’s Glossary:
        The
        Standard & Poor’s LEVELS® Glossary, as may be in effect from time to
        time.

       

      Startup
        Day:
        The
        Closing Date.

       

      Stated
        Principal Balance:
        As to
        each Mortgage Loan and as of any date of determination, (i) the principal
        balance of the Mortgage Loan at the Cut-off Date after giving effect to payments
        of principal due on or before such date (whether or not received), minus
        (ii) all amounts previously remitted to the Securities Administrator with
        respect to the related Mortgage Loan representing payments or recoveries
        of
        principal including advances in respect of scheduled payments of principal.
        For
        purposes of any Distribution Date, the Stated Principal Balance of any Mortgage
        Loan will give effect to any scheduled payments of principal received by
        the
        related Servicer on or prior to the related Determination Date or advanced
        by
        the related Servicer for the related Remittance Date and any unscheduled
        principal payments and other unscheduled principal collections received during
        the related Prepayment Period, and the Stated Principal Balance of any Mortgage
        Loan that has prepaid in full or has become a Liquidated Mortgage Loan during
        the related Prepayment Period shall be zero.

       

      Stepdown
        Date:
        The
        earlier to occur of (i) the first Distribution Date following the Distribution
        Date on which the aggregate Class Certificate Balances of the Class A
        Certificates have been reduced to zero and (ii) the later to occur of (a)
        the
        Distribution Date in November 2009 and (b) the first Distribution Date on
        which
        the Credit Enhancement Percentage for the Class A Certificates (calculated
        for
        this purpose only after taking into account payments of principal applied
        to
        reduce the Stated Principal Balance of the Mortgage Loans for that Distribution
        Date but prior to any applications of Principal Payment Amount to the
        Certificates on that Distribution Date) is greater than or equal to
        34.70%.

       

      Subcontractor:
        Any
        vendor, subcontractor or other Person that is not responsible for the overall
        servicing of the Mortgage Loans but performs one or more discrete functions
        identified in Item 1122(d) of Regulation AB with respect to Mortgage Loans
        under
        the direction or authority of any Servicer (or a Sub-Servicer of any Servicer),
        the Master Servicer, the Custodian or the Securities Administrator.

       

      Subsequent
        Recovery:
        With
        respect to any Mortgage Loan or related Mortgaged Property that became a
        Liquidated Mortgage Loan or was otherwise disposed of, all amounts received
        in
        respect of such Liquidated Mortgage Loan after an Applied Realized Loss Amount
        related to such Mortgage Loan or Mortgaged Property is allocated to reduce
        the
        Class Certificate Balance of any Class of Class M Certificates.
        Any Subsequent Recovery that is received during a Prepayment Period will
        be
        included as part of the Principal Remittance Amount for the related Distribution
        Date.

       

      
        
          
          

        

        
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      Sub-Servicer:
        Any
        Person that services Mortgage Loans on behalf of a Servicer, and is responsible
        for the performance (whether directly or through sub-servicers or
        Subcontractors) of servicing functions required to be performed under this
        Agreement, any related Servicing Agreement or any sub-servicing agreement
        that
        are identified in Item 1122(d) of Regulation AB.

       

      Substitute
        Mortgage Loan:
        A
        Mortgage Loan substituted by a Mortgage Loan Seller or the Sponsor for a
        Deleted
        Mortgage Loan which must, in the case of a Mortgage Loan substituted by the
        Sponsor, on the date of such substitution, as confirmed in a Request for
        Release, substantially in the form of Exhibit J,
        (i) have a Stated Principal Balance, after deduction of all Scheduled
        Payments due in the month of substitution, not in excess of the Stated Principal
        Balance of the Deleted Mortgage Loan; (ii) be accruing interest at a rate
        not lower than and not more than 1.00% higher than that of the Deleted Mortgage
        Loan; (iii) have a remaining term to maturity not greater than (and not
        more than one year less than) that of the Deleted Mortgage Loan; (iv) be of
        the same type as the Deleted Mortgage Loan; and (v) conforms to each
        representation and warranty applicable to the Deleted Mortgage Loan made
        in the
        Purchase Agreement. 

       

      Substitution
        Adjustment Amount:  As
        defined in Section 2.03.

       

      Supplemental
        Interest Trust:
        The
        corpus of a trust created pursuant to Section 4.06 of this Agreement and
        designated as the “Supplemental Interest Trust,” consisting of the Swap
        Agreement, the Supplemental Interest Trust Account, the Swap Account, the
        Excess
        Reserve Fund Account, the Cap Agreement, the Cap Account, the right to receive
        the Class X Distributable Amount as provided in Section 4.02(a)(iii)(H),
        the
        Class LT3-I Interest in REMIC 3 and the right to receive Class I Shortfalls.
        

       

      Supplemental
        Interest Trust Account:
        The
        Account created pursuant to Section 4.06(a).

       

      Swap
        Account:
        The
        sub-account of the Supplemental Interest Trust Account created pursuant to
        Section 4.06(a).

       

      Swap
        Agreement:
        The
        interest rate swap agreement entered into by the Supplemental Interest Trust
        and
        the Swap Counterparty, dated November 3, 2006, which agreement provides for,
        among other things, a Net Swap Payment to be paid pursuant to the conditions
        provided therein, commencing with the Distribution Date in December 2006
        and
        ending on the Distribution Date in June 2010, together with any schedules,
        confirmations or other agreements relating thereto, attached hereto as Exhibit
        O.

       

      Swap
        Amount:
        With
        respect to each Distribution Date and the related Swap Payment Date, the
        sum of
        any Net Swap Payment and any Swap Termination Payment deposited in the Swap
        Account.

       

      
        
          
          

        

        
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      Swap
        Counterparty:
        The
        counterparty to the Supplemental Interest Trust under the Swap Agreement,
        and
        any successor in interest or assigns. Initially, the Swap Counterparty shall
        be
        Wachovia Bank, National Association.

       

      Swap
        Counterparty Trigger Event:
        A Swap
        Counterparty Trigger Event shall have occurred if any of a Swap Default with
        respect to which the Swap Counterparty is a Defaulting Party, a Termination
        Event (other than a “Tax Event” or “Illegality” as such terms are defined in the
        Master Agreement) with respect to which the Swap Counterparty is the sole
        Affected Party or an Additional Termination Event with respect to which the
        Swap
        Counterparty is the sole Affected Party has occurred.

       

      Swap
        Default:
        Any of
        the circumstances constituting an “Event of Default” under the Swap
        Agreement.

       

      Swap
        LIBOR:
        With
        respect to any Distribution Date (and the Accrual Period relating to such
        Distribution Date), the product of (i) the Floating Rate Option (as defined
        in
        the Swap Agreement) for the related Swap Payment Date, (ii) two, and (iii)
        the
        quotient of (a) the actual number of days in the Accrual Period for the LIBOR
        Certificates and (b) 30, as calculated by the Swap Counterparty and furnished
        to
        the Securities Administrator.

       

      Swap
        Payment Date:
        For so
        long as the Swap Agreement is in effect or any amounts remain unpaid thereunder,
        the Business Day immediately preceding each Distribution Date.

       

      Swap
        Replacement Receipts:
        As
        defined in Section 4.08(a)(i).

       

      Swap
        Replacement Receipts Account:
        As
        defined in Section 4.08(a)(i).

       

      Swap
        Termination Payment:
        Upon
        the designation of an “Early Termination Date” as defined in the Swap Agreement,
        the payment required to be made by the Supplemental Interest Trust to the
        Swap
        Counterparty, or by the Swap Counterparty to the Supplemental Interest Trust,
        as
        applicable, pursuant to the terms of the Swap Agreement, and any unpaid amounts
        due on previous Distribution Dates and accrued interest thereon as provided
        in
        the Swap Agreement, as calculated by the Swap Counterparty and furnished
        to the
        Securities Administrator.

       

      Swap
        Termination Receipts:
        As
        defined in Section 4.08(a)(i).

       

      Swap
        Termination Receipts Account:
        As
        defined in Section 4.08(a)(i).

       

      Tax
        Matters Person:
        The Holder of the Class R Certificates designated as “tax matters person” of
        each REMIC created hereunder in the manner provided under Treasury Regulations
        Section 1.860F-4(d) and Treasury Regulations Section
        301.6231(a)(7)-1.

       

      Telerate
        Page 3750:
        The
        display page currently so designated on the Bridge Telerate Service (or such
        other page as may replace that page on that service for displaying
        comparable rates or prices).

       

      
        
          
          

        

        
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      Termination
        Event:
        The
        occurrence of a termination event under the termination provision of the
        Cap
        Agreement or Swap Agreement, as applicable.

       

      Termination
        Price:
        As
        defined in Section 11.01.

       

      Total
        Monthly Excess Spread:
        As to
        any Distribution Date, an amount equal to the excess, if any, of (i) the
        interest on the Mortgage Loans (other than Prepayment Interest Excesses)
        received by the Servicers on or prior to the related Determination Date or
        advanced by the Servicers for the related Remittance Date (net of Expense
        Fees)
        over (ii) the sum of the amounts payable to the Certificates pursuant to
        Section 4.02(a)(i)(A) through (D) on such Distribution Date.

       

      Transfer:
        Any
        direct or indirect transfer or sale of any Ownership Interest in a Residual
        Certificate.

       

      Transfer
        Affidavit:
        As
        defined in Section 5.02(c).

       

      Transfer
        Agreement:
        The
        various agreements by which
        the
        Sponsor purchased the Mortgage Loans from the Mortgage Loan
        Sellers.

       

      Transferor
        Certificate:
        As
        defined in Section 5.02(b).

       

      Trigger
        Event:
        Either
        a Cumulative Loss Trigger Event or a Delinquency Trigger Event.

       

      Trust:
        The
        express trust created hereunder in Section 2.01(c).

       

      Trust
        Fund:
        The
        corpus of the trust created hereunder consisting of (i) the Mortgage Loans
        and all interest and principal with respect thereto received on or after
        the
        related Cut-off Date, other than such amounts which were due on the Mortgage
        Loans on or prior to the related Cut-off Date; (ii) the Collection Account,
        the Distribution Account, the Cap Termination Receipts Account, the Cap
        Replacement Receipts Account the Swap Termination Receipts Account, the Swap
        Replacement Receipts Account and
        all
        amounts deposited therein pursuant to the applicable provisions of this
        Agreement; (iii) property that secured a Mortgage Loan and has been
        acquired by foreclosure, deed-in-lieu of foreclosure or otherwise; (iv) the
        Depositor’s rights under the Purchase Agreement, each Transfer Agreement and
        each Servicing Agreement; (v) the Insurance Policies; and (vi) all
        proceeds of the conversion, voluntary or involuntary, of any of the
        foregoing.

       

      Trustee:
        Deutsche Bank National Trust Company, a national banking association, and
        its
        successors in interest and, if a successor trustee is appointed hereunder,
        such
        successor.

       

      Underwriters’
        Exemption:
        Any
        exemption listed under footnote 1 of, and amended by, Prohibited Transaction
        Exemption 96-84, 61 Fed. Reg. 58234 (1996), as amended by PTE 97-34,
        62 Fed. Reg. 39021 (1997), PTE 2000-58, 65 Fed. Reg. 67765 (2000) and
        PTE 2002-41, 67 Fed. Reg. 54487 (2002), or any successor
        exemption.

       

      
        
          
          

        

        
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      Unpaid
        Realized Loss Amount:
        With
        respect to any Class of Class M Certificates and as to any
        Distribution Date, is the excess of (i) Applied Realized Loss Amounts with
        respect to such Class over (ii) the sum of (a) all distributions
        in reduction of such Applied Realized Loss Amounts on all previous Distribution
        Dates, and (b) the amount by which the Class Certificate Balance of
        such Class has been increased due to the distribution of any Subsequent
        Recoveries on all previous Distribution Dates. Any amounts distributed to
        a
        Class of Class M Certificates in respect of any Unpaid Realized Loss
        Amount will not be applied to reduce the Class Certificate Balance of such
        Class.

       

      Upper
        Tier REMIC:
        As
        described in the Preliminary Statement.

       

      Upper
        Tier REMIC Regular Interest:
        As
        described in the Preliminary Statement.

       

      U.S.
        Person:
        (i) A citizen or resident of the United States; (ii) a corporation (or
        entity treated as a corporation for tax purposes) created or organized in
        the
        United States or under the laws of the United States or of any State thereof,
        including, for this purpose, the District of Columbia; (iii) a partnership
        (or entity treated as a partnership for tax purposes) organized in the United
        States or under the laws of the United States or of any State thereof,
        including, for this purpose, the District of Columbia (unless provided otherwise
        by future Treasury regulations); (iv) an estate whose income is includible
        in gross income for United States income tax purposes regardless of its source;
        or (v) a trust, if a court within the United States is able to exercise
        primary supervision over the administration of the trust and one or more
        U.S.
        Persons have authority to control substantial decisions of the trust.
        Notwithstanding the last clause of the preceding sentence, to the extent
        provided in Treasury regulations, certain trusts in existence on August 20,
        1996, and treated as U.S. Persons prior to such date, may elect to continue
        to
        be U.S. Persons.

       

      Voting
        Rights:
        The
        portion of the voting rights of all of the Certificates which is allocated
        to
        any Certificate. As of any date of determination, 1.00% of all Voting Rights
        shall be allocated to each of the Class X, Class P and Class R
        Certificates, if any (such Voting Rights to be allocated among the holders
        of
        Certificates of each such Class in accordance with their respective
        Percentage Interests) and the remaining Voting Rights shall be allocated
        among
        Holders of the remaining Classes of Certificates in proportion to the
        Certificate Balances of their respective Certificates on such date.

       

      Wells
        Fargo:
        Wells
        Fargo Bank, N.A., a national banking association, and its successors in
        interest.

    

    
       

      ARTICLE
        II

       

      CONVEYANCE
        OF MORTGAGE LOANS;

      REPRESENTATIONS
        AND WARRANTIES

      
         

        Section
          2.01 Conveyance
          of Mortgage Loans.
          (a) The Depositor, concurrently with the execution and delivery hereof,
          hereby sells, transfers, assigns, sets over and otherwise conveys to the
          Trustee
          for the benefit of the Certificateholders, without recourse, all the right,
          title and interest of the Depositor in and to the Trust Fund including
          all
          interest and principal received on or with respect to the Mortgage Loans
          on or
          after the Cut-off Date (other than Scheduled Payments due on the Mortgage
          Loans
          on or before the Cut-off Date).

      

    

    
       

      
        
          
          

        

        
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      Concurrently
        with the execution of this Agreement, the Derivative Agreements shall be
        delivered to the Securities Administrator. In connection therewith, the
        Depositor hereby directs the Securities Administrator (solely in its capacity
        as
        securities administrator of the Supplemental Interest Trust) and the Securities
        Administrator is hereby authorized to execute and deliver each of the Derivative
        Agreements on behalf of the Supplemental Interest Trust, for the benefit
        of
        Certificateholders. The Depositor, the Sponsor, the Master Servicer, the
        Credit
        Risk Manager and the Certificateholders (by their acceptance of such
        Certificates) acknowledge and agree that the Securities Administrator is
        executing and delivering the Derivative Agreements solely in its capacity
        as
        securities administrator of the Supplemental Interest Trust and not in its
        individual capacity. The Securities Administrator shall have no duty or
        responsibility to enter into any other interest rate swap agreement upon
        the
        expiration or termination of the Swap Agreement or interest rate cap agreement
        upon the termination of the Cap Agreement unless so directed by the
        Depositor.

       

      Concurrently
        with the execution and delivery of this Agreement, the Depositor does hereby
        assign to the Trustee all of its rights and interest under (i) the Purchase
        Agreement, including the right to enforce the Sponsor’s obligation to repurchase
        or substitute defective Mortgage Loans under Section 4 of the Purchase Agreement
        and (ii) each Servicing Agreement and each Transfer Agreement, to the extent
        assigned under the Purchase Agreement. The Trustee hereby accepts such
        assignment, and as set forth herein in Section 2.03(d), shall be entitled
        to
        exercise all the rights of the Depositor under the Purchase Agreement as
        if, for
        such purpose, it were the Depositor.

       

      (b) In
        connection with the transfer and assignment of each Mortgage Loan, the Depositor
        has delivered or caused to be delivered to the Custodian for the benefit
        of the
        Certificateholders the following documents or instruments with respect to
        each
        Mortgage Loan so assigned:

       

      (i) the
        original Mortgage Note bearing all intervening endorsements necessary to
        show a
        complete chain of endorsements from the original payee, endorsed in blank,
“Pay
        to the order of _____________, without recourse”, and, if previously endorsed,
        signed in the name of the last endorsee by a duly qualified officer of the
        last
        endorsee;

       

      (ii) the
        original Assignment of Mortgage for each Mortgage Loan, in form and substance
        acceptable for recording. The Mortgage shall be assigned, with assignee’s name
        left blank;

       

      (iii) the
        original of each guarantee executed in connection with the Mortgage Note,
        if
        any;

       

      
        
          
          

        

        
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      (iv) the
        original recorded Mortgage, with evidence of recording thereon. If in connection
        with any Mortgage Loan, the original Mortgage cannot be delivered with evidence
        of recording thereon on or prior to the Closing Date because of a delay caused
        by the public recording office where such Mortgage has been delivered for
        recordation or because such Mortgage has been lost or because such public
        recording office retains the original recorded Mortgage, the Depositor shall
        deliver or cause to be delivered to the Custodian, (A) in the case of a
        delay caused by the public recording office, a copy of such Mortgage certified
        by the applicable Mortgage Loan Seller, escrow agent, title insurer or closing
        attorney to be a true and complete copy of the original recorded Mortgage
        and
        (B) in the case where a public recording office retains the original
        recorded Mortgage or in the case where a Mortgage is lost after recordation
        in a
        public recording office, a copy of such Mortgage certified by such public
        recording office to be a true and complete copy of the original recorded
        Mortgage;

       

      (v) originals
        or a certified copy of each modification agreement, if any;

       

      (vi) the
        originals of all intervening assignments of Mortgage with evidence of recording
        thereon evidencing a complete chain of ownership from the originator of the
        Mortgage Loan to the last assignee, or if any such intervening assignment
        of
        Mortgage has not been returned from the applicable public recording office
        or
        has been lost or if such public recording office retains the original recorded
        intervening assignments of Mortgage, a photocopy of such intervening assignment
        of Mortgage, together with (A) in the case of a delay caused by the public
        recording office, an officer’s certificate of the applicable Mortgage Loan
        Seller, escrow agent, closing attorney or the title insurer insuring the
        Mortgage stating that such intervening assignment of Mortgage has been delivered
        to the appropriate public recording office for recordation and that such
        original recorded intervening assignment of Mortgage or a copy of such
        intervening assignment of Mortgage certified by the appropriate public recording
        office to be a true and complete copy of the original recorded intervening
        assignment of Mortgage will be promptly delivered to the Custodian upon receipt
        thereof by the party delivering the officer’s certificate or by the applicable
        Mortgage Loan Seller; or (B) in the case of an intervening assignment of
        mortgage where a public recording office retains the original recorded
        intervening assignment of Mortgage or in the case where an intervening
        assignment of Mortgage is lost after recordation in a public recording office,
        a
        copy of such intervening assignment of Mortgage with recording information
        thereon certified by such public recording office to be a true and complete
        copy
        of the original recorded intervening assignment of Mortgage;

       

      (vii) if
        the
        Mortgage Note, the Mortgage, any Assignment of Mortgage or any other related
        document has been signed by a Person on behalf of the Mortgagor, the copy
        of the
        power of attorney or other instrument that authorized and empowered such
        Person
        to sign;

       

      (viii) the
        original lender’s title insurance policy (or a marked title insurance
        commitment, in the event that an original lender’s title insurance policy has
        not yet been issued) in the form of an ALTA mortgage title insurance policy,
        containing all required endorsements and insuring the Trustee and its successors
        and assigns as to the first priority lien of the Mortgage in the original
        principal amount of the Mortgage Loan;

       

      
        
          
          

        

        
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      (ix) if
        applicable, the original of any Primary Mortgage Insurance Policy or certificate
        or, an electronic certification, evidencing the existence of the Primary
        Mortgage Insurance Policy or certificate, if private mortgage guaranty insurance
        is required; and

       

      (x) original
        of any security agreement, chattel mortgage or equivalent document executed
        in
        connection with the Mortgage, if any.

       

      From
        time
        to time, a Mortgage Loan Seller, the Depositor or a Servicer, as applicable,
        shall forward to the Custodian additional original documents, additional
        documents evidencing an assumption, modification, consolidation or extension
        of
        a Mortgage Loan, in accordance with the terms of this Agreement, the Transfer
        Agreements and the Servicing Agreements, upon receipt of such documents.
        All
        such mortgage documents held by the Custodian as to each Mortgage Loan shall
        constitute the “Custodial
        File”.

       

      Assignments
        of Mortgage shall not be required to be completed and submitted for recording
        with respect to any Mortgage Loan if the Trustee and each Rating Agency have
        received an Opinion of Counsel from the Depositor, satisfactory in form and
        substance to the Trustee and each Rating Agency to the effect that the
        recordation of such Assignments of Mortgage in any specific jurisdiction
        is not
        necessary to protect the Trust Fund’s interest in the related Mortgage Note. If
        the Assignment of Mortgage is to be recorded, the Mortgage shall be assigned
        by
        the Mortgage Loan Seller to “Deutsche Bank National Trust Company, as trustee
        under the Pooling and Servicing Agreement dated as of October 1, 2006, for
        HSI
        Securitization Corporation Trust 2006-HE1”.

       

      (c) The
        Depositor does hereby establish, pursuant to the further provisions of this
        Agreement and the laws of the State of New York, an express trust (the
“Trust”)
        to be
        known, for convenience, as “HSI Securitization Corporation Trust 2006-HE1” and
        Deutsche Bank National Trust Company is hereby appointed as Trustee and Wells
        Fargo Bank, N.A. is appointed as Securities Administrator in accordance with
        the
        provisions of this Agreement. The parties hereto acknowledge and agree that
        it
        is the policy and intention of the Trust to acquire only Mortgage Loans meeting
        the requirements set forth in this Agreement, including without limitation,
        the
        representations and warranties set forth in the Schedules hereto.

       

      (d) The
        Trust
        shall have the capacity, power and authority, and the Trustee on behalf of
        the
        Trust is hereby authorized, to accept the sale, transfer, assignment, set
        over
        and conveyance by the Depositor to the Trust of all the right, title and
        interest of the Depositor in and to the Trust Fund (including, without
        limitation, the Mortgage Loans) pursuant to Section 2.01(a). 

       

      Section
        2.02 Acceptance
        by the Custodian of the Mortgage Loans.
        The
        Custodian shall acknowledge, on the Closing Date, receipt by the Custodian
        of
        the documents identified in the Initial Certification in the form annexed
        hereto
        as Exhibit E (“Initial
        Certification”),
        and
        declares that it holds and will hold such documents and the other documents
        delivered to it pursuant to Section 2.01, and that it holds or will hold
        such other assets as are included in the Trust Fund, in trust for the exclusive
        use and benefit of all present and future Certificateholders. The Custodian
        shall maintain possession of the related Mortgage Notes in the States of
        Minnesota, California, and Utah unless otherwise permitted by the Rating
        Agencies.

       

      
        
          
          

        

        
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      In
        connection with the Closing Date, the Custodian shall be required to deliver
        via
        facsimile (with original to follow the next Business Day) to the Depositor
        and
        the Trustee an Initial Certification prior to the Closing Date, or, as the
        Depositor agrees on the Closing Date, certifying receipt of a Mortgage Note
        and
        Assignment of Mortgage for each Mortgage Loan. The Custodian shall not be
        responsible to verify the validity, sufficiency or genuineness of any document
        in any Custodian File.

       

      Within
        90 days of the Closing Date, the Custodian shall ascertain that all
        documents identified in the Document Certification and Exception Report in
        the
        form attached hereto as Exhibit F are in its possession, and shall deliver
        to the Depositor, the Trustee, the Mortgage Loan Seller and the Servicers,
        a
        Document Certification and Exception Report, in the form annexed hereto as
        Exhibit F, to the effect that, as to each Mortgage Loan listed in the
        Mortgage Loan Schedule (other than any Mortgage Loan paid in full or any
        Mortgage Loan specifically identified in such certification as an exception
        and
        not covered by such certification): (i) all documents identified in the
        Document Certification and Exception Report and required to be reviewed by
        it
        are in its possession; (ii) such documents have been reviewed by it and
        appear regular on their face and relate to such Mortgage Loan; (iii) based
        on its examination and only as to the foregoing documents, the information
        set
        forth in items (1), (2), (3), (15), (18) and (22) of the Data Tape
        Information respecting such Mortgage Loan is correct; and (iv) each
        Mortgage Note has been endorsed as provided in Section 2.01 of this
        Agreement. Neither the Trustee nor the Custodian shall be responsible to
        verify
        the validity, sufficiency or genuineness of any document in any Custodial
        File.

       

      The
        Custodian shall retain possession and custody of each Custodial File in
        accordance with and subject to the terms and conditions set forth
        herein.

       

      Section
        2.03 Remedies
        for Breaches of Representations and Warranties with Respect to the Mortgage
        Loans.
        

       

      (a) Upon
        the
        removal of a Deleted Mortgage Loan and the substitution of a Substititute
        Mortgage Loan and the deposit to the related Collection Account of the amount
        required to be deposited therein in connection with such substitution, the
        Custodian shall release the Mortgage File held for the benefit of the
        Certificateholders relating to such Deleted Mortgage Loan to the applicable
        Mortgage Loan Seller and the Trustee, upon receipt of a Request for Release
        certifying that all amounts required to be deposited in accordance with this
        Section 2.03(a) have been deposited in the related Collection Account, shall
        execute and deliver at the applicable Mortgage Loan Seller’s direction such
        instruments of transfer or assignment prepared by the applicable Mortgage
        Loan
        Seller in each case without recourse, as shall be necessary to vest title
        in the
        applicable Mortgage Loan Seller of the Trustee’s interest in any Deleted
        Mortgage Loan substituted for pursuant to this Section 2.03.

       

      
        
          
          

        

        
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      (b) In
        addition to the repurchase or substitution obligations referred to in
        Section 2.03(d) below, the Sponsor shall indemnify the Depositor, any of
        its Affiliates, the Master Servicer, each Servicer, the Securities
        Administrator, the Trustee and the Trust and hold such parties harmless against
        any losses, damages, penalties, fines, forfeitures, reasonable and necessary
        legal fees and related costs, judgments and other costs and expenses (including,
        without limitation, any taxes payable by the Trust) resulting from any third
        party claim, demand, defense or assertion based on or grounded upon, or
        resulting from, a breach by the Sponsor of any of its representations and
        warranties or obligations contained in this Agreement.

       

      (c) Upon
        receipt of a Request for Release substantially in the form of Exhibit J
        hereto, the Custodian shall release the related Custodial File held for the
        benefit of the Certificateholders to the related Mortgage Loan Seller or
        the
        Sponsor, as applicable, as directed by the applicable Servicer, and the Trustee
        shall execute and deliver at such Person’s direction such instruments of
        transfer or assignment prepared by such Person, in each case without recourse,
        as shall be necessary to transfer title from the Trustee. In accordance with
        Section 12.05(a), the Securities Administrator shall promptly notify each
        Rating Agency of a purchase of a Mortgage Loan pursuant to this
        Section 2.03 or pursuant to a Transfer Agreement.

       

      (d) The
        Trustee acknowledges that, except as provided in Section 5 of the Purchase
        Agreement, the Sponsor shall not have any obligation or liability with respect
        to any breach of a representation or warranty made by it with respect to
        a
        Mortgage Loan sold by it, provided that such representation or warranty was
        also
        made by a Mortgage Loan Seller with respect to the related Mortgage Loan.
        It is
        understood and agreed that the representations and warranties of the Sponsor
        set
        forth in Section 4 of the Purchase Agreement and assigned to the Trustee
        by the
        Depositor hereunder shall survive the transfer of the Mortgage Loans by the
        Depositor to the Trustee on the Closing Date, and shall inure to the benefit
        of
        the Trustee and the Certificateholders notwithstanding any restrictive or
        qualified endorsement on any Mortgage Note or Assignment of Mortgage and
        shall
        continue throughout the term of this Agreement. Upon the discovery by any
        of the
        Sponsor, the Depositor, the Securities Administrator, the Trustee, the Master
        Servicer or any Servicer of a breach of any of the Sponsor’s representations and
        warranties set forth in Section 4 of the Purchase Agreement, the party
        discovering the breach shall give prompt written notice to the others. Within
        30 days of the earlier of either discovery by or notice to the Sponsor of
        any breach of any of the foregoing representations or warranties that materially
        and adversely affects the value of any Mortgage Loan or the interest of the
        Trustee or the Certificateholders therein, the Sponsor shall use its best
        efforts to cure such breach in all material respects and, if such defect
        or
        breach cannot be remedied, the Sponsor shall, at the Depositor’s instructions as
        specified in writing and provided to the Sponsor and the Trustee, (i) if
        such 30-day period expires prior to the second anniversary of the Closing
        Date,
        remove such Mortgage Loan from the Trust Fund and substitute in its place
        a
        Substitute Mortgage Loan, in the same manner and subject to the same conditions
        set forth in this Section 2.03 or (ii) repurchase such Mortgage Loan
        at the Repurchase Price; provided,
        however,
        that
        any such substitution pursuant to clause (i) above shall not be
        effected prior to the delivery to the Custodian of a Request for Release
        substantially in the form of Exhibit J, and the delivery of the Mortgage
        File to the Custodian for any such Substitute Mortgage Loan. It is understood
        and agreed that the obligations of the Sponsor under this Agreement to cure,
        repurchase or substitute any Mortgage Loan as to which a breach of a
        representation and warranty has occurred and is continuing, together with
        any
        related indemnification obligations of the Sponsor set forth in Section 2.03(b),
        shall constitute the sole remedies against the Sponsor available to the
        Certificateholders, the Depositor and any of its affiliates, or the Trustee
        on
        their behalf.

       

      
        
          
          

        

        
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      The
        provisions of this Section 2.03 shall survive delivery of the respective
        Custodial Files to the Custodian for the benefit of the
        Certificateholders.

       

      Section
        2.04 Execution
        and Delivery of Certificates.
        The
        Trustee acknowledges the transfer and assignment to it of the Trust Fund
        and,
        concurrently with such transfer and assignment, the Securities Administrator
        has
        executed and delivered to, or upon the order of the Depositor, the Certificates
        in authorized denominations evidencing directly or indirectly the entire
        ownership of the Trust Fund. The Trustee agrees to hold the Trust Fund and
        exercise the rights referred to above for the benefit of all present and
        future
        Holders of the Certificates.

       

      Section
        2.05 REMIC
        Matters.
        The
        Preliminary Statement sets forth the designations for federal income tax
        purposes of all interests created hereby. The “Startup
        Day”
for
        purposes of the REMIC Provisions shall be the Closing Date. The “latest
        possible maturity date”
is
        the
        Distribution Date occurring in October 2041, which is the Distribution Date
        in
        the month following the month in which the latest Mortgage Loan maturity
        date
        occurs.

       

      Section
        2.06 Representations
        and Warranties of the Depositor.
        The
        Depositor hereby represents, warrants and covenants to the other parties
        to this
        agreement that as of the date of this Agreement or as of such date specifically
        provided herein:

       

      (a) The
        Depositor is a corporation duly organized, validly existing and in good standing
        under the laws of the State of Delaware;

       

      (b) The
        Depositor has the power and authority to convey the Mortgage Loans and to
        execute, deliver and perform, and to enter into and consummate transactions
        contemplated by, this Agreement;

       

      (c) This
        Agreement has been duly and validly authorized, executed and delivered by
        the
        Depositor, all requisite company action having been taken, and, assuming
        the due
        authorization, execution and delivery hereof by the other parties hereto,
        constitutes or will constitute the legal, valid and binding agreement of
        the
        Depositor, enforceable against the Depositor in accordance with its terms,
        except as such enforcement may be limited by bankruptcy, insolvency,
        reorganization, moratorium or other similar laws relating to or affecting
        the
        rights of creditors generally, and by general equity principles (regardless
        of
        whether such enforcement is considered in a proceeding in equity or at
        law);

       

      (d) No
        consent, approval, authorization or order of, or registration or filing with,
        or
        notice to, any governmental authority or court is required for the execution,
        delivery and performance of or compliance by the Depositor with this Agreement
        or the consummation by the Depositor of any of the transactions contemplated
        hereby, except as have been received or obtained on or prior to the Closing
        Date;

       

      (e) None
        of
        the execution and delivery of this Agreement, the consummation of the
        transactions contemplated hereby or thereby, or the fulfillment of or compliance
        with the terms and conditions of this Agreement, (i) conflicts or will
        conflict with or results or will result in a breach of, or constitutes or
        will
        constitute a default or results or will result in an acceleration under
        (A) the charter or bylaws of the Depositor, or (B) of any term,
        condition or provision of any material indenture, deed of trust, contract
        or
        other agreement or instrument to which the Depositor or any of its subsidiaries
        is a party or by which it or any of its subsidiaries is bound; (ii) results
        or will result in a violation of any law, rule, regulation, order, judgment
        or
        decree applicable to the Depositor of any court or governmental authority
        having
        jurisdiction over the Depositor or its subsidiaries; or (iii) results in
        the creation or imposition of any lien, charge or encumbrance which would
        have a
        material adverse effect upon the Mortgage Loans or any documents or instruments
        evidencing or securing the Mortgage Loans;

       

      
        
          
          

        

        
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      (f) There
        are
        no actions, suits or proceedings before or against or investigations of,
        the
        Depositor pending, or to the knowledge of the Depositor, threatened, before
        any
        court, administrative agency or other tribunal, and no notice of any such
        action, which, in the Depositor’s reasonable judgment, might materially and
        adversely affect the performance by the Depositor of its obligations under
        this
        Agreement, or the validity or enforceability of this Agreement;

       

      (g) The
        Depositor is not in default with respect to any order or decree of any court
        or
        any order, regulation or demand of any federal, state, municipal or governmental
        agency that would materially and adversely affect its performance hereunder;
        and

       

      (h) Immediately
        prior to the transfer and assignment by the Depositor to the Trustee on the
        Closing Date, the Depositor had good title to, and was the sole owner of
        each
        Mortgage Loan, free of any interest of any other Person, and the Depositor
        has
        transferred all right, title and interest in each Mortgage Loan to the Trustee.
        The transfer of the Mortgage Note and the Mortgage as and in the manner
        contemplated by this Agreement is sufficient either (i) fully to transfer
        to the Trustee, for the benefit of the Certificateholders, all right, title,
        and
        interest of the Depositor thereto as note holder and mortgagee or (ii) to
        grant to the Trustee, for the benefit of the Certificateholders, the security
        interest referred to in Section 12.04.

       

      It
        is
        understood and agreed that the representations, warranties and covenants
        set
        forth in this Section 2.06 shall survive delivery of the respective
        Mortgage Files to the Custodian and shall inure to the benefit of the
        Trustee.

       

      ARTICLE
        III

       

      ADMINISTRATION
        AND SERVICING

      OF
        MORTGAGE LOANS

       

      Section
        3.01 Establishment
        of Certain Accounts.
        (a)   (i) The Securities Administrator shall establish and maintain
        the Excess Reserve Fund Account as an asset of the Supplemental Interest
        Trust,
        on behalf of the Class X Certificateholders, to receive any Basis Risk
        Payment and to secure their limited recourse obligation to pay to the LIBOR
        Certificateholders any Basis Risk Carryover Amounts. The Excess Reserve Fund
        Account shall be funded on the Closing Date with an initial deposit of $1,000
        by
        the Depositor.

       

      (ii) On
        each
        Distribution Date, the Securities Administrator shall deposit the amount
        of any
        Basis Risk Payment for such date into the Excess Reserve Fund
        Account.

       

      
        
          
          

        

        
          -55-

          
            

          

        

        
          
          

        

      

      (b)     (i) On
        each
        Distribution Date on which there exists a Basis Risk Carryover Amount on
        any
        Class of LIBOR Certificates, the Securities Administrator shall
        (1) withdraw from the Distribution Account and deposit in the Excess
        Reserve Fund Account, as set forth in Section 4.02(a)(iii)(D), the lesser
        of (x) the Class X Distributable Amount (without regard to the
        reduction in the definition thereof with respect to the Basis Risk Payment
        (to
        the extent remaining after the distributions specified in
        Sections  4.02(a)(iii)(A)
        through (H)) and (y) the aggregate Basis Risk Carryover Amounts for such
        Distribution Date and (2) withdraw from the Excess Reserve Fund Account
        amounts necessary to pay to such Class or Classes of LIBOR Certificates the
        applicable Basis Risk Carryover Amount. Such payments shall be allocated
        to
        those Classes on a pro rata
        basis
        based upon the amount of Basis Risk Carryover Amount owed to each such
        Class and shall be paid in the priority set forth in
        Sections 4.02(a)(iii)(D).

       

      (ii) The
        Securities Administrator shall account for the Excess Reserve Fund Account
        as an
        asset of a grantor trust under subpart E, Part I of subchapter J
        of the Code and not as an asset of any REMIC created pursuant to this Agreement.
        The beneficial owners of the Excess Reserve Fund Account are the Class X
        Certificateholders. For all federal tax purposes, amounts transferred by
        the
        Upper Tier REMIC to the Excess Reserve Fund Account shall be treated as
        distributions by the Securities Administrator to the Class X
        Certificateholders.

       

      (iii) Any
        Basis
        Risk Carryover Amounts paid by the Securities Administrator to the LIBOR
        Certificateholders shall be accounted for by the Securities Administrator
        as
        amounts paid first to the Holders of the Class X Certificates and then to
        the respective Class or Classes of LIBOR Certificates and Interest-Only
        Certificates. In addition, the Securities Administrator shall account for
        such
        Certificateholders’ rights to receive payments of Basis Risk Carryover Amounts
        as rights in a limited recourse notional principal contract written by the
        Class X Certificateholders in favor of such
        Certificateholders.

       

      (iv) Notwithstanding
        any provision contained in this Agreement, the Securities Administrator shall
        not be required to make any payments to and from the Excess Reserve Fund
        Account
        except as expressly set forth in this Section 3.01(b) and
        Sections 4.02(a)(iii)(D) and (H).

       

      (c) The
        Securities Administrator shall establish and maintain the Distribution Account
        on behalf of the Certificateholders. The Master Servicer shall, promptly
        upon
        receipt, deposit in the Distribution Account and retain therein the
        following:

       

      (i) the
        aggregate amount remitted by the Servicers to the Master Servicer pursuant
        to
        the Servicing Agreements ;

       

      (ii) any
        amount deposited by the Servicers pursuant to the Servicing Agreements in
        connection with any losses on Permitted Investments; and

       

      (iii) any
        other
        amounts deposited hereunder which are required to be deposited in the
        Distribution Account.

       

      
        
          
          

        

        
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      In
        the
        event that a Servicer shall remit any amount not required to be remitted,
        it may
        at any time direct the Securities Administrator in writing to withdraw such
        amount from the Distribution Account, any provision herein to the contrary
        notwithstanding. Such direction may be accomplished by delivering notice
        to the
        Securities Administrator which describes the amounts deposited in error in
        the
        Distribution Account. All funds deposited in the Distribution Account shall
        be
        held by the Securities Administrator in trust for the Certificateholders
        until
        disbursed in accordance with this Agreement or withdrawn in accordance with
        Section 4.02. 

       

      Section
        3.02 Investment
        of Funds in the Distribution Account.
        (a)  The Securities Administrator may invest funds in the Distribution
        Account during the Securities Administrator’s Float Period, in one or more
        Permitted Investments bearing interest or sold at a discount, and maturing,
        unless payable on demand, no later than the Business Day immediately preceding
        the date on which such funds are required to be withdrawn from such account
        pursuant to this Agreement; provided,
        however,
        that
        any such Permitted Investment managed by or advised by the Securities
        Administrator or any of its Affiliates may mature, unless payable on demand,
        no
        later than the date on which such funds are required to be withdrawn from
        such
        account pursuant to this Agreement. All such Permitted Investments shall
        be held
        to maturity, unless payable on demand. Any investment of funds in the
        Distribution Account shall be made in the name of the Securities Administrator.
        The Securities Administrator shall be entitled to sole possession over each
        such
        investment, and any certificate or other instrument evidencing any such
        investment shall be delivered directly to the Securities Administrator or
        its
        agent, as applicable, together with any document of transfer necessary to
        transfer title to such investment to the Securities Administrator or its
        agent,
        as applicable. In the event amounts on deposit in the Distribution Account
        are
        at any time invested in a Permitted Investment payable on demand, the Securities
        Administrator may:

       

      
        	 	
                (x)

              	
                consistent
                  with any notice required to be given thereunder, demand that payment
                  thereon be made on the last day such Permitted Investment may otherwise
                  mature hereunder in an amount equal to the lesser of (1) all amounts
                  then payable thereunder and (2) the amount required to be withdrawn
                  on such date; and

              

      

       

      
        	 	
                (y)

              	
                demand
                  payment of all amounts due thereunder that such Permitted Investment
                  would
                  not constitute a Permitted Investment in respect of funds thereafter
                  on
                  deposit in the Distribution
                  Account.

              

      

       

      (b) All
        income and gain realized from the investment of funds deposited in the
        Distribution Account held by the Securities Administrator during the Securities
        Administrator’s Float Period, shall be for the benefit of the Securities
        Administrator, and shall be subject to the Securities Administrator’s withdrawal
        in the manner set forth in Section 4.01. Notwithstanding anything in this
        Section 3.02(b), the Securities Administrator shall be liable to the Trust
        for
        any loss on any funds it has invested under this Section 3.02(b) only during
        the
        Securities Administrator Float Period, and the Securities Administrator shall
        deposit in the Distribution Account the amount of any loss of principal incurred
        in respect of any such Permitted Investment made with funds in such account
        immediately upon realization of such loss.

       

      
        
          
          

        

        
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      (c) The
        Securities Administrator or its Affiliates are permitted to receive additional
        compensation that could be deemed to be in the Securities Administrator’s
        economic self-interest for (i) serving as investment adviser,
        administrator, shareholder, servicing agent, custodian or sub-custodian with
        respect to certain of the Permitted Investments, (ii) using Affiliates to
        effect transactions in certain Permitted Investments and (iii) effecting
        transactions in certain Permitted Investments. Such compensation shall not
        be
        considered an amount that is reimbursable for payable pursuant to this
        Agreement.

       

      Section
        3.03 Report
        on Assessment of Compliance with Relevant Servicing Criteria.
        On
        or
        before March 15th
        of each
        calendar year, commencing in March 2007, the Master Servicer, the Securities
        Administrator and the Custodian, each at its own expense, shall furnish or
        otherwise make available, and each such party shall cause any Servicing Function
        Participant engaged by it to furnish, each at its own expense, to the Securities
        Administrator and the Depositor, a report on an assessment of compliance
        with
        the Relevant Servicing Criteria set forth in Exhibit S that contains (A)
        a
        statement by such party of its responsibility for assessing compliance with
        the
        Relevant Servicing Criteria, (B) a statement that such party used the Relevant
        Servicing Criteria to assess compliance with the Relevant Servicing Criteria,
        (C) such party’s assessment of compliance with the Relevant Servicing Criteria
        as of and for the fiscal year covered by the Form 10-K required to be filed
        pursuant to Section 8.12, including, if there has been any material instance
        of
        noncompliance with the Relevant Servicing Criteria, a discussion of each
        such
        failure and the nature and status thereof, and (D) a statement that a registered
        public accounting firm has issued an attestation report on such party’s
        assessment of compliance with the Relevant Servicing Criteria as of and for
        such
        period. 

       

      Promptly
        after receipt of each such report on assessment of compliance as well as
        the
        reports on assessment of compliance provided to the Depositor under the
        Servicing Agreements, (i) the Depositor shall review each such report and,
        if
        applicable, consult with the Master Servicer, the Securities Administrator,
        any
        Servicer and any Servicing Function Participant engaged by any such party
        as to
        the nature of any material instance of noncompliance with the Relevant Servicing
        Criteria by each such party, and (ii) the Securities Administrator shall
        confirm
        that the assessments, taken as a whole, address all of the Servicing Criteria
        and taken individually address the Relevant Servicing Criteria for each party
        as
        set forth on Exhibit S.

       

      The
        Master Servicer shall enforce any obligation of each Servicer to cause to
        be
        delivered to the Securities Administrator an annual report on assessment
        of
        compliance within the time frame set
        forth
        in this Section 3.03, and in such form and
        substance as required by this Agreement. 

       

      In
        the
        event the Master Servicer, the Securities Administrator, the Custodian or
        any
        Servicing Function Participant engaged by any such party is terminated, assigns
        its rights and obligations under, or resigns pursuant to, the terms of this
        Agreement, or any other applicable agreement, as the case may be, such party
        shall provide a report on assessment of compliance pursuant to this Section
        3.03, or to such other applicable agreement, notwithstanding any such
        termination, assignment or resignation.

       

      
        
          
          

        

        
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      Section
        3.04 Report
        on Attestation of Compliance with Relevant Servicing Criteria.On
        or
        before March 15th
        of each
        calendar year, commencing in March 2007, the Master Servicer, the Securities
        Administrator and the Custodian, each at its own expense, shall cause, and
        each
        such party shall cause any Servicing Function Participant engaged by it to
        cause, each at its own expense, a registered public accounting firm (which
        may
        also render other services to the Master Servicer, the Securities Administrator,
        the Custodian or such other Servicing Function Participants, as the case
        may be)
        that is a member of the American Institute of Certified Public Accountants
        to
        furnish an attestation report to the Securities Administrator and the Depositor,
        to the effect that (i) it has obtained a representation regarding certain
        matters from the management of such party, which includes an assertion that
        such
        party has complied with the Relevant Servicing Criteria, and (ii) on the
        basis
        of an examination conducted by such firm in accordance with standards for
        attestation engagements issued or adopted by the Public Company Accounting
        Oversight Board, it is expressing an opinion as to whether such party’s
        compliance with the Relevant Servicing Criteria was fairly stated in all
        material respects, or it cannot express an overall opinion regarding such
        party’s assessment of compliance with the Relevant Servicing Criteria. In the
        event that an overall opinion cannot be expressed, such registered public
        accounting firm shall state in such report why it was unable to express such
        an
        opinion. Such report must be available for general use and not contain
        restricted use language. 

       

      Promptly
        after receipt of each such assessment of compliance and attestation report
        as
        well as the assessment of compliance and attestation report provided the
        Depositor under the Servicing Agreements, the Securities Administrator shall
        confirm that each assessment submitted pursuant to Section 3.03 and the
        Servicing Agreements is coupled with an attestation meeting the requirements
        of
        this Section and notify the Depositor of any exceptions. 

       

      The
        Master Servicer shall enforce any obligation of each Servicer to cause to
        be
        delivered to the Master Servicer an attestation within the time frame set
        forth
        in this Section 3.04, and in such form and substance as may be required by
        this
        Agreement. 

       

      In
        the
        event the Master Servicer, the Securities Administrator, the Custodian or
        any
        Servicing Function Participant engaged by any such party, is terminated,
        assigns
        its rights and duties under, or resigns pursuant to the terms of, this Agreement
        or any other applicable agreement, as the case may be, such party shall cause
        a
        registered public accounting firm to provide an attestation pursuant to this
        Section 3.04, or to such other applicable agreement, notwithstanding any
        such
        termination, assignment or resignation. 

       

      Section
        3.05 Annual
        Officer’s Certificates.(a)
        Each
        Form 10-K filed with the Commission shall include a Sarbanes-Oxley Certification
        exactly as set forth in Exhibit L attached hereto, required to be included
        therewith pursuant to the Sarbanes-Oxley Act. The Master Servicer and the
        Securities Administrator shall, and shall cause any Servicing Function
        Participant engaged by it to, provide to the Person who signs the Sarbanes-Oxley
        Certification (the “Certifying
        Person”),
        by
        March 10th
        of each
        year in which the Trust is subject to the reporting requirements of the Exchange
        Act and otherwise within a reasonable period of time upon request, a
        certification (each, a “Back-Up
        Certification”),
        in
        the form provided in the related Servicing Agreement, upon which the Certifying
        Person, the entity for which the Certifying Person acts as an officer, and
        such
        entity’s officers, directors and Affiliates (collectively with the Certifying
        Person, “Certification
        Parties”)
        can
        reasonably rely. The senior officer of the Master Servicer in charge of the
        master servicing function shall serve as the Certifying Person on behalf
        of the
        Trust. Such officer of the Certifying Person can be contacted by e-mail at
        cts.sec.notifications@wellsfargo.com
        or by
        facsimile at 410-715-2380. In the event any such party or any Servicing Function
        Participant engaged by any such party is terminated or resigns pursuant to
        the
        terms of this Agreement, or any applicable sub-servicing agreement, as the
        case
        may be, such party shall provide a Back-Up Certification to the Certifying
        Person pursuant to this Section 3.05 with respect to the period of time it
        was
        subject to this Agreement or any applicable sub-servicing agreement, as the
        case
        may be. Notwithstanding the foregoing, (i) the Master Servicer and the
        Securities Administrator shall not be required to deliver a Back-Up
        Certification to each other if both are the same Person and the Master Servicer
        is the Certifying Person and (ii) the Master Servicer shall not be obligated
        to
        sign the Sarbanes-Oxley Certification in the event that it does not receive
        any
        Back-Up Certification required to be furnished to it pursuant to this section
        or
        any Servicing Agreement.

       

      
        
          
          

        

        
          -59-

          
            

          

        

        
          
          

        

      

      (b) On
        or
        before March 15th
        of each
        calendar year, commencing in March 2007, the Master Servicer and the Securities
        Administrator shall deliver (or otherwise make available) (and the Master
        Servicer and Securities Administrator shall cause any Servicing Function
        Participant engaged by it to deliver) to the Depositor and the Securities
        Administrator, an Officer’s Certificate substantially in the form of Exhibit U
        stating, as to the signer thereof, that (A) a review of such party’s activities
        during the preceding calendar year or portion thereof and of such party’s
        performance under this Agreement, or such other applicable agreement in the
        case
        of a Servicing Function Participant, has been made under such officer’s
        supervision and (B) to the best of such officer’s knowledge, based on such
        review, such party has fulfilled all its obligations under this Agreement,
        or
        such other applicable agreement in the case of a Servicing Function Participant,
        in all material respects throughout such year or portion thereof, or, if
        there
        has been a failure to fulfill any such obligation in any material respect,
        specifying each such failure known to such officer and the nature and status
        thereof.

       

      In
        the
        event the Master Servicer, the Securities Administrator or any Servicing
        Function Participant engaged by any such party is terminated or resigns pursuant
        to the terms of this Agreement, or any applicable agreement in the case of
        a
        Servicing Function Participant, as the case may be, such party shall provide
        an
        Officer’s Certificate pursuant to this Section 3.05 or to such applicable
        agreement, as the case may be, notwithstanding any such termination, assignment
        or resignation. 

       

      Section
        3.06 Indemnification.(a) Each
        of
        the Depositor, the Master Servicer, the Securities Administrator and any
        Servicing Function Participant (each, an “Indemnifying Party”) engaged by any
        such party, shall indemnify and hold harmless the Trustee and each other
        Indemnifying Party, and each of its directors, officers, employees, agents,
        and
        affiliates from and against any and all claims, losses, damages, penalties,
        fines, forfeitures, reasonable legal fees and related costs, judgments and
        other
        costs and expenses arising out of or based upon (a) any breach by such party
        of
        any if its obligations hereunder, including particularly its obligations
        to
        provide any annual statement of compliance, annual assessment of compliance
        with
        Servicing Criteria or attestation report or any information, data or materials
        required to be included in any Exchange Act report, (b) any material
        misstatement or omission in any information, data or materials provided by
        such
        party including any material misstatement or material omission in (i) any
        annual
        statement of compliance, annual assessment of compliance with Servicing Criteria
        or attestation report delivered by it, or by any Servicing Function Participant
        engaged by it, pursuant to this Agreement, or (ii) any Additional Form 10-D
        Disclosure, Additional Form 10-K Disclosure or Form 8-K Disclosure Information
        provided by it, or (c) the negligence, bad faith or willful misconduct of
        such
        indemnifying party in connection with its performance hereunder. If the
        indemnification provided for herein is unavailable or insufficient to hold
        harmless the Master Servicer, the Securities Administrator, the Trustee or
        the
        Depositor, as the case may be, then each Indemnifying Party agrees that it
        shall
        contribute to the amount paid or payable by the Master Servicer, the Securities
        Administrator, the Trustee or the Depositor, as applicable, as a result of
        any
        claims, losses, damages or liabilities incurred by such party in such proportion
        as is appropriate to reflect the relative fault of the indemnified party
        on the
        one hand and the indemnifying party on the other. This indemnification shall
        survive the termination of this Agreement or the termination of any party
        to
        this Agreement.

       

      
        
          
          

        

        
          -60-

          
            

          

        

        
          
          

        

      

      (b) The
        Depositor, the Securities Administrator and the Trustee shall immediately
        notify
        the Master Servicer if a claim is made by a third party with respect to this
        Agreement or the Mortgage Loans which would entitle the Depositor, the
        Securities Administrator, the Trustee or the Trust to indemnification from
        the
        Master Servicer, whereupon the Master Servicer shall assume the defense of
        any
        such claim and pay all expenses in connection therewith, including counsel
        fees,
        and promptly pay, discharge and satisfy any judgment or decree which may
        be
        entered against it or them in respect of such claim. If the Master Servicer
        and
        any such indemnified party have a conflict of interest with respect to any
        such
        claim, the indemnified party shall have the right to retain separate
        counsel.

       

      Section
        3.07 Advances.
        (a)  To the extent provided in the related Servicing Agreement, the
        amount of P&I Advances to be made by each Servicer for any Remittance Date
        shall equal, subject to Section 3.07(c), the sum of (i) the aggregate
        amount of Scheduled Payments (with each interest portion thereof net of the
        related Servicing Fee), due during the Due Period immediately preceding such
        Remittance Date in respect of the Mortgage Loans, which Scheduled Payments
        were
        not received as of the close of business on the related Determination Date,
        plus
        (ii) with respect to each REO Property, which REO Property was acquired
        during or prior to the related Prepayment Period and as to which such REO
        Property an REO Disposition did not occur during the related Prepayment Period,
        an amount equal to the excess, if any, of the Scheduled Payments (with each
        interest portion thereof net of the related Servicing Fee) that would have
        been
        due on the related Due Date in respect of the related Mortgage Loans, over
        the
        net income from such REO Property transferred to the Collection Account for
        distribution on such Remittance Date.

       

      (b) To
        the
        extent provided in the related Servicing Agreement, on each Remittance Date,
        each Servicer shall remit in immediately available funds to the Master Servicer
        an amount equal to the aggregate amount of P&I Advances, if any, to be made
        in respect of the Mortgage Loans and REO Properties for the related Remittance
        Date either (i) from its own funds or (ii) from the Collection
        Account, to the extent of funds held therein for future distribution (in
        which
        case, it will cause to be made an appropriate entry in the records of the
        Collection Account that Amounts Held for Future Distribution have been, as
        permitted by this Section 3.07, used by it in discharge of any such P&I
        Advance) or (iii) in the form of any combination of (i) and
        (ii) aggregating the total amount of P&I Advances to be made by the
        applicable Servicer with respect to the Mortgage Loans and REO Properties.
        To
        the extent provided in the related Servicing Agreement, any Amounts Held
        for
        Future Distribution and so used shall be appropriately reflected in the
        applicable Servicer’s records and replaced by such Servicer by deposit in the
        Collection Account on or before any future Remittance Date to the extent
        required.

       

      
        
          
          

        

        
          -61-

          
            

          

        

        
          
          

        

      

      (c) To
        the
        extent provided in the related Servicing Agreement, the obligation of each
        Servicer to make such P&I Advances is mandatory, notwithstanding any other
        provision of this Agreement but subject to (d) below, and, with respect to
        any Mortgage Loan or REO Property, shall continue until a Final Recovery
        Determination in connection therewith or the removal thereof from coverage
        under
        this Agreement, except as otherwise provided in this Section.

       

      (d) To
        the
        extent provided in the related Servicing Agreement, notwithstanding anything
        herein to the contrary, no P&I Advance or Servicing Advance shall be
        required to be made hereunder by any Servicer if such P&I Advance or
        Servicing Advance would, if made, constitute a Nonrecoverable P&I Advance or
        Nonrecoverable Servicing Advance. To the extent provided in the related
        Servicing Agreement, the determination by any Servicer that it has made a
        Nonrecoverable P&I Advance or a Nonrecoverable Servicing Advance or that any
        proposed P&I Advance or Servicing Advance, if made, would constitute a
        Nonrecoverable P&I Advance or a Nonrecoverable Servicing Advance,
        respectively, shall be evidenced by a Servicing Officer’s certificate of the
        applicable Servicer delivered to the Master Servicer. In addition, to the
        extent
        provided in the related Servicing Agreement, the Servicer shall not be required
        to advance any Relief Act Interest Shortfalls.

       

      (e) To
        the
        extent provided in the related Servicing Agreement, except as otherwise provided
        herein, the Servicer shall be entitled to reimbursement pursuant the applicable
        section of its related Servicing Agreement for Servicing Advances from
        recoveries from the related Mortgagor or from all Liquidation Proceeds and
        other
        payments or recoveries (including Insurance Proceeds, Condemnation Proceeds
        and
        Subsequent Recoveries) with respect to the related Mortgage Loan.

       

      
        ARTICLE
          IV

         

        DISTRIBUTIONS

         

        Section
          4.01 The
          Distribution Account.
          On each
          Remittance Date, the Master Servicer shall deposit in the Distribution
          Account
          all funds remitted to it by the Servicers pursuant to the Servicing Agreements.
          The Securities Administrator may retain or withdraw from the Distribution
          Account, (i) the Master Servicing Fee, (ii) amounts necessary to reimburse
          the
          Servicers pursuant to the Servicing Agreements, (iii) amounts necessary
          to
          reimburse the Master Servicer for any previously unreimbursed Advances
          and any
          Advances the Master Servicer deems to be nonrecoverable from the related
          Mortgage Loan proceeds, (iv) an amount to indemnify the Master Servicer
          or the
          Servicers for amounts due in accordance with this Agreement, (v) all amounts
          representing Prepayment Charges (payable to the Class P
          Certificateholders), (vi) to reimburse the Master Servicer, any Servicer
          or the
          Trustee, as the case may be, for expenses reasonably incurred in respect
          of any
          breach or defect giving rise to the repurchase obligation of a Mortgage
          Loan
          Seller under a Transfer Agreement or the Sponsor under this Agreement that
          were
          included in the Repurchase Price of the Mortgage Loan, including any expenses
          arising out of the enforcement of the repurchase obligation, to the extent
          not
          otherwise paid pursuant to the terms hereof and (vii) any other amounts
          that
          each of the Depositor, Trustee, Master Servicer and the Securities Administrator
          is entitled to receive hereunder for reimbursement, indemnification or
          otherwise.

         

        
          
            
            

          

          
            -62-

            
              

            

          

          
            
            

          

        

        Section
          4.02 Priorities
          of Distribution.
          (a)  On each Distribution Date (or, in the case of deposits into the
          Supplemental Interest Trust, on the Derivative Payment Date), the Securities
          Administrator shall make the disbursements and transfers from amounts then
          on
          deposit in the Distribution Account and from amounts that are available
          for
          payment to the Swap Counterparty, and shall allocate such amounts to the
          interests issued in respect of each REMIC created pursuant to this Agreement
          and
          shall distribute such amounts in the following order of priority and to
          the
          extent of the Available Funds remaining:

         

        (i) to
          the
          Final Maturity Reserve Fund, the Supplemental Interest Trust and the holders
          of
          each Class of LIBOR Certificates in the following order of
          priority:

         

        (A) On
          the
          Distribution Date in November 2016 and each Distribution Date thereafter
          until
          the Final Maturity Reserve Funding Date, from the Interest Remittance Amount,
          for deposit into the Final Maturity Reserve Fund, any required Final Maturity
          Required Deposit;

         

        (B)
          from
          the Interest Remittance Amount related to both Loan Groups, for deposit
          into the
          Supplemental Interest Trust Account, the amount of any Net Derivative Payment
          or
          Swap Termination Payment (other than a Swap Termination Payment resulting
          from a
          Swap Counterparty Trigger Event) owed to the Derivative Counterparty, including
          any such amounts remaining unpaid from previous Distribution Dates;

         

        (C) concurrently:

         

        (1)
          from
          the Interest Remittance Amount related to the Group I Mortgage Loans, to
          the
          Class I-A Certificates, the related Senior Interest Payment Amount for
          such
          Class of Certificates on such Distribution Date; and 

         

        (2)
          from
          the Interest Remittance Amount related to the Group II Mortgage Loans,
          to the
          Class II-A-1, Class II-A-2, Class II-A-3 and Class II-A-4 Certificates,
          pro
          rata,
          based
          on the amounts distributable under this clause (i)(C)(2), the related Senior
          Interest Payment Amount for each such Class of Certificates on such Distribution
          Date;

         

        provided, that,
          if the
          Interest Remittance Amount for either Loan Group is insufficient to make
          the
          related payments set forth in clauses (i)(C)(1) or (i)(C)(2) above, any
          Interest
          Remittance Amount relating to the other Loan Group remaining after payment
          of
          the Senior Interest Payment Amount to the related Certificate Group will
          be
          available to cover that shortfall, such amounts to be allocated to those
          Classes
          experiencing such shortfall on a pro
          rata
          basis in
          proportion to the amounts of such shortfall; and

         

        
          
            
            

          

          
            -63-

            
              

            

          

          
            
            

          

        

        (D) from
          any
          remaining Interest Remittance Amount after taking into account the distributions
          made under clauses (i)(A) through (i)(C) above, sequentially, to each Class
          of
          Class M Certificates, in ascending order by numerical Class designation,
          the
          Interest Payment Amount for such Class and such Distribution Date;

         

        (ii) (A)  on
          each Distribution Date (or, in the case of deposits into the Supplemental
          Interest Trust, on the Derivative Payment Date) (1) before the Stepdown
          Date or (2) with respect to which a Trigger Event is in effect, to the
          Supplemental Interest Trust and to the holders of the Class or Classes of
          LIBOR Certificates and the Class II-A-5 Certificates then entitled to
          distributions of principal as set forth below, from amounts remaining on
          deposit
          in the Distribution Account after making distributions pursuant to paragraph
          (a)(i) of this Section 4.02, an amount equal to, in the aggregate, the
          Principal
          Payment Amount, in the following amounts and order of priority:

         

        (a) for
          deposit into the Supplemental Interest Trust Account, any Net Derivative
          Payment
          or Swap Termination Payment (other than a Swap Termination Payment resulting
          from a Swap Counterparty Trigger Event) owed to the Derivative Counterparty
          to
          the extent unpaid pursuant to clause (a)(i)(B) of this Section
          4.02;

         

        (b) concurrently,
          (1) to the Class I-A Certificates, the Group I Principal Payment Amount,
          until
          the Class Certificate Balance of the Class I-A Certificates is reduced
          to zero
          and (2) to the Group II Certificates, the Group II Principal Payment Amount,
          until their respective Class Certificate Balances are reduced to zero,
          allocated
          in each case among such Classes of a Certificate Group as set forth in
          Section
          4.02(c);

         

        (c) sequentially,
          to each Class of Class M Certificates, in ascending order by numerical
          Class designation, until their respective Class Certificate Balances are
          reduced to zero; and

         

        (B) on
          each
          Distribution Date (or, in the case of deposits into the Supplemental Interest
          Trust, on the Derivative Payment Date) (1) on and after the Stepdown Date
          and (2) as long as a Trigger Event is not in effect, to the Supplemental
          Interest Trust and to the holders of the Class or Classes of LIBOR
          Certificates and the Class II-A-5 Certificates then entitled to distributions
          of
          principal, from amounts remaining on deposit in the Distribution Account
          after
          making distributions pursuant to paragraph (a)(i) of this Section 4.02,
          an
          amount equal to, in the aggregate, the Principal Payment Amount, in the
          following amounts and order of priority:

         

        (a) for
          deposit into the Supplemental Interest Trust Account, any Net Derivative
          Payment
          or Swap Termination Payment (other than a Swap Termination Payment resulting
          from a Swap Counterparty Trigger Event) owed to the Derivative Counterparty
          to
          the extent unpaid pursuant to clause (a)(i)(B) of this Section
          4.02;

         

        
          
            
            

          

          
            -64-

            
              

            

          

          
            
            

          

        

        (b) concurrently
          (1) to the Class I-A Certificates, the Group I Senior Principal Payment
          Amount,
          until the Class Certificate Balance of the Class I-A Certificates is reduced
          to
          zero and (2) to the Group II Certificates, the Group II Senior Principal
          Payment
          Amount, until their respective Class Certificate Balances are reduced to
          zero,
          allocated in each case among such Classes of a Certificate Group as described
          in
          Section 4.02(c);

         

        (c) sequentially,
          to each Class of Class M Certificates, in the order set forth in the
          definition of Class M Principal Payment Amount, the Class M Principal
          Payment Amount for the related Class of Class M certificates, until their
          respective Class Certificate Balances are reduced to zero;

         

        (iii) any
          amounts remaining after the distributions in paragraphs (i) and (ii) of
          this Section 4.02(a), plus, as specifically indicated below, from amounts
          on
          deposit in the Excess Reserve Fund Account, shall be distributed in the
          following order of priority:

         

        (A) to
          the
          Class A Certificates (other than the Class II-A-5 Certificates), any Senior
          Interest Payment Amount not paid pursuant to clause (a)(i)(C) of this Section
          4.02 allocated pro
          rata
          among
          such Classes in proportion to the amount of the unpaid Senior Interest
          Payment
          Amount for such Classes;

         

        (B) sequentially,
          to the holders of the Class M Certificates, in ascending order by numerical
          Class designation, first,
          any
          Interest Payment Amount for any such Class not paid for such Distribution
          Date
          pursuant to clause (a)(i)(D) of this Section 4.02, second,
          any
          Interest Carry Forward Amount for any such Class, and third,
          any
          Unpaid Realized Loss Amount for any such Class;

         

        (C) to
          the
          Excess Reserve Fund Account, the amount of any Basis Risk Payment for such
          Distribution Date;

         

        (D) from
          amounts on deposit in the Excess Reserve Fund Account with respect to such
          Distribution Date, an amount equal to any unpaid Basis Risk Carryover Amount
          with respect to each Class of LIBOR Certificates for such Distribution
          Date,
          allocated in the same order and priority as set forth in clauses (a)(i)(C)
          and
          (a)(i)(D) of this Section 4.02;

        

         

        (E) if
          a
          Final Maturity OC Trigger Event is in effect, in the following order of
          priority:

         

        
          	 	
                  (1)

                	
                  pro
                    rata,
                    based on the Group I Principal Payment Amount and the Group II
                    Principal
                    Payment Amount, 

                

        

         

        
          	 	
                  (x)

                	
                  to
                    the Class I-A Certificates until the Class Certificate Balance
                    thereof has
                    been reduced to zero;

                

        

        

        
          
            
            

          

          
            -65-

            
              

            

          

          
            
            

          

        

        
          	 	
                  (y)

                	
                  sequentially,
                    as follows: to the Class II-A-1 and Class II-A-2 Certificates
                    until the
                    Class Certificate Balances thereof have been reduced to zero,
                    to the Class
                    II-A-3 Certificates until the Class Certificate Balance thereof
                    has been
                    reduced to $42,164,000, and sequentially to the Class II-A-5,
                    Class II-A-3
                    and Class II-A-4 Certificates, in that order, until the Class
                    Certificate
                    Balances thereof have been reduced to
                    zero;

                

        

        

        
          	 	
                  (2)

                	
                  pro
                    rata,
                    based on the aggregate Class Certificate Balance of the Group
                    I
                    Certificates and the aggregate Class Certificate Balances of
                    the Group II
                    Certificates, in the same manner and priority as described in
                    clauses
                    (1)(x) and (1)(y) above;

                

        

         

        
          	 	
                  (3)

                	
                  sequentially
                    to each class of Class M Certificates, in ascending order by
                    numerical
                    class designation, until their respective Class Certificate Balances
                    are
                    reduced to zero;

                

        

         

        (F) to
          the
          Credit Risk Manager, the Credit Risk Manager Fee;

         

        (G) to
          the
          Swap Counterparty, any Swap Termination Payment resulting from a Swap
          Counterparty Trigger Event;

         

        (H) to
          the
          holders of the Class X Certificates, the remainder of the Class X
          Distributable Amount not distributed pursuant to Sections 4.02(a)(iii)(A)
          through (G); and

         

        (I) to
          the
          holders of the Class R Certificates, any remaining amount;

         

        If
          on any
          Distribution Date, as a result of the foregoing allocation rules, any
          Class of Class A Certificates does not receive in full the related
          Senior Interest Payment Amount, then such shortfall will be allocated to
          the
          Holders of such Class, with interest thereon, on future Distribution Dates,
          as
          Interest Carry Forward Amounts, subject to the priorities described
          above.

         

        (b) On
          each
          Distribution Date, prior to any distributions on any other Class of
          Certificates, all amounts representing Prepayment Charges from the Mortgage
          Loans received during the related Prepayment Period shall be distributed
          by the
          Securities Administrator to the holders of the Class P
          Certificates.

         

        (c) All
          principal distributions to the holders of the Class A Certificates on any
          Distribution Date prior to the Stepdown Date will be allocated concurrently
          to
          (i) the Group I Certificates and (ii) the Group II Certificates based on
          the
          Group Principal Allocation Percentage for the Group I Certificates and
          the Group
          II Certificates, as applicable, for that Distribution Date. On or after
          the
          Stepdown Date, as long as no Trigger Event is in effect, principal distributions
          to the holders of the Certificates of either Certificate Group will be
          determined based on the Group I Senior Principal Payment Amount or Group
          II
          Senior Principal Payment Amount, as applicable. However, if the Class
          Certificate Balances of the Certificates in either Certificate Group are
          reduced
          to zero before the Stepdown Date, then the remaining amount of principal
          distributions distributable to the Certificates of the retired Certificate
          Group
          on that Distribution Date, and on all subsequent Distribution Dates, will
          be
          distributed to the holders of the Certificates in the other Certificate
          Group
          remaining outstanding, in accordance with the principal distribution priorities
          described in Section 4.02(a)(ii)(A)(b) for such Certificate Group and this
          Section 4.02(c). If the Class Certificate Balances of the Certificates
          in either
          Certificate Group are reduced to zero on or after the Stepdown Date, then
          the
          remaining amount of principal distributions distributable to the Certificates
          of
          the retired Certificate Group on that Distribution Date, and all subsequent
          Distribution Dates, will be distributed to the holders of the Certificates
          of
          the Certificate Group remaining outstanding, in accordance with the priorities
          described in Section 4.02(a)(ii)(B)(b) for such Certificate Group and this
          Section 4.02(c), but without regard to the related Certificate Group’s Principal
          Payment Amount. 

         

        
          
            
            

          

          
            -66-

            
              

            

          

          
            
            

          

        

        Any
          principal distributions allocated to the Group II Certificates will be
          allocated
          sequentially as follows:

         

        (i) to
          the
          Class II-A-1 Certificates, until the Class Certificate Balance of such
          Class has
          been reduced to zero;

         

        (ii) 
          to the
          Class II-A-2 Certificates, until the Class Certificate Balance of such
          Class has
          been reduced to zero;

         

        (iii) to
          the
          Class II-A-3 Certificates, until the Class Certificate Balance of such
          Class has
          been reduced to $42,164,00; 

         

        (iv) to
          the
          Class II-A-5 Certificates, until the Class Certificate Balance of such
          Class has
          been reduced to zero;

         

        (v) to
          the
          Class II-A-3 Certificates, until the Class Certificate Balance of such
          Class has
          been reduced to zero; and

         

        (vi) to
          the
          Class II-A-4 Certificates, until the Class Certificate Balance of such
          Class has
          been reduced to zero.

         

        Notwithstanding
          the above paragraph, on and after the Distribution Date on which the aggregate
          Class Certificate Balances of the Class M Certificates and the
          Overcollateralization Amount have been reduced to zero, any principal
          distributions allocated to the Group II Certificates are required to be
          allocated pro
          rata
          among
          the Classes of Group II Certificates, based upon their respective Class
          Certificate Balances.

         

        (d) On
          any
          Distribution Date, any Relief Act Shortfalls and Net Prepayment Interest
          Shortfalls for such Distribution Date shall be allocated by the Securities
          Administrator as a reduction in the following order:

         

        (i) First,
          to the
          amount of interest payable to the Class X Certificates; and

         

        
          
            
            

          

          
            -67-

            
              

            

          

          
            
            

          

        

        (ii) Second,
          pro
          rata,
          as a
          reduction of the Interest Payment Amount for the Class A and Class M
          Certificates, based on the amount of interest to which such Classes would
          otherwise be entitled.

         

        (e) On
          any
          Distribution Date (or any Derivative Payment Date, as applicable), the
          Securities Administrator shall distribute any Swap Amount and Cap Amount
          for
          such date as follows:

         

        (i) to
          the
          Derivative Counterparty, any Net Derivative Payment owed to the Derivative
          Counterparty pursuant to the Swap Agreement for such Derivative Payment
          Date to
          the extent not previously paid pursuant to Sections 4.02(a)(i)(B),
          4.02(a)(ii)(A) or 4.02(a)(ii)(B);

         

        (ii) to
          the
          Swap Counterparty, any Swap Termination Payment not resulting from a Swap
          Counterparty Trigger Event owed to the Swap Counterparty pursuant to the
          Swap
          Agreement for such Derivative Payment Date;

         

        (iii) to
          the
          extent not paid and in the order of priority provided in clauses (a)(i)(C)
          and
          (a)(i)(D) of this Section 4.02, to the Class A Certificates any Senior
          Interest
          Payment Amounts, and to the Class M Certificates, in ascending order by
          numerical class designation, any Interest Payment Amounts;

         

        (iv) to
          the
          Class A Certificates and the Class M Certificates in the order of priority
          set
          forth in clauses (a)(ii)(A)(b), (a)(ii)(A)(c), (a)(ii)(B)(b) and (a)(ii)(B)(c)
          of this Section 4.02, an amount necessary to maintain the Overcollateralization
          Target Amount for such Distribution Date after giving effect to distributions
          pursuant to such clauses;

         

        (v) to
          the
          extent not paid pursuant to clause (a)(iii)(B) of this Section 4.02,
          sequentially, to the each Class of Class M Certificates, in ascending order
          by
          numerical Class designation, first,
          any
          Interest Carry Forward Amount for that Class, and second,
          any
          Unpaid Realized Loss Amount for that Class;

         

        (vi) to
          the
          extent not paid pursuant to clause (a)(iii)(C) of this Section 4.02, to
          the
          Excess Reserve Fund Account, the amount of any Basis Risk Payment for such
          Distribution Date;

         

        (vii) to
          the
          extent not paid pursuant to clause (a)(iii)(D) of this Section 4.02, to
          the
          LIBOR Certificates, any remaining unpaid Basis Risk Carryover Amount with
          respect to such Certificates for that Distribution Date, allocated in the
          same
          order and priority as set forth in such clause;

         

        (viii) to
          the
          extent not paid pursuant to clause (a)(iii)(F) of this Section 4.02, to
          the
          Credit Risk Manager, the Credit Risk Manager Fee;

         

        (ix) if
          applicable, to the Swap Termination Receipts Account or Cap Termination
          Receipts
          Account for application to the purchase of a replacement swap agreement
          or
          replacement cap agreement pursuant to Section 4.08;

         

        
          
            
            

          

          
            -68-

            
              

            

          

          
            
            

          

        

        (x) to
          the
          extent not paid pursuant to clause (a)(iii)(G) of this Section 4.02, to
          the Swap
          Counterparty, any Swap Termination Payment resulting from a Swap Counterparty
          Trigger Event; and

         

        (xi) to
          the
          extent not paid pursuant to clause (a)(iii)(H) of this Section 4.02, to
          the
          holders of the Class X Certificates, the remainder of the Class X
          Distributable Amount.

         

        With
          respect to each Distribution Date, the sum of all amounts distributed pursuant
          to priorities (e)(iv) and (e)(v) second
          of this
          Section 4.02(e) cannot exceed the amount of cumulative Realized Losses
          incurred
          up to such Distribution Date minus any distributions made on previous
          Distribution Dates pursuant to such priorities.

         

        (f) On
          the
          earlier of the Distribution Date in October 2036 and the termination of
          the
          Trust Fund, all amounts on deposit in the Final Maturity Reserve Fund will
          be
          distributed in the following order of priority:

         

        (i) pro
          rata,
          based on the Group I Principal Payment Amount and the Group II Principal
          Payment
          Amount:

         

        (A) to
          the
          Class I-A Certificates until the Class Certificate Balance thereof has
          been
          reduced to zero;

         

        (B) sequentially,
          in the following order: to the Class II-A-1 and Class II-A-2 Certificates
          until
          their respective Class Certificate Balances have been reduced to zero;
          to the
          Class II-A-3 Certificates until the Class Certificate Balance thereof has
          been
          reduced to $42,164,000; and sequentially, to the Class II-A-5, Class II-A-3
          and
          Class II-A-4 Certificates, in that order, until their respective Class
          Certificate Balances have been reduced to zero;

         

        (ii) pro
          rata,
          based on the aggregate Class Certificate Balance of the Group I Certificates
          and
the
          aggregate Class Certificate Balance of the Group II Certificates, in the
          same
          manner and priority as allocated above in (i)(a) and (i)(b);

         

        (iii) sequentially,
          in ascending numerical order, to the holders of the Class M Certificates
          until
          their respective Class Certificate Balances have been reduced to zero;
          and

         

        (iv) to
          the
          Class X Certificates, all remaining amounts.

         

        Section
          4.03 Monthly
          Statements to Certificateholders. (a)  Not
          later than each Distribution Date, the Securities Administrator shall make
          available to each Certificateholder, the Master Servicer, the Servicers,
          the
          Credit Risk Manager, the Depositor, the Trustee, the Derivative Counterparty
          and
          each Rating Agency a statement, based on information provided by the Servicers
          and the Derivative Counterparty, setting forth with respect to the related
          distribution:

         

        
          
            
            

          

          
            -69-

            
              

            

          

          
            
            

          

        

        (i) the
          amount thereof allocable to principal, separately identifying the aggregate
          amount of any Principal Prepayments, Liquidation Proceeds and Subsequent
          Recoveries;

         

        (ii) the
          amount thereof allocable to interest (other than with respect to the
          Principal-Only Certificates), any Interest Carry Forward Amounts included
          in
          such distribution and any remaining Interest Carry Forward Amounts after
          giving
          effect to such distribution, any Basis Risk Carryover Amount for such
          Distribution Date and the amount of all Basis Risk Carryover Amount covered
          by
          withdrawals from the Excess Reserve Fund Account on such Distribution
          Date;

         

        (iii) if
          the
          distribution to the Holders of such Class of Certificates is less than the
          full amount that would be distributable to such Holders if there were sufficient
          funds available therefor, the amount of the shortfall and the allocation
          thereof
          as between principal and interest, including any Basis Risk Carryover Amount
          not
          covered by amounts in the Excess Reserve Fund Account;

         

        (iv) the
          Class Certificate Balance of each Class of Certificates after giving
          effect to the distribution of principal on such Distribution Date;

         

        (v) the
          Pool
          Stated Principal Balance for the following Distribution Date;

         

        (vi) the
          amount of the Expense Fees (in the aggregate and separately stated) paid
          to or
          retained by the Servicers, any Subservicer and the Master Servicer with
          respect
          to such Distribution Date;

         

        (vii) the
          Interest Rate for each such Class of Certificates (other than the
          Principal-Only Certificates) with respect to such Distribution
          Date;

         

        (viii) the
          amount of P&I Advances included in the distribution on such Distribution
          Date and the aggregate amount of P&I Advances outstanding as of the close of
          business on the Determination Date immediately preceding such Distribution
          Date;

         

        (ix) by
          Loan
          Group and in the aggregate, the number and aggregate outstanding principal
          balances of Mortgage Loans (except those Mortgage Loans that are liquidated
          as
          of the end of the related Prepayment Period) (1) as to which the Scheduled
          Payment is delinquent 31 to 60 days, 61 to 90 days and 91 or
          more days, (2) that have become REO Property, (3) that are in
          foreclosure and (4) that are in bankruptcy, in each case as of the close of
          business on the last Business Day of the immediately preceding
          month;

         

        (x) by
          Loan
          Group and in the aggregate, with respect to Mortgage Loans that became
          REO
          Properties during the preceding calendar month, the number and the aggregate
          Stated Principal Balance of such Mortgage Loans as of the close of business
          on
          the Determination Date preceding such Distribution Date and the date of
          acquisition thereof;

         

        
          
            
            

          

          
            -70-

            
              

            

          

          
            
            

          

        

        (xi) by
          Loan
          Group and in the aggregate, the total number and aggregate principal balance
          of
          any REO Properties as of the close of business on the Determination Date
          preceding such Distribution Date;

         

        (xii) whether
          a
          Trigger Event has occurred and is continuing;

         

        (xiii) whether
          the Final Maturity OC Trigger is in effect;

         

        (xiv) the
          amount on deposit in the Final Maturity Reserve Fund, and the amount of
          deposits
          into, and distributions from, the Final Maturity Reserve Fund for such
          Distribution Date; 

         

        (xv) the
          amount on deposit in the Excess Reserve Fund Account (after giving effect
          to
          distributions on such Distribution Date);

         

        (xvi) [[in
          the
          aggregate and for each Class of Certificates, the aggregate amount of
          Applied Realized Loss Amounts incurred during the preceding calendar month
          and
          aggregate Applied Realized Loss Amounts through such Distribution
          Date;]]

         

        (xvii) the
          amount of any Net Monthly Excess Cash Flow on such Distribution Date and
          the
          allocation thereof to the Certificateholders with respect to Applied Realized
          Loss Amounts and Interest Carry Forward Amounts;

         

        (xiii) the
          Overcollateralization Amount and Overcollateralization Target
          Amount;

         

        (xix) Prepayment
          Charges collected by the Servicers;

         

        (xx) the
          Cumulative Loss Percentage;

         

        (xxi) the
          amount of Credit Risk Management Fees paid during the Due Period to which
          such
          Distribution Date relates; and

         

        (xxii) the
          amount of any Net Derivative Payment made to the Supplemental Interest
          Trust
          pursuant to Section 4.02, any Net Derivative Payment made to the Derivative
          Counterparty pursuant to Section 4.02, any Swap Termination Payment or
          Cap
          Termination Payment made to the Supplemental Interest Trust pursuant to
          Section
          4.02 and any Swap Termination Payment made to the Swap Counterparty pursuant
          to
          Section 4.02.

         

        (b) For
          purposes of preparing the Monthly Statement, delinquencies shall be determined
          and reported by the Master Servicer based on the so-called “OTS” methodology
          irrespective of the method for determining delinquencies utilized by the
          Servicers on mortgage loans similar to the Mortgage Loans. By way of example,
          a
          Mortgage Loan would be delinquent with respect to a Scheduled Payment due
          on a
          Due Date if such Scheduled Payment is not made by the close of business
          on the
          Mortgage Loan’s next succeeding Due Date, and a Mortgage Loan would be more than
          30-days Delinquent with respect to such Scheduled Payment if such Scheduled
          Payment were not made by the close of business on the Mortgage Loan’s second
          succeeding Due Date. 

         

        
          
            
            

          

          
            -71-

            
              

            

          

          
            
            

          

        

        (c) The
          Securities Administrator’s responsibility for making available the above
          statement to the Certificateholders, each Rating Agency, the Master Servicer,
          each Servicer, the Trustee and the Depositor is limited to the availability,
          timeliness and accuracy of the information derived from the Master Servicer
          and
          the Servicers. The Securities Administrator will provide the above statement
          via
          the Securities Administrator’s internet website. The Securities Administrator’s
          website will initially be located at https://www.ctslink.com
          and
          assistance in using the website can be obtained by calling the Securities
          Administrator’s customer service desk at (301) 815-6600. Parties that are unable
          to use the above distribution method are entitled to have a paper copy
          mailed to
          them via first Class mail by calling the customer service desk and indicating
          such. The Securities Administrator shall have the right to change the manner
          in
          which the above statement is distributed in order to make such distribution
          more
          convenient and/or more accessible, and the Securities Administrator shall
          provide timely and adequate notification to the Certificateholders and
          the
          parties hereto regarding any such changes. A paper copy of the statement
          will
          also be made available upon request.

         

        (d) Within
          a
          reasonable period of time after the end of each calendar year, the Securities
          Administrator shall, upon request, cause to be furnished to each Person
          who at
          any time during the calendar year was a Certificateholder, a statement
          containing the information set forth in clauses (a)(i), (a)(ii) and (a)(vi)
          of this Section 4.03 aggregated for such calendar year or applicable
          portion thereof during which such Person was a Certificateholder. Such
          obligation of the Securities Administrator shall be deemed to have been
          satisfied to the extent that substantially comparable information shall
          have
          previously been provided by the Securities Administrator pursuant to any
          requirements of the Code as from time to time in effect.

         

        Section
          4.04 Certain
          Matters Relating to the Determination of LIBOR.
          LIBOR
          shall be calculated by the Securities Administrator in accordance with
          the
          definition of LIBOR. Until all of the LIBOR Certificates are paid in full,
          the
          Securities Administrator will at all times retain at least four Reference
          Banks
          for the purpose of determining LIBOR with respect to each LIBOR Determination
          Date. The Securities Administrator initially shall designate the Reference
          Banks
          (after consultation with the Depositor). Each “Reference
          Bank”
shall
          be a leading bank engaged in transactions in Eurodollar deposits in the
          international Eurocurrency market, shall not control, be controlled by,
          or be
          under common control with, the Securities Administrator and shall have
          an
          established place of business in London. If any such Reference Bank should
          be
          unwilling or unable to act as such or if the Securities Administrator should
          terminate its appointment as Reference Bank, the Securities Administrator
          shall
          promptly appoint or cause to be appointed another Reference Bank (after
          consultation with the Depositor). The Securities Administrator shall have
          no
          liability or responsibility to any Person for (i) the selection of any
          Reference Bank for purposes of determining LIBOR or (ii) any inability to
          retain at least four Reference Banks which is caused by circumstances beyond
          its
          reasonable control.

         

        
          
            
            

          

          
            -72-

            
              

            

          

          
            
            

          

        

        The
          Interest Rate for each Class of LIBOR Certificates for each Interest
          Accrual Period shall be determined by the Securities Administrator on each
          LIBOR
          Determination Date so long as the LIBOR Certificates are outstanding on
          the
          basis of LIBOR and the respective formulae appearing in footnotes corresponding
          to the LIBOR Certificates in the table relating to the Certificates in
          the
          Preliminary Statement. The Securities Administrator shall not have any
          liability
          or responsibility to any Person for its inability, following a good-faith
          reasonable effort, to obtain quotations from the Reference Banks or to
          determine
          the arithmetic mean referred to in the definition of LIBOR, all as provided
          for
          in this Section 4.04 and the definition of LIBOR. The establishment of
          LIBOR and each Interest Rate for the LIBOR Certificates by the Securities
          Administrator shall (in the absence of manifest error) be final, conclusive
          and
          binding upon each Holder of a Certificate and the Trustee.

         

        Section
          4.05 Allocation
          of Applied Realized Loss Amounts.
          Any
          Applied Realized Loss Amounts shall be allocated by the Securities Administrator
          to the most junior Class of Class M Certificates then outstanding in
          reduction of the Class Certificate Balance thereof.

         

        Section
          4.06 Supplemental
          Interest Trust.  (a)
          A
          separate trust is hereby established (the “Supplemental
          Interest Trust”),
          the
          corpus of which shall be held by the securities administrator of the
          Supplemental Interest Trust for the benefit of the Class X Certificateholders.
          The Securities Administrator is hereby appointed trustee of the Supplemental
          Interest Trust. The Securities Administrator is also hereby appointed securities
          administrator of the Supplemental Interest Trust and, in such capacity,
          shall
          act on behalf of the trustee of the Supplemental Interest Trust. The securities
          administrator of the Supplemental Interest Trust, shall establish an account
          (the “Supplemental Interest Trust Account”) consisting of two sub-accounts (the
“Swap
          Account”
and
          the
“Cap
          Account,”
          respectively), into each of which the Depositor shall deposit $500 on the
          Closing Date. The Supplemental Interest Trust Account shall be an Eligible
          Account, and funds on deposit therein shall be held separate and apart
          from, and
          shall not be commingled with, any other monies, including, without limitation,
          other monies of the Securities Administrator held pursuant to this Agreement.
          

         

        (b) The
          securities administrator of the Supplemental Interest Trust shall deposit
          into
          the Swap Account any Net Derivative Payment required pursuant to Sections
          4.02(a)(i)(B), 4.02(a)(ii)(A)(a) and 4.02(a)(ii)(B)(a), any Swap Termination
          Payment required pursuant to Sections 4.02(a)(i)(B), 4.02(a)(ii)(A)(a),
          4.02(a)(ii)(B)(a) and 4.02(a)(iii)(G), and any amounts received from the
          Swap
          Counterparty under the Swap Agreement, and shall distribute from the
          Supplemental Interest Trust Account any Net Derivative Payment required
          pursuant
          to Section 4.02(e)(i) or any Swap Termination Payment required pursuant
          to
          Sections 4.02(e)(ii) or 4.02(e)(x), as applicable.

         

        (c) The
          securities administrator of the Supplemental Interest Trust shall deposit
          into
          the Cap Account any amounts received from the Cap Counterparty under the
          Cap
          Agreement.

         

        (d) Funds
          in
          the Swap Account shall be invested in Permitted Investments constituting
          time
          deposits under clause (ii) of the definition thereof. Any earnings on such
          amounts shall be distributed on each Distribution Date pursuant to Section
          4.02(e). The Class X Certificates shall evidence ownership of the Swap
          Account
          for federal income tax purposes and the Holder thereof shall direct the
          securities administrator of the Supplemental Interest Trust, in writing,
          as to
          investment of amounts on deposit therein. The Sponsor shall be liable for
          any
          losses incurred on such investments. In the absence of written instructions
          from
          the Class X Certificateholders as to investment of funds on deposit in
          the Swap
          Account, such funds shall be invested in the Wells Fargo Advantage Prime
          Investment Money Market Fund or a comparable investment vehicle. Any amounts
          on
          deposit in the Swap Account in excess of the Swap Amount on any Distribution
          Date shall be held for distribution pursuant to Section 4.02(e) on the
          following
          Distribution Date.

         

        
          
            
            

          

          
            -73-

            
              

            

          

          
            
            

          

        

        (e) Funds
          in
          the Cap Account shall be invested in Permitted Investments constituting
          time
          deposits under clause (ii) of the definition thereof. Any earnings on such
          amounts shall be distributed on each Distribution Date pursuant to Section
          4.02(e). The Class X Certificates shall evidence ownership of the Cap Account
          for federal income tax purposes and the Holder thereof shall direct the
          securities administrator of the Supplemental Interest Trust, in writing,
          as to
          investment of amounts on deposit therein. The Sponsor shall be liable for
          any
          losses incurred on such investments. In the absence of written instructions
          from
          the Class X Certificateholders as to investment of funds on deposit in
          the Cap
          Account, such funds shall be invested in the Wells Fargo Advantage Prime
          Investment Money Market Fund or a comparable investment vehicle. Any amounts
          on
          deposit in the Cap Account in excess of the Cap Amount on any Distribution
          Date
          shall be held for distribution pursuant to Section 4.02(e) on the following
          Distribution Date.

         

        (f) Upon
          termination of the Trust Fund, any amounts remaining in the Swap Account
          or the
          Cap Account shall be distributed pursuant to the priorities set forth in
          Section
          4.02(e).

         

        (g) It
          is the
          intention of the parties hereto that, for federal and state income and
          state and
          local franchise tax purposes, the Supplemental Interest Trust be disregarded
          as
          an entity separate from the holder of the Class X Certificates unless and
          until
          the date when either (i) there is more than one Class X Certificateholder
          or
          (ii) any Class of Certificates in addition to the Class X Certificates
          is
          recharacterized as an equity interest in the Supplemental Interest Trust
          for
          federal income tax purposes. Neither the Securities Administrator nor the
          Trustee shall be responsible for any entity level tax reporting for the
          Supplemental Interest Trust.

         

        (h) Any
          obligation of the Securities Administrator with respect to the Supplemental
          Interest Trust under the Swap Agreement or Cap Agreement shall be deemed
          to be
          an obligation of the Supplemental Interest Trust.

         

        Section
          4.07 Rights
          of the Swap Counterparty.The
          Swap
          Counterparty shall be deemed a third-party beneficiary of this Agreement
          to the
          same extent as if it were a party hereto and shall have the right to enforce
          its
          rights under this Agreement, which rights include but are not limited to
          the
          obligation of the securities administrator of the Supplemental Interest
          Trust
          (A) to deposit any Net Derivative Payment required pursuant to Sections
          4.02(a)(i)(B), 4.02(a)(ii)(A)(a) and 4.02(a)(ii)(B)(a), and any Swap Termination
          Payment required pursuant to Sections 4.02(a)(i)(B), 4.02(a)(ii)(A)(a),
          4.02(a)(ii)(B)(a) and 4.02(a)(iii)(G), into the Supplemental Interest Trust
          Account (B) to pay any Net Derivative Payment required pursuant to Section
          4.02(e)(i) or Swap Termination Payment required pursuant to Sections 4.02(e)(ii)
          or Section 4.02(e)(x), as applicable, to the Swap Counterparty and (C)
          to
          establish and maintain the Swap Account, to make such deposits thereto,
          investments therein and distributions therefrom as are required pursuant
          to
          Section 4.06. For the protection and enforcement of the provisions of this
          Section the Swap Counterparty shall be entitled to such relief as can be
          given
          either at law or in equity.

         

        
          
            
            

          

          
            -74-

            
              

            

          

          
            
            

          

        

        Section
          4.08 Termination
          Receipts.(a)(i)
          In
          the event of an “Early Termination Event” as defined under the Swap Agreement,
          (a) any Swap Termination Payment made by the Swap Counterparty to the Swap
          Account and paid pursuant to Section 4.02(e)(ix) (“Swap
          Termination Receipts”)
          will
          be deposited in a segregated non-interest bearing account which shall be
          an
          Eligible Account established by the Securities Administrator (the “Swap
          Termination Receipts Account”)
          and
          (b) any amounts received from a replacement swap counterparty (“Swap
          Replacement Receipts”)
          will
          be deposited in a segregated non-interest bearing account which shall be
          an
          Eligible Account established by the Securities Administrator (the “Swap
          Replacement Receipts Account”).
          The
          Securities Administrator shall invest, or cause to be invested, funds held
          in
          the Swap Termination Receipts Account and the Swap Replacement Receipts
          Account
          in time deposits of the Securities Administrator as permitted pursuant
          to clause
          (ii) of the definition of Permitted Investments or as otherwise directed
          in
          writing by a majority of the Certificateholders. All such Permitted Investments
          must be payable on demand or mature on a Distribution Date or such other
          date as
          directed by the Certificateholders. All such Eligible Investments will
          be made
          in the name of the Trustee of the Supplemental Interest Trust (in its capacity
          as such) or its nominee. All income and gain realized from any such investment
          shall be deposited in the Termination Receipts Account or the Replacement
          Receipts Account, as applicable, and all losses, if any, shall be borne
          by the
          related account. 

         

        (ii) Unless
          otherwise permitted by the Rating Agencies as evidenced in a written
          confirmation, the Depositor shall arrange for replacement swap agreement(s)
          and
          the Securities Administrator shall promptly, with the assistance and cooperation
          of the Depositor, use amounts on deposit in the Swap Termination Receipts
          Account, if necessary, to enter into replacement swap agreement(s) which
          shall
          be executed and delivered by the Securities Administrator on behalf of
          the
          Supplemental Interest Trust upon receipt of written confirmation from each
          Rating Agency that such replacement swap agreement(s) will not result in
          the
          reduction or withdrawal of the rating of any outstanding Class of Certificates
          with respect to which it is a Rating Agency. 

         

        Amounts
          on deposit in the Swap Replacement Receipts Account shall be held for the
          benefit of the related Swap Counterparty and paid to such Swap Counterparty
          if
          the Supplemental Interest Trust is required to make a payment to such Swap
          Counterparty following an event of default or termination event with respect
          to
          the Supplemental Interest Trust under the related Swap Agreement. Any amounts
          not so applied shall, following the termination or expiration of such Swap
          Agreement, be paid to the Class X Certificates.

         

        (b) (i)
          In
          the event of an “Early Termination Event” as defined under the Cap Agreement,
          (a) any Cap Termination Payment made by the Cap Counterparty to the Cap
          Account
          and paid pursuant to Section 4.02(e)(ix) (“Cap Termination Receipts”) shall be
          deposited in a segregated non-interest bearing account which shall be an
          Eligible Account established by the Securities Administrator (the “Cap
          Termination Receipts Account”) and (b) any amounts received from a replacement
          cap counterparty (“Cap Replacement Receipts”) will be deposited in a segregated
          non-interest bearing account which shall be an Eligible Account established
          by
          the Securities Administrator (the “Cap Replacement Receipts Account”). The
          Securities Administrator shall invest, or cause to be invested, funds held
          in
          the Cap Termination Receipts Account in time deposits of the Securities
          Administrator as permitted by clause (ii) of the definition of Permitted
          Investments or as otherwise directed in writing by a majority of the
          Certificateholders. All such Permitted Investments must be payable on demand
          or
          mature on a Cap Payment Date, a Distribution Date or such other date as
          directed
          by the Certificateholders. All such Eligible Investments shall be made
          in the
          name of the Trustee as trustee of the Supplemental Interest Trust (in its
          capacity as such) or its nominee. All income and gain realized from any
          such
          investment shall be deposited in the Cap Termination Receipts Account and
          all
          losses, if any, shall be borne by such account. 

         

        
          
            
            

          

          
            -75-

            
              

            

          

          
            
            

          

        

        (ii) Unless
          otherwise permitted by the Rating Agencies as evidenced in a written
          confirmation, the Depositor shall arrange for one or more replacement interest
          rate cap agreements and the Securities Administrator shall promptly, with
          the
          assistance and cooperation of the Depositor, use amounts on deposit in
          the Cap
          Termination Receipts Account, if necessary, to enter into any such replacement
          interest rate cap agreement which shall be executed and delivered by Wells
          Fargo
          as Securities Administrator on behalf of the Supplemental Interest Trust
          upon
          receipt of written confirmation from each Rating Agency that any such
          replacement interest rate cap agreement will not result in the reduction
          or
          withdrawal of the rating of any outstanding Class of Certificates with
          respect
          to which it is a Rating Agency.

        

        
          
            Section
              4.09 Final
              Maturity Reserve Trust. 

          

        

         

        (a) A
          separate trust is hereby established (the “Final
          Maturity Reserve Trust”),
          the
          corpus of which shall be held by the Securities Administrator, in trust,
          for the
          Certificateholders. The Securities Administrator is hereby appointed trustee
          of
          the Final Maturity Reserve Trust. The Securities Administrator is also
          hereby
          appointed securities administrator of the Final Maturity Reserve Trust
          and, in
          such capacity, shall act on behalf of the trustee of the Final Maturity
          Reserve
          Trust. The securities administrator of the Final Maturity Reserve Trust,
          shall
          establish an account (the “Final Maturity Reserve Fund”), into which the
          Depostor shall initially deposit $1,000. The Final Maturity Reserve Fund
          shall
          be an Eligible Account, and funds on deposit therein shall be held separate
          and
          apart from, and shall not be commingled with, any other monies, including,
          without limitation, other monies of the Securities Administator held pursuant
          to
          this Agreement.

         

        (b) On
          each
          Distribution Date beginning on the Distribution Date in November 2016 up
          to and
          including the Final Maturity Reserve Funding Date, if the aggregate Stated
          Principal Balance of the Mortgage Loans having an original term to maturity
          of
          40 years as of the last day of the related Due Period (after giving effect
          to
          principal prepayments in the Prepayment Period related to such Distribution
          Date) is greater than the amount set forth in Schedule II for that Distribution
          Date (the “Required
          Deposit Trigger Amount”),
          the
          securities administrator of the Final Maturity Reserve Trust will deposit
          an
          amount equal to the Final Maturity Required Deposit for that Distribution
          Date
          into the Final Maturity Reserve Fund pursuant to Sections 4.02(i)(A), until
          the
          amount on deposit in the Final Maturity Reserve Fund is equal to the Final
          Maturity Funding Cap.

         

        
          
            
            

          

          
            -76-

            
              

            

          

          
            
            

          

        

        (c) The
          securities administrator of the Final Maturity Reserve Trust shall distribute
          the funds in the Final Maturity Reserve Fund pursuant to Section
          4.02(f).

         

        (d) Funds
          in
          the Swap Account shall be invested in Permitted Investments constituting
          time
          deposits under clause (ii) of the definition thereof. Any earnings on such
          amounts shall be distributed pursuant to Section 4.02(f). The Class X
          Certificates shall evidence ownership of the Final Maturity Reserve Trust
          for
          federal income tax purposes and the Depositor on behalf of the Holder thereof
          shall direct the securities administrator of the Final Maturity Reserve
          Trust,
          in writing, as to investment of amounts on deposit therein. The Sponsor
          shall be
          liable for any losses incurred on such investments. In the absence of written
          instructions from the Class X Certificateholders as to investment of funds
          on
          deposit in the Final Maturity Reserve Account, such funds shall be invested
          in
          Wells Fargo Advantage Prime Investment Money Market Fund or a comparable
          investment vehicle.

         

        (e) Upon
          termination of the Trust Fund, any amounts remaining in the Final Maturity
          Reserve Account shall be distributed pursuant to the priorities in Section
          4.02(f).

         

        (f) It
          is the
          intention of the parties hereto that, for federal and state income and
          state and
          local franchise tax purposes, the Final Maturity Reserve Trust be disregarded
          as
          an entity separate from the holder of the Class X Certificates unless and
          until
          the date when either (a) there is more than one Class X Certificateholder
          or (b)
          any Class of Certificates in addition to the Class X Certificates is
          recharacterized as an equity interest in the Final Maturity Reserve Trust
          for
          federal income tax purposes. Neither the Securities Administrator nor the
          Trustee shall be responsible for any entity level tax reporting for the
          Final
          Maturity Reserve Trust.

         

        (g) For
          federal income tax purposes, any Certificateholder that receives a principal
          payment from the Final Maturity Reserve Trust shall be treated as selling
          a
          portion of its Certificate to the Class X Certificateholder and as having
          received the amount of the principal payment from the Class X Certificateholder
          as the proceeds of the sale. The portion of the Certificate that is treated
          as
          having been sold shall equal the amount of the corresponding reduction
          in the
          Certificate Principal Amount of such Certificate. Principal payments received
          from the Final Maturity Reserve Trust shall not be treated as distributions
          from
          any REMIC created hereby. All principal distributions from the Final Maturity
          Reserve Trust shall be accounted for hereunder in accordance with this
          Section
          4.09(f).

         

        ARTICLE
          V

         

        THE
          CERTIFICATES

         

        Section
          5.01 The
          Certificates.
          The
          Certificates shall be substantially in the forms attached hereto as exhibits.
          The Certificates shall be issuable in registered form, in the minimum
          denominations, integral multiples in excess thereof (except that one Certificate
          in each Class may be issued in a different amount) and aggregate
          denominations per Class set forth in the Preliminary
          Statement.

         

        
          
            
            

          

          
            -77-

            
              

            

          

          
            
            

          

        

        The
          Depositor hereby directs the Securities Administrator to register the
          Class X, Class P and Class X Certificates in the name of HSBC
          Securities (USA) Inc. or its designee. On a date as to which the Depositor
          notifies the Securities Administrator, the Securities Administrator shall
          transfer the Class X and Class P Certificates in the name of the NIM
          Trustee, or such other name or names as the Depositor shall request, and
          to
          deliver the Class X and Class P Certificates to the NIM Trustee or to
          such other Person or Persons as the Depositor shall request.

         

        Subject
          to Section 11.02 respecting the final distribution on the Certificates, on
          each Distribution Date the Securities Administrator shall make distributions
          to
          each Certificateholder of record on the preceding Record Date either (x) by
          wire transfer in immediately available funds to the account of such holder
          at a
          bank or other entity having appropriate facilities therefor, if such Holder
          has
          so notified the Securities Administrator at least five Business Days prior
          to
          the related Record Date or (y) by check mailed by first Class mail to such
          Certificateholder at the address of such holder appearing in the Certificate
          Register; provided,
          however,
          so long
          as such Certificate is a Book-Entry Certificate, all distributions on such
          Certificate will be made through the Depository or the Depository
          Participant.

         

        The
          Certificates shall be executed by manual or facsimile signature on behalf
          of the
          Securities Administrator by an authorized officer. Certificates bearing
          the
          manual or facsimile signatures of individuals who were, at the time such
          signatures were affixed, authorized to sign on behalf of the Securities
          Administrator shall bind the Securities Administrator, notwithstanding
          that such
          individuals or any of them have ceased to be so authorized prior to the
          authentication and delivery of any such Certificates or did not hold such
          offices at the date of such Certificate. No Certificate shall be entitled
          to any
          benefit under this Agreement, or be valid for any purpose, unless authenticated
          by the Securities Administrator by manual signature, and such authentication
          upon any Certificate shall be conclusive evidence, and the only evidence,
          that
          such Certificate has been duly executed and delivered hereunder. All
          Certificates shall be dated the date of their authentication. On the Closing
          Date, the Securities Administrator shall authenticate the Certificates
          to be
          issued at the direction of the Depositor, or any affiliate thereof.

         

        Section
          5.02 Certificate
          Register; Registration of Transfer and Exchange of Certificates.
          (a)  The Securities Administrator shall maintain, or cause to be
          maintained in accordance with the provisions of Section 5.06, a Certificate
          Register for the Trust Fund in which, subject to the provisions of subsections
          (b) and (c) below and to such reasonable regulations as it may prescribe,
          the Securities Administrator shall provide for the registration of Certificates
          and of transfers and exchanges of Certificates as herein provided. Upon
          surrender for registration of transfer of any Certificate, the Securities
          Administrator shall execute and deliver, in the name of the designated
          transferee or transferees, one or more new Certificates of the same
          Class and aggregate Percentage Interest.

         

        At
          the
          option of a Certificateholder, Certificates may be exchanged for other
          Certificates of the same Class in authorized denominations and evidencing
          the same aggregate Percentage Interest upon surrender of the Certificates
          to be
          exchanged at the office or agency of the Securities Administrator. Whenever
          any
          Certificates are so surrendered for exchange, the Securities Administrator
          shall
          execute, authenticate, and deliver the Certificates which the Certificateholder
          making the exchange is entitled to receive. Every Certificate presented
          or
          surrendered for registration of transfer or exchange shall be accompanied
          by a
          written instrument of transfer in form satisfactory to the Securities
          Administrator duly executed by the holder thereof or his attorney duly
          authorized in writing.

         

        
          
            
            

          

          
            -78-

            
              

            

          

          
            
            

          

        

        No
          service charge to the Certificateholders shall be made for any registration
          of
          transfer or exchange of Certificates, but payment of a sum sufficient to
          cover
          any tax or governmental charge that may be imposed in connection with any
          transfer or exchange of Certificates may be required.

         

        All
          Certificates surrendered for registration of transfer or exchange shall
          be
          cancelled and subsequently destroyed by the Securities Administrator in
          accordance with the Securities Administrator’s customary
          procedures.

         

        (b) No
          transfer of a Private Certificate shall be made unless such transfer is
          made
          pursuant to an effective registration statement under the Securities Act
          and any
          applicable state securities laws or is exempt from the registration requirements
          under said Act and such state securities laws. In determining whether a
          transfer
          is being made pursuant to an effective registration statement, the Securities
          Administrator shall be entitled to rely solely upon a written notice to
          such
          effect from the Depositor. Except with respect to (i) the transfer of the
          Class X, Class P or Class R Certificates to the Depositor or an
          Affiliate of the Depositor, (ii) the transfer of the Class X or
          Class P Certificates to the NIM Issuer or the NIM Trustee, or (iii) a
          transfer of the Class X or Class P Certificates from the NIM Issuer or
          the NIM Trustee to the Depositor or an Affiliate of the Depositor, in the
          event
          that a transfer of a Private Certificate which is a Physical Certificate
          is to
          be made in reliance upon an exemption from the Securities Act and such
          laws, in
          order to assure compliance with the Securities Act and such laws, the
          Certificateholder desiring to effect such transfer shall certify to the
          Securities Administrator in writing the facts surrounding the transfer
          in
          substantially the form set forth in Exhibit H (the “Transferor
          Certificate”)
          and
          either (i) there shall be delivered to the Securities Administrator a
          letter in substantially the form of Exhibit I-A (the “Rule 144A
          Investment Letter”)
          or
          Exhibit I-B (the “Regulation
          S Investment Letter”)
          or
          (ii) there shall be delivered to the Securities Administrator at the
          expense of the transferor an Opinion of Counsel stating that such transfer
          may
          be made without registration under the Securities Act. In the event that
          a
          transfer of a Private Certificate which is a Book-Entry Certificate is
          to be
          made in reliance upon an exemption from the Securities Act and such laws,
          in
          order to assure compliance with the Securities Act and such laws, the
          Certificateholder desiring to effect such transfer will be deemed to have
          made
          as of the transfer date each of the certifications set forth in the Transferor
          Certificate in respect of such Certificate and the transferee will be deemed
          to
          have made as of the transfer date each of the certifications set forth
          in the
          Rule 144A Investment Letter or Regulation S Investment Letter, as
          applicable, in respect of such Certificate, in each case as if such Certificate
          were evidenced by a Physical Certificate. As directed by the Depositor,
          the
          Securities Administrator shall provide to any Holder of a Private Certificate
          and any prospective transferee designated by any such Holder, information
          regarding the related Certificates and the Mortgage Loans and such other
          information as shall be necessary to satisfy the condition to eligibility
          set
          forth in Rule 144A(d)(4) for transfer of any such Certificate without
          registration thereof under the Securities Act pursuant to the registration
          exemption provided by Rule 144A. The Depositor, the Master Servicer and the
          Trustee shall cooperate with the Securities Administrator in providing
          the
          Rule 144A information referenced in the preceding sentence, including
          providing to the Securities Administrator such information regarding the
          Certificates, the Mortgage Loans and other matters regarding the Trust
          Fund as
          the Securities Administrator shall reasonably determine to meet its obligation
          under the preceding sentence. Each Holder of a Private Certificate desiring
          to
          effect such transfer shall, and does hereby agree to, indemnify the Securities
          Administrator, the Trustee, each Servicer, the Master Servicer and the
          Depositor
          against any liability that may result if the transfer is not so exempt
          or is not
          made in accordance with such federal and state laws.

         

        
          
            
            

          

          
            -79-

            
              

            

          

          
            
            

          

        

        Except
          with respect to (i) the transfer of the Class X, Class P or
          Class R Certificates to the Depositor or an Affiliate of the Depositor,
          (ii) the transfer of the Class X or Class P Certificates to the
          NIM Issuer or the NIM Trustee, or (iii) a transfer of the Class X or
          Class P Certificates from the NIM Issuer or the NIM Trustee to the
          Depositor or an Affiliate of the Depositor, no transfer of an ERISA-Restricted
          Certificate shall be made unless the Securities Administrator shall have
          received either (i) a representation from the transferee of such
          Certificate acceptable to and in form and substance satisfactory to the
          Securities Administrator (in the event such Certificate is a Private Certificate
          or a Residual Certificate, such requirement is satisfied only by the Securities
          Administrator’s receipt of a representation letter from the transferee
          substantially in the form of Exhibit I-A or Exhibit I-B), to the effect
          that such transferee is not an employee benefit plan or arrangement subject
          to
          Section 406 of ERISA, a plan subject to Section 4975 of the Code or a
          plan subject to any Federal, state or local law (“Similar
          Law”)
          materially similar to the foregoing provisions of ERISA or the Code, nor
          a
          person acting on behalf of any such plan or arrangement nor using the assets
          of
          any such plan or arrangement to effect such transfer, or (ii) in the case
          of an ERISA-Restricted Certificate (other than a Residual Certificate,
          Class X
          Certificate or a Class P Certificate) that has been the subject of an
          ERISA-Qualifying Underwriting, and the purchaser is an insurance company,
          a
          representation that the purchaser is an insurance company that is purchasing
          such Certificates with funds contained in an “insurance company general account”
(as such term is defined in Section V(e) of Prohibited Transaction
          Class Exemption (“PTCE”)
          95-60)
          and that the purchase and holding of such Certificates are covered under
          Sections I and III of PTCE 95-60 or (iii) in the case of any such
          ERISA-Restricted Certificate other than a Residual Certificate, Class X
          Certificate or Class P Certificate presented for registration in the name
          of an employee benefit plan subject to Title I of ERISA, a plan or
          arrangement subject to Section 4975 of the Code (or comparable provisions
          of any subsequent enactments), or a plan subject to Similar Law, or a trustee
          of
          any such plan or any other person acting on behalf of any such plan or
          arrangement or using such plan’s or arrangement’s assets, an Opinion of Counsel
          satisfactory to the Securities Administrator, which Opinion of Counsel
          shall not
          be an expense of the Depositor, the Trustee, the Master Servicer, any Servicer,
          the Securities Administrator or the Trust Fund, addressed to the Securities
          Administrator, to the effect that the purchase or holding of such
          ERISA-Restricted Certificate will not constitute or result in a non-exempt
          prohibited transaction within the meaning of ERISA, Section 4975 of the
          Code or any Similar Law and will not subject the Trustee, the Depositor,
          the
          Securities Administrator, the Master Servicer or any Servicer to any obligation
          in addition to those expressly undertaken in this Agreement or to any liability.
          For purposes of the preceding sentence, with respect to an ERISA-Restricted
          Certificate that is not a Physical Certificate or a Residual Certificate,
          in the
          event the representation letter referred to in the preceding sentence is
          not
          furnished, such representation shall be deemed to have been made to the
          Securities Administrator by the transferee’s (including an initial acquirer’s)
          acceptance of the ERISA-Restricted Certificates. Notwithstanding anything
          else
          to the contrary herein, (a) any purported transfer of an ERISA-Restricted
          Certificate that is a Physical Certificate, other than a Class P
          Certificate, Class X Certificate or Residual Certificate, to or on behalf
          of an
          employee benefit plan subject to ERISA, the Code or Similar Law without
          the
          delivery to the Securities Administrator of a representation letter or
          an
          Opinion of Counsel satisfactory to the Securities Administrator as described
          above shall be void and of no effect and (b) any purported transfer of a
          Class P Certificate, Class X Certificate or Residual Certificate to a
          transferee that does not make the representation in clause (i) above
          shall be void and of no effect.

         

        
          
            
            

          

          
            -80-

            
              

            

          

          
            
            

          

        

        None
          of
          the Class R, Class X or Class P Certificates may be sold to any
          employee benefit plan subject to Title I of ERISA, any plan subject to
          Section 4975 of the Code, or any plan subject to any Similar Law or any
          person investing on behalf or with plan assets of such plan.

        

        No
          transfer of an ERISA-Restricted Trust Certificate shall be made unless
          the
          Securities Administrator shall have received a representation letter from
          the
          transferee of such Certificate, substantially in the form set forth in
          Exhibit
          I-A or Exhibit I-B, to the effect that either (i) such transferee is neither
          an
          employee benefit plan or arrangement subject to Section 406 of ERISA, a
          plan
          subject to Section 4975 of the Code or a plan subject to Similar Law nor
          a
          Person acting on behalf of any such Plan or using the assets of any such
          Plan to
          effect such transfer or (ii) the acquisition and holding of the ERISA-Restricted
          Trust Certificate are eligible for exemptive relief under the statutory
          exemption for nonfiduciary service providers under Section 408(b)(17) of
          ERISA
          and Section 4975(d)(20) of the Code, PTCE 84-14, PTCE 90-1, PTCE 91-38,
          PTCE
          95-60 or PTCE 96-23 or some other applicable exemption. Notwithstanding
          anything
          else to the contrary herein, any purported transfer of an ERISA-Restricted
          Trust
          Certificate on behalf of such Plan without the delivery to the Securities
          Administrator of a representation letter as described above shall be void
          and of
          no effect. If the ERISA-Restricted Trust Certificate is a Book-Entry
          Certificate, the transferee will be deemed to have made a representation
          as
          provided in clause (i) or (ii) of this paragraph, as applicable.

         

        If
          any
          ERISA-Restricted Trust Certificate, or any interest therein, is acquired
          or held
          in violation of the provisions of the preceding paragraph, the next preceding
          permitted beneficial owner will be treated as the beneficial owner of that
          Certificate, retroactive to the date of transfer to the purported beneficial
          owner. Any purported beneficial owner whose acquisition or holding of an
          ERISA-Restricted Trust Certificate, or interest therein, was effected in
          violation of the provisions of the preceding paragraph shall indemnify
          to the
          extent permitted by law and hold harmless the Depositor, the Securities
          Administrator, the Trustee, each Servicer and the Master Servicer from
          and
          against any and all liabilities, claims, costs or expenses incurred by
          such
          parties as a result of such acquisition or holding.

         

        To
          the
          extent permitted under applicable law (including, but not limited to, ERISA),
          the Securities Administrator shall be under no liability to any Person
          for any
          registration of transfer of any ERISA-Restricted Certificate or ERISA-Restricted
          Trust Certificate that is in fact not permitted by this Section 5.02(b) or
          for making any payments due on such Certificate to the Holder thereof or
          taking
          any other action with respect to such Holder under the provisions of this
          Agreement so long as, in the case of a Physical Certificate, the transfer
          was
          registered by the Securities Administrator in accordance with the foregoing
          requirements.

         

        
          
            
            

          

          
            -81-

            
              

            

          

          
            
            

          

        

        (c) Each
          Person who has or who acquires any Ownership Interest in a Residual Certificate
          shall be deemed by the acceptance or acquisition of such Ownership Interest
          to
          have agreed to be bound by the following provisions, and the rights of
          each
          Person acquiring any Ownership Interest in a Residual Certificate are expressly
          subject to the following provisions:

         

        (i) Each
          Person holding or acquiring any Ownership Interest in a Residual Certificate
          shall be a Permitted Transferee and shall promptly notify the Securities
          Administrator of any change or impending change in its status as a Permitted
          Transferee;

         

        (ii) No
          Ownership Interest in a Residual Certificate may be registered on the Closing
          Date or thereafter transferred, and the Securities Administrator shall
          not
          register the Transfer of any Residual Certificate unless, in addition to
          the
          certificates required to be delivered to the Securities Administrator under
          subparagraph (b) above, the Securities Administrator shall have been
          furnished with an affidavit (a “Transfer
          Affidavit”)
          of the
          initial owner or the proposed transferee in the form attached hereto as
          Exhibit G;

         

        (iii) Each
          Person holding or acquiring any Ownership Interest in a Residual Certificate
          shall agree (A) to obtain a Transfer Affidavit from any other Person to
          whom such Person attempts to Transfer its Ownership Interest in a Residual
          Certificate, (B) to obtain a Transfer Affidavit from any Person for whom
          such Person is acting as nominee, trustee or agent in connection with any
          Transfer of a Residual Certificate and (C) not to Transfer its Ownership
          Interest in a Residual Certificate or to cause the Transfer of an Ownership
          Interest in a Residual Certificate to any other Person if it has actual
          knowledge that such Person is a Non-Permitted Transferee;

         

        (iv) Any
          attempted or purported Transfer of any Ownership Interest in a Residual
          Certificate in violation of the provisions of this Section 5.02(c) shall be
          absolutely null and void and shall vest no rights in the purported Transferee.
          If any purported transferee shall become a Holder of a Residual Certificate
          in
          violation of the provisions of this Section 5.02(c), then the last
          preceding Permitted Transferee shall be restored to all rights as Holder
          thereof
          retroactive to the date of registration of Transfer of such Residual
          Certificate. The Securities Administrator shall be under no liability to
          any
          Person for any registration of Transfer of a Residual Certificate that
          is in
          fact not permitted by Section 5.02(a) and this Section 5.02(c) or for
          making any payments due on such Certificate to the Holder thereof or taking
          any
          other action with respect to such Holder under the provisions of this Agreement
          so long as the Transfer was registered after receipt of the related Transfer
          Affidavit, Transferor Certificate and the Rule 144A Letter. The Securities
          Administrator shall be entitled but not obligated to recover from any Holder
          of
          a Residual Certificate that was in fact a Non-Permitted Transferee at the
          time
          it became a Holder or, at such subsequent time as it became a Non-Permitted
          Transferee, all payments made on such Residual Certificate at and after
          either
          such time. Any such payments so recovered by the Securities Administrator
          shall
          be paid and delivered by the Securities Administrator to the last preceding
          Permitted Transferee of such Certificate; and

         

        
          
            
            

          

          
            -82-

            
              

            

          

          
            
            

          

        

        (v) The
          Depositor shall use its best efforts to make available, upon receipt of
          written
          request from the Securities Administrator, all information necessary to
          compute
          any tax imposed under Section 860E(e) of the Code as a result of a Transfer
          of an Ownership Interest in a Residual Certificate to any Holder who is
          a
          Non-Permitted Transferee.

         

        The
          restrictions on Transfers of a Residual Certificate set forth in this
          Section 5.02(c) shall cease to apply (and the applicable portions of the
          legend on a Residual Certificate may be deleted) with respect to Transfers
          occurring after delivery to the Securities Administrator of an Opinion
          of
          Counsel, which Opinion of Counsel shall not be an expense of the Trust
          Fund, the
          Trustee, the Securities Administrator or any Servicer, to the effect that
          the
          elimination of such restrictions will not cause any REMIC created hereunder
          to
          fail to qualify as a REMIC at any time that the Certificates are outstanding
          or
          result in the imposition of any tax on the Trust Fund, a Certificateholder
          or
          another Person. Each Person holding or acquiring any Ownership Interest
          in a
          Residual Certificate hereby consents to any amendment of this Agreement
          which,
          based on an Opinion of Counsel furnished to the Securities Administrator,
          is
          reasonably necessary (a) to ensure that the record ownership of, or any
          beneficial interest in, a Residual Certificate is not transferred, directly
          or
          indirectly, to a Person that is a Non-Permitted Transferee and (b) to
          provide for a means to compel the Transfer of a Residual Certificate which
          is
          held by a Person that is a Non-Permitted Transferee to a Holder that is
          a
          Permitted Transferee.

         

        (d) The
          preparation and delivery of all certificates and opinions referred to above
          in
          this Section 5.02 in connection with transfer shall be at the expense of
          the parties to such transfers.

         

        (e) Except
          as
          provided below, the Book-Entry Certificates shall at all times remain registered
          in the name of the Depository or its nominee and at all times:
          (i) registration of the Certificates may not be transferred by the
          Securities Administrator except to another Depository; (ii) the Depository
          shall maintain book-entry records with respect to the Certificate Owners
          and
          with respect to ownership and transfers of such Book-Entry Certificates;
          (iii) ownership and transfers of registration of the Book-Entry
          Certificates on the books of the Depository shall be governed by applicable
          rules established by the Depository; (iv) the Depository may collect its
          usual and customary fees, charges and expenses from its Depository Participants;
          (v) the Securities Administrator shall deal with the Depository, Depository
          Participants and indirect participating firms as representatives of the
          Certificate Owners of the Book-Entry Certificates for purposes of exercising
          the
          rights of holders under this Agreement, and requests and directions for
          and
          votes of such representatives shall not be deemed to be inconsistent if
          they are
          made with respect to different Certificate Owners; and (vi) the Securities
          Administrator may rely and shall be fully protected in relying upon information
          furnished by the Depository with respect to its Depository Participants
          and
          furnished by the Depository Participants with respect to indirect participating
          firms and persons shown on the books of such indirect participating firms
          as
          direct or indirect Certificate Owners.

         

        
          
            
            

          

          
            -83-

            
              

            

          

          
            
            

          

        

        All
          transfers by Certificate Owners of Book-Entry Certificates shall be made
          in
          accordance with the procedures established by the Depository Participant
          or
          brokerage firm representing such Certificate Owner. Each Depository Participant
          shall only transfer Book-Entry Certificates of Certificate Owners it represents
          or of brokerage firms for which it acts as agent in accordance with the
          Depository’s normal procedures.

         

        If
          (x) (i) the Depository or the Depositor advises the Securities
          Administrator in writing that the Depository is no longer willing or able
          to
          properly discharge its responsibilities as Depository, and (ii) the
          Securities Administrator or the Depositor is unable to locate a qualified
          successor, or (y) the Depositor notifies the Depository (and the Securities
          Administrator consents) of its intent to terminate the book-entry system
          through
          the Depository and, upon receipt of notice of such intent from the Depository,
          the Depository Participants holding beneficial interests in the Book-Entry
          Certificates agree to initiate such termination, the Securities Administrator
          shall notify all Certificate Owners, through the Depository, of the occurrence
          of any such event and of the availability of definitive, fully registered
          Certificates (the “Definitive
          Certificates”)
          to
          Certificate Owners requesting the same. Upon surrender to the Securities
          Administrator of the related Class of Certificates by the Depository,
          accompanied by the instructions from the Depository for registration, the
          Securities Administrator shall issue the Definitive Certificates. None
          of the
          Servicers, the Depositor or the Securities Administrator shall be liable
          for any
          delay in delivery of such instruction and each may conclusively rely on,
          and
          shall be protected in relying on, such instructions. The Depositor shall
          provide
          the Securities Administrator with an adequate inventory of Certificates
          to
          facilitate the issuance and transfer of Definitive Certificates. Upon the
          issuance of Definitive Certificates all references herein to obligations
          imposed
          upon or to be performed by the Depository shall be deemed to be imposed
          upon and
          performed by the Securities Administrator, to the extent applicable with
          respect
          to such Definitive Certificates and the Securities Administrator shall
          recognize
          the Holders of the Definitive Certificates as Certificateholders hereunder;
          provided,
          that
          the Securities Administrator shall not by virtue of its assumption of such
          obligations become liable to any party for any act or failure to act of
          the
          Depository.

         

        (f) Each
          Private Certificate presented or surrendered for registration of transfer
          or
          exchange shall be accompanied by a written instrument of transfer and
          accompanied by IRS Form W-8ECI, W-8BEN, W-8IMY (and all appropriate attachments)
          or W-9 in form satisfactory to the Securities Administrator, duly executed
          by
          the Certificateholder or his attorney duly authorized in writing. Each
          Certificate presented or surrendered for registration of transfer or exchange
          shall be canceled and subsequently disposed of by the Securities Administrator
          in accordance with its customary practice. No service charge shall be made
          for
          any registration of transfer or exchange of Private Certificates, but the
          Securities Administrator may require payment of a sum sufficient to cover
          any
          tax or governmental charge that may be imposed in connection with any transfer
          or exchange of Private Certificates.

         

        Section
          5.03 Mutilated,
          Destroyed, Lost or Stolen Certificates.
          If
          (a) any mutilated Certificate is surrendered to the Securities
          Administrator, or the Securities Administrator receives evidence to its
          satisfaction of the destruction, loss or theft of any Certificate and
          (b) there is delivered to the Depositor, the Securities Administrator and
          the Trustee such security or indemnity as may be required by them to hold
          each
          of them harmless, then, in the absence of notice to the Securities Administrator
          that such Certificate has been acquired by a bona fide purchaser, the Securities
          Administrator shall execute, authenticate and deliver, in exchange for
          or in
          lieu of any such mutilated, destroyed, lost or stolen Certificate, a new
          Certificate of like Class, tenor and Percentage Interest. In connection
          with the
          issuance of any new Certificate under this Section 5.03, the Securities
          Administrator may require the payment of a sum sufficient to cover any
          tax or
          other governmental charge that may be imposed in relation thereto and any
          other
          expenses (including the fees and expenses of the Securities Administrator)
          connected therewith. Any replacement Certificate issued pursuant to this
          Section 5.03 shall constitute complete and indefeasible evidence of
          ownership, as if originally issued, whether or not the lost, stolen or
          destroyed
          Certificate shall be found at any time.

         

        
          
            
            

          

          
            -84-

            
              

            

          

          
            
            

          

        

        Section
          5.04 Persons
          Deemed Owners.
          The
          Trustee, the Depositor, the Securities Administrator and any agent of the
          Trustee, the Depositor or the Securities Administrator may treat the Person
          in
          whose name any Certificate is registered as the owner of such Certificate for
          the purpose of receiving distributions as provided in this Agreement and
          for all
          other purposes whatsoever, and neither the Trustee, the Depositor, the
          Securities Administrator nor any agent of the Trustee, the Depositor or
          the
          Securities Administrator shall be affected by any notice to the
          contrary.

         

        Section
          5.05 Access
          to List of Certificateholders’ Names and Addresses.
          If three
          or more Certificateholders (a) request such information in writing from the
          Securities Administrator, (b) state that such Certificateholders desire to
          communicate with other Certificateholders with respect to their rights
          under
          this Agreement or under the Certificates and (c) provide a copy of the
          communication which such Certificateholders propose to transmit, or if
          the
          Depositor or any Servicer shall request such information in writing from
          the
          Securities Administrator, then the Securities Administrator shall, within
          ten
          Business Days after the receipt of such request, provide the Depositor,
          the
          applicable Servicer or such Certificateholders at such recipients’ expense the
          most recent list of the Certificateholders of such Trust Fund held by the
          Securities Administrator, if any. The Depositor and every Certificateholder,
          by
          receiving and holding a Certificate, agree that the Securities Administrator
          shall not be held accountable by reason of the disclosure of any such
          information as to the list of the Certificateholders hereunder, regardless
          of
          the source from which such information was derived.

         

        Section
          5.06 Maintenance
          of Office or Agency.
          The
          Securities Administrator will maintain or cause to be maintained at its
          expense
          an office or offices or agency or agencies where Certificates may be surrendered
          for registration of transfer or exchange. The Securities Administrator
          initially
          designates its offices located at Sixth Street and Marquette Avenue,
          Minneapolis, Minnesota 55479. The Securities Administrator shall give prompt
          written notice to the Certificateholders of any change in such location
          of any
          such office or agency.

         

        ARTICLE
          VI

         

        THE
          DEPOSITOR

         

        Section
          6.01 Liabilities
          of the Depositor.
          The
          Depositor shall be liable in accordance herewith only to the extent of
          the
          obligations specifically and respectively imposed upon and undertaken by
          it
          herein.

         

        
          
            
            

          

          
            -85-

            
              

            

          

          
            
            

          

        

        Section
          6.02 Merger
          or Consolidation of the Depositor.
          (a) The Depositor will keep in full effect its existence, rights and
          franchises as a corporation, under the laws of the United States or under
          the
          laws of one of the states thereof and will each obtain and preserve its
          qualification to do business as a foreign corporation in each jurisdiction
          in
          which such qualification is or shall be necessary to protect the validity
          and
          enforceability of this Agreement, or any of the Mortgage Loans and to perform
          its respective duties under this Agreement.

         

        (b) Any
          Person into which the Depositor may be merged or consolidated, or any Person
          resulting from any merger or consolidation to which the Depositor shall
          be a
          party, or any person succeeding to the business of the Depositor, shall
          be the
          successor of the Depositor hereunder, without the execution or filing of
          any
          paper or any further act on the part of any of the parties hereto, anything
          herein to the contrary notwithstanding.

         

        Section
          6.03 Limitation
          on Liability of the Depositor and Others.Neither
          the Depositor nor any of its respective directors, officers, employees
          or
          agents, shall be under any liability to the Certificateholders for any
          action
          taken or for refraining from the taking of any action in good faith pursuant
          to
          this Agreement, or for errors in judgment; provided,
          however,
          that
          this provision shall not protect the Depositor or any such Person against
          any
          breach of representations or warranties made by it herein or protect the
          Depositor or any such Person from any liability which would otherwise be
          imposed
          by reasons of willful misfeasance, bad faith or negligence (or gross negligence
          in the case of the Depositor) in the performance of duties or by reason
          of
          reckless disregard of obligations and duties hereunder. The Depositor,
          its
          Affiliates and any of their respective directors, officers, employees or
          agents
          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
          Depositor, its Affiliates, and any of their respective directors, officers,
          employees or agents shall be indemnified by the Trust Fund and held harmless
          against any loss, liability or expense incurred in connection with any
          audit,
          controversy or judicial proceeding relating to a governmental taxing authority
          or any legal action relating to this Agreement or the Certificates other
          than
          any loss, liability or expense related to any specific Mortgage Loan or
          Mortgage
          Loans (except as any such loss, liability or expense shall be otherwise
          reimbursable pursuant to this Agreement and any loss, liability or expense
          incurred by reason of willful misfeasance, bad faith or gross negligence
          in the
          performance of duties hereunder or by reason of reckless disregard of
          obligations and duties hereunder. The Depositor shall not be under any
          obligation to appear in, prosecute or defend any legal action that is not
          incidental to its respective duties hereunder and which in its opinion
          may
          involve it in any expense or liability; provided,
          however,
          that
          the Depositor may in its discretion undertake any such action (or direct
          the
          Trustee to undertake such actions pursuant to Section 2.03 for the benefit
          of the Certificateholders) that it may deem necessary or desirable in respect
          of
          this Agreement and the rights and duties of the parties hereto and interests
          of
          the Trustee and the Certificateholders hereunder. In such event, the legal
          expenses and costs of such action and any liability resulting therefrom
          shall be
          expenses, costs and liabilities of the Trust Fund, and the Depositor shall
          be
          entitled to be reimbursed therefor out of the Distribution Account.

         

        
          
            
            

          

          
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        ARTICLE
          VII

         

        DEFAULT

         

        Section
          7.01 Master
          Servicer to Act; Appointment of Successor(a) .
          (a) The
          Master Servicer or the Trustee (as successor master servicer), as applicable,
          shall be entitled to terminate the rights and obligations of any Servicer
          under
          the applicable Servicing Agreement in accordance with the terms and conditions
          of such Servicing Agreement and without any limitation by virtue of this
          Agreement. Upon termination of a Servicer under the applicable Servicing
          Agreement, the Master Servicer or the Trustee (as successor master servicer),
          as
          applicable, shall, subject to the rights of the Master Servicer or the
          Trustee
          (as successor master servicer), as applicable, to appoint a successor servicer
          pursuant to this Section 7.01, be the successor to such Servicer in its
          capacity
          as servicer under the applicable Servicing Agreement, provided,
          however,
          that
          the Master Servicer or the Trustee (as successor master servicer), as
          applicable, shall not be (i) liable for losses of the predecessor Servicer
          with
          respect to such predecessor’s investment of funds in its Collection Account;
          (ii) obligated to effectuate repurchases or substitutions of Mortgage Loans
          hereunder, including but not limited to repurchases or substitutions pursuant
          to
          Section 2.03, (iii) responsible for expenses of the predecessor servicer
          related
          to any repurchase or substitution of Mortgage Loans hereunder, including
          but not
          limited to repurchases or substitutions pursuant to Section 2.03, (iv)
          deemed to
          have made any of the representations and warranties of the terminated Servicer
          under the applicable Servicing Agreement or (v) liable for any obligations
          of
          the predecessor Servicer incurred prior to its termination. It is understood
          and
          acknowledged by the parties hereto that there will be a period of transition
          before the transfer of servicing obligations is fully effective. Notwithstanding
          the foregoing, the Master Servicer or the Trustee (as successor master
          servicer), as applicable, will have a period (not to exceed 90 days) to
          complete the transfer of all servicing data and correct or manipulate such
          servicing data as may be required by the Master Servicer or the Trustee
          (as
          successor master servicer), as applicable, to correct any errors or
          insufficiencies in the servicing data or otherwise enable the Master Servicer
          or
          the Trustee (as successor master servicer), as applicable, to service the
          Mortgage Loans in accordance with the applicable Servicing Agreement. Except
          as
          provided in Section 7.01(c) below, the Master Servicer or the Trustee (as
          successor master servicer), as applicable, shall be entitled to be reimbursed
          from each Servicer (or by the Trust Fund, if such Servicer is unable to
          fulfill
          such obligation) for all costs associated with the transfer of servicing
          from
          the predecessor servicer, including without limitation, any costs or expenses
          associated with the complete transfer of all servicing data and the completion,
          correction or manipulation of such servicing data, as may be required by
          the
          Master Servicer or the Trustee (as successor master servicer), as applicable,
          to
          correct any errors or insufficiencies in the servicing data or otherwise
          to
          enable the Master Servicer or the Trustee (as successor master servicer),
          as
          applicable, to service the Mortgage Loans properly and effectively. As
          compensation in its role as successor servicer, the Master Servicer or
          the
          Trustee (as successor master servicer), as applicable, shall be entitled
          to the
          applicable Servicing Fee and any income on investments or gain related
          to the
          related Collection Account. Notwithstanding the foregoing, if the Master
          Servicer or the Trustee (as successor master servicer), as applicable,
          has
          become the successor to a Servicer pursuant to an Event of Default, the
          Master
          Servicer or the Trustee (as successor master servicer), as applicable,
          may, if
          it shall be unwilling to so act, or shall, if it is prohibited by applicable
          law
          from making P&I Advances and Servicing Advances pursuant to the applicable
          Servicing Agreement, if it is otherwise unable to so act, or at the written
          request of Certificateholders entitled to at least a majority of the Voting
          Rights, appoint, or petition a court of competent jurisdiction to appoint,
          any
          established mortgage loan servicing institution the appointment of which
          does
          not adversely affect the then current rating of the Certificates by each
          Rating
          Agency, as the successor to the Servicer under the applicable Servicing
          Agreement in the assumption of all or any part of the responsibilities,
          duties
          or liabilities of such Servicer thereunder. Any successor to a Servicer
          shall be
          an institution which is willing to service the Mortgage Loans and which
          executes
          and delivers to the Depositor, the Master Servicer and the Trustee (as
          successor
          master servicer) an agreement accepting such delegation and assignment,
          containing an assumption by such Person of the rights, powers, duties,
          responsibilities, obligations and liabilities of the applicable Servicer
          (other
          than liabilities of the predecessor servicer incurred prior to its termination),
          with like effect as if originally named as a party to such Servicing Agreement;
          provided,
          that
          each Rating Agency acknowledges that its rating of the Certificates in
          effect
          immediately prior to such assignment and delegation will not be qualified
          or
          reduced, as a result of such assignment and delegation. Pending appointment
          of a
          successor to a Servicer under any Servicing Agreement, the Master Servicer
          or
          the Trustee (as successor master servicer), as applicable, unless such
          party is
          prohibited by law from so acting, shall act in such capacity as hereinabove
          provided. In connection with such appointment and assumption, the Master
          Servicer or the Trustee (as successor master servicer), as applicable,
          may make
          such arrangements for the compensation of such successor out of payments
          on
          Mortgage Loans as it and such successor shall agree in accordance with
          the
          applicable Servicing Agreement; provided,
          however,
          that no
          such compensation shall be in excess of the applicable Servicing Fee and
          any
          income on investments or gain related to the related Collection Account.
          The
          Master Servicer or the Trustee (as successor master servicer), as applicable,
          and such successor servicer shall take such action, consistent with this
          Agreement and the applicable Servicing Agreement, as shall be necessary
          to
          effectuate any such succession. Neither the Master Servicer nor the Trustee
          (as
          successor master servicer) shall be deemed to be in default hereunder by
          reason
          of any failure to make, or any delay in making, any distribution hereunder
          or
          any portion thereof or any failure to perform, or any delay in performing,
          any
          duties or responsibilities hereunder, in either case caused by the failure
          of
          any Servicer to deliver or provide, or any delay in delivering or providing,
          any
          cash, information, documents or records to it.

         

        
          
            
            

          

          
            -87-

            
              

            

          

          
            
            

          

        

        (b) Notwithstanding
          the foregoing, the parties hereto agree that the Master Servicer or the
          Trustee
          (as successor master servicer), as applicable, in its capacity as successor
          servicer, immediately shall assume all of the obligations of such terminated
          Servicer to make Advances and the Master Servicer or the Trustee (as successor
          master servicer), as applicable, will assume the other duties of such Servicer
          as soon as practicable, but in no event later than 90 days after the Master
          Servicer or the Trustee (as successor master servicer), as applicable,
          becomes
          successor servicer pursuant to the preceding paragraph. If the Master Servicer
          or the Trustee (as successor master servicer), as applicable, acts as a
          successor servicer, it will have no obligation to make an Advance if it
          determines in its reasonable judgment that such Advance is non-recoverable.
          To
          the extent that the Master Servicer or the Trustee (as successor master
          servicer) is unable to find a successor servicer that is willing to service
          the
          Mortgage Loans for the Servicing Fee because of the obligation of the applicable
          Servicer to make Advances regardless of whether such Advance is recoverable,
          the
          applicable Servicing Agreement may be amended to provide that the successor
          servicer shall have no obligation to make an Advance if it determines in
          its
          reasonable judgment that such Advance is non-recoverable and provides an
          Officer’s Certificate to such effect to the Master Servicer and the Trustee.
          Notwithstanding the foregoing, the Master Servicer or the Trustee (as successor
          master servicer), as applicable, in its capacity as successor servicer,
          shall
          not be responsible for the lack of information and/or documents that it
          cannot
          obtain through reasonable efforts; provided,
          however,
          that
          any failure to perform any duties or responsibilities caused by such Servicer’s
          failure to provide information required by this Agreement shall not be
          considered a default by the Trustee (as successor master servicer) hereunder.
          In
          the Trustee’s capacity as such successor, the Trustee (as successor master
          servicer) shall have the same limitations on liability granted to the Servicer
          under this Agreement and the related Servicing Agreement. 

         

        
          
            
            

          

          
            -88-

            
              

            

          

          
            
            

          

        

        (c) In
          the
          event that the Master Servicer or the Trustee (as successor master servicer),
          as
          applicable, is the terminated Servicer (except in the case where the Master
          Servicer in its role as successor servicer is being terminated pursuant
          to an
          Event of Default caused solely by the Master Servicer as the successor
          servicer
          and not by the predecessor Servicer’s actions or omissions), such costs shall be
          paid by such prior terminated Servicer promptly upon presentation of reasonable
          documentation of such costs.

         

        Section
          7.02 Notification
          to Certificateholders.
          (a)  Upon any termination of or appointment of a successor to any
          Servicer, the Securities Administrator shall give prompt written notice
          thereof
          to Certificateholders, each Rating Agency and the Derivative
          Counterparty.

         

        (b) Within
          60 days after the occurrence of any Event of Default, the Securities
          Administrator shall transmit by mail to all Certificateholders, each Rating
          Agency and the Derivative Counterparty notice of each such Event of Default
          hereunder known to the Securities Administrator, unless such event shall
          have
          been cured or waived.

         

        ARTICLE
          VIII

         

        CONCERNING
          THE TRUSTEE

         

        Section
          8.01 Duties
          of the Trustee.
          The
          Trustee, before the occurrence of a Master Servicer Event of Default and
          after
          the curing of all Master Servicer Events of Default that may have occurred,
          shall undertake to perform such duties and only such duties as are specifically
          set forth in this Agreement. In case a Master Servicer Event of Default
          has
          occurred and remains uncured, the Trustee shall exercise such of the rights
          and
          powers vested in it by this Agreement, and use the same degree of care
          and skill
          in their exercise as a prudent person would exercise or use under the
          circumstances in the conduct of such person’s own affairs.

         

        The
          Trustee, upon receipt of all resolutions, certificates, statements, opinions,
          reports, documents, orders or other instruments furnished to the Trustee
          that
          are specifically required to be furnished pursuant to any provision of
          this
          Agreement, shall examine them to determine whether they are in the form
          required
          by this Agreement. The Trustee shall not be responsible for the accuracy
          or
          content of any resolution, certificate, statement, opinion, report, document,
          order, or other instrument.

         

        
          
            
            

          

          
            -89-

            
              

            

          

          
            
            

          

        

        No
          provision of this Agreement shall be construed to relieve the Trustee from
          liability for its own negligent action, its own negligent failure to act
          or its
          own willful misconduct.

         

        Unless
          an
          Event of Default known to the Trustee has occurred and is
          continuing:

         

        (a) the
          duties and obligations of the Trustee shall be determined solely by the
          express
          provisions of this Agreement, the Trustee shall not be liable except for
          the
          performance of the duties and obligations specifically set forth in this
          Agreement, no implied covenants or obligations shall be read into this
          Agreement
          against the Trustee, and the Trustee may conclusively rely, as to the truth
          of
          the statements and the correctness of the opinions expressed therein, upon
          any
          certificates or opinions furnished to the Trustee and conforming to the
          requirements of this Agreement which it believes in good faith to be genuine
          and
          to have been duly executed by the proper authorities respecting any matters
          arising hereunder;

         

        (b) the
          Trustee shall not be liable for an error of judgment made in good faith
          by a
          Responsible Officer or Responsible Officers of the Trustee, unless it is
          finally
          proven that the Trustee was negligent in ascertaining the pertinent facts;
          and

         

        (c) the
          Trustee shall not be liable with respect to any action taken, suffered,
          or
          omitted to be taken by it in good faith in accordance with the direction
          of the
          Holders of Certificates evidencing not less than 25.00% of the Voting Rights
          of
          Certificates relating to the time, method, and place of conducting any
          proceeding for any remedy available to the Trustee, or exercising any trust
          or
          power conferred upon the Trustee under this Agreement.

         

        Section
          8.02 Certain
          Matters Affecting the Trustee.
          Except
          as otherwise provided in Section 8.01:

         

        (a) the
          Trustee may rely upon and shall be protected in acting or refraining from
          acting
          upon any resolution, Officer’s Certificate, certificate of auditors or any other
          certificate, statement, instrument, opinion, report, notice, request, consent,
          order, appraisal, bond or other paper or document believed by it to be
          genuine
          and to have been signed or presented by the proper party or parties and
          the
          Trustee shall have no responsibility to ascertain or confirm the genuineness
          of
          any signature of any such party or parties;

         

        (b) the
          Trustee may consult with counsel, financial advisers or accountants and
          the
          advice of any such counsel, financial advisers or accountants and any Opinion
          of
          Counsel shall be full and complete authorization and protection in respect
          of
          any action taken or suffered or omitted by it hereunder in good faith and
          in
          accordance with such advice or Opinion of Counsel;

         

        (c) the
          Trustee shall not be liable for any action taken, suffered or omitted by
          it in
          good faith and believed by it to be authorized or within the discretion
          or
          rights or powers conferred upon it by this Agreement;

         

        (d) the
          Trustee shall not be bound to make any investigation into the facts or
          matters
          stated in any resolution, certificate, statement, instrument, opinion,
          report,
          notice, request, consent, order, approval, bond or other paper or document,
          unless requested in writing to do so by the Holders of Certificates evidencing
          not less than 25.00% of the Voting Rights allocated to each Class of
          Certificates;

         

        
          
            
            

          

          
            -90-

            
              

            

          

          
            
            

          

        

        (e) the
          Trustee may execute any of the trusts or powers hereunder or perform any
          duties
          hereunder either directly or by or through agents, accountants, custodians,
          nominees or attorneys and the Trustee shall not be responsible for any
          misconduct or negligence on the part of any agents, accountants or attorneys
          appointed with due care by it hereunder;

         

        (f) the
          Trustee shall not be required to risk or expend its own funds or otherwise
          incur
          any financial liability in the performance of any of its duties or in the
          exercise of any of its rights or powers hereunder if it shall have reasonable
          grounds for believing that repayment of such funds or indemnity satisfactory
          to
          it against such risk or liability is not assured to it;

         

        (g) the
          Trustee shall not be liable for any loss on any investment of funds pursuant
          to
          this Agreement;

         

        (h) unless
          a
          Responsible Officer of the Trustee has actual knowledge of the occurrence
          of a
          Master Servicer Event of Default or an Event of Default, the Trustee shall
          not
          be deemed to have knowledge of a Master Servicer Event of Default or an
          Event of
          Default until a Responsible Officer of the Trustee shall have received
          written
          notice thereof;

         

        (i) the
          Trustee shall be under no obligation to exercise any of the trusts, rights
          or
          powers vested in it by this Agreement or to institute, conduct or defend
          any
          litigation hereunder or in relation hereto at the request, order or direction
          of
          any of the Certificateholders, pursuant to this Agreement, unless such
          Certificateholders shall have offered to the Trustee reasonable security
          or
          indemnity satisfactory to the Trustee against the costs, expenses and
          liabilities which may be incurred therein or thereby; and

         

        (j) if
          the
          Trustee, in its role as successor master servicer under this Agreement,
          assumes
          the servicing or master servicing with respect to any of the Mortgage Loans,
          it
          shall not assume liability for the representations and warranties of a
          Servicer
          or Master Servicer, as applicable, or for any errors or omissions of a
          Servicer
          or Master Servicer, as applicable.

         

        (k) In
          order
          to comply with laws, rules, regulations and executive orders in effect
          from time
          to time applicable to banking institutions, including those relating to
          the
          funding of terrorist activities and money laundering (“Applicable Law”), the
          Trustee is required to obtain, verify and record certain information relating
          to
          individuals and entities which maintain a business relationship with the
          Trustee. Accordingly, each of the parties agrees to provide to the Trustee
          upon
          its request from time to time such identifying information and documentation
          as
          may be available to such party in order to enable the Trustee to comply
          with
          Applicable Law.

         

        Section
          8.03 Trustee
          Not Liable for Certificates or Mortgage Loans.
          The
          recitals contained herein and in the Certificates shall be taken as the
          statements of the Depositor and the Trustee assumes no responsibility for
          their
          correctness. The Trustee makes no representations as to the validity or
          sufficiency of this Agreement, the Cap Agreement, the Swap Agreement, or
          of the
          Certificates or of any Mortgage Loan or related document. The Trustee shall
          not
          be accountable for the use or application by the Depositor, the Master
          Servicer,
          a Servicer, the Securities Administrator or the Derivative Counterparty
          of any
          funds paid to the Depositor, the Master Servicer, a Servicer, the Securities
          Administrator or the Derivative Counterparty in respect of the Mortgage
          Loans or
          deposited in or withdrawn from any Collection Account, the Distribution
          Account
          or any other fund or account with respect to the Certificates by the Depositor,
          the Master Servicer, a Servicer, the Securities Administrator or the Derivative
          Counterparty.

         

        
          
            
            

          

          
            -91-

            
              

            

          

          
            
            

          

        

        The
          Trustee shall have no responsibility for filing or recording any financing
          or
          continuation statement in any public office at any time or to otherwise
          perfect
          or maintain the perfection of any security interest or lien granted to
          it
          hereunder.

         

        Section
          8.04 Trustee
          May Own Certificates.
          The
          Trustee in its individual or any other capacity may become the owner or
          pledgee
          of Certificates with the same rights as it would have if it were not the
          Trustee.

         

        Section
          8.05 Trustee’s
          Fees Indemnification and Expenses.
          (a) As compensation for its activities under this Agreement, the Trustee
          shall be paid its fee by the Master Servicer from the Master Servicer’s own
          funds pursuant to a separate agreement. The Trustee shall have no lien
          on the
          Trust Fund for the payment of such fees. 

         

        (b) The
          Trustee shall be entitled to be reimbursed, from funds on deposit in the
          Distribution Account, amounts sufficient to indemnify and hold harmless
          the
          Trustee and any director, officer, employee, or agent of the Trustee against
          any
          loss, liability, or expense (including reasonable attorneys’ fees) incurred in
          connection with any claim or legal action relating to:

         

        (i) this
          Agreement or any Servicing Agreement,

         

        (ii) the
          Certificates, or

         

        (iii) the
          performance of any of the Trustee’s duties under this Agreement or any Servicing
          Agreement,

         

        other
          than any loss, liability, or expense (i) resulting from any breach of a
          Servicer’s obligations in connection with its respective Servicing Agreement for
          which such Servicer has performed its obligation to indemnify the Trustee,
          (ii) resulting from any breach of a Mortgage Loan Seller’s obligations in
          connection with its respective Transfer Agreement for which such Mortgage
          Loan
          Seller has performed its obligation to indemnify the Trustee,
          (iii) resulting from any breach of the Master Servicer’s obligation
          hereunder for which the Master Servicer has performed its obligation to
          indemnify the Trustee pursuant to this Agreement or (iv) incurred because
          of willful misconduct, bad faith, or negligence in the performance of any
          of the
          Trustee’s duties under this Agreement or any Servicing Agreement. Without
          limiting the foregoing, except as otherwise agreed upon in writing by the
          Depositor and the Trustee, and except for any expense, disbursement, or
          advance
          arising from the Trustee’s negligence, bad faith, or willful misconduct, the
          Trust Fund shall pay or reimburse the Trustee for all reasonable expenses,
          disbursements, and advances incurred or made by the Trustee in accordance
          with
          this Agreement with respect to:

         

        
          
            
            

          

          
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        (A) the
          reasonable compensation, expenses, and disbursements of its counsel not
          associated with the closing of the issuance of the Certificates,
          and

         

        (B) the
          reasonable compensation, expenses, and disbursements of any accountant,
          engineer, or appraiser that is not regularly employed by the Trustee, to
          the
          extent that the Trustee must engage them to perform services under this
          Agreement.

         

        The
          Trustee’s right to indemnity and reimbursement under this Section 8.05(b) shall
          survive the termination of this Agreement and the resignation or removal
          of the
          Trustee under this Agreement. 

         

        Except
          as
          otherwise provided in this Agreement or a separate letter agreement between
          the
          Trustee and the Depositor, the Trustee shall not be entitled to payment
          or
          reimbursement for any routine ongoing expenses incurred by the Trustee
          in the
          ordinary course of its duties as Trustee under this Agreement or for any
          other
          routine expenses incurred by the Trustee; provided,
          further,
          that no
          expense shall be reimbursed hereunder if it would not constitute an
“unanticipated expense incurred by the REMIC” within the meaning of the REMIC
          Provisions.

         

        The
          Trustee shall not be (a) liable for any acts or omissions of any Servicer
          (other
          than where the Trustee (as successor master servicer) is such Servicer),
          (b)
          obligated to make any Advance if it is prohibited from doing so under applicable
          law, (c) responsible for expenses of any Servicer (other than where the
          Trustee
          (as successor master servicer) is such Servicer) pursuant to the terms
          a
          Servicing Agreement, (d) liable for any amount necessary to induce any
          successor
          servicer to act as successor servicer under a Servicing Agreement and enter
          into
          the transactions set forth or provided for therein.

         

        Section
          8.06 Eligibility
          Requirements for the Trustee.
          The
          Trustee hereunder shall at all times be a corporation or association organized
          and doing business under the laws of a state or the United States of America,
          authorized under such laws to exercise corporate trust powers, having a
          combined
          capital and surplus of at least $50,000,000, subject to supervision or
          examination by federal or state authority and with a credit rating which
          would
          not cause any of the Rating Agencies to reduce their respective then current
          ratings of the Certificates (or having provided such security from time
          to time
          as is sufficient to avoid such reduction) as evidenced in writing by each
          Rating
          Agency. If such corporation or association publishes reports of condition
          at
          least annually, pursuant to law or to the requirements of the aforesaid
          supervising or examining authority, then for the purposes of this
          Section 8.06 the combined capital and surplus of such corporation or
          association shall be deemed to be its combined capital and surplus as set
          forth
          in its most recent report of condition so published. In case at any time
          the
          Trustee shall cease to be eligible in accordance with this Section 8.06,
          the Trustee shall resign immediately in the manner and with the effect
          specified
          in Section 8.07. The entity serving as Trustee may have normal banking and
          trust relationships with the Depositor and its affiliates, the Master Servicer,
          the Securities Administrator or any Servicer and its affiliates; provided,
          however,
          that
          such entity cannot be an affiliate of the Depositor or any Servicer other
          than
          the Trustee in its role as successor to the Master Servicer.

         

        
          
            
            

          

          
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        Section
          8.07 Resignation
          and Removal of the Trustee.
          The
          Trustee may at any time resign and be discharged from the trusts hereby
          created
          by giving written notice of resignation to the Depositor, the Master Servicer,
          the Securities Administrator and each Rating Agency not less than 60 days
          before the date specified in such notice, when, subject to Section 8.08,
          such resignation is to take effect and acceptance by a successor trustee
          in
          accordance with Section 8.08 meeting the qualifications set forth in
          Section 8.06. If no successor trustee meeting such qualifications shall
          have been so appointed and have accepted appointment within 30 days after
          the giving of such notice or resignation, the resigning Trustee may petition
          any
          court of competent jurisdiction for the appointment of a successor
          trustee.

         

        If
          at any
          time the Trustee shall cease to be eligible in accordance with Section 8.06
          and shall fail to resign after written request thereto by the Depositor,
          or if
          at any time the Trustee shall become incapable of acting, or shall be adjudged
          as bankrupt or insolvent, or a receiver of the Trustee or of its property
          shall
          be appointed, or any public officer shall take charge or control of the
          Trustee
          or of its property or affairs for the purpose of rehabilitation, conservation
          or
          liquidation, or a tax is imposed with respect to the Trust Fund by any
          state in
          which the Trustee or the Trust Fund is located and the imposition of such
          tax
          would be avoided by the appointment of a different trustee, then the Depositor
          may remove the Trustee and, subject to the approval of the Rating Agencies,
          appoint a successor trustee by written instrument, in triplicate, one copy
          of
          which shall be delivered to the Trustee, one copy to each of the Servicers
          and
          one copy to the successor trustee.

         

        The
          Holders of Certificates entitled to at least a majority of the Voting Rights
          may
          at any time remove the Trustee and, subject to the approval of the Rating
          Agencies, appoint a successor trustee by written instrument or instruments,
          in
          triplicate, signed by such Holders or their attorneys-in-fact duly authorized,
          one complete set of which shall be delivered by the successor Trustee to
          each
          Servicer, one complete set to the Trustee so removed and one complete set
          to the
          successor so appointed. The successor trustee shall notify each Rating
          Agency of
          any removal of the Trustee.

         

        Any
          resignation or removal of the Trustee and appointment of a successor trustee
          pursuant to this Section 8.07 shall become effective upon acceptance of
          appointment by the successor trustee as provided in
          Section 8.08.

         

        Section
          8.08 Successor
          Trustee.
          Any
          successor trustee appointed as provided in Section 8.07 shall execute,
          acknowledge and deliver to the Depositor and to its predecessor trustee
          and each
          Servicer an instrument accepting such appointment hereunder and thereupon
          the
          resignation or removal of the predecessor trustee shall become effective
          and
          such successor trustee, without any further act, deed or conveyance, shall
          become fully vested with all the rights, powers, duties and obligations
          of its
          predecessor hereunder, with like effect as if originally named as trustee
          herein. The Depositor and the predecessor trustee shall execute and deliver
          such
          instruments and do such other things as may reasonably be required for
          more
          fully and certainly vesting and confirming in the successor trustee all
          such
          rights, powers, duties, and obligations.

         

        
          
            
            

          

          
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        No
          successor trustee shall accept appointment as provided in this Section 8.08
          unless at the time of its acceptance, the successor trustee is eligible
          under
          Section 8.06 and its appointment does not adversely affect then the current
          rating of the Certificates.

         

        Upon
          acceptance of appointment by a successor trustee as provided in this
          Section 8.08, the Depositor shall mail notice of the succession of such
          trustee hereunder to all Holders of Certificates. If the Depositor fails
          to mail
          such notice within 10 days after acceptance of appointment by the successor
          trustee, the successor trustee shall cause such notice to be mailed at
          the
          expense of the Depositor.

         

        Section
          8.09 Merger
          or Consolidation of the Trustee.
          Any
          corporation into which the Trustee may be merged or converted or with which
          it
          may be consolidated or any corporation resulting from any merger, conversion
          or
          consolidation to which the Trustee shall be a party, or any corporation
          succeeding to the business of the Trustee, shall be the successor of the
          Trustee
          hereunder; provided,
          that
          such corporation shall be eligible under Section 8.06 without the execution
          or filing of any paper or further act on the part of any of the parties
          hereto,
          anything herein to the contrary notwithstanding.

         

        Section
          8.10 Appointment
          of Co-Trustee or Separate Trustee.
          Notwithstanding any other provisions of this Agreement, at any time, for
          the
          purpose of meeting any legal requirements of any jurisdiction in which
          any part
          of the Trust Fund or property securing any Mortgage Note may at the time
          be
          located, the Trustee shall have the power and shall execute and deliver
          all
          instruments to appoint one or more Persons approved by the Trustee to act
          as
          co-trustee or co-trustees jointly with the Trustee, or separate trustee
          or
          separate trustees, of all or any part of the Trust Fund, and to vest in
          such
          Person or Persons, in such capacity and for the benefit of the
          Certificateholders, such title to the Trust Fund or any part thereof, whichever
          is applicable, and, subject to the other provisions of this Section 8.10,
          such powers, duties, obligations, rights and trusts as the Trustee may
          consider
          appropriate. No co-trustee or separate trustee hereunder shall be required
          to
          meet the terms of eligibility as a successor trustee under Section 8.06 and
          no notice to Certificateholders of the appointment of any co-trustee or
          separate
          trustee shall be required under Section 8.08.

         

        Every
          separate trustee and co-trustee shall, to the extent permitted by law,
          be
          appointed and act subject to the following provisions and
          conditions:

         

        (a) To
          the
          extent necessary to effectuate the purposes of this Section 8.10, all
          rights, powers, duties and obligations conferred or imposed upon the Trustee,
          except for the obligation of the Trustee (as successor master servicer)
          under
          this Agreement to advance funds on behalf of the Master Servicer, shall
          be
          conferred or imposed upon and exercised or performed by the Trustee and
          such
          separate trustee or co-trustee jointly (it being understood that such separate
          trustee or co-trustee is not authorized to act separately without the Trustee
          joining in such act), except to the extent that under any law of any
          jurisdiction in which any particular act or acts are to be performed (whether
          as
          Trustee hereunder or as successor to the Master Servicer hereunder), the
          Trustee
          shall be incompetent or unqualified to perform such act or acts, in which
          event
          such rights, powers, duties and obligations (including the holding of title
          to
          the applicable Trust Fund or any portion thereof in any such jurisdiction)
          shall
          be exercised and performed singly by such separate trustee or co-trustee,
          but
          solely at the direction of the Trustee;

         

        
          
            
            

          

          
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        (b) No
          trustee hereunder shall be held personally liable because of any act or
          omission
          of any other trustee hereunder and such appointment shall not, and shall
          not be
          deemed to, constitute any such separate trustee or co-trustee as agent
          of the
          Trustee;

         

        (c) The
          Trustee may at any time accept the resignation of or remove any separate
          trustee
          or co-trustee; and

         

        (d) The
          Trust
          Fund, and not the Trustee, shall be liable for the payment of reasonable
          compensation, reimbursement and indemnification to any such separate trustee
          or
          co-trustee.

         

        Any
          notice, request or other writing given to the Trustee shall be deemed to
          have
          been given to each of the separate trustees and co-trustees, when and as
          effectively as if given to each of them. Every instrument appointing any
          separate trustee or co-trustee shall refer to this Agreement and the conditions
          of this Article VIII. Each separate trustee and co-trustee, upon its
          acceptance of the trusts conferred, shall be vested with the estates or
          property
          specified in its instrument of appointment, either jointly with the Trustee
          or
          separately, as may be provided therein, subject to all the provisions of
          this
          Agreement, specifically including every provision of this Agreement relating
          to
          the conduct of, affecting the liability of, or affording protection and
          indemnity to, the Trustee. Every such instrument shall be filed with the
          Trustee
          and a copy thereof given to the Master Servicer and the Depositor.

         

        Any
          separate trustee or co-trustee may, at any time, constitute the Trustee
          its
          agent or attorney-in-fact, with full power and authority, to the extent
          not
          prohibited by law, to do any lawful act under or in respect of this Agreement
          on
          its behalf and in its name. If any separate trustee or co-trustee shall
          die,
          become incapable of acting, resign or be removed, all of its estates,
          properties, rights, remedies and trusts shall vest in and be exercised
          by the
          Trustee, to the extent permitted by law, without the appointment of a new
          or
          successor trustee.

         

        Section
          8.11 Tax
          Matters .
          It is
          intended that the assets with respect to which any REMIC election pertaining
          to
          the Trust Fund is to be made, as set forth in the Preliminary Statement,
          shall
          constitute, and that the conduct of matters relating to such assets shall
          be
          such as to qualify such assets as, a “real estate mortgage investment conduit”
as defined in and in accordance with the REMIC Provisions. In furtherance
          of
          such intention, the Securities Administrator covenants and agrees that
          it shall
          act as agent (and the Securities Administrator is hereby appointed to act
          as
          agent) on behalf of each REMIC created hereunder and that in such capacity
          it
          shall:

         

        (a) prepare
          and file in a timely manner, a U.S. Real Estate Mortgage Investment Conduit
          (REMIC) Income Tax Return (Form 1066 or any successor form adopted by the
          Internal Revenue Service), which return the Trustee shall sign upon receipt
          from
          the Securities Administrator, and the Securities Administrator shall prepare
          and
          file with the Internal Revenue Service and applicable state or local tax
          authorities income tax or information returns for each taxable year with
          respect
          to each REMIC hereunder containing such information and at the times and
          in the
          manner as may be required by the Code or state or local tax laws, regulations,
          or rules, and furnish to Certificateholders the schedules, statements or
          information at such times and in such manner as may be required
          thereby;

         

        
          
            
            

          

          
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        (b) within
          thirty days of the Closing Date, apply for an employer identification
          number from the Internal Revenue Service via Form SS-4 or any other
          acceptable method for all tax entities and shall also furnish to the Internal
          Revenue Service, on Form 8811 or as otherwise may be required by the Code,
          the name, title, address, and telephone number of the person that the holders
          of
          the Certificates may contact for tax information relating thereto, together
          with
          such additional information as may be required by such Form, and update
          such
          information at the time or times in the manner required by the
          Code;

         

        (c) make
          an
          election that each REMIC created hereunder be treated as a REMIC on the
          federal
          tax return for its first taxable year (and, if necessary, under applicable
          state
          law);

         

        (d) prepare
          and forward to the Certificateholders and to the Internal Revenue Service
          and,
          if necessary, state tax authorities, all information returns and reports
          as and
          when required to be provided to them in accordance with the REMIC Provisions,
          including the calculation of any original issue discount using the prepayment
          assumption (as described in the Prospectus Supplement);

         

        (e) provide
          information necessary for the computation of tax imposed on the transfer
          of a
          Residual Certificate to a Person that is a Non-Permitted Transferee, or
          an agent
          (including a broker, nominee or other middleman) of a Non-Permitted Transferee,
          or a pass-through entity in which a Non-Permitted Transferee is the record
          holder of an interest (the reasonable cost of computing and furnishing
          such
          information may be charged to the Person liable for such tax);

         

        (f) to
          the
          extent that they are under its control, conduct matters relating to such
          assets
          at all times that any Certificates are outstanding so as to maintain the
          status
          of each REMIC created hereunder as a REMIC under the REMIC
          Provisions;

         

        (g) not
          knowingly or intentionally take any action or omit to take any action that
          would
          cause the termination of the REMIC status of any of the REMICs created
          hereunder;

         

        (h) pay,
          from
          the sources specified in the last paragraph of this Section 8.11, the
          amount of any federal or state tax, including prohibited transaction taxes
          as
          described below, imposed on each REMIC created hereunder before its termination
          when and as the same shall be due and payable (but such obligation shall
          not
          prevent the Securities Administrator or any other appropriate Person from
          contesting any such tax in appropriate proceedings and shall not prevent
          the
          Securities Administrator from withholding payment of such tax, if permitted
          by
          law, pending the outcome of such proceedings);

         

        (i) cause
          federal, state or local income tax or information returns to be signed
          by the
          Securities Administrator or, if required by applicable tax law, the Trustee
          or
          such other person as may be required to sign such returns by the Code or
          state
          or local laws, regulations or rules; and

         

        (j) maintain
          records relating to each REMIC created hereunder, including the income,
          expenses, assets, and liabilities thereof on a calendar year basis and
          on the
          accrual method of accounting and the adjusted basis of the assets determined
          at
          such intervals as may be required by the Code, as may be necessary to prepare
          the foregoing returns, schedules, statements or information.

         

        
          
            
            

          

          
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        The
          Holder of the largest Percentage Interest of the Class R Certificates shall
          act as Tax Matters Person for each REMIC created hereunder, within the
          meaning
          of Treasury Regulations Section 1.860F-4(d), and the Securities
          Administrator is hereby designated as agent of such Certificateholder for
          such
          purpose (or if the Securities Administrator is not so permitted, such Holder
          shall be the Tax Matters Person in accordance with the REMIC Provisions).
          In
          such capacity, the Securities Administrator shall, as and when necessary
          and
          appropriate, represent each REMIC created hereunder in any administrative
          or
          judicial proceedings relating to an examination or audit by any governmental
          taxing authority, request an administrative adjustment as to any taxable
          year of
          each REMIC created hereunder, enter into settlement agreements with any
          governmental taxing agency, extend any statute of limitations relating
          to any
          tax item of each REMIC created hereunder, and otherwise act on behalf of
          each
          REMIC in relation to any tax matter or controversy involving it.

         

        The
          Securities Administrator shall treat the beneficial owners of the Certificates
          (other than the Class II-A-5, Class P, Class X and Class R Certificates)
          as
          having entered into a notional principal contract with the beneficial owners
          of
          the Class X Certificates. Pursuant to each such notional principal contract,
          all
          beneficial owners of the LIBOR Certificates shall be treated as having
          agreed to
          pay, on each Distribution Date, to the beneficial owners of the Class X
          Certificates an aggregate amount equal to the excess, if any, of (i) the
          amount
          payable on such Distribution Date on the interest in the Upper Tier REMIC
          corresponding to such Class of Certificates over (ii) the amount payable
          on such
          Class of Certificates on such Distribution Date (such excess, a “Class I
          Shortfall”). A Class I Shortfall payable from interest collections shall be
          allocated to each Class of Certificates (other than the Class II-A-5, Class
          P,
          Class X and Class R Certificates) to the extent that interest accrued on
          such
          Class for the related Interest Accrual Period at the Interest Rate for
          a Class,
          computed by substituting “REMIC 2 Net Funds Cap” for “Available Funds Cap” in
          the definition thereof, exceeds the amount of interest accrued for the
          related
          Interest Accrual Period based on the applicable Available Funds Cap, and
          a Class
          I Shortfall payable from principal collections shall be allocated to the
          most
          subordinate Class of Certificates with an outstanding principal balance
          to the
          extent of such balance. In addition, pursuant to such notional principal
          contract, the beneficial owner of the Class X Certificates shall be treated
          as
          having agreed to pay Basis Risk Carryover Amounts to the Owners of the
          LIBOR
          Certificates in accordance with the terms of this Agreement. Any payments
          to the
          Certificates in light of the foregoing shall not be payments with respect
          to a
“regular interest” in a REMIC within the meaning of Code Section 860G(a)(1).
          However, any payment from the Certificates of a Class I Shortfall shall
          be
          treated for tax purposes as having been received by the beneficial owners
          of
          such Certificates in respect of their Interests in the Upper Tier REMIC
          and as
          having been paid by such beneficial owners to the Supplemental Interest
          Trust
          pursuant to the notional principal contract. Thus,
          each Certificate (other than a Class II-A-5, Class P and Class R Certificate)
          shall be treated as representing not only ownership of regular interests
          in the
          Upper Tier REMIC, but also ownership of an interest in (and obligations
          with
          respect to) a notional principal contract. For tax purposes, the notional
          principal contract shall be deemed to have a value in favor of the Certificates
          entitled to receive Basis Risk Carryover Amounts of $10,000 as of the Closing
          Date.

         

        
          
            
            

          

          
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        Notwithstanding
          the priority and sources of payments set forth in Article IV hereof or
          otherwise, the Securities Administrator shall account for all distributions
          on
          the Certificates as set forth in this Section 8.11. In no event shall any
          payments of Basis Risk Carryover Amounts provided for in this Section 8.11
          be
          treated as payments
          with respect to a “regular interest” in a REMIC within the meaning of Code
          Section 860G(a)(1). The
          Securities Administrator shall file or cause to be filed with the IRS together
          with Form 1041 or such other form as may be applicable and shall furnish
          or
          cause to be furnished, to the Class X Certificateholders and the LIBOR
          Certificateholders, the respective amounts described above that are received,
          in
          the time or times and in the manner required by the Code.

         

        To
          enable
          the Securities Administrator to perform its duties under this Agreement,
          the
          Depositor shall provide to the Securities Administrator within ten days
          after the Closing Date all information or data that the Securities Administrator
          requests in writing and determines to be relevant for tax purposes to the
          valuations and offering prices of the Certificates, including the price,
          yield,
          prepayment assumption, and projected cash flows of the Certificates and
          the
          Mortgage Loans. Moreover, the Depositor shall provide information to the
          Securities Administrator concerning the value to each Class of Certificates
          of the right to receive Basis Risk Carryover Amounts from the Excess Reserve
          Fund Account. Unless otherwise advised by the Depositor, for federal income
          tax
          purposes, the Securities Administrator is hereby directed to assign a value
          of
          zero to the right of each Holder allocating the purchase price of an initial
          Offered Certificateholder between such right and the related Upper Tier
          Regular
          Interest. Thereafter, the Depositor shall provide to the Securities
          Administrator promptly upon written request therefor any additional information
          or data that the Securities Administrator may, from time to time, reasonably
          request to enable the Securities Administrator to perform its duties under
          this
          Agreement; provided,
          however,
          that
          the Depositor shall not be required to provide any information regarding
          the
          Mortgage Loans that a Servicer is required to provide to the Securities
          Administrator pursuant to any Servicing Agreement. The Depositor hereby
          indemnifies the Securities Administrator for any losses, liabilities, damages,
          claims, or expenses of the Securities Administrator arising from any errors
          or
          miscalculations of the Securities Administrator that result from any failure
          of
          the Depositor to provide, pursuant to this paragraph, accurate information
          or
          data to the Securities Administrator on a timely basis.

         

        None
          of the Master Servicer, the Securities Administrator or the Trustee shall
          (i)
          permit the creation of any interests in any REMIC other than the regular
          and
          residual interests set forth in the Preliminary Statement, (ii) receive
          any
          amount representing a fee or other compensation for services (except as
          otherwise permitted by this Agreement or the related Mortgage Loan documents)
          or
          (iii) otherwise knowingly or intentionally take any action, cause the Trust
          Fund
          to take any action or fail to take (or fail to cause to be taken) any action
          reasonably within its control and the scope of duties more specifically
          set
          forth herein, that, under the REMIC Provisions, if taken or not taken,
          as the
          case may be, could (i) endanger the status of any REMIC as a REMIC or (ii)
          result in the imposition of a tax upon any REMIC or the Trust Fund (including
          but not limited to the tax on “prohibited transactions” as defined in Section
          860F(a)(2) of the Code and the tax on contributions to a REMIC set forth
          in
          Section 860G(d) of the Code, or the tax on “net income from foreclosure
          property”) unless the Securities Administrator receives an Opinion of Counsel
          (at the expense of the party seeking to take such action or, if such party
          fails
          to pay such expense, and the Securities Administrator determines that taking
          such action is in the best interest of the Trust Fund and the
          Certificateholders, at the expense of the Trust Fund, but in no event at
          the
          expense of the Securities Administrator) to the effect that the contemplated
          action will not, with respect to the Trust Fund or any REMIC created hereunder,
          endanger such status or result in the imposition of such a tax).

         

        
          
            
            

          

          
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        If
          any
          tax is imposed on “prohibited transactions” of a REMIC created hereunder as
          defined in Section 860F(a)(2) of the Code, on the “net income from
          foreclosure property” of any REMIC created hereunder as defined in
          Section 860G(c) of the Code, on any contribution to any REMIC created
          hereunder after the Startup Day pursuant to Section 860G(d) of the Code, or
          any other tax is imposed, including any minimum tax imposed on either REMIC
          pursuant to Sections 23153 and 24874 of the California Revenue and Taxation
          Code, if not paid as otherwise provided for herein, the tax shall be paid
          by
          (i) the Master Servicer, the Trustee, or the Securities Administrator, as
          applicable, if such tax arises out of or results from negligence of the
          Master
          Servicer, the Trustee or the Securities Administrator, as applicable, in
          the
          performance of any of its obligations under this Agreement, (ii) the Sponsor,
          if
          such tax arises out of or results from the Sponsor’s obligation to repurchase a
          Mortgage Loan pursuant to Section 2.03(k), or (iii) in all other cases, or
          if the Master Servicer, the Trustee or the Securities Administrator fails
          to
          honor its obligations under the preceding clause (i) or (ii), any such
          tax will be paid with amounts otherwise to be distributed to the
          Certificateholders, as provided in Section 4.02(a).

         

        Section
          8.12 Commission
          Reporting.
          (a) The
          Securities Administrator shall, in accordance with industry standards,
          prepare
          and file with the Commission, via EDGAR, the following reports in respect
          of the
          Trust as and to the extent required under the Exchange Act: 

         

        (i) (A)
          Within 15 days after each Distribution Date (subject to permitted extensions
          under the Exchange Act), the Securities Administrator shall prepare and
          file on
          behalf of the Trust any Form 10-D required by the Exchange Act, in form
          and
          substance as required by the Exchange Act. The Securities Administrator
          shall
          file each Form 10-D with a copy of the related Monthly Statement attached
          thereto. Any disclosure in addition to the Monthly Statement that is required
          to
          be included on Form 10-D (“Additional Form 10-D Disclosure”) shall be reported
          by the parties set forth on Exhibit V to the Depositor and the Securities
          Administrator and directed and approved by the Depositor pursuant to the
          following paragraph and the Securities Administrator will have no duty
          or
          liability for any failure hereunder to determine or prepare any Additional
          Form
          10-D Disclosure, except to the extent of its obligations set forth in the
          next
          paragraph. 

         

        (B)
          As
          set forth on Exhibit V hereto, within 5 calendar days after the related
          Distribution Date, (i) the parties specified in Exhibit V hereto, shall
          be
          required to provide to the Securities Administrator and to the Depositor,
          to the
          extent known, in EDGAR-compatible format, or in such other format as agreed
          upon
          by the Securities Administrator and such party, the form and substance
          of any
          Additional Form 10-D Disclosure, if applicable, together with an Additional
          Disclosure Notification, and (ii) the Depositor will approve, as to form
          and
          substance, or disapprove, as the case may be, the inclusion of the Additional
          Form 10-D Disclosure on Form 10-D. The Securities Administrator has no
          duty
          under this Agreement to monitor or enforce the performance by the parties
          listed
          on Exhibit V of their duties under this paragraph or proactively solicit
          or
          procure from such parties any Additional Form 10-D Disclosure information.
          The
          Depositor shall be responsible for any reasonable fees and expenses assessed
          or
          incurred by the Securities Administrator in connection with including any
          Additional Form 10-D Disclosure on Form 10-D pursuant to this paragraph.
          

         

        
          
            
            

          

          
            -100-

            
              

            

          

          
            
            

          

        

        (C)
          After
          preparing the Form 10-D, the Securities Administrator shall, upon request,
          forward electronically a copy of the Form 10-D to the Depositor (provided
          that
          such Form 10-D includes any Additional Form 10-D Disclosure). Within two
          Business Days after receipt of such copy, but no later than the 12th
          calendar
          day after the Distribution Date, the Depositor shall notify the Securities
          Administrator in writing (which may be furnished electronically) of any
          changes
          to or approval of such Form 10-D. In the absence of receipt of any written
          changes or approval, or if the Depositor does not request a copy of a Form
          10-D,
          the Securities Administrator shall be entitled to assume that such Form
          10-D is
          in final form and the Securities Administrator may proceed with the process
          for
          execution and filing of the Form 10-D. A duly authorized representative
          of the
          Master Servicer shall sign each Form 10-D. If a Form 10-D cannot be filed
          on
          time or if a previously filed Form 10-D needs to be amended, the Securities
          Administrator will follow the procedures set forth in paragraph (d) of
          this
          Section 8.12. Promptly (but no later than one Business Day) after filing
          with
          the Commission, the Securities Administrator will make available on its
          internet
          website (located at www.ctslink.com)
          a final
          executed copy of each Form 10-D prepared and filed by the Securities
          Administrator. Each party to this Agreement acknowledges that the performance
          by
          each of the Master Servicer and the Securities Administrator of its duties
          under
          this Section 8.12(a)(i) related to the timely preparation, execution and
          filing
          of Form 10-D is contingent upon such parties strictly observing all applicable
          deadlines in the performance of their duties under this Section 8.12(a)(i).
          The
          Depositor acknowledges that the performance by each of the Master Servicer
          and
          the Securities Administrator of its duties under this Section 8.12(i) related
          to
          the timely preparation, execution and filing of Form 10-D is also contingent
          upon any Servicing Function Participant strictly observing deadlines no
          later
          than those set forth in this paragraph that are applicable to the parties
          to
          this Agreement in the delivery to the Securities Administrator of any necessary
          Additional Form 10-D Disclosure pursuant to any applicable agreement. Neither
          the Master Servicer nor the Securities Administrator shall have any liability
          for any loss, expense, damage, claim arising out of or with respect to
          any
          failure to properly prepare, execute and/or timely file such Form 10-D,
          where
          such failure results from the Securities Administrator’s inability or failure to
          receive, on a timely basis, any information from any other party hereto
          or any
          Servicing Function Participant needed to prepare, arrange for execution
          or file
          such Form 10-D, not resulting from its own negligence, bad faith or willful
          misconduct. 

         

        (D)
           Form
          10-D
          requires the registrant to indicate (by checking “yes” or “no”) that it “(1) has
          filed all reports required to be filed by Section 13 or 15(d) of the Exchange
          Act during the preceding 12 months (or for such shorter period that the
          registrant was required to file such reports), and (2) has been subject
          to such
          filing requirements for the past 90 days.” The Depositor hereby instructs the
          Administrator to check “Yes” for each item, unless the Depositor shall notify
          the Securities Administrator in writing, no later than the fifth calendar
          day
          after the related Distribution Date with respect to the filing of a report
          on
          Form 10-D, that the answer to either item should be “no.” The Depositor has
          filed all reports required to be filed by Section 13 or 15(d) of the Exchange
          Act during the preceding 12 months (or for such shorter period that the
          Depositor was required to file such reports) and it has been subject to
          such
          filing requirement for the past 90 days.” The Securities Administrator shall be
          entitled to rely on such representations in preparing, executing and/or
          filing
          any such Form 10-D.

         

        
          
            
            

          

          
            -101-

            
              

            

          

          
            
            

          

        

        (ii) (A)
          On or
          prior to the 90th
          day
          after the end of each fiscal year of the Trust or such earlier date as
          may be
          required by the Exchange Act (the “10-K
          Filing Deadline”)
          (it
          being understood that the fiscal year for the Trust ends on December
          31st
          of each
          year), commencing in March 2007, the Securities Administrator shall prepare
          and
          file on behalf of the Trust a Form 10-K, in form and substance as required
          by
          the Exchange Act. Each such Form 10-K shall include the following items,
          in each
          case to the extent they have been delivered to the Securities Administrator
          within the applicable time frames set forth in this Agreement or the Servicing
          Agreements, (i) an annual compliance statement for each Servicer, the Master
          Servicer and the Securities Administrator and any Servicing Function Participant
          engaged by any such party (together with the Custodian, each a “Reporting
          Servicer”)
          as
          described under Section 3.05(b), (ii)(A) the annual reports on assessment
          of
          compliance with Servicing Criteria for each Reporting Servicer, as described
          under Section 3.03, and (B) if each Reporting Servicer’s report on assessment of
          compliance with Servicing Criteria described under Section 3.22 identifies
          any
          material instance of noncompliance, disclosure identifying such instance
          of
          noncompliance, or if each Reporting Servicer’s report on assessment of
          compliance with Servicing Criteria described under Section 3.22 is not
          included
          as an exhibit to such Form 10-K, disclosure that such report is not included
          and
          an explanation why such report is not included, provided,
          however,
          that
          the Securities Administrator, at its discretion, may omit from the Form
          10-K any
          assessment of compliance or attestation report described in clause (iii)
          below
          that is not required to be filed with such Form 10-K pursuant to Regulation
          AB;
          (iii)(A) the registered public accounting firm attestation report for each
          Reporting Servicer, as described under Section 3.04, and (B) if any registered
          public accounting firm attestation report described under Section 3.04
          identifies any material instance of noncompliance, disclosure identifying
          such
          instance of noncompliance, or if any such registered public accounting
          firm
          attestation report is not included as an exhibit to such Form 10-K, disclosure
          that such report is not included and an explanation why such report is
          not
          included, and (iv) a Sarbanes-Oxley Certification as described in Section
          3.05.
          Any disclosure or information in addition to (i) through (iv) above that
          is
          required to be included on Form 10-K (“Additional
          Form 10-K Disclosure”)
          shall
          be reported by the parties set forth on Exhibit W to the Depositor and
          the
          Securities Administrator and directed and approved by the Depositor pursuant
          to
          the following paragraph and the Securities Administrator will have no duty
          or
          liability for any failure hereunder to determine or prepare any Additional
          Form
          10-K Disclosure, except to the extent of its obligations set forth in the
          next
          paragraph. 

         

        
          
            
            

          

          
            -102-

            
              

            

          

          
            
            

          

        

        (B)
          As
          set forth on Exhibit W hereto, no later than March 10 (with a 5 calendar
          day
          cure period, but in no event later than March 15) of each year that the
          Trust is
          subject to the Exchange Act reporting requirements, commencing in 2007,
          (i) the
          parties specified on Exhibit W shall be required to provide to the Securities
          Administrator and to the Depositor, to the extent known, in EDGAR-compatible
          format, or in such other format as agreed upon by the Securities Administrator
          and such party, the form and substance of any Additional Form 10-K Disclosure,
          if applicable, together with an Additional Disclosure Notification, and
          (ii) the
          Depositor will approve, as to form and substance, or disapprove, as the
          case may
          be, the inclusion of the Additional Form 10-K Disclosure on Form 10-K.
          The
          Securities Administrator has no duty under this Agreement to monitor or
          enforce
          the performance by the parties listed on Exhibit W of their duties under
          this
          paragraph or proactively solicit or procure from such parties any Additional
          Form 10-K Disclosure information. The Depositor will be responsible for
          any
          reasonable fees and expenses assessed or incurred by the Securities
          Administrator in connection with including any Additional Form 10-K Disclosure
          on Form 10-K pursuant to this Section 8.12 (a) (ii) (B).

         

        (C)
          After
          preparing the Form 10-K, the Securities Administrator shall, upon request,
          forward electronically a copy of the Form 10-K to the Depositor. Within
          three
          Business Days after receipt of such copy, but no later than March 25th,
          the
          Depositor shall notify the Securities Administrator in writing (which may
          be
          furnished electronically) of any changes to or approval of such Form 10-K.
          In
          the absence of receipt of any written changes or approval, or if the Depositor
          does not request a copy of a Form 10-K, the Securities Administrator shall
          be
          entitled to assume that such Form 10-K is in final form and the Securities
          Administrator may proceed with the process for execution and filing of
          the Form
          10-K. A senior officer of the Master Servicer in charge of the master servicing
          function shall sign the Form 10-K. If a Form 10-K cannot be filed on time
          or if
          a previously filed Form 10-K needs to be amended, the Securities Administrator
          will follow the procedures set forth in paragraph (d) of this Section 8.12.
          Promptly (but no later than one Business Day) after filing with the Commission,
          the Securities Administrator will make available on its internet website
          a final
          executed copy of each Form 10-K prepared and filed by the Securities
          Administrator. The parties to this Agreement acknowledge that the performance
          by
          the Securities Administrator of its duties under this Section 8.12(a)(ii)
          related to the timely preparation, execution and filing of Form 10-K is
          contingent upon such parties strictly observing all applicable deadlines
          in the
          performance of their duties under this Section 8.12(a)(ii) and Sections
          3.03,
          3.04 and 3.05. The Depositor acknowledges that the performance by the Master
          Servicer and the Securities Administrator of its duties under this Section
          8.12(ii) related to the timely preparation, execution and filing of Form
          10-K is
          also contingent upon any Servicing Function Participant strictly observing
          deadlines no later than those set forth in this paragraph that are applicable
          to
          the parties to this Agreement in the delivery to the Securities Administrator
          of
          any necessary Additional Form 10-K Disclosure, any annual statement of
          compliance and any assessment of compliance and attestation pursuant to
          any
          applicable agreement. Neither the Master Servicer nor the Securities
          Administrator shall have any liability for any loss, expense, damage, claim
          arising out of or with respect to any failure to properly prepare, execute
          and/or timely file such Form 10-K, where such failure results from the
          Securities Administrator’s inability or failure to obtain or receive, on a
          timely basis, any information from any other party hereto or any Servicing
          Function Participant needed to prepare, arrange for execution or file such
          Form
          10-K, not resulting from its own negligence, bad faith or willful
          misconduct.

         

        
          
            
            

          

          
            -103-

            
              

            

          

          
            
            

          

        

        (D) Form
          10-K
          requires the registrant to indicate (by checking “yes” or “no”) that it “(1) has
          filed all reports required to be filed by Section 13 or 15(d) of the Exchange
          Act during the preceding 12 months (or for such shorter period that the
          registrant was required to file such reports), and (2) has been subject
          to such
          filing requirement for the past 90 days.” The Depositor hereby instructs the
          Securities Administrator to check “Yes” for each item, unless the Depositor
          shall notify the Securities Administrator in writing, no later than the
          15th
          calendar
          day of March in any year in which the Trust is subject to the reporting
          requirements of the Exchange Act, that the answer to either item should
          be “no.”
The Depositor has filed all reports required to be filed by Section 13
          or 15(d)
          of the Exchange Act during the preceding 12 months (or for such shorter
          period
          that the Depositor was required to file such reports) and it has been subject
          to
          such filing requirement for the past 90 days.” The Securities Administrator
          shall be entitled to rely on such representations in preparing, executing
          and/or
          filing any such Form 10-K. 

         

        (iii) (A)
          Within four (4) Business Days after the occurrence of an event requiring
          disclosure on Form 8-K (each such event, a “Reportable
          Event”),
          if
          directed by the Depositor, the Securities Administrator shall prepare and
          file
          on behalf of the Trust Fund any Form 8-K, as required by the Exchange Act,
          provided
          that the
          Depositor shall file the initial Form 8-K in connection with the issuance
          of the
          Certificates. Any disclosure or information related to a Reportable Event
          or
          that is otherwise required to be included on Form 8-K (“Form
          8-K Disclosure Information”)
          shall
          be reported by the parties set forth on Exhibit X to the Depositor and
          the
          Securities Administrator and directed and approved by the Depositor pursuant
          to
          the following paragraph and the Securities Administrator will have no duty
          or
          liability for any failure hereunder to determine or prepare any Form 8-K
          Disclosure Information or any Form 8-K, except to the extent of its obligations
          set forth in the next paragraph. 

         

        (B)
          As
          set forth on Exhibit X hereto, for so long as the Trust is subject to the
          Exchange Act reporting requirements, no later than the close of business
          New
          York City time on the 2nd Business Day after the occurrence of a Reportable
          Event (i) the parties hereto shall be required to provide to the Securities
          Administrator and the Depositor, to the extent known, in EDGAR-compatible
          format, or in such other format as agreed upon by the Securities Administrator
          and such party, the form and substance of any Form 8-K Disclosure Information,
          if applicable, together with an Additional Disclosure Notification, and
          (ii) the
          Depositor will approve, as to form and substance, or disapprove, as the
          case may
          be, the inclusion of the Form 8-K Disclosure Information. The Depositor
          will be
          responsible for any reasonable fees and expenses assessed or incurred by
          the
          Securities Administrator in connection with including any Form 8-K Disclosure
          Information on Form 8-K pursuant to this paragraph. 

         

        
          
            
            

          

          
            -104-

            
              

            

          

          
            
            

          

        

        (C)
          After
          preparing the Form 8-K, the Securities Administrator shall, upon request,
          forward electronically a copy of the Form 8-K to the Depositor. Promptly,
          but no
          later than the close of business on the third Business Day after the Reportable
          Event, the Depositor shall notify the Securities Administrator in writing
          (which
          may be furnished electronically) of any changes to or approval of such
          Form 8-K.
          In the absence of receipt of any written changes or approval, or if the
          Depositor does not request a copy of a Form 8-K, the Securities Administrator
          shall be entitled to assume that such Form 8-K is in final form and the
          Securities Administrator may proceed with the process for execution and
          filing
          of the Form 8-K. A duly authorized representative of the Master Servicer
          shall
          sign each Form 8-K. If a Form 8-K cannot be filed on time or if a previously
          filed Form 8-K needs to be amended, the Securities Administrator will follow
          the
          procedures set forth in paragraph (d) of this Section 8.12. Promptly (but
          no
          later than one Business Day) after filing with the Commission, the Securities
          Administrator will make available on its internet website (located at
www.ctslink.com)
          a final
          executed copy of each Form 8-K prepared and filed by the Securities
          Administrator. The parties to this Agreement acknowledge that the performance
          by
          the Securities Administrator of its duties under this Section 8.12(d)(iii)
          related to the timely preparation, execution and filing of Form 8-K is
          contingent upon such parties strictly observing all applicable deadlines
          in the
          performance of their duties under this Section 8.12(d)(iii). The Depositor
          acknowledges that the performance by the Master Servicer and the Securities
          Administrator of its duties under this Section 8.12(iii) related to the
          timely
          preparation, execution and filing of Form 10-D is also contingent upon
          any
          Servicing Function Participant strictly observing deadlines no later than
          those
          set forth in this paragraph that are applicable to the parties to this
          Agreement
          in the delivery to the Securities Administrator of any necessary Form 8-K
          Disclosure Information pursuant to the related any applicable agreement.
          The
          Securities Administrator shall have no liability for any loss, expense,
          damage,
          claim arising out of or with respect to any failure to properly prepare
          and/or
          timely file such Form 8-K, where such failure results from the Securities
          Administrator’s inability or failure to obtain or receive, on a timely basis,
          any information from any other party hereto or any Servicing Function
          Participant needed to prepare, arrange for execution or file such Form
          8-K, not
          resulting from its own negligence, bad faith or willful misconduct.

        

        (b) The
          Depositor acknowledges and agrees that the Securities Administrator may
          include
          in any Exchange Act report all relevant information, data, and exhibits
          as the
          Securities Administrator may receive in connection with such report irrespective
          of any provision or Regulation AB that may permit the exclusion of such
          material. By the way of example, the Securities Administrator may file
          all
          assessments of compliance, attestation reports and compliance statements
          timely
          received from any Item 1122 Servicing Function Participant irrespective
          of any
          applicable minimum pool asset percentage requirement for disclosure related
          to
          such Servicing Function Participant.

        

        
          
            
            

          

          
            -105-

            
              

            

          

          
            
            

          

        

        (c) The
          Depositor agrees to furnish promptly to the Securities Administrator, from
          time
          to time upon request, such additional information, data, reports, documents,
          and
          financial statements within the Depositor’s possession or control as the
          Securities Administrator reasonably requests as necessary or appropriate
          to
          prepare and file the foregoing reports. The Securities Administrator shall
          make
          available to the Depositor copies of all Exchange Act reports filed
          hereunder.

         

        (d)
          (i) On
          or
          before January 30 of the first year in which the Securities Administrator
          is
          able to do so under applicable law, the Securities Administrator shall
          prepare
          and file a Form 15 relating to the automatic suspension of reporting in
          respect
          of the Trust under the Exchange Act. 

        

        (ii)
          In
          the event that the Securities Administrator is unable to timely file with
          the
          Commission all or any required portion of any Form 8-K, 10-D or 10-K required
          to
          be filed by this Agreement because required disclosure information was
          either
          not delivered to it or delivered to it after the delivery deadlines set
          forth in
          this Agreement or for any other reason, the Securities Administrator will
          promptly notify electronically the Depositor. In the case of Form 10-D
          and 10-K,
          the parties to this Agreement will cooperate to prepare and file a Form
          12b-25
          and a 10-DA and 10-KA as applicable, pursuant to Rule 12b-25 of the Exchange
          Act. In the case of Form 8-K, the Securities Administrator will, upon receipt
          of
          all required Form 8-K Disclosure Information and upon the approval and
          direction
          of the Depositor, include such disclosure information on the next Form
          10-D. In
          the event that any previously filed Form 8-K, 10-D or 10-K needs to be
          amended
          in connection with any Additional Form 10-D Disclosure (other than, in
          the case
          of Form 10-D, for the purpose of restating any Monthly Statement), Additional
          Form 10-K Disclosure or Form 8-K Disclosure Information, the Securities
          Administrator will notify electronically the Depositor and such other parties
          to
          this Agreement as are affected by this Amendment and such parties will
          cooperate
          to prepare any necessary 8-KA, 10-DA or 10-KA. Any Form 15, Form 12b-25
          or any
          amendment to Form 8-K, 10-D or 10-K shall be signed by a duly authorized
          representative or senior officer in charge of master servicing, as applicable,
          of the Master Servicer. The parties to this Agreement acknowledge that
          the
          performance by each of the Master Servicer and the Securities Administrator
          of
          its duties under this Section 8.12(d) related to the timely preparation,
          execution and filing of Form 15, a Form 12b-25 or any amendment to Form
          8-K,
          10-D or 10-K is contingent upon each such party performing its duties under
          this
          Section. Neither the Master Servicer nor the Securities Administrator shall
          have
          any liability for any loss, expense, damage, claim arising out of or with
          respect to any failure to properly prepare, execute and/or timely file
          any such
          Form 15, Form 12b-25 or any amendments to Forms 8-K, 10-D or 10-K, where
          such
          failure results from the Securities Administrator’s inability or failure to
          obtain or receive, on a timely basis, any information from any other party
          hereto or any Servicing Function Participant needed to prepare, arrange
          for
          execution or file such Form 15, Form 12b-25 or any amendments to Forms
          8-K, 10-D
          or 10-K, not resulting from its own negligence, bad faith or willful misconduct.
          The Depositor shall be responsible for all costs and expenses of the Securities
          Administrator related to the preparation and filing of any such amendment.
          Notwithstanding the foregoing, if any Form 10-D needs to be amended solely
          to
          change the information contained in the Monthly Statement, the Securities
          Administrator shall not be required to notify the Depositor of such
          amendment.

        

        
          
            
            

          

          
            -106-

            
              

            

          

          
            
            

          

        

        (e) Other
          than the Exchange Act reports specified above, the Securities Administrator
          shall have no responsibility to file any items or reports with the Commission
          under the Exchange Act or otherwise; provided,
          however,
          the
          Securities Administrator and Master Servicer will cooperate with the Depositor
          in connection with any additional filings with respect to the Trust as
          the
          Depositor deems necessary under the Exchange Act.

         

        (f) The
          Depositor shall pay all costs and expenses of the Securities Administrator
          related to the preparation and filing of any current report on Form 8-K,
          any
          periodic report on Form 10-D (other than the costs and expense of the Securities
          Administrator associated with the preparation and filing of the Monthly
          Statement), or any amendment to any Exchange Act report. Except as otherwise
          provided herein, all expenses incurred by the Securities Administrator
          in
          connection with its preparation and filing of Exchange Act reports hereunder
          shall not be reimbursable from the Trust.

        

        (g) Any
          notice required under this Section 8.12 may be given by facsimile or by
          electronic mail.

         

        Section
          8.13 Tax
          Classification of the Excess Reserve Fund Account and the Supplemental
          Interest
          Trust.
          For
          federal income tax purposes, the Securities Administrator shall treat the
          Excess
          Reserve Fund Account and the Supplemental Interest Trust as beneficially
          owned
          by the holders of the Class X Certificates and shall treat such portion of
          the Trust Fund as a grantor trust, within the meaning of subpart E,
          Part I of subchapter J of the Code. 

      

      
         

        ARTICLE
          IX

         

        ADMINISTRATION
          OF THE MORTGAGE LOANS

        BY
          THE MASTER SERVICER 

         

        Section
          9.01 Duties
          of the Master Servicer; Enforcement of Servicer’s Obligations.(a) 
          The Master Servicer, on behalf of the Trustee, the Securities Administrator,
          the
          Depositor and the Certificateholders, shall monitor the performance of
          the
          obligations of the Servicers under their respective Servicing Agreements,
          and
          (except as set forth below) shall use its reasonable good faith efforts
          to cause
          each Servicer to duly and punctually perform its duties and obligations
          under
          its related Servicing Agreement. Upon the occurrence of an Event of Default
          of
          which a Responsible Officer of the Master Servicer or, if the Master Servicer
          and a Servicer are the same entity, the Trustee, has actual knowledge,
          the
          Master Servicer or the Trustee, as applicable, shall promptly notify the
          Securities Administrator and the Trustee, as applicable, and shall specify
          in
          such notice the action, if any, the Master Servicer or the Trustee, as
          applicable, plans to take in respect of such default. So long as an Event
          of
          Default shall occur and be continuing, the Master Servicer or the Trustee,
          as
          applicable, shall take the actions specified in Article VII.
          Notwithstanding anything in this Agreement or any Credit Risk Management
          Agreement entered into by a Servicer to the contrary, the Master Servicer
          or the
          Trustee, as applicable, shall have no duty or obligation to enforce any
          such
          Credit Risk Management Agreement or to supervise, monitor or oversee the
          activities of a Servicer under such Credit Risk Management Agreement with
          respect to any action taken or not taken by such Servicer at the direction
          of
          the Sponsor or pursuant to a recommendation of the Credit Risk
          Manager.

         

        
          
            
            

          

          
            -107-

            
              

            

          

          
            
            

          

        

        If
          (i) a Servicer reports a delinquency on a monthly report and (ii) such
          Servicer, by 11 a.m. (New York Time) on the related Remittance Date, neither
          makes an Advance nor provides the Securities Administrator, the Master
          Servicer
          and the Trustee with an Officer’s Certificate certifying that such an Advance
          would be a Nonrecoverable P&I Advance or Nonrecoverable Servicing Advance,
          then the Master Servicer or, if the Master Servicer and such Servicer are
          the
          same entity, the Trustee, shall deposit in the Distribution Account not
          later
          than the Business Day immediately preceding the related Distribution Date
          an
          Advance in an amount equal to the difference between (x) with respect to
          each Monthly Payment due on a Mortgage Loan that is delinquent (other than
          Relief Act Interest Shortfalls) and for which such Servicer was required
          to make
          an Advance pursuant to the related Servicing Agreement and (y) amounts
          deposited in the related Collection Account to be used for Advances with
          respect
          to such Mortgage Loan, except to the extent the Master Servicer or the
          Trustee,
          as applicable, determines any such Advance to be a Nonrecoverable P&I
          Advance or Nonrecoverable Servicing Advance. Subject to the foregoing and
          Section 7.01, the Master Servicer or the Trustee, as applicable, shall
          continue to make such Advances for so long as such Servicer is required
          to do so
          under its respective Servicing Agreement. If applicable, on the Business
          Day
          immediately preceding the Distribution Date, the Master Servicer shall
          deliver
          an Officer’s Certificate to the Trustee stating that the Master Servicer elects
          not to make an Advance in a stated amount and detailing the reason(s) it
          deems
          the Advance to be a Nonrecoverable P&I Advance or Nonrecoverable Servicing
          Advance. Any amounts deposited by the Master Servicer or the Trustee, as
          applicable, pursuant to this Section 9.01 shall be net of the Servicing Fee
          for the related Mortgage Loans.

         

        (b) The
          Master Servicer or the Trustee (as successor master servicer), as applicable,
          shall pay the costs of monitoring the Servicers (including costs associated
          with
          (i) termination of a Servicer, (ii) the appointment of a successor
          servicer or (iii) the transfer to and assumption of the servicing by the
          Master Servicer or the Trustee, as applicable) and shall, to the extent
          permitted under the related Servicing Agreement, seek reimbursement therefor
          initially from the terminated Servicer. In the event the full costs associated
          with the transition of servicing responsibilities to the Master Servicer
          or the
          Trustee (as successor master servicer), as applicable, are not paid for
          by the
          predecessor or successor servicer (provided such successor servicer is
          not the
          Master Servicer or the Trustee (as successor master servicer)), the Master
          Servicer or the Trustee, as applicable, may be reimbursed therefor by the
          Trust
          for all costs incurred by the Master Servicer or the Trustee (as successor
          master servicer), as applicable, associated with any such transfer of servicing
          duties from a Servicer to the Master Servicer or the Trustee, as applicable,
          or
          any other successor servicer.

         

        (c) If
          the
          Master Servicer or the Trustee (as successor master servicer), as applicable,
          assumes the servicing with respect to any of the Mortgage Loans, it will
          not
          assume liability for the representations and warranties of the Servicer
          it
          replaces or for any errors or omissions of such Servicer.

         

        (d) Neither
          the Depositor nor the Securities Administrator shall consent to the assignment
          by any Servicer of such Servicer’s rights and obligations under that Servicer’s
          Servicing Agreement without the prior written consent of the Master Servicer
          and
          the Trustee, which consent shall not be unreasonably withheld.

         

        
          
            
            

          

          
            -108-

            
              

            

          

          
            
            

          

        

        Section
          9.02 [Reserved]. 

         

        Section
          9.03 [Reserved]. 

         

        Section
          9.04 Maintenance
          of Fidelity Bond and Errors and Omissions Insurance.

         

        The
          Master Servicer, at its expense, shall maintain in effect a blanket fidelity
          bond and an errors and omissions insurance policy, affording coverage with
          respect to all directors, officers, directors, employees and other Persons
          acting on such Master Servicer’s behalf, and covering errors and omissions in
          the performance of the Master Servicer’s obligations hereunder. The errors and
          omissions insurance policy and the fidelity bond shall be in such form
          and
          amount generally acceptable for entities serving as master servicers or
          trustees. 

         

        Section
          9.05 Representations
          and Warranties of the Master Servicer.
          (a) The
          Master Servicer hereby represents and warrants to the Depositor, the Securities
          Administrator and the Trustee, for the benefit of the Certificateholders,
          as of
          the Closing Date that:

         

        (i) it
          is a
          national banking association validly existing and in good standing under
          the
          laws of the United States of America, and as Master Servicer has full power
          and
          authority to transact any and all business contemplated by this Agreement
          and to
          execute, deliver and comply with its obligations under the terms of this
          Agreement, the execution, delivery and performance of which have been duly
          authorized by all necessary corporate action on the part of the Master
          Servicer;

         

        (ii) the
          execution and delivery of this Agreement by the Master Servicer and its
          performance and compliance with the terms of this Agreement will not
          (A) violate the Master Servicer’s charter or bylaws, (B) violate any
          law or regulation or any administrative decree or order to which it is
          subject
          or (C) constitute a default (or an event which, with notice or lapse of
          time, or both, would constitute a default) under, or result in the breach
          of,
          any material contract, agreement or other instrument to which the Master
          Servicer is a party or by which it is bound or to which any of its assets
          are
          subject, which violation, default or breach would materially and adversely
          affect the Master Servicer’s ability to perform its obligations under this
          Agreement;

         

        (iii) this
          Agreement constitutes, assuming due authorization, execution and delivery
          hereof
          by the other respective parties hereto, a legal, valid and binding obligation
          of
          the Master Servicer, enforceable against it in accordance with the terms
          hereof,
          except as such enforcement may be limited by bankruptcy, insolvency,
          reorganization, moratorium and other laws affecting the enforcement of
          creditors’ rights in general, and by general equity principles (regardless of
          whether such enforcement is considered in a proceeding in equity or at
          law);

         

        (iv) the
          Master Servicer is not in default with respect to any order or decree of
          any
          court or any order or regulation of any federal, state, municipal or
          governmental agency to the extent that any such default would materially
          and
          adversely affect its performance hereunder;

         

        
          
            
            

          

          
            -109-

            
              

            

          

          
            
            

          

        

        (v) the
          Master Servicer is not a party to or bound by any agreement or instrument
          or
          subject to any charter provision, bylaw or any other corporate restriction
          or
          any judgment, order, writ, injunction, decree, law or regulation that may
          materially and adversely affect its ability as Master Servicer to perform
          its
          obligations under this Agreement or that requires the consent of any third
          person to the execution of this Agreement or the performance by the Master
          Servicer of its obligations under this Agreement;

         

        (vi) no
          litigation is pending or, to the best of the Master Servicer’s knowledge,
          threatened against the Master Servicer which would prohibit its entering
          into
          this Agreement or performing its obligations under this Agreement;

         

        (vii) no
          consent, approval, authorization or order of any court or governmental
          agency or
          body is required for the execution, delivery and performance by the Master
          Servicer of or compliance by the Master Servicer with this Agreement or
          the
          consummation of the transactions contemplated by this Agreement, except
          for such
          consents, approvals, authorizations and orders (if any) as have been obtained;
          and

         

        (viii) the
          consummation of the transactions contemplated by this Agreement are in
          the
          ordinary course of business of the Master Servicer.

         

        (b) It
          is
          understood and agreed that the representations and warranties set forth
          in this
          Section shall survive the execution and delivery of this Agreement. The
          Master
          Servicer shall indemnify the Depositor, Securities Administrator, the Trustee
          and the Trust and hold them harmless against any loss, damages, penalties,
          fines, forfeitures, reasonable legal fees and related costs, judgments,
          and
          other reasonable costs and expenses resulting from any claim, demand, defense
          or
          assertion based on or grounded upon, or resulting from, a material breach
          of the
          Master Servicer’s representations and warranties contained in
          Section 9.05(a) above. It is understood and agreed that the enforcement of
          the obligation of the Master Servicer set forth in this Section 9.05 to
          indemnify the Depositor, Securities Administrator, the Trustee and the
          Trust
          constitutes the sole remedy of the Depositor and the Trustee, respecting
          a
          breach of the foregoing representations and warranties. Such indemnification
          shall survive any termination of the Master Servicer as Master Servicer
          hereunder, any termination of this Agreement and resignation or removal
          of the
          Trustee.

         

        Any
          cause
          of action against the Master Servicer relating to or arising out of the
          breach
          of any representations and warranties made in this Section shall accrue
          upon
          discovery of such breach by either the Depositor, the Master Servicer,
          Securities Administrator or the Trustee or notice thereof by any one of
          such
          parties to the other parties.

         

        Section
          9.06 Master
          Servicer Events of Default .
          Each of
          the following shall constitute a “Master
          Servicer Event of Default”:

         

        (a) any
          failure by the Master Servicer to deposit in the Distribution Account any
          payment received by it from a Servicer to make any P&I Advance or required
          to be made by the Master Servicer under the terms of this Agreement which
          continues unremedied for a period of two (2) Business Days after the date
          upon which written notice of such failure, requiring the same to be remedied,
          shall have been given to the Master Servicer by any other party
          hereto;

         

        
          
            
            

          

          
            -110-

            
              

            

          

          
            
            

          

        

        (b) failure
          by the Master Servicer to duly observe or perform, in any material respect,
          any
          other covenants, obligations or agreements of the Master Servicer as set
          forth
          in this Agreement which failure continues unremedied for a period of thirty
          (30) days after the date on which written notice of such failure, requiring
          the same to be remedied, shall have been given to the Master Servicer by
          the
          Trustee or to the Master Servicer and Trustee by the holders of Certificates
          evidencing at least 25.00% of the Voting Rights;

         

        (c) a
          decree
          or order of a court or agency or supervisory authority having jurisdiction
          for
          the appointment of a conservator or receiver or liquidator in any insolvency,
          bankruptcy, readjustment of debt, marshaling of assets and liabilities
          or
          similar proceedings, or for the winding-up or liquidation of its affairs,
          shall
          have been entered against the Master Servicer and such decree or order
          shall
          have remained in force, undischarged or unstayed for a period of sixty
          (60) days;

         

        (d) the
          Master Servicer shall consent to the appointment of a conservator or receiver
          or
          liquidator in any insolvency, bankruptcy, readjustment of debt, marshaling
          of
          assets and liabilities or similar proceedings of or relating to the Master
          Servicer or relating to all or substantially all of its property;

         

        (e) the
          Master Servicer shall admit in writing its inability to pay its debts as
          they
          become due, file a petition to take advantage of any applicable insolvency
          or
          reorganization statute, make an assignment for the benefit of its creditors,
          or
          voluntarily suspend payment of its obligations for three (3) Business
          Days;

         

        (f) Except
          as
          otherwise set forth herein, the Master Servicer attempts to assign this
          Agreement or its responsibilities hereunder or to delegate its duties hereunder
          (or any portion thereof) without the consent of the Securities Administrator
          and
          the Depositor; 

         

        (g) the
          indictment of the Master Servicer for the taking of any action by the Master
          Servicer, any Affiliate or any director or employee thereof that constitutes
          fraud or criminal activity in the performance of its obligations under
          this
          Agreement, in each case, where such indictment materially and adversely
          affects
          the ability of the Master Servicer to perform its obligations under this
          Agreement (subject to the condition that such indictment is not dismissed
          within
          ninety (90) days); or

         

        (h) failure
          of the Master Servicer to timely provide the Depositor with the assessment,
          attestation and annual statement of compliance required by Item 1122 of
          Regulation AB in accordance with Sections 3.03, 3.04 and 3.05.

         

        In
          each
          and every such case, so long as a Master Servicer Event of Default shall
          not
          have been remedied, in addition to whatever rights the Trustee may have
          at law
          or equity or to damages, including injunctive relief and specific performance,
          the Trustee, by notice in writing to the Master Servicer, may, and upon
          the
          request of the Holders of Certificates representing at least 51.00% of
          the
          Voting Rights shall, terminate with cause all the rights and obligations
          of the
          Master Servicer under this Agreement.

         

        
          
            
            

          

          
            -111-

            
              

            

          

          
            
            

          

        

        Upon
          receipt by the Master Servicer of such written notice, all authority and
          power
          of the Master Servicer under this Agreement, shall pass to and be vested
          in any
          successor master servicer appointed hereunder which accepts such appointments.
          Upon written request from the Trustee or the Depositor, the Master Servicer
          shall prepare, execute and deliver to the successor entity designated by
          the
          Trustee any and all documents and other instruments related to the performance
          of its duties hereunder as the Master Servicer and, place in such successor’s
          possession all such documents with respect to the master servicing of the
          Mortgage Loans and do or cause to be done all other acts or things necessary
          or
          appropriate to effect the purposes of such notice of termination, at the
          Master
          Servicer’s sole expense. The Master Servicer shall cooperate with the Trustee
          and such successor master servicer in effecting the termination of the
          Master
          Servicer’s responsibilities and rights hereunder, including without limitation,
          the transfer to such successor master servicer for administration by it
          of all
          cash amounts which shall at the time be credited to the Distribution Account
          or
          are thereafter received with respect to the Mortgage Loans.

         

        Section
          9.07 Waiver
          of Default.By
          a
          written notice, the Trustee may at the direction of Holders of Certificates
          evidencing at least 51.00% of the Voting Rights waive any default by the
          Master
          Servicer in the performance of its obligations hereunder and its consequences.
          Upon any waiver of a past default, such default shall cease to exist, and
          any
          Master Servicer Event of Default arising therefrom shall be deemed to have
          been
          remedied for every purpose of this Agreement. No such waiver shall extend
          to any
          subsequent or other default or impair any right consequent thereon except
          to the
          extent expressly so waived.

         

        Section
          9.08 Successor
          to the Master Servicer.  Upon
          termination of the Master Servicer’s responsibilities and duties under this
          Agreement, the Depositor shall use its reasonable good faith efforts to
          appoint
          a successor, which shall succeed to all rights and assume all of the
          responsibilities, duties and liabilities of the Master Servicer under this
          Agreement prior to the termination of the Master Servicer. Any successor
          shall
          be a Fannie Mae and Freddie Mac approved servicer in good standing and
          acceptable to the Depositor and the Rating Agencies. In connection with
          such
          appointment and assumption, the Depositor may make such arrangements for
          the
          compensation of such successor out of payments on Mortgage Loans as it
          and such
          successor shall agree; provided,
          however,
          that in
          no event shall the master servicing fee paid to such successor master servicer
          exceed that paid to the Master Servicer hereunder. In the event that the
          Master
          Servicer’s duties, responsibilities and liabilities under this Agreement are
          terminated, the Master Servicer shall continue to discharge its duties
          and
          responsibilities hereunder until the effective date of such termination
          with the
          same degree of diligence and prudence which it is obligated to exercise
          under
          this Agreement and shall take no action whatsoever that might impair or
          prejudice the rights of its successor. The termination of the Master Servicer
          shall not become effective until a successor shall be appointed pursuant
          hereto
          and shall in no event (i) relieve the Master Servicer of responsibility for
          the representations and warranties made pursuant to Section 9.05(a) hereof
          and the remedies available to the Trustee under Section 9.05(b) hereof, it
          being understood and agreed that the provisions of Section 9.05 hereof
          shall be applicable to the Master Servicer notwithstanding any such sale,
          assignment, resignation or termination of the Master Servicer or the termination
          of this Agreement; or (ii) affect the right of the Master Servicer to
          receive payment and/or reimbursement of any amounts accruing to it hereunder
          prior to the date of termination (or during any transition period in which
          the
          Master Servicer continues to perform its duties hereunder prior to the
          date the
          successor master servicer fully assumes its duties).

         

        
          
            
            

          

          
            -112-

            
              

            

          

          
            
            

          

        

        If
          no
          successor master servicer has accepted its appointment within 90 days of
          the time the Trustee receives the resignation of the Master Servicer, the
          Trustee shall be the successor master servicer in all respects under this
          Agreement and shall have all the rights and powers and be subject to all
          the
          responsibilities, duties and liabilities relating thereto, including the
          obligation to make Advances; provided,
          however,
          that
          any failure to perform any duties or responsibilities caused by the Master
          Servicer’s failure to provide information required by this Agreement shall not
          be considered a default by the Trustee hereunder. In the Trustee’s capacity as
          such successor, the Trustee shall have the same limitations on liability
          herein
          granted to the Master Servicer. Notwithstanding anything herein to the
          contrary,
          the Trustee in its role as successor master servicer shall have no obligation
          to
          monitor or supervise any Servicer, shall only have the obligation to make
          Advances if it terminates the Servicer pursuant to an Event of Default
          (in its
          role as successor master servicer), and shall make such Advances only pursuant
          to Section 7.01. As compensation therefor, the Trustee shall be entitled
          to
          receive the compensation, reimbursement and indemnities otherwise payable
          to the
          Master Servicer, including the fees and other amounts payable pursuant
          to
          Section 9.09 hereof. 

         

        Any
          successor master servicer appointed as provided herein, shall execute,
          acknowledge and deliver to the Master Servicer, the Depositor and to the
          Trustee
          an instrument accepting such appointment, wherein the successor shall make
          the
          representations and warranties set forth in Section 9.05 hereof, and
          whereupon such successor shall become fully vested with all of the rights,
          powers, duties, responsibilities, obligations and liabilities of the Master
          Servicer, with like effect as if originally named as a party to this Agreement.
          Any termination or resignation of the Master Servicer or termination of
          this
          Agreement shall not affect any claims that the Trustee may have against
          the
          Master Servicer arising out of the Master Servicer’s actions or failure to act
          prior to any such termination or resignation or in connection with the
          Trustee’s
          assumption of such obligations, duties and responsibilities. 

         

        Upon
          a
          successor’s acceptance of appointment as such, the Master Servicer shall notify
          by mail the Trustee and the Depositor of such appointment.

         

        Section
          9.09 Compensation
          of the Master Servicer. As
          compensation for its activities under this Agreement, the Master Servicer
          shall
          be paid the Master Servicing Fee.

         

        Section
          9.10 Merger
          or Consolidation.  Any
          Person into which the Master Servicer may be merged or consolidated, or
          any
          Person resulting from any merger, conversion, other change in form or
          consolidation to which the Master Servicer shall be a party, or any Person
          succeeding to the business of the Master Servicer, shall be the successor
          to the
          Master Servicer hereunder, without the execution or filing of any paper
          or any
          further act on the part of any of the parties hereto, anything herein to
          the
          contrary notwithstanding; provided,
          however,
          that
          the successor or resulting Person to the Master Servicer shall (i) be a
          Person (or have an Affiliate) that is qualified and approved to service
          mortgage
          loans for Fannie Mae and Freddie Mac (provided further
          that a
          successor master servicer that satisfies subclause (i) through an
          Affiliate agrees to service the Mortgage Loans in accordance with all applicable
          Fannie Mae and Freddie Mac guidelines) and (ii) have a net worth of not
          less than $25,000,000.

         

        
          
            
            

          

          
            -113-

            
              

            

          

          
            
            

          

        

        Section
          9.11 Resignation
          of the Master Servicer.  Except
          as
          otherwise provided in Sections 9.08 and 9.10 hereof, the Master Servicer
          shall not resign from the obligations and duties hereby imposed on it unless
          the
          Master Servicer’s duties hereunder are no longer permissible under applicable
          law or are in material conflict by reason of applicable law with any other
          activities carried on by it and cannot be cured. Any such determination
          permitting the resignation of the Master Servicer shall be evidenced by
          an
          Opinion of Counsel that shall be independent to such effect delivered to
          the
          Trustee. No such resignation shall become effective until the Trustee shall
          have
          assumed, or a successor master servicer satisfactory to the Trustee and
          the
          Depositor shall have assumed, the Master Servicer’s responsibilities and
          obligations under this Agreement. Notice of such resignation shall be given
          promptly by the Master Servicer and the Depositor to the Trustee.

         

        If
          at any
          time, Wells Fargo, as Master Servicer, resigns under this Section 9.11, or
          is removed as Master Servicer pursuant to Section 9.06, then at such time
          Wells Fargo shall also resign (and shall be entitled to resign) as Securities
          Administrator under this Agreement.

         

        Section
          9.12 Assignment
          or Delegation of Duties by the Master Servicer.  Except
          as
          expressly provided herein, the Master Servicer shall not assign or transfer
          any
          of its rights, benefits or privileges hereunder to any other Person, or
          delegate
          to or subcontract with, or authorize or appoint any other Person to perform
          any
          of the duties, covenants or obligations to be performed by the Master Servicer;
          provided,
          however,
          that
          the Master Servicer shall have the right with the prior written consent
          of the
          Depositor (which shall not be unreasonably withheld or delayed), and upon
          delivery to the Trustee and the Depositor of a letter from each Rating
          Agency to
          the effect that such action shall not result in a downgrade of the ratings
          assigned to any of the Certificates, to delegate or assign to or subcontract
          with or authorize or appoint any qualified Person to perform and carry
          out any
          duties, covenants or obligations to be performed and carried out by the
          Master
          Servicer hereunder. Notice of such permitted assignment shall be given
          promptly
          by the Master Servicer to the Depositor and the Trustee. If, pursuant to
          any
          provision hereof, the duties of the Master Servicer are transferred to
          a
          successor master servicer, the entire compensation payable to the Master
          Servicer pursuant hereto shall thereafter be payable to such successor
          master
          servicer but in no event shall the fee payable to the successor master
          servicer
          exceed that payable to the predecessor master servicer.

         

        Section
          9.13 Limitation
          on Liability of the Master Servicer.Neither
          the Master Servicer nor any of the directors, officers, employees or agents
          of
          the Master Servicer shall be under any liability to the Trustee or the
          Certificateholders for any action taken or for refraining from the taking
          of any
          action in good faith pursuant to this Agreement, or for errors in judgment;
          provided,
          however,
          that
          this provision shall not protect the Master Servicer or any such person
          against
          any liability that would otherwise be imposed by reason of willful malfeasance,
          bad faith or negligence in the performance of its duties or by reason of
          reckless disregard for its obligations and duties under this Agreement.
          The
          Master Servicer and any director, officer, employee or agent of the Master
          Servicer may rely in good faith on any document prima facie properly executed
          and submitted by any Person respecting any matters arising hereunder. The
          Master
          Servicer shall be under no obligation to appear in, prosecute or defend
          any
          legal action that is not incidental to its duties as Master Servicer with
          respect to the Mortgage Loans under this Agreement and that in its opinion
          may
          involve it in any expenses or liability; provided,
          however,
          that
          the Master Servicer may in its sole discretion undertake any such action
          that it
          may deem necessary or desirable in respect to this Agreement and the rights
          and
          duties of the parties hereto and the interests of the Certificateholders
          hereunder. In such event, the legal expenses and costs of such action and
          any
          liability resulting therefrom, shall be liabilities of the Trust, and the
          Master
          Servicer shall be entitled to be reimbursed therefor out of the Distribution
          Account in accordance with the provisions of Section 9.09 and
          Section 9.14.

         

        
          
            
            

          

          
            -114-

            
              

            

          

          
            
            

          

        

        The
          Master Servicer shall not be liable under this Agreement for any acts or
          omissions of any Servicer except to the extent that damages or expenses
          are
          incurred as a result of such acts or omissions and such damages and expenses
          would not have been incurred but for the negligence, willful malfeasance,
          bad
          faith or recklessness of the Master Servicer in supervising, monitoring
          and
          overseeing the performance of the obligations of any Servicer as required
          under
          this Agreement. 

         

        Section
          9.14 Indemnification;
          Third Party Claims. The
          Master Servicer agrees to indemnify and hold harmless the Trustee as successor
          master servicer from and against any and all claims, losses, penalties,
          fines,
          forfeitures, legal fees and related costs, judgments, and any other costs,
          liability, fees and expenses (including reasonable attorneys’ fees) that the
          Trustee may sustain as a result of such liability or obligations of the
          Master
          Servicer and in connection with the Trustee’s assumption (not including the
          Trustee’s performance, except to the extent that costs or liability of the
          Trustee are created or increased as a result of negligent or wrongful acts
          or
          omissions of the Master Servicer prior to its replacement as Master Servicer)
          of
          the Master Servicer’s obligations, duties or responsibilities under such
          agreement. 

         

        The
          Trust
          will indemnify the Master Servicer and hold it harmless against any and
          all
          claims, losses, penalties, fines, forfeitures, legal fees and related costs,
          judgments, and any other costs, liabilities, fees and expenses that the
          Master
          Servicer may incur or sustain in connection with, arising out of or related
          to
          this Agreement or the Certificates, except to the extent that any such
          loss,
          liability or expense is related to (i) a material breach of the Master
          Servicer’s representations and warranties in this Agreement, (ii) the
          Master Servicer’s willful malfeasance, bad faith or negligence or by reason of
          its reckless disregard of its duties and obligations under this Agreement
          or
          (iii) failure to provide the assessment, attestation and annual statement
          of
          compliance in accordance with Sections 3.03, 3.04 and 3.05; provided that
          any
          such loss, liability or expense constitutes an “unanticipated expense incurred
          by the REMIC” within the meaning of Treasury Regulations
          Section 1.860G-1(b)(3)(ii). The Master Servicer shall be entitled to
          reimbursement for any such indemnified amount from funds on deposit in
          the
          Distribution Account. The Master Servicer shall not be liable for any course
          of
          action taken by a Servicer with respect to loss mitigation of defaulted
          Mortgage
          Loans at the direction of the Credit Risk Manager or the Sponsor pursuant
          to a
          Credit Risk Management Agreement or otherwise. Further, the Master Servicer
          shall not be liable for the performance by a Servicer under any Credit
          Risk
          Management Agreement.

         

        Section
          9.15 Duties
          of the Credit Risk Manager.

         

        
          
            
            

          

          
            -115-

            
              

            

          

          
            
            

          

        

        (a) The
          Certificateholders, by their purchase and acceptance of the Certificates,
          appoint Clayton Fixed Income Services Inc., formerly known as The Murrayhill
          Company, as Credit Risk Manager. For and on behalf of the Depositor and
          the
          Trust, the Credit Risk Manager will provide reports and recommendations
          concerning certain delinquent and defaulted Mortgage Loans, and as to the
          collection of any Prepayment Charges with respect to the Mortgage Loans.
          Such
          reports and recommendations will be based upon information provided pursuant
          to
          Credit Risk Management Agreements to the Credit Risk Manager by the Servicers
          and the Master Servicer. The Credit Risk Manager shall look solely to the
          Servicers and the Master Servicer for all information and data (including
          loss
          and delinquency information and data) and loan level information and data
          relating to the servicing of the Mortgage Loans and neither the Securities
          Administrator nor the Trustee shall have any obligation to provide any
          such
          information to the Credit Risk Manager and shall not otherwise have any
          responsibility under the Credit Risk Management Agreements. The Credit
          Risk
          Manager shall be entitled to compensation from the Trust equal to the Credit
          Risk Manager Fee.

         

        (b) On
          or
          about the 15th calendar day of each month, the Credit Risk Manager shall
          have
          prepared and shall make available to the Depositor, the following
          reports:

         

        (i) Watchlist
          Report:
          A
          listing of individual Mortgage Loans that are of concern to the Credit
          Risk
          Manager. Each Watchlist Report shall contain a listing of Mortgage Loans
          in any
          delinquency status, including current and paid-off loans, and may contain
          the
          comments of the Credit Risk Manager in its sole discretion. The Watchlist
          Report
          shall be presented in substantially the same format attached hereto as
          Exhibit
          R-1;

         

        (ii) Loss
          Severity Report:
          A
          compilation and summary of all losses, indicating the loan loss severity
          of the
          Mortgage Loans. Each Loss Severity Report shall include detail of all losses
          reported by each Servicer, as Realized Losses, except those for which a
          Servicer
          has not provided detail adequate for reporting purposes. The Loss Severity
          Report shall be presented in substantially the same format attached hereto
          as
          Exhibit R-2;

         

        (iii) Prepayment
          Charges Report:
          A
          summary of Prepayment Charges assessed or waived by each Servicer. The
          Prepayment Charges Report shall be presented in substantially the same
          format
          attached hereto as Exhibit R-3; and

         

        (iv) Analytics
          Report:
          Analytics Reports shall include statistical and/or graphical portrayals
          of:

         

        (A)  Delinquency
          Trend:
          The
          delinquency trend, over time, of the Mortgage Loans;

         

        (B)  Prepayment
          Analysis:
          The
          constant prepayment rate “CPR” experience of the Mortgage Loans;
          and

         

        (C)  Standard
          Default Assumption:
          The
          Standard Default Assumption experience of the Mortgage Loans.

         

        The
          Analytics Report shall be presented in substantially the same format attached
          hereto as Exhibit R-4.

         

        
          
            
            

          

          
            -116-

            
              

            

          

          
            
            

          

        

        Section
          9.16 Limitation
          Upon Liability of the Credit Risk Manager.
          Neither
          the Credit Risk Manager, nor any of the directors, officers, employees
          or agents
          of the Credit Risk Manager, shall be under any liability to the Trustee,
          the
          Securities Administrator, the Certificateholders or the Depositor for any
          action
          taken or for refraining from the taking of any action in good faith pursuant
          to
          this Agreement, in reliance upon information provided by any Servicer,
          and the
          Master Servicer under the Credit Risk Management Agreements or for errors
          in
          judgment; provided, however,
          that
          this provision shall not protect the Credit Risk Manager or any such person
          against liability that would otherwise be imposed by reason of willful
          malfeasance, bad faith or gross negligence in its performance of its duties
          or
          by reason of reckless disregard for its obligations and duties under this
          Agreement or the Credit Risk Management Agreements. The Credit Risk Manager
          and
          any director, officer, employee or agent of the Credit Risk Manager 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, and may
          rely
          in good faith upon the accuracy of information furnished the Servicers
          and the
          Master Servicer pursuant to the Credit Risk Management Agreements in the
          performance of its duties thereunder and hereunder.

         

        Section
          9.17 Removal
          and Resignation of Credit Risk Manager.
          The
          Credit Risk Manager may be removed as Credit Risk Manager by Certificateholders
          holding not less than 66-2/3% of the Voting Rights of Certificates, in
          the
          exercise of its or their sole discretion, at any time, without cause, upon
          ten
          (10) days prior written notice. The Certificateholders shall provide such
          written notice to the Trustee and upon receipt of such notice, the Trustee
          shall
          provide written notice to the Credit Risk Manager of its removal, effective
          upon
          receipt of such notice. In addition, on [[November
          3, 2011]]
          and each
          anniversary date thereafter, upon thirty (30) days prior written notice,
          the
          Credit Risk Manager will have the option to resign as Credit Risk Manager
          and
          the Depositor shall have the option to terminate the Credit Risk Manager
          without
          cause

         

        ARTICLE
          X

         

        CONCERNING
          THE SECURITIES ADMINISTRATOR

         

        Section
          10.01 Duties
          of Securities Administrator. The
          Securities Administrator shall undertake to perform such duties and only
          such
          duties as are specifically set forth in this Agreement.

         

        The
          Securities Administrator, upon receipt of all resolutions, certificates,
          statements, opinions, reports, documents, orders or other instruments furnished
          to the Securities Administrator that are specifically required to be furnished
          pursuant to any provision of this Agreement, shall examine them to determine
          whether they are in the form required by this Agreement; provided,
          however,
          that
          the Securities Administrator shall not be responsible for the accuracy
          or
          content of any such resolution, certificate, statement, opinion, report,
          document, order or other instrument. If any such instrument is found not
          to
          conform in any material respect to the requirements of this Agreement,
          the
          Securities Administrator shall notify the Certificateholders of such
          non-conforming instrument in the event the Securities Administrator, after
          so
          requesting, does not receive a satisfactorily corrected instrument.

         

        
          
            
            

          

          
            -117-

            
              

            

          

          
            
            

          

        

        No
          provision of this Agreement shall be construed to relieve the Securities
          Administrator of liability for its own negligent action, its own negligent
          failure to act or its own willful misconduct; provided,
          however,
          that:

         

        (i) the
          duties and obligations of the Securities Administrator shall be determined
          solely by the express provisions of this Agreement, the Securities Administrator
          shall not be liable except for the performance of such duties and obligations
          as
          are specifically set forth in this Agreement, no implied covenants or
          obligations shall be read into this Agreement against the Securities
          Administrator and the Securities Administrator may conclusively rely, as
          to the
          truth of the statements and the correctness of the opinions expressed therein,
          upon any certificates or opinions furnished to the Securities Administrator
          and
          conforming to the requirements of this Agreement which it believed in good
          faith
          to be genuine and to have been duly executed by the proper authorities
          respecting any matters arising hereunder;

         

        (ii) the
          Securities Administrator shall not be liable for any error of judgment
          made in
          good faith by a Responsible Officer or Responsible Officers of the Securities
          Administrator, unless it shall be conclusively determined by a court of
          competent jurisdiction, such determination not subject to appeal, that
          the
          Securities Administrator was negligent in ascertaining the pertinent
          facts;

         

        (iii) the
          Securities Administrator shall not be liable with respect to any action
          or
          inaction taken, suffered or omitted to be taken by it in good faith in
          accordance with the direction of Holders of Certificates evidencing not
          less
          than 25.00% of the Voting Rights of Certificates relating to the time,
          method
          and place of conducting any proceeding for any remedy available to the
          Securities Administrator, or exercising or omitting to exercise any trust
          or
          power conferred upon the Securities Administrator under this Agreement;
          and

         

        (iv) the
          Securities Administrator shall not be accountable, shall have no liability
          and
          makes no representation as to any acts or omissions hereunder of the Master
          Servicer or the Trustee.

         

        Section
          10.02 Certain
          Matters Affecting the Securities Administrator. Except
          as
          otherwise provided in Section 10.01:

         

        (i) the
          Securities Administrator may request and conclusively rely upon and shall
          be
          fully protected in acting or refraining from acting upon any resolution,
          Officer’s Certificate, certificate of auditors or any other certificate,
          statement, instrument, opinion, report, notice, request, consent, order,
          appraisal, bond or other paper or document believed by it to be genuine
          and to
          have been signed or presented by the proper party or parties and the Securities
          Administrator shall have no responsibility to ascertain or confirm the
          genuineness of any signature of any such party or parties;

         

        (ii) the
          Securities Administrator may consult with counsel, financial advisers or
          accountants and the advice of any such counsel, financial advisers or
          accountants and any advice or Opinion of Counsel shall be full and complete
          authorization and protection in respect of any action taken or suffered
          or
          omitted by it hereunder in good faith and in accordance with such advice
          or
          Opinion of Counsel;

         

        
          
            
            

          

          
            -118-

            
              

            

          

          
            
            

          

        

        (iii) the
          Securities Administrator shall not be liable for any action or inaction
          taken,
          suffered or omitted by it in good faith and believed by it to be authorized
          or
          within the discretion or rights or powers conferred upon it by this
          Agreement;

         

        (iv) the
          Securities Administrator shall not be bound to make any investigation into
          the
          facts or matters stated in any resolution, certificate, statement, instrument,
          opinion, report, notice, request, consent, order, approval, bond or other
          paper
          or document, unless requested in writing so to do by Holders of Certificates
          evidencing not less than 25.00% of the Voting Rights allocated to each
          Class of Certificates; provided,
          however,
          that if
          the payment within a reasonable time to the Securities Administrator of
          the
          costs, expenses or liabilities likely to be incurred by it in the making
          of such
          investigation is, in the opinion of the Securities Administrator, not reasonably
          assured to the Securities Administrator by the security afforded to it
          by the
          terms of this Agreement, the Securities Administrator may require reasonable
          indemnity against such expense or liability as a condition to so proceeding.
          Nothing in this clause (iv) shall derogate from the obligation of the
          Master Servicer to observe any applicable law prohibiting disclosure of
          information regarding the Mortgagors, provided that the Master Servicer
          shall
          have no liability for disclosure required by this Agreement;

         

        (v) the
          Securities Administrator may execute any of the trusts or powers hereunder
          or
          perform any duties hereunder either directly or by or through agents or
          attorneys or a custodian and the Securities Administrator shall not be
          responsible for any misconduct or negligence on the part of any such agent,
          attorney or custodian appointed by the Securities Administrator with due
          care;

         

        (vi) the
          Securities Administrator shall not be required to risk or expend its own
          funds
          or otherwise incur any financial liability in the performance of any of
          its
          duties or in the exercise of any of its rights or powers hereunder if it
          shall
          have reasonable grounds for believing that repayment of such funds or adequate
          indemnity against such risk or liability is not assured to it, and none
          of the
          provisions contained in this Agreement shall in any event require the Securities
          Administrator to perform, or be responsible for the manner of performance
          of,
          any of the obligations of the Master Servicer or the Trustee under this
          Agreement;

         

        (vii) the
          Securities Administrator shall be under no obligation to exercise any of
          the
          trusts, rights or powers vested in it by this Agreement or to institute,
          conduct
          or defend any litigation hereunder or in relation hereto at the request,
          order
          or direction of any of the Certificateholders, pursuant to the provisions
          of
          this Agreement, unless such Certificateholders shall have offered to the
          Securities Administrator reasonable security or indemnity satisfactory
          to the
          Securities Administrator against the costs, expenses and liabilities which
          may
          be incurred therein or thereby; and

         

        
          
            
            

          

          
            -119-

            
              

            

          

          
            
            

          

        

        (viii) the
          Securities Administrator shall have no obligation to appear in, prosecute
          or
          defend any legal action that is not incidental to its duties hereunder
          and which
          in its opinion may involve it in any expense or liability; provided,
          however,
          that in the event of a breach or default by the Derivative
          Counterparty
          under the Cap Agreement or the Swap Agreement, the Securities Administrator
          shall pursue all legal remedies available against the Derivative
          Counterparty
          under the Cap Agreement or the Swap Agreement, as applicable, in consultation
          with the Depositor; provided,
          further,
          that
          the Securities Administrator may in its discretion undertake any such action
          that it may deem necessary or desirable in respect of this Agreement and
          the
          rights and duties of the parties hereto and the interests of the Trustee,
          the
          Securities Administrator and the Certificateholders hereunder. In such
          event,
          the legal expenses and costs of such action and any liability resulting
          therefrom shall be expenses, costs and liabilities of the Trust Fund, and
          the
          Securities Administrator shall be entitled to be reimbursed therefor out
          of the
          Collection Account.

         

        The
          Securities Administrator shall have no duty (A) to undertake or ensure any
          recording, filing, or depositing of this Agreement or any agreement referred
          to
          herein or any financing statement or continuation statement evidencing
          a
          security interest, or to see to the maintenance of any such recording or
          filing
          or depositing or to any rerecording, refiling or redepositing thereof,
          (B) to procure or maintain any insurance or (C) to pay or discharge
          any tax, assessment, or other governmental charge or any lien or encumbrance
          of
          any kind owing with respect to, assessed or levied against, any part of
          the
          Trust Fund other than from funds available in the Distribution
          Account.

         

        Section
          10.03 Securities
          Administrator Not Liable for Certificates or Mortgage Loans.The
          recitals contained herein and in the Certificates shall be taken as the
          statements of the Depositor or the transferor, as the case may be, and
          the
          Securities Administrator assumes no responsibility for their correctness.
          The
          Securities Administrator makes no representations as to the validity or
          sufficiency of this Agreement, the Cap Agreement, the Swap Agreement, or
          of the
          Certificates or of any Mortgage Loan or related document other than with
          respect
          to the Securities Administrator’s execution and authentication of the
          Certificates. The Securities Administrator shall not be accountable for
          the use
          or application by the Depositor, the Trustee, the Master Servicer, or the
          Derivative Counterparty of any funds paid to the Depositor, the Trustee,
          the
          Master Servicer or the Derivative Counterparty in respect of the Mortgage
          Loans
          or deposited in or withdrawn from any Collection Account or any other fund
          or
          account with respect to the Certificates by the Depositor, the Trustee,
          the
          Master Servicer or the Derivative Counterparty.

         

        The
          Securities Administrator executes the Certificates not in its individual
          capacity but solely as Securities Administrator of the Trust Fund created
          by
          this Agreement, in the exercise of the powers and authority conferred and
          vested
          in it by this Agreement. Each of the undertakings and agreements made on
          the
          part of the Securities Administrator on behalf of the Trust Fund in the
          Certificates is made and intended not as a personal undertaking or agreement
          by
          the Securities Administrator but is made and intended for the purpose of
          binding
          only the Trust Fund.

         

        Section
          10.04 Securities
          Administrator May Own Certificates.  The
          Securities Administrator in its individual or any other capacity may become
          the
          owner or pledgee of Certificates and may transact business with the parties
          hereto and their Affiliates with the same rights as it would have if it
          were not
          the Securities Administrator.

         

        
          
            
            

          

          
            -120-

            
              

            

          

          
            
            

          

        

        Section
          10.05 Securities
          Administrator’s Fees and Expenses. The
          Securities Administrator shall be entitled to the investment income earned
          on
          amounts in the Distribution Account during the Securities Administrator
          Float
          Period. The Securities Administrator and any director, officer, employee,
          agent
          or “control person” within the meaning of the Securities Act of 1933, as
          amended, and the Securities Exchange Act of 1934, as amended (“Control
          Person”),
          of
          the Securities Administrator shall be indemnified by the Trust and held
          harmless
          against any loss, liability or expense (including reasonable attorney’s fees)
          (i) incurred in connection with any claim or legal action relating to
          (a) this Agreement, (b) the Mortgage Loans or (c) the
          Certificates, other than any loss, liability or expense incurred by reason
          of
          willful misfeasance, bad faith or negligence in the performance of any
          of the
          Securities Administrator’s duties hereunder, (ii) incurred in connection
          with the performance of any of the Securities Administrator’s duties hereunder,
          other than any loss, liability or expense incurred by reason of willful
          misfeasance, bad faith or negligence in the performance of any of the Securities
          Administrator’s duties hereunder or (iii) incurred by reason of any action
          of the Securities Administrator taken at the direction of the
          Certificateholders, provided that any such loss, liability or expense
          constitutes an “unanticipated expense incurred by the REMIC” within the meaning
          of Treasury Regulations Section 1.860G 1(b)(3)(ii). Such indemnity shall
          survive the termination of this Agreement or the resignation or removal
          of the
          Securities Administrator hereunder. Without limiting the foregoing, and
          except
          for any such expense, disbursement or advance as may arise from the Securities
          Administrator’s negligence, bad faith or willful misconduct, or which would not
          be an “unanticipated expense” within the meaning of the second preceding
          sentence, the Securities Administrator shall be reimbursed by the Trust
          for all
          reasonable expenses, disbursements and advances incurred or made by the
          Securities Administrator in accordance with any of the provisions of this
          Agreement with respect to: (A) the reasonable compensation and the expenses
          and disbursements of its counsel not associated with the closing of the
          issuance
          of the Certificates, (B) the reasonable compensation, expenses and
          disbursements of any accountant, engineer, appraiser or other agent that
          is not
          regularly employed by the Securities Administrator, to the extent that
          the
          Securities Administrator must engage such Persons to perform acts or services
          hereunder and (C) printing and engraving expenses in connection with
          preparing any Definitive Certificates. The Trust shall fulfill its obligations
          under this paragraph from amounts on deposit from time to time in the
          Distribution Account.

         

        The
          Securities Administrator shall be required to pay all expenses incurred
          by it in
          connection with its activities hereunder and shall not be entitled to
          reimbursement therefor except as provided in this Agreement.

         

        Section
          10.06 Eligibility
          Requirements for Securities Administrator. The
          Securities Administrator hereunder shall at all times be a corporation
          or
          association organized and doing business under the laws the United States
          of
          America or any state thereof, authorized under such laws to exercise corporate
          trust powers, having a combined capital and surplus of at least $50,000,000,
          subject to supervision or examination by federal or state authority and
          with a
          credit rating of at least investment grade. If such corporation or association
          publishes reports of condition at least annually, pursuant to law or to
          the
          requirements of the aforesaid supervising or examining authority, then
          for the
          purposes of this Section 10.06 the combined capital and surplus of such
          corporation or association shall be deemed to be its combined capital and
          surplus as set forth in its most recent report of condition so published.
          In
          case at any time the Securities Administrator shall cease to be eligible
          in
          accordance with the provisions of this Section 10.06, the Securities
          Administrator shall resign immediately in the manner and with the effect
          specified in Section 10.07 hereof. The entity serving as Securities
          Administrator may have normal banking and trust relationships with the
          Depositor
          and its affiliates or the Trustee and its affiliates.

         

        
          
            
            

          

          
            -121-

            
              

            

          

          
            
            

          

        

        Any
          successor securities administrator (i) may not be a Mortgage Loan Seller,
          the Master Servicer, a Servicer, the Depositor or an affiliate of the Depositor
          unless such successor securities administrator’s functions are operated through
          an institutional trust department of the Securities Administrator,
          (ii) must be authorized to exercise corporate trust powers under the laws
          of its jurisdiction of organization, and (iii) must be rated at least
“A/F1” by Fitch, if Fitch is a Rating Agency and if rated by Fitch, or the
          equivalent rating by Standard & Poor’s or Moody’s. If no successor
          securities administrator shall have been appointed and shall have accepted
          appointment within 60 days after the Securities Administrator ceases to be
          the Securities Administrator pursuant to Section 10.07, then the Trustee
          may (but shall not be obligated to) become the successor securities
          administrator. The Depositor shall appoint a successor to the Securities
          Administrator in accordance with Section 10.07. The Trustee shall notify
          the Rating Agencies of any change of Securities Administrator.

         

        Section
          10.07 Resignation
          and Removal of Securities Administrator.The
          Securities Administrator may at any time resign by giving written notice
          of
          resignation to the Depositor and the Trustee and each Rating Agency not
          less
          than 60 days before the date specified in such notice when, subject to
          Section 10.08, such resignation is to take effect, and acceptance by a
          successor securities administrator in accordance with Section 10.08 meeting
          the qualifications set forth in Section 10.06. If no successor securities
          administrator meeting such qualifications shall have been so appointed
          by the
          Depositor and have accepted appointment within 30 days after the giving of
          such notice of resignation, the resigning Securities Administrator may
          petition
          any court of competent jurisdiction for the appointment of a successor
          securities administrator.

         

        If
          at any
          time the Securities Administrator shall cease to be eligible in accordance
          with
          the provisions of Section 10.06 hereof and shall fail to resign after
          written request thereto by the Depositor, or if at any time the Securities
          Administrator shall become incapable of acting, or shall be adjudged as
          bankrupt
          or insolvent, or a receiver of the Securities Administrator or of its property
          shall be appointed, or any public officer shall take charge or control
          of the
          Securities Administrator or of its property or affairs for the purpose
          of
          rehabilitation, conservation or liquidation, or a tax is imposed with respect
          to
          the Trust Fund by any state in which the Securities Administrator or the
          Trust
          Fund is located and the imposition of such tax would be avoided by the
          appointment of a different securities administrator, then the Depositor
          may
          remove the Securities Administrator and appoint a successor securities
          administrator by written instrument, in triplicate, one copy of which instrument
          shall be delivered to the Securities Administrator so removed, one copy
          of which
          shall be delivered to the Master Servicer and one copy to the successor
          securities administrator.

         

        
          
            
            

          

          
            -122-

            
              

            

          

          
            
            

          

        

        The
          Holders of Certificates entitled to at least 51.00% of the Voting Rights
          may at
          any time remove the Securities Administrator and appoint a successor securities
          administrator by written instrument or instruments, in triplicate, signed
          by
          such Holders or their attorneys in fact duly authorized, one complete set
          of
          which instruments shall be delivered by the successor securities administrator
          to the Trustee, one complete set to the Securities Administrator so removed
          and
          one complete set to the successor so appointed. Notice of any removal of
          the
          Securities Administrator shall be given to the Derivative Counterparty
          and each
          Rating Agency by the successor securities administrator.

         

        Any
          resignation or removal of the Securities Administrator and appointment
          of a
          successor securities administrator pursuant to any of the provisions of
          this
          Section 10.07 shall become effective upon acceptance by the successor
          securities administrator of appointment as provided in Section 10.08
          hereof.

         

        If
          at any
          time, Wells Fargo, as Securities Administrator, resigns under this
          Section 10.07, or is removed as Securities Administrator pursuant to this
          Section 10.07, then at such time Wells Fargo shall also resign (and shall
          be entitled to resign) as Master Servicer under this Agreement.

         

        Section
          10.08 Successor
          Securities Administrator.Any
          successor securities administrator (which may be the Trustee) appointed
          as
          provided in Section 10.07 hereof shall execute, acknowledge and deliver to
          the Depositor and to its predecessor Securities Administrator and the Trustee
          an
          instrument accepting such appointment hereunder and thereupon the resignation
          or
          removal of the predecessor Securities Administrator shall become effective
          and
          such successor securities administrator, without any further act, deed
          or
          conveyance, shall become fully vested with all the rights, powers, duties
          and
          obligations of its predecessor hereunder, with the like effect as if originally
          named as Securities Administrator herein. The Depositor, the Trustee, the
          Master
          Servicer and the predecessor Securities Administrator shall execute and
          deliver
          such instruments and do such other things as may reasonably be required
          for more
          fully and certainly vesting and confirming in the successor securities
          administrator all such rights, powers, duties, and obligations.

         

        No
          successor securities administrator shall accept appointment as provided
          in this
          Section 10.08 unless at the time of such acceptance such successor
          securities administrator shall be eligible under the provisions of
          Section 10.06 hereof and its appointment shall not adversely affect then
          current rating of the Certificates, as confirmed in writing by each Rating
          Agency.

         

        Upon
          acceptance by a successor securities administrator of appointment as provided
          in
          this Section 10.08, the Depositor shall mail notice of the succession of
          such Securities Administrator hereunder to all Holders of Certificates
          and the
          Derivative Counterparty. If the Depositor fails to mail such notice within
          10 days after acceptance by the successor securities administrator of
          appointment, the successor securities administrator shall cause such notice
          to
          be mailed at the expense of the Depositor.

         

        Section
          10.09 Merger
          or Consolidation of Securities Administrator.Any
          corporation or other entity into which the Securities Administrator may
          be
          merged or converted or with which it may be consolidated or any corporation
          or
          other entity resulting from any merger, conversion or consolidation to
          which the
          Securities Administrator shall be a party, or any corporation or other
          entity
          succeeding to the business of the Securities Administrator, shall be the
          successor of the Securities Administrator hereunder, provided that such
          corporation or other entity shall be eligible under the provisions of
          Section 10.06 hereof, without the execution or filing of any paper or
          further act on the part of any of the parties hereto, anything herein to
          the
          contrary notwithstanding.

         

        
          
            
            

          

          
            -123-

            
              

            

          

          
            
            

          

        

        Section
          10.10 Assignment
          or Delegation of Duties by the Securities Administrator.Except
          as
          expressly provided herein, the Securities Administrator shall not assign
          or
          transfer any of its rights, benefits or privileges hereunder to any other
          Person, or delegate to or subcontract with, or authorize or appoint any
          other
          Person to perform any of the duties, covenants or obligations to be performed
          by
          the Securities Administrator; provided,
          however,
          that
          the Securities Administrator shall have the right with the prior written
          consent
          of the Depositor (which shall not be unreasonably withheld or delayed),
          and upon
          delivery to the Trustee, the Derivative Counterparty and the Depositor
          of a
          letter from each Rating Agency to the effect that such action shall not
          result
          in a downgrade of the ratings assigned to any of the Certificates, to delegate
          or assign to or subcontract with or authorize or appoint any qualified
          Person to
          perform and carry out any duties, covenants or obligations to be performed
          and
          carried out by the Securities Administrator hereunder. Notice of such permitted
          assignment shall be given promptly by the Securities Administrator to the
          Depositor and the Trustee. If, pursuant to any provision hereof, the duties
          of
          the Securities Administrator are transferred to a successor securities
          administrator, the entire compensation payable to the Securities Administrator
          pursuant hereto shall thereafter be payable to such successor securities
          administrator but in no event shall the fee payable to the successor securities
          administrator exceed that payable to the predecessor securities
          administrator.

         

        ARTICLE
          XI

         

        TERMINATION

         

        Section
          11.01 Termination
          upon Liquidation or Purchase of the Mortgage Loans.Subject
          to Section 11.03, the obligations and responsibilities of the Depositor,
          the Master Servicer, the Credit Risk Manager, the Securities Administrator
          and
          the Trustee created hereby with respect to the Trust Fund shall terminate
          upon
          the earlier of (a) the exercise of an Option to Purchase, on or after the
          Optional Termination Date, in the aggregate of all Mortgage Loans (and
          REO
          Properties) at the price (the “Termination
          Price”)
          equal
          to the sum of (i) 100.00% of the unpaid principal balance of each Mortgage
          Loan (other than in respect of REO Property) plus accrued and unpaid interest
          thereon at the applicable Mortgage Rate, (ii) the lesser of (x) the
          appraised value of any REO Property as determined by the higher of two
          appraisals completed by two independent appraisers selected by the Master
          Servicer at the expense of that Trust Fund and (y) the unpaid principal
          balance of each Mortgage Loan related to any REO Property, in each case
          plus
          accrued and unpaid interest thereon at the applicable Mortgage Rate,
          (iii) all unreimbursed P&I Advances, Servicing Advances and
          indemnification payments payable to the Servicers, (iv) any unreimbursed
          indemnification payments payable to the Trustee, the Securities Administrator,
          the Master Servicer or the Depositor under this Agreement and (v) any Swap
          Termination Payments payable to the Swap Counterparty as a result of a
          termination pursuant to this Section 11.01 and (b) the later of
          (i) the maturity or other liquidation (or any Advance with respect thereto)
          of the last Mortgage Loan remaining in the Trust Fund and the disposition
          of all
          REO Property and (ii) the distribution to Certificateholders of all amounts
          required to be distributed to them pursuant to this Agreement. In no event
          shall
          the trusts created hereby continue beyond the expiration of 21 years from
          the death of the survivor of the descendants of Joseph P. Kennedy, the
          late
          Ambassador of the United States to the Court of St. James’s, living on the
          date hereof.

         

        
          
            
            

          

          
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        Notwithstanding
          anything to the contrary contained herein, no such purchase by the Master
          Servicer (either upon instruction from the Depositor or voluntarily) shall
          be
          permitted unless (i) after distribution of the proceeds thereof to the
          Certificateholders (other than the Holders of the Class X, Class P and
          Residual Certificates and any other Classes of Certificates which constitute
          NIM
          Securities) pursuant to Section 11.02, the distribution of the remaining
          proceeds to the Class X and Class P Certificates is sufficient to pay
          the outstanding principal amount of and accrued and unpaid interest on
          the NIM
          Securities, to the extent the NIM Securities are then outstanding, or
          (ii) prior to such purchase, the Master Servicer, remits to the Securities
          Administrator an amount that, together with such remaining proceeds, will
          be
          sufficient to pay the outstanding principal amount of, and accrued and
          unpaid
          interest on, the NIM Securities, to the extent the NIM Securities are then
          outstanding.

         

        Section
          11.02 Final
          Distribution on the Certificates.
          If on
          any Remittance Date, the Master Servicer determines that there are no
          Outstanding Mortgage Loans and no other funds or assets in the Trust Fund
          other
          than the funds in any Collection Account, the Master Servicer shall direct
          the
          Securities Administrator promptly to send a Notice of Final Distribution
          to each
          Certificateholder and to the Swap Counterparty. If the Master Servicer
          (upon
          instruction from the Depositor or voluntarily) elects to exercise their
          option
          to purchase the Mortgage Loans pursuant to clause (a) of
          Section 11.01, at least 20 days prior to the date the Notice of Final
          Distribution is to be mailed to the affected Certificateholders, the Master
          Servicer shall notify the Depositor, the Derivative Counterparty and the
          Securities Administrator of (a) the date on which the Master Servicer
          intends to exercise such purchase option and (b) the Termination
          Price.

         

        A
          Notice
          of Final Distribution, specifying the Distribution Date on which
          Certificateholders may surrender their Certificates for payment of the
          final
          distribution and cancellation, shall be given promptly by the Securities
          Administrator by letter to Certificateholders mailed not earlier than the
          10th
          day and not later than the 15th day of the month of such final distribution.
          Any
          such Notice of Final Distribution shall specify (a) the Distribution Date
          upon which final distribution on the Certificates will be made upon presentation
          and surrender of Certificates at the office therein designated, (b) the
          amount of such final distribution, (c) the location of the office or agency
          at which such presentation and surrender must be made and (d) that the
          Record Date otherwise applicable to such Distribution Date is not applicable,
          distributions being made only upon presentation and surrender of the
          Certificates at the office therein specified. The Securities Administrator
          will
          give such Notice of Final Distribution to the Swap Counterparty and to
          each
          Rating Agency at the time such Notice of Final Distribution is given to
          Certificateholders.

         

        
          
            
            

          

          
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        Upon
          the
          final deposit with respect to the Trust Fund and the receipt by the Custodian
          of
          a Request for Release therefor, the Custodian shall promptly release to
          the
          Servicers the Custodial Files for the Mortgage Loans.

         

        Upon
          presentation and surrender of the Certificates, the Securities Administrator
          shall cause to be distributed to the Certificateholders of each
          Class (after reimbursement of all amounts due to the Servicers under the
          Servicing Agreements and the Master Servicer, the Securities Administrator,
          the
          Depositor, the Trustee and the Swap Counterparty hereunder), in each case
          on the
          final Distribution Date and in the order set forth in Section 4.02, in
          proportion to their respective Percentage Interests, with respect to
          Certificateholders of the same Class, up to an amount equal to (i) as to
          each Class of Regular Certificates (except the Class X Certificates),
          the Certificate Balance thereof plus for each such Class and the
          Class X Certificates accrued interest thereon in the case of an
          interest-bearing Certificate and all other amounts to which such Classes
          are
          entitled pursuant to Section 4.02 and (ii) as to the Residual
          Certificates, the amount, if any, which remains on deposit in the Distribution
          Account (other than the amounts retained to meet claims) after application
          pursuant to clause (i) above.

         

        In
          the
          event that any affected Certificateholders shall not surrender Certificates
          for
          cancellation within six months after the date specified in the Notice of
          Final
          Distribution, the Securities Administrator shall give a second written
          notice to
          the remaining Certificateholders to surrender their Certificates for
          cancellation and receive the final distribution with respect thereto. If
          within
          six months after such second notice all the applicable Certificates shall
          not
          have been surrendered for cancellation, the Securities Administrator may
          take
          appropriate steps, or may appoint an agent to take appropriate steps, to
          contact
          the remaining Certificateholders concerning surrender of their Certificates,
          and
          the cost thereof shall be paid out of the funds and other assets which
          remain a
          part of the Trust Fund. If within one year after the second notice all
          Certificates shall not have been surrendered for cancellation, the Class R
          Certificateholders shall be entitled to all unclaimed funds and other assets
          of
          the Trust Fund which remain subject hereto.

         

        Section
          11.03 Additional
          Termination Requirements.
          In the
          event an Option to Purchase is exercised with respect to the Mortgage Loans
          as
          provided in Section 11.01, the Trust Fund shall be terminated in accordance
          with the following additional requirements, unless the Trustee has been
          supplied
          with an Opinion of Counsel, at the expense of the party upon whose instruction
          causes the exercise of an Option to Purchase, to the effect that the failure
          to
          comply with the requirements of this Section 11.03 will not (i) result
          in the imposition of taxes on “prohibited transactions” on any REMIC formed
          hereby as defined in Section 860F of the Code or (ii) cause any REMIC
          formed hereby to fail to qualify as a REMIC at any time that any Certificates
          are outstanding:

         

        (a) The
          Securities Administrator on behalf of the Trustee shall sell all of the
          assets
          of the Trust Fund to the party exercising the Option to Purchase, and,
          within
          90 days of such sale, shall distribute to the Certificateholders the
          proceeds of such sale in complete liquidation of each REMIC formed hereby;
          and

         

        (b) The
          Securities Administrator shall attach a statement to the final federal
          income
          tax return for each REMIC formed hereby stating that pursuant to Treasury
          Regulations Section 1.860F-1, the first day of the 90-day liquidation
          period for each such REMIC was the date on which the Securities Administrator
          on
          behalf of the Trustee sold the assets of the Trust Fund to the Master
          Servicer.

         

        
          
            
            

          

          
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        ARTICLE
          XII

         

        MISCELLANEOUS
          PROVISIONS

         

        Section
          12.01 Amendment
          .
          (a) This
          Agreement may be amended from time to time by the Depositor, the Master
          Servicer, the Securities Administrator and the Trustee, without the consent
          of
          any of the Certificateholders or the Derivative Counterparty (except to
          the
          extent that the rights or obligations of the Derivative Counterparty under
          the
          Cap Agreement or the Swap Agreement are affected thereby, and except to
          the
          extent that the ability of the Securities Administrator to perform fully
          and
          timely its obligations under the Cap Agreement or the Swap Agreement is
          adversely affected, in which case prior written consent of the Derivative
          Counterparty is required) (i) to cure any ambiguity or mistake,
          (ii) to correct any defective provision herein or to supplement any
          provision herein which may be inconsistent with any other provision herein,
          (iii) to add to the duties of the Depositor, the Master Servicer, the
          Securities Administrator or the Trustee, (iv) to add any other provisions
          with respect to matters or questions arising hereunder, (v) to modify,
          alter, amend, add to or rescind any of the terms or provisions contained
          in this
          Agreement, (vi) to comply with the requirements of the Internal Revenue
          Code or
          (vii) to conform this agreement to the Offering Documents provided to investors
          in connection with the offering of the Certificates; provided,
          that
          any action pursuant to clause (iv) or (v) above shall not, as
          evidenced by an Opinion of Counsel (which Opinion of Counsel shall not
          be an
          expense of the Trustee, the Master Servicer, the Securities Administrator
          or the
          Trust Fund), adversely affect in any material respect the interests of
          any
          Certificateholder; provided,
          further,
          that
          any such action pursuant to clause (iv) or (v) above shall not be
          deemed to adversely affect in any material respect the interests of the
          Certificateholders if the Person requesting the amendment obtains a letter
          from
          each Rating Agency stating that the amendment would not result in the
          downgrading or withdrawal of the respective ratings then assigned to the
          Certificates; it being understood and agreed that any such letter in and
          of
          itself will not represent a determination as to the materiality of any
          such
          amendment and will represent a determination only as to the credit issues
          affecting any such rating. The Trustee, the Depositor, the Master Servicer
          and
          the Securities Administrator also may at any time and from time to time
          amend
          this Agreement, but without the consent of the Certificateholders or the
          Derivative Counterparty (except to the extent that the rights or obligations
          of
          the Derivative Counterparty hereunder or under the Cap Agreement or the
          Swap
          Agreement are affected thereby, and except to the extent that the ability
          of the
          Securities Administrator to perform fully and timely its obligations under
          the
          Cap Agreement or the Swap Agreement is adversely affected, in which case
          prior
          written consent of the Derivative Counterparty is required) to modify,
          eliminate
          or add to any of its provisions to such extent as shall be necessary or
          helpful
          to (i) maintain the qualification of each REMIC created hereunder under the
          Code, (ii) avoid or minimize the risk of the imposition of any tax on any
          REMIC created hereunder pursuant to the Code that would be a claim at any
          time
          prior to the final redemption of the Certificates or (iii) comply with any
          other requirements of the Code; provided,
          that
          the Trustee and the Master Servicer have been provided an Opinion of Counsel,
          which opinion shall be an expense of the party requesting such opinion
          but in
          any case shall not be an expense of the Trustee or the Trust Fund, to the
          effect
          that such action is necessary or helpful to, as applicable, (i) maintain
          such qualification, (ii) avoid or minimize the risk of the imposition of
          such a tax or (iii) comply with any such requirements of the
          Code.

         

        
          
            
            

          

          
            -127-

            
              

            

          

          
            
            

          

        

        This
          Agreement may also be amended from time to time by the Depositor, the Master
          Servicer, the Securities Administrator and the Trustee, but with the consent
          of
          the Holders of Certificates evidencing Percentage Interests aggregating
          not less
          than 662/3%
          of each
          Class of Certificates affected thereby for the purpose of adding any
          provisions to or changing in any manner or eliminating any of the provisions
          of
          this Agreement or of modifying in any manner the rights of the Holders
          of
          Certificates; provided,
          however,
          that no
          such amendment shall (i) reduce in any manner the amount of, or delay the
          timing of, payments required to be distributed on any Certificate without
          the
          consent of the Holder of such Certificate, (ii) adversely affect in any
          material respect the interests of the Holders of any Class of Certificates
          in a manner other than as described in clause (i), without the consent of
          the Holders of Certificates of such Class evidencing, as to such Class,
          Percentage Interests aggregating not less than 662/3%,
          (iii) reduce the aforesaid percentages of Certificates the Holders of which
          are required to consent to any such amendment, without the consent of the
          Holders of all such Certificates then outstanding or (iv) adversely affect
          the
          rights or obligations of the Derivative Counterparty hereunder or under
          the Cap
          Agreement or the Swap Agreement or the rights of the Securities Administrator
          to
          fully and timely perform its obligations under the Cap Agreement or the
          Swap
          Agreement without obtaining the prior written consent of the Derivative
          Counterparty.

         

        Notwithstanding
          any contrary provision of this Agreement, the Trustee and the Master Servicer
          shall not consent to any amendment to this Agreement unless (i) it shall
          have first received an Opinion of Counsel, which opinion shall not be an
          expense
          of the Trustee, the Master Servicer or the Trust Fund, to the effect that
          such
          amendment will not cause the imposition of any tax on any REMIC created
          hereunder or the Certificateholders or cause any such REMIC to fail to
          qualify
          as a REMIC or the grantor trust to fail to qualify as a grantor trust at
          any
          time that any Certificates are outstanding and (ii) the party seeking such
          amendment shall have provided written notice to the Rating Agencies (with
          a copy
          of such notice to the Trustee, the Master Servicer and the Derivative
          Counterparty) of such amendment, stating the provisions of the Agreement
          to be
          amended.

         

        Notwithstanding
          the foregoing provisions of this Section 12.01(a), with respect to any
          amendment that significantly modifies the permitted activities of the Trustee,
          any Certificate beneficially owned by the Depositor shall be deemed not
          to be
          outstanding (and shall not be considered when determining the percentage
          of
          Certificateholders consenting or when calculating the total number of
          Certificates entitled to consent) for purposes of determining if the requisite
          consents of Certificateholders under this Section 12.01(a) have been
          obtained.

         

        Promptly
          after the execution of any amendment to this Agreement requiring the consent
          of
          Certificateholders, the Trustee shall furnish written notification of the
          substance or a copy of such amendment to each Certificateholder and each
          Rating
          Agency.

         

        It
          shall
          not be necessary for the consent of Certificateholders under this
          Section 12.01 to approve the particular form of any proposed amendment, but
          it shall be sufficient if such consent shall approve the substance thereof.
          The
          manner of obtaining such consents and of evidencing the authorization of
          the
          execution thereof by Certificateholders shall be subject to such reasonable
          regulations as the Trustee may prescribe.

         

        
          
            
            

          

          
            -128-

            
              

            

          

          
            
            

          

        

        Nothing
          in this Agreement shall require the Trustee, the Master Servicer or the
          Securities Administrator to enter into an amendment without receiving an
          Opinion
          of Counsel (which opinion shall not be an expense of the Trustee, the Master
          Servicer, the Securities Administrator or the Trust Fund), satisfactory
          to the
          Trustee, the Master Servicer and the Securities Administrator, as applicable,
          that (i) such amendment is permitted and is not prohibited by this
          Agreement and that all requirements for amending this Agreement have been
          complied with and (ii) either (A) the amendment does not adversely
          affect in any material respect the interests of any Certificateholder or
          (B) the conclusion set forth in the immediately preceding
          clause (A) is not required to be reached pursuant to this
          Section 12.01(a).

         

        (b)
          No
          party hereto shall agree to amend any Servicing Agreement unless the party
          requesting such amendment, at such party’s expense, has delivered to the Trustee
          and the Master Servicer an Opinion of Counsel that such amendment (i) is
          permitted under the terms of the applicable Servicing Agreement and (ii)
          will
          not materially adversely affect the interest of the Certificateholders
          in the
          Mortgage Loans or the NIM Securities to be issued in the NIMS Transaction.
          

         

        Section
          12.02 Recordation
          of Agreement; Counterparts.
          This
          Agreement is subject to recordation in all appropriate public offices for
          real
          property records in all the counties or other comparable jurisdictions
          in which
          any or all of the Mortgaged Properties are situated, and in any other
          appropriate public recording office or elsewhere, such recordation to be
          effected by the Securities Administrator at the direction and expense of
          the
          Depositor, but only upon receipt of an Opinion of Counsel to the effect
          that
          such recordation materially and beneficially affects the interests of the
          Certificateholders.

         

        For
          the
          purpose of facilitating the recordation of this Agreement as herein provided
          and
          for other purposes, this Agreement may be executed simultaneously in any
          number
          of counterparts, each of which counterparts shall be deemed to be an original,
          and such counterparts shall constitute but one and the same
          instrument.

         

        Section
          12.03 Governing
          Law.
          THIS
          AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE SUBSTANTIVE
          LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED
          IN THE STATE OF NEW YORK AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE
          PARTIES
          HERETO AND THE CERTIFICATEHOLDERS SHALL BE DETERMINED IN ACCORDANCE WITH
          SUCH
          LAWS.

         

        
          
            
            

          

          
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        Section
          12.04 Intention
          of Parties.
          (a) It
          is intended that the conveyance of the Depositor’s right, title and interest in
          and to property constituting the Trust Fund pursuant to this Agreement
          shall
          constitute, and shall be construed as, a sale of such property and not
          a grant
          of a security interest to secure a loan. However, if such conveyance is
          deemed
          to be in respect of a loan, it is intended that: (1) the rights and obligations
          of the parties shall be established pursuant to the terms of this Agreement;
          (2)
          the Depositor hereby grants to the Trustee for the benefit of the Holders
          of the
          Certificates a first priority security interest to secure repayment of
          an
          obligation in an amount equal to the aggregate Class Principal Amount of
          the
          Certificates in all of the Depositor’s right, title and interest in, to and
          under, whether now owned or hereafter acquired, the Trust Fund and the
          Supplemental Interest Trust and all proceeds of any and all property
          constituting the Trust Fund and the Supplemental Interest Trust to secure
          payment of the Certificates (such security interest being, to the extent
          of the
          assets that constitute the Supplemental Interest Trust, pari
          passu
          with the
          security interest as provided in clause (4) below); (3) this Agreement
          shall
          constitute a security agreement under applicable law; and (4) the Derivative
          Counterparty shall be deemed, during the term of such agreement and while
          such
          agreement is the property of the Trustee, to have a security interest in
          all of
          the assets that constitute the Supplemental Interest Trust, but only to
          the
          extent of such Derivative Counterparty’s right to payment under the Derivative
          Agreements (such security interest being pari
          passu
          with the
          security interest as provided in clause (2) above). If such conveyance
          is deemed
          to be in respect of a loan and the trust created by this Agreement terminates
          prior to the satisfaction of the claims of any Person holding any Certificate,
          the security interest created hereby shall continue in full force and effect
          and
          the Trustee shall be deemed to be the collateral agent for the benefit
          of such
          Person, and all proceeds shall be distributed by the Securities Administrator
          as
          herein provided.

         

        (b) The
          Depositor shall, to the extent consistent with this Agreement, take such
          reasonable actions as may be necessary to ensure that, if this Agreement
          were
          deemed to create a security interest in the Mortgage Loans and the other
          property described above, such security interest would be deemed to be
          a
          perfected security interest of first priority under applicable law and
          shall be
          maintained as such throughout the term of this Agreement. The Depositor
          shall,
          at its own expense, make all initial filings on or about the Closing Date
          and
          shall forward a copy of such filing or filings to the Trustee. Without
          limiting
          the generality of the foregoing, the Depositor shall prepare and forward
          for
          filing, or shall cause to be forwarded for filing, at the expense of the
          Depositor, all filings necessary to maintain the effectiveness of any original
          filings necessary under the relevant UCC to perfect the Trustee’s security
          interest in or lien on the Mortgage Loans, including without limitation
          (x)
          continuation statements, and (y) such other statements as may be occasioned
          by
          (1) any change of name of the Sponsor, the Depositor or the Trustee, (2)
          any
          change of location of the jurisdiction of organization of the Sponsor or
          the
          Depositor, (3) any transfer of any interest of the Sponsor or the Depositor
          in
          any Mortgage Loan or (4) any change under the relevant UCC or other applicable
          laws. Neither the Sponsor nor the Depositor shall organize under the law
          of any
          jurisdiction other than the State under which each is organized as of the
          Closing Date (whether changing its jurisdiction of organization or organizing
          under an additional jurisdiction) without giving 30 days prior written
          notice of
          such action to its immediate and intermediate transferee, including the
          Trustee.
          Before effecting such change, the Sponsor or the Depositor proposing to
          change
          its jurisdiction of organization shall prepare and file in the appropriate
          filing office any financing statements or other statements necessary to
          continue
          the perfection of the interests of its immediate and intermediate transferees,
          including the Trustee, in the Mortgage Loans. In connection with the
          transactions contemplated by this Agreement, each of the Sponsor and the
          Depositor authorizes its immediate or intermediate transferee to file in
          any
          filing office any initial financing statements, any amendments to financing
          statements, any continuation statements, or any other statements or filings
          described in this paragraph (b).

         

        
          
            
            

          

          
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        Section
          12.05 Notices.
          (a)  The Securities Administrator shall use its best efforts to
          promptly provide notice to each Rating Agency with respect to each of the
          following of which it has actual knowledge:

         

        1. Any
          material change or amendment to this Agreement;

         

        2. The
          occurrence of any Event of Default that has not been cured;

         

        3. The
          resignation or termination of a Servicer, the Master Servicer, the Securities
          Administrator or the Trustee and the appointment of any successor;

         

        4. The
          repurchase or substitution of Mortgage Loans pursuant to Section 2.03 or
          pursuant to a Transfer Agreement; 

         

        5. The
          final
          payment to Certificateholders; and

         

        6. An
          Early
          Termination Event with respect to the Cap Agreement or the Swap
          Agreement.

         

        (b) In
          addition, the Securities Administrator shall promptly make available on
          its
          internet website to each Rating Agency copies of the following:

         

        1. Each
          report to Certificateholders described in Section 4.03; and

         

        2. Any
          notice of a purchase of a Mortgage Loan pursuant to
          Section 2.03.

         

        (c) All
          directions, demands, consents and notices hereunder shall be in writing
          and
          shall be deemed to have been duly given when delivered to: 

         

        (i) in
          the
          case of the Depositor,
          HSI
          Asset Securitization Corporation, 452 Fifth Avenue, 10th
          Floor,
          New York, New York 10018, Attention: Head MBS Principal Finance, or such
          other
          address as may be hereafter furnished to the other parties by the Depositor
          in
          writing;

         

        (ii) in
          the
          case of the Master Servicer,
          Wells
          Fargo Bank, N.A., P.O. Box 98, Columbia, Maryland 21046, with a copy to
          9062 Old
          Annapolis Road, Columbia, Maryland 21045, Attention: Client Service Manager
          -
          HASCO 2006-HE1, or such other address as may be hereafter furnished to
          the to
          the other parties by Wells Fargo in writing;

         

        (iii) in
          the
          case of the Trustee,
          the
          Corporate Trust Office (Attention: Corporate Trust Services - HB06H1),
          or such
          other address as may be hereafter furnished to the to the other parties
          by the
          Trustee in writing;

         

        (iv) in
          the
          case of the Derivative Counterparty,
          Wachovia Bank, National Association, 301 South College Street, NC-8, Charlotte,
          North Carolina, 28202-0600, Attention: Bruce M. Young; and

         

        
          
            
            

          

          
            -131-

            
              

            

          

          
            
            

          

        

        (v) in
          the
          case of the Credit Risk Manager,
          Clayton
          Fixed Income Services Inc., 1700 Lincoln Street, Suite 1606, Denver, Colorado
          80203, Attention: General Counsel. Notices to Certificateholders shall
          be deemed
          given when mailed, first class postage prepaid, to their respective addresses
          appearing in the Certificate Register

         

        (vi) in
          the
          case of each of the Rating Agencies,
          the
          address specified therefor in the definition corresponding to the name
          of such
          Rating Agency; 

         

        Section
          12.06 Severability
          of Provisions.
          If any
          one or more of the covenants, agreements, provisions or terms of this Agreement
          shall be for any reason whatsoever held invalid, then such covenants,
          agreements, provisions or terms shall be deemed severable from the remaining
          covenants, agreements, provisions or terms of this Agreement and shall
          in no way
          affect the validity or enforceability of the other provisions of this Agreement
          or of the Certificates or the rights of the Holders thereof.

         

        Section
          12.07 Limitation
          on Rights of Certificateholders.
          The
          death or incapacity of any Certificateholder shall not operate to terminate
          this
          Agreement or the trust created hereby, nor entitle such Certificateholder’s
          legal representative or heirs to claim an accounting or to take any action
          or
          commence any proceeding in any court for a petition or winding up of the
          trust
          created hereby, or otherwise affect the rights, obligations and liabilities
          of
          the parties hereto or any of them.

         

        No
          Certificateholder shall have any right to vote (except as provided herein)
          or in
          any manner otherwise control the operation and management of the Trust
          Fund, or
          the obligations of the parties hereto, nor shall anything herein set forth
          or
          contained in the terms of the Certificates be construed so as to constitute
          the
          Certificateholders from time to time as partners or members of an association;
          nor shall any Certificateholder be under any liability to any third party
          by
          reason of any action taken by the parties to this Agreement pursuant to
          any
          provision hereof.

         

        No
          Certificateholder shall have any right by virtue or by availing itself
          of any
          provisions of this Agreement to institute any suit, action or proceeding
          in
          equity or at law upon or under or with respect to this Agreement, unless
          such
          Holder previously shall have given to the Trustee a written notice of an
          Event
          of Default and of the continuance thereof, as herein provided, and unless
          the
          Holders of Certificates evidencing not less than 25.00% of the Voting Rights
          evidenced by the Certificates shall also have made written request to the
          Trustee to institute such action, suit or proceeding in its own name as
          Trustee
          hereunder and shall have offered to the Trustee such reasonable indemnity
          as it
          may require against the costs, expenses, and liabilities to be incurred
          therein
          or thereby, and the Trustee, for 60 days after its receipt of such notice,
          request and offer of indemnity shall have neglected or refused to institute
          any
          such action, suit or proceeding; it being understood and intended, and
          being
          expressly covenanted by each Certificateholder with every other
          Certificateholder and the Trustee, that no one or more Holders of Certificates
          shall have any right in any manner whatever by virtue or by availing itself
          or
          themselves of any provisions of this Agreement to affect, disturb or prejudice
          the rights of the Holders of any other of the Certificates, or to obtain
          or seek
          to obtain priority over or preference to any other such Holder or to enforce
          any
          right under this Agreement, except in the manner herein provided and for
          the
          common benefit of all Certificateholders. For the protection and enforcement
          of
          the provisions of this Section 12.08, each and every Certificateholder and
          the Trustee shall be entitled to such relief as can be given either at
          law or in
          equity.

         

        
          
            
            

          

          
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        Section
          12.08 Certificates
          Nonassessable and Fully Paid.
          It is
          the intention of the Depositor that Certificateholders shall not be personally
          liable for obligations of the Trust Fund, that the interests in the Trust
          Fund
          represented by the Certificates shall be nonassessable for any reason
          whatsoever, and that the Certificates, upon due authentication thereof
          by the
          Securities Administrator pursuant to this Agreement, are and shall be deemed
          fully paid.

         

        Section
          12.09 Rule of
          Construction.
          Article
          and section headings are for the convenience of the reader and shall not
          be
          considered in interpreting this Agreement or the intent of the parties
          hereto.

         

        Section
          12.10 Waiver
          of Jury Trial.
          EACH
          PARTY HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY, WAIVES (TO THE EXTENT
          PERMITTED BY APPLICABLE LAW) ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY OF
          ANY
          DISPUTE ARISING UNDER OR RELATING TO THIS AGREEMENT AND AGREES THAT ANY
          SUCH
          DISPUTE SHALL BE TRIED BEFORE A JUDGE SITTING WITHOUT A JURY.

         

        [SIGNATURE
          PAGE FOLLOWS]

         

        
          
            
            

          

          
            -133-

            
              

            

          

          
            
            

          

        

      

      
         

        IN
          WITNESS WHEREOF, each of the parties below have caused their names to be
          signed
          hereto by their respective officers thereunto duly authorized as of the
          day and
          year first above written.

         

        HSI
          ASSET
          SECURITIZATION CORPORATION, as Depositor

         

        By
/s/
          Andrea
          Lenox                                           

        Name:
          Andrea Lenox

        Title:
          Vice President

         

        DEUTSCHE
          BANK NATIONAL TRUST COMPANY, solely as Trustee and not in its individual
          capacity

         

        By:
          /s/ Ronaldo
          Reyes                                        

        Name:
          Ronaldo Reyes

        Title:
          Vice President

         

        DEUTSCHE
          BANK NATIONAL TRUST COMPANY, solely as Trustee and not in its individual
          capacity

         

        By:
          /s/ Melissa
          Wilman                                      

        Name:
          Melissa Wilman

        Title:
          Vice President

         

        WELLS
          FARGO BANK, N.A., as Master Servicer

         

        By:
          /s/ Martin
          Reed                                             

        Name:
          Martin Reed

        Title:
          Vice President

         

        
          
            
            

          

          
            
            

            
              

            

          

          
            
            

          

        

        WELLS
          FARGO BANK, N.A., as Securities Administrator

         

        By:
          /s/ Martin
          Reed                                             

        Name:
          Martin Reed

        Title:
          Vice President

         

        WELLS
          FARGO BANK, N.A., as Custodian

         

        By:
          /s/ Patrick M
          Gorrien                                    

        Name:
          Patrick M Gorrien

        Title:
          Vice President

         

        CLAYTON
          FIXED INCOME SERVICES INC., as Credit Risk Manager

         

        By:
          /s/ Kevin J
          Kanouff                                      

        Name:
          Kevin J Kanouff

        Title:
          President and General Counsel

        

         

        
          
            
            

          

          
            
            

            
              

            

          

          
            
            

          

        

        ACKNOWLEDGED
          BY HSBC BANK USA, NATIONAL ASSOCIATION,

        as
          Sponsor, solely for the purposes of Section 2.03(d). 

         

        By:
          /s/ Jon E .
          Voigtman                                     

        Name:
          Jon
          E . Voigtman

        Title:
          Managing Director #14311

         

        
          
            
            

          

          
            
            

            
              

            

          

          
            
            

          

        

        SCHEDULE
          I

         

        Mortgage
          Loan Schedule

        

        [To
          be
          retained in a separate closing binder entitled “HASCO 2006-HE1 Mortgage Loan
          Schedules” at the Washington, D.C. offices of McKee Nelson LLP]

         

        
          
            
            

          

          
            SCH.
              I-1

            
              

            

          

          
            
            

          

        

        SCHEDULE
          II

         

        Required
          Deposit Trigger Aamount Schedule

      

    

    

      
        	
                Distribution
                  Date occurring in:

              	 	
                Required
                  Deposit

                Trigger
                  Amount ($):

              
	
                November
                  2016

              	 	
                17,624,057.99

              
	
                December
                  2016

              	 	
                17,379,613.51

              
	
                January
                  2017

              	 	
                17,138,497.95

              
	
                February
                  2017

              	 	
                16,900,666.29

              
	
                March
                  2017

              	 	
                16,666,074.08

              
	
                April
                  2017

              	 	
                16,434,677.51

              
	
                May
                  2017

              	 	
                16,206,433.33

              
	
                June
                  2017

              	 	
                15,981,298.89

              
	
                July
                  2017

              	 	
                15,759,232.11

              
	
                August
                  2017

              	 	
                15,540,191.48

              
	
                September
                  2017

              	 	
                15,324,136.05

              
	
                October
                  2017

              	 	
                15,111,025.42

              
	
                November
                  2017

              	 	
                14,900,819.74

              
	
                December
                  2017

              	 	
                14,693,479.69

              
	
                January
                  2018

              	 	
                14,488,966.48

              
	
                February
                  2018

              	 	
                14,287,241.86

              
	
                March
                  2018

              	 	
                14,088,268.08

              
	
                April
                  2018

              	 	
                13,892,007.91

              
	
                May
                  2018

              	 	
                13,698,424.60

              
	
                June
                  2018

              	 	
                13,507,481.92

              
	
                July
                  2018

              	 	
                13,319,144.13

              
	
                August
                  2018

              	 	
                13,133,375.95

              
	
                September
                  2018

              	 	
                12,950,142.60

              
	
                October
                  2018

              	 	
                12,769,409.75

              
	
                November
                  2018

              	 	
                12,591,143.55

              
	
                December
                  2018

              	 	
                12,415,310.59

              
	
                January
                  2019

              	 	
                12,241,877.92

              
	
                February
                  2019

              	 	
                12,070,813.05

              
	
                March
                  2019

              	 	
                11,902,083.90

              
	
                April
                  2019

              	 	
                11,735,658.83

              
	
                May
                  2019

              	 	
                11,571,506.65

              
	
                June
                  2019

              	 	
                11,409,596.56

              
	
                July
                  2019

              	 	
                11,249,898.20

              
	
                August
                  2019

              	 	
                11,092,381.61

              
	
                September
                  2019

              	 	
                10,937,017.22

              
	
                October
                  2019

              	 	
                10,783,775.89

              
	
                November
                  2019

              	 	
                10,632,628.85

              
	
                December
                  2019

              	 	
                10,483,547.72

              
	
                January
                  2020

              	 	
                10,336,504.51

              

      

       

      
        
          
          

        

        
          SCH.
            II-1

          
            

          

        

        
          
          

          
            	
                    Distribution
                      Date occurring in:

                  	 	
                    Required
                      Deposit

                    Trigger
                      Amount ($):

                  

          

        

      

      
        	
                February
                  2020

              	 	
                10,191,471.61

              
	
                March
                  2020

              	 	
                10,048,421.78

              
	
                April
                  2020

              	 	
                9,907,328.15

              
	
                May
                  2020

              	 	
                9,768,164.19

              
	
                June
                  2020

              	 	
                9,630,903.77

              
	
                July
                  2020

              	 	
                9,495,521.08

              
	
                August
                  2020

              	 	
                9,361,990.67

              
	
                September
                  2020

              	 	
                9,230,287.43

              
	
                October
                  2020

              	 	
                9,100,386.59

              
	
                November
                  2020

              	 	
                8,972,263.73

              
	
                December
                  2020

              	 	
                8,845,894.73

              
	
                January
                  2021

              	 	
                8,721,255.82

              
	
                February
                  2021

              	 	
                8,598,323.53

              
	
                March
                  2021

              	 	
                8,477,074.74

              
	
                April
                  2021

              	 	
                8,357,486.60

              
	
                May
                  2021

              	 	
                8,239,536.61

              
	
                June
                  2021

              	 	
                8,123,202.54

              
	
                July
                  2021

              	 	
                8,008,462.49

              
	
                August
                  2021

              	 	
                7,895,294.82

              
	
                September
                  2021

              	 	
                7,783,678.21

              
	
                October
                  2021

              	 	
                7,673,591.63

              
	
                November
                  2021

              	 	
                7,565,014.31

              
	
                December
                  2021

              	 	
                7,457,925.78

              
	
                January
                  2022 

              	 	
                7,352,305.85

              
	
                February
                  2022 

              	 	
                7,248,134.58

              
	
                March
                  2022

              	 	
                7,145,392.33

              
	
                April
                  2022

              	 	
                7,044,059.69

              
	
                May
                  2022

              	 	
                6,944,117.55

              
	
                June
                  2022

              	 	
                6,845,547.02

              
	
                July
                  2022

              	 	
                6,748,329.51

              
	
                August
                  2022

              	 	
                6,652,446.63

              
	
                September
                  2022

              	 	
                6,557,880.27

              
	
                October
                  2022

              	 	
                6,464,612.58

              
	
                November
                  2022

              	 	
                6,372,625.90

              
	
                December
                  2022

              	 	
                6,281,902.86

              
	
                January
                  2023

              	 	
                6,192,426.29

              
	
                February
                  2023 

              	 	
                6,104,179.28

              
	
                March
                  2023

              	 	
                6,017,145.12

              
	
                April
                  2023

              	 	
                5,931,307.34

              
	
                May
                  2023

              	 	
                5,846,649.70

              
	
                June
                  2023

              	 	
                5,763,156.17

              
	
                July
                  2023

              	 	
                5,680,810.94

              
	
                August
                  2023

              	 	
                5,599,598.41

              
	
                September
                  2023

              	 	
                5,519,503.19

              

      

       

      
        
          
          

        

        
          SCH.
            II-2

          
            

          

        

        
          
          

        

      

      
        	
                Distribution
                  Date occurring in:

              	 	
                Required
                  Deposit

                Trigger
                  Amount ($):

              

      

      
        	
                October
                  2023

              	 	
                5,440,510.11

              
	
                November
                  2023

              	 	
                5,362,604.18

              
	
                December
                  2023

              	 	
                5,285,770.65

              
	
                January
                  2024

              	 	
                5,209,994.93

              
	
                February
                  2024 

              	 	
                5,135,262.65

              
	
                March
                  2024

              	 	
                5,061,559.63

              
	
                April
                  2024

              	 	
                4,988,871.89

              
	
                May
                  2024

              	 	
                4,917,185.62

              
	
                June
                  2024

              	 	
                4,846,487.21

              
	
                July
                  2024

              	 	
                4,776,763.23

              
	
                August
                  2024

              	 	
                4,708,000.43

              
	
                September
                  2024

              	 	
                4,640,185.75

              
	
                October
                  2024

              	 	
                4,573,306.29

              
	
                November
                  2024

              	 	
                4,507,349.34

              
	
                December
                  2024

              	 	
                4,442,302.35

              
	
                January
                  2025

              	 	
                4,378,152.95

              
	
                February
                  2025 

              	 	
                4,314,888.92

              
	
                March
                  2025

              	 	
                4,252,498.23

              
	
                April
                  2025

              	 	
                4,190,968.99

              
	
                May
                  2025

              	 	
                4,130,289.48

              
	
                June
                  2025

              	 	
                4,070,448.15

              
	
                July
                  2025

              	 	
                4,011,433.58

              
	
                August
                  2025

              	 	
                3,953,234.53

              
	
                September
                  2025

              	 	
                3,895,839.91

              
	
                October
                  2025

              	 	
                3,839,238.75

              
	
                November
                  2025

              	 	
                3,783,420.26

              
	
                December
                  2025

              	 	
                3,728,373.79

              
	
                January
                  2026

              	 	
                3,674,088.83

              
	
                February
                  2026 

              	 	
                3,620,555.01

              
	
                March
                  2026

              	 	
                3,567,762.10

              
	
                April
                  2026

              	 	
                3,515,700.01

              
	
                May
                  2026

              	 	
                3,464,358.80

              
	
                June
                  2026

              	 	
                3,413,728.63

              
	
                July
                  2026

              	 	
                3,363,799.84

              
	
                August
                  2026

              	 	
                3,314,562.86

              
	
                September
                  2026

              	 	
                3,266,008.27

              
	
                October
                  2026

              	 	
                3,218,126.77

              
	
                November
                  2026

              	 	
                3,170,909.20

              
	
                December
                  2026

              	 	
                3,124,346.50

              
	
                January
                  2027

              	 	
                3,078,429.75

              
	
                February
                  2027 

              	 	
                3,033,150.14

              
	
                March
                  2027

              	 	
                2,988,499.00

              
	
                April
                  2027

              	 	
                2,944,467.75

              
	
                May
                  2027

              	 	
                2,901,047.95

              

      

       

      
        
          
          

        

        
          SCH.
            II-3

          
            

          

        

        
          
          

        

      

      
        	
                Distribution
                  Date occurring in:

              	 	
                Required
                  Deposit

                Trigger
                  Amount ($):

              

      

      
        	
                June
                  2027

              	 	
                2,858,231.25

              
	
                July
                  2027

              	 	
                2,816,009.44

              
	
                August
                  2027

              	 	
                2,774,374.40

              
	
                September
                  2027

              	 	
                2,733,318.12

              
	
                October
                  2027

              	 	
                2,692,832.72

              
	
                November
                  2027

              	 	
                2,652,910.41

              
	
                December
                  2027

              	 	
                2,613,543.50

              
	
                January
                  2028

              	 	
                2,574,724.41

              
	
                February
                  2028 

              	 	
                2,536,445.68

              
	
                March
                  2028

              	 	
                2,498,699.93

              
	
                April
                  2028

              	 	
                2,461,479.88

              
	
                May
                  2028

              	 	
                2,424,778.36

              
	
                June
                  2028

              	 	
                2,388,588.28

              
	
                July
                  2028

              	 	
                2,352,902.68

              
	
                August
                  2028

              	 	
                2,317,714.65

              
	
                September
                  2028

              	 	
                2,283,017.41

              
	
                October
                  2028

              	 	
                2,248,804.25

              
	
                November
                  2028

              	 	
                2,215,068.56

              
	
                December
                  2028

              	 	
                2,181,803.82

              
	
                January
                  2029

              	 	
                2,149,003.59

              
	
                February
                  2029 

              	 	
                2,116,661.53

              
	
                March
                  2029

              	 	
                2,084,771.38

              
	
                April
                  2029

              	 	
                2,053,326.96

              
	
                May
                  2029

              	 	
                2,022,322.18

              
	
                June
                  2029

              	 	
                1,991,751.03

              
	
                July
                  2029

              	 	
                1,961,607.58

              
	
                August
                  2029

              	 	
                1,931,885.98

              
	
                September
                  2029

              	 	
                1,902,580.47

              
	
                October
                  2029

              	 	
                1,873,685.36

              
	
                November
                  2029

              	 	
                1,845,195.03

              
	
                December
                  2029

              	 	
                1,817,103.94

              
	
                January
                  2030

              	 	
                1,789,406.64

              
	
                February
                  2030 

              	 	
                1,762,097.74

              
	
                March
                  2030

              	 	
                1,735,171.91

              
	
                April
                  2030

              	 	
                1,708,623.93

              
	
                May
                  2030

              	 	
                1,682,448.61

              
	
                June
                  2030

              	 	
                1,656,640.85

              
	
                July
                  2030

              	 	
                1,631,195.63

              
	
                August
                  2030

              	 	
                1,606,107.98

              
	
                September
                  2030

              	 	
                1,581,373.00

              
	
                October
                  2030

              	 	
                1,556,985.86

              
	
                November
                  2030

              	 	
                1,532,941.80

              
	
                December
                  2030

              	 	
                1,509,236.12

              
	
                January
                  2031

              	 	
                1,485,864.18

              

      

       

      
        
          
          

        

        
          SCH.
            II-4

          
            

          

        

        
          
          

        

      

      
        	
                Distribution
                  Date occurring in:

              	 	
                Required
                  Deposit

                Trigger
                  Amount ($):

              

      

      
        	
                February
                  2031 

              	 	
                1,462,821.41

              
	
                March
                  2031

              	 	
                1,440,103.29

              
	
                April
                  2031

              	 	
                1,417,705.38

              
	
                May
                  2031

              	 	
                1,395,623.28

              
	
                June
                  2031

              	 	
                1,373,852.67

              
	
                July
                  2031

              	 	
                1,352,389.28

              
	
                August
                  2031

              	 	
                1,331,228.88

              
	
                September
                  2031

              	 	
                1,310,367.34

              
	
                October
                  2031

              	 	
                1,289,800.53

              
	
                November
                  2031

              	 	
                1,269,524.43

              
	
                December
                  2031

              	 	
                1,249,535.04

              
	
                January
                  2032

              	 	
                1,229,828.43

              
	
                February
                  2032 

              	 	
                1,210,400.71

              
	
                March
                  2032

              	 	
                1,191,248.05

              
	
                April
                  2032

              	 	
                1,172,366.69

              
	
                May
                  2032

              	 	
                1,153,752.89

              
	
                June
                  2032

              	 	
                1,135,402.98

              
	
                July
                  2032

              	 	
                1,117,313.33

              
	
                August
                  2032

              	 	
                1,099,480.36

              
	
                September
                  2032

              	 	
                1,081,900.56

              
	
                October
                  2032

              	 	
                1,064,570.44

              
	
                November
                  2032

              	 	
                1,047,486.57

              
	
                December
                  2032

              	 	
                1,030,645.55

              
	
                January
                  2033

              	 	
                1,014,044.07

              
	
                February
                  2033 

              	 	
                997,678.81

              
	
                March
                  2033

              	 	
                981,546.53

              
	
                April
                  2033

              	 	
                965,644.02

              
	
                May
                  2033

              	 	
                949,968.13

              
	
                June
                  2033

              	 	
                934,515.73

              
	
                July
                  2033

              	 	
                919,283.76

              
	
                August
                  2033

              	 	
                904,269.16

              
	
                September
                  2033

              	 	
                889,468.95

              
	
                October
                  2033

              	 	
                874,880.19

              
	
                November
                  2033

              	 	
                860,499.94

              
	
                December
                  2033

              	 	
                846,325.35

              
	
                January
                  2034

              	 	
                832,353.58

              
	
                February
                  2034 

              	 	
                818,581.83

              
	
                March
                  2034

              	 	
                805,007.35

              
	
                April
                  2034

              	 	
                791,627.42

              
	
                May
                  2034

              	 	
                778,439.35

              
	
                June
                  2034

              	 	
                765,440.50

              
	
                July
                  2034

              	 	
                752,628.26

              
	
                August
                  2034

              	 	
                740,000.05

              
	
                September
                  2034

              	 	
                727,553.33

              

      

       

      
        
          
          

        

        
          SCH.
            II-5

          
            

          

        

        
          
          

        

      

      
        	
                Distribution
                  Date occurring in:

              	 	
                Required
                  Deposit

                Trigger
                  Amount ($):

              

      

      
        	
                October
                  2034

              	 	
                715,285.61

              
	
                November
                  2034

              	 	
                703,194.40

              
	
                December
                  2034

              	 	
                691,277.27

              
	
                January
                  2035

              	 	
                679,531.82

              
	
                February
                  2035 

              	 	
                667,955.68

              
	
                March
                  2035

              	 	
                656,546.50

              
	
                April
                  2035

              	 	
                645,301.98

              
	
                May
                  2035

              	 	
                634,219.84

              
	
                June
                  2035

              	 	
                623,297.84

              
	
                July
                  2035

              	 	
                612,533.77

              
	
                August
                  2035

              	 	
                601,925.43

              
	
                September
                  2035

              	 	
                591,470.68

              
	
                October
                  2035

              	 	
                581,167.39

              
	
                November
                  2035

              	 	
                571,013.47

              
	
                December
                  2035

              	 	
                561,006.84

              
	
                January
                  2036

              	 	
                551,145.47

              
	
                February
                  2036 

              	 	
                541,427.35

              
	
                March
                  2036

              	 	
                531,850.48

              
	
                April
                  2036

              	 	
                522,412.93

              
	
                May
                  2036

              	 	
                513,112.74

              
	
                June
                  2036

              	 	
                503,948.03

              
	
                July
                  2036

              	 	
                494,916.91

              
	
                August
                  2036

              	 	
                486,017.53

              
	
                September
                  2036

              	 	
                477,248.06

              
	
                October
                  2036

              	 	
                468,606.70

              

      

    

     

    
      
        
        

      

      
        SCH.
          II-6

        
          

        

      

      
        
        

      

    

    
      EXHIBIT
        A

       

      [IF
        THIS
        CERTIFICATE IS A PHYSICAL CERTIFICATE, NEITHER THIS CERTIFICATE NOR ANY INTEREST
        HEREIN MAY BE TRANSFERRED UNLESS THE PROPOSED TRANSFEROR DELIVERS TO THE
        SECURITIES ADMINISTRATOR A TRANSFEROR LETTER (THE “TRANSFEROR
        LETTER”)
        IN THE
        FORM OF EXHIBIT H TO THE AGREEMENT REFERRED TO HEREIN AND EITHER
        (I) THE SECURITIES ADMINISTRATOR RECEIVES A RULE 144A INVESTMENT LETTER
        (THE “144A
        INVESTMENT LETTER”)
        OR A
        REGULATION S INVESTMENT LETTER (THE “REGULATION S INVESTMENT LETTER”) IN THE
        FORM OF EXHIBIT I-A AND EXHIBIT I-B, RESPECTIVELY, TO THE AGREEMENT
        REFERRED TO HEREIN OR (II) THE SECURITIES ADMINISTRATOR RECEIVES AN OPINION
        OF COUNSEL, DELIVERED AT THE EXPENSE OF THE TRANSFEROR, THAT SUCH TRANSFER
        MAY
        BE MADE WITHOUT REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED.]
        [To
        be added to the Class M-10 Certificates while such Certificates remain
        Private Certificates.]

       

      [IF
        THIS
        CERTIFICATE IS A BOOK-ENTRY CERTIFICATE, THE PROPOSED TRANSFEROR WILL BE
        DEEMED
        TO HAVE MADE EACH OF THE CERTIFICATIONS SET FORTH IN THE TRANSFEROR LETTER
        AND
        THE PROPOSED TRANSFEREE WILL BE DEEMED TO HAVE MADE EACH OF THE CERTIFICATIONS
        SET FORTH IN THE RULE 144A INVESTMENT LETTER OR REGULATION S INVESTMENT LETTER,
        AS APPLICABLE, IN EACH CASE AS IF SUCH CERTIFICATE WERE EVIDENCED BY A PHYSICAL
        CERTIFICATE.] [To be added to the Class M-10 Certificates while such
        Certificates remain Private Certificates.]

       

      UNLESS
        THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
        TRUST COMPANY, A NEW YORK CORPORATION (“DTC”),
        TO
        ISSUER OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND
        ANY
        CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER
        NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT
        IS
        MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
        REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE
        OR
        OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER
        HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

       

      SOLELY
        FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS AN INTEREST
        IN
        A “REGULAR INTEREST” IN A “REAL ESTATE MORTGAGE INVESTMENT CONDUIT,” AS THOSE
        TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS 860G AND 860D OF THE INTERNAL
        REVENUE CODE OF 1986, AS AMENDED (THE “CODE”),
        AND
        CERTAIN OTHER ASSETS.

       

      [ONLY
        PRINCIPAL (AND NOT INTEREST) WILL BE PAYABLE WITH RESPECT TO THIS CERTIFICATE.
        THE PRINCIPAL OF THIS CERTIFICATE IS PAYABLE IN INSTALLMENTS AS SET FORTH
        HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL AMOUNT OF THIS CERTIFICATE
        AT ANY
        TIME MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF.][To be added to
        Class
        II-A-5 Certificates only.]

       

      
        
          
          

        

        
          EXH.
            A-1

          
            

          

        

        
          
          

        

      

      [NO
        TRANSFER OF THIS CERTIFICATE SHALL BE MADE UNLESS THE SECURITIES ADMINISTRATOR
        SHALL HAVE RECEIVED A REPRESENTATION LETTER FROM THE TRANSFEREE OF THIS
        CERTIFICATE TO THE EFFECT THAT EITHER (I) SUCH TRANSFEREE IS NEITHER AN EMPLOYEE
        BENEFIT PLAN OR OTHER RETIREMENT ARRANGEMENT WHICH IS SUBJECT TO SECTION
        406 OF
        ERISA AND/OR SECTION 4975 OF THE CODE OR ANY ENTITY WHOSE UNDERLYING ASSETS
        INCLUDE SUCH PLAN’S OR ARRANGEMENT’S ASSETS BY REASON OF THEIR INVESTMENT IN THE
        ENTITY (A “PLAN”) NOR A PERSON ACTING ON BEHALF OF ANY SUCH PLAN OR USING THE
        ASSETS OF ANY SUCH PLAN TO EFFECT SUCH TRANSFER OR (II) THE ACQUISITION AND
        HOLDING OF THIS CERTIFICATE ARE ELIGIBLE FOR EXEMPTIVE RELIEF UNDER THE
        STATUTORY EXEMPTION FOR NON-FIDUCIARY SERVICE PROVIDERS UNDER SECTION
        408(b)(17)
        OF ERISA AND SECTION 4975(d)(20)
        OF THE CODE, PROHIBITED TRANSACTION CLASS EXEMPTION (“PTCE”) 84-14, PTCE 90-1,
        PTCE 91-38, PTCE 95-60 OR PTCE 96-23 OR ANOTHER EXEMPTION.
        ANY PURPORTED TRANSFER OF THIS CERTIFICATE TO OR ON BEHALF OF A PLAN WITHOUT
        THE
        DELIVERY TO THE SECURITIES ADMINISTRATOR OF A REPRESENTATION LETTER AS DESCRIBED
        ABOVE SHALL BE VOID AND OF NO EFFECT. IF THIS CERTIFICATE IS A BOOK-ENTRY
        CERTIFICATE, THE TRANSFEREE WILL BE DEEMED TO HAVE MADE A REPRESENTATION
        AS
        PROVIDED IN CLAUSE (I) OR (II) OF THIS PARAGRAPH, AS APPLICABLE.] [To
        be
        added to all Class A Certificates and Class M Certificates.]

       

      [THE
        HOLDER OF THIS CERTIFICATE BY ITS ACCEPTANCE HEREOF REPRESENTS AND WARRANTS
        THAT
        (A) UNTIL THE EXPIRATION OF THE APPLICABLE “DISTRIBUTION COMPLIANCE PERIOD”
WITHIN THE MEANING OF REGULATION S, ANY OFFER, SALE, PLEDGE OR OTHER TRANSFER
        OF
        THIS CERTIFICATE SHALL NOT BE MADE IN THE UNITED STATES OR TO, OR FOR THE
        ACCOUNT OR BENEFIT OF, ANY U.S. PERSON (EACH AS DEFINED IN REGULATION S)
        AND (B)
        IF THIS CERTIFICATE IS HELD WITHIN THE UNITED STATES OR SUCH HOLDER IS A
        U.S.
        PERSON OR THIS CERTIFICATE IS HELD FOR THE ACCOUNT OR SUCH BENEFIT OF, A
        U.S.
        PERSON (EACH AS DEFINED IN REGULATION S) SUCH CERTIFICATE WAS ACQUIRED ONLY
        (1)
        PURSUANT TO A REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER
        THE
        1933 ACT OR (2) BY SUCH HOLDER AS A “QUALIFIED INSTITUTIONAL BUYER” AS DEFINED
        IN RULE 144A UNDER THE 1933 ACT THAT PURCHASES FOR ITS OWN ACCOUNT OR FOR
        THE
        ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE
        TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A.][For any Private Certificate
        to
        be acquired or transferred pursuant to Regulation S.]

      

      
        
          
          

        

        
          EXH.
            A-2

          
            

          

        

        
          
          

        

      

      
        	
                 

                Certificate
                  No:

              	 	
                 

                1

              
	
                 

                Cut-off
                  Date:

              	 	
                 

                October
                  1, 2006

              
	
                 

                First
                  Distribution Date:

              	 	
                 

                November
                  27, 2006

              
	
                 

                Initial
                  Certificate Balance of this Certificate (“Denomination”):

              	 	
                 

                $[    
                   ]

              
	
                 

                Initial
                  Certificate Balances of all Certificates of this Class:

              	
                I-A

              	
                $591,377,000

              
	 	
                II-A-1

              	
                $243,654,000

              
	 	
                II-A-2

              	
                $50,837,000

              
	 	
                II-A-3

              	
                $116,679,000

              
	 	
                II-A-4

              	
                $37,734,000

              
	 	
                II-A-5

              	
                $12,000,000

              
	 	
                M-1

              	
                $42,014,000

              
	 	
                M-2

              	
                $36,922,000

              
	 	
                M-3

              	
                $22,918,000

              
	 	
                M-4

              	
                $20,371,000

              
	 	
                M-5

              	
                $19,734,000

              
	 	
                M-6

              	
                $17,824,000

              
	 	
                M-7

              	
                $17,188,000

              
	 	
                M-8

              	
                $9,549,000

              
	 	
                M-9

              	
                $8,276,000

              
	 	
                M-10

              	
                $10,185,000

              
	
                *
                  Notional Amount

              	 	 

      

       

      
        
          
          

        

        
          EXH.
            A-3

          
            

          

        

        
          
          

        

      

      
        	
                Interest
                  Rate:

              	
                I-A-1

              	
                Variable

              
	 	
                II-A-1

              	
                Variable

              
	 	
                II-A-2

              	
                Variable

              
	 	
                II-A-3

              	
                Variable

              
	 	
                II-A-4

              	
                Variable

              
	 	
                II-A-5

              	
                None

              
	 	
                M-1

              	
                Variable

              
	 	
                M-2

              	
                Variable

              
	 	
                M-3

              	
                Variable

              
	 	
                M-4

              	
                Variable

              
	 	
                M-5

              	
                Variable

              
	 	
                M-6

              	
                Variable

              
	 	
                M-7

              	
                Variable

              
	 	
                M-8

              	
                Variable

              
	 	
                M-9

              	
                Variable

              
	 	
                M-10

              	
                Variable

              
	
                 

                CUSIP:

              	
                I-A-1

              	
                 

                44328A
                  AA 8

              
	 	
                II-A-1

              	
                44328A
                  AB 6

              
	 	
                II-A-2

              	
                44328A
                  AC 4

              
	 	
                II-A-3

              	
                44328A
                  AD 2

              
	 	
                II-A-4

              	
                44328A
                  AE 0

              
	 	
                II-A-5

              	
                44328A
                  AF 7

              
	 	
                M-1

              	
                44328A
                  AG 5

              
	 	
                M-2

              	
                44328A
                  AH 3

              
	 	
                M-3

              	
                44328A
                  AJ 9

              
	 	
                M-4

              	
                44328A
                  AK 6

              
	 	
                M-5

              	
                44328A
                  AL 4

              
	 	
                M-6

              	
                44328A
                  AM 2

              
	 	
                M-7

              	
                44328A
                  AN 0

              
	 	
                M-8

              	
                44328A
                  AP 5

              
	 	
                M-9

              	
                44328A
                  AQ 3

              
	 	
                M-10

              	
                44328A
                  AR 1

              
	 	 	 
	
                 

                ISIN:

              	
                I-A-1

              	
                 

                US44328AAA88

              
	 	
                I-A-2

              	
                US44328AAB61

              
	 	
                II-A-1

              	
                US44328AAC45

              
	 	
                II-A-2

              	
                US44328AAD28

              
	 	
                II--A-1

              	
                US44328AAE01

              
	 	
                II--A-2

              	
                US44328AAF75

              
	 	
                M-1

              	
                US44328AAG58

              
	 	
                M-2

              	
                US44328AAH32

              

      

       

      
        
          
          

        

        
          EXH.
            A-4

          
            

          

        

        
          
          

        

      

      
        	 	
                M-3

              	
                US44328AAJ97

              
	 	
                M-4

              	
                US44328AAK60

              
	 	
                M-5

              	
                US44328AAL44

              
	 	
                M-6

              	
                US44328AAM27

              
	 	
                M-7

              	
                US44328AAN00

              
	 	
                M-8

              	
                US44328AAP57

              
	 	
                M-9

              	
                US44328AAQ31

              
	 	
                M-10

              	
                US44328AAR14

              

      

       

      
        
          
          

        

        
          EXH.
            A-5

          
            

          

        

        
          
          

        

      

      HSI
        ASSET
        SECURITIZATION CORPORATION

       

      HSI
        Asset
        Securitization Corporation Trust, 2006-HE1

       

      Mortgage
        Pass-Through Certificates, Series 2006-HE 1

       

      Class
        [A-__][M-__]

       

      evidencing
        a percentage interest in the distributions allocable to the Certificates
        of the
        above-referenced Class.

       

      Principal
        in respect of this Certificate is distributable monthly as set forth herein.
        Accordingly, the Certificate Balance at any time may be less than the
        Certificate Balance as set forth herein. This Certificate does not evidence
        an
        obligation of, or an interest in, and is not guaranteed by the Depositor,
        the
        Trustee or any other party to the Agreement referred to below or any of their
        respective affiliates. Neither this Certificate nor the Mortgage Loans are
        guaranteed or insured by any governmental agency or
        instrumentality.

       

      This
        certifies that [____________]is the registered owner of the Percentage Interest
        evidenced by this Certificate (obtained by dividing the denomination of this
        Certificate by the aggregate of the denominations of all Certificates of
        the
        Class to which this Certificate belongs) in certain monthly distributions
        of
        [principal and interest][Insert
        for every Class A and Class M Certificate except for the Class II-A-5
        Certificate.][of
        principal][Insert
        for Class II-A-5 Certificate only.][interest]
        pursuant to a Pooling and Servicing Agreement dated as of the Cut-off Date
        specified above (the “Agreement”)
        among
        HSI Asset Securitization Corporation, as depositor (the “Depositor”),
        Wells
        Fargo Bank, N.A., as master servicer, (in such capacity, the “Master
        Servicer”)
        securities administrator (in such capacity, the “Securities
        Administrator”)
        and
        custodian, Clayton Fixed Income Services Inc., as Credit Risk Manager, and
        Deutsche Bank National Trust Company, as trustee (the “Trustee”).
        To
        the extent not defined herein, the capitalized terms used herein have the
        meanings assigned in the Agreement. This Certificate is issued under and
        is
        subject to the terms, provisions and conditions of the Agreement, to which
        Agreement the Holder of this Certificate by virtue of the acceptance hereof
        assents and by which such Holder is bound.

       

      Reference
        is hereby made to the further provisions of this Certificate set forth on
        the
        reverse hereof, which further provisions shall for all purposes have the
        same
        effect as if set forth at this place.

       

      This
        Certificate shall not be entitled to any benefit under the Agreement or be
        valid
        for any purpose unless manually authenticated by an authorized signatory
        of the
        Securities Administrator.

       

      * * *

      

       

      IN
        WITNESS WHEREOF, the Securities Administrator has caused this Certificate
        to be
        duly executed.

       

      
        	
                Dated:

              	 

      

       

      
        
          
          

        

        
          EXH.
            A-6

          
            

          

        

        
          
          

        

      

      WELLS
        FARGO BANK, N.A.,

      not
        in
        its individual capacity, but solely as

      Securities
        Administrator

       

      By:
        _______________________________

       

      Authenticated:

       

      By:
        ______________________________  

      Authorized
        Signatory of

      WELLS
        FARGO BANK, N.A.,

      not
        in
        its individual capacity,

      but
        solely as Securities Administrator

       

      
        
          
          

        

        
          EXH.
            A-7

          
            

          

        

        
          
          

        

      

      HSI
        ASSET
        SECURITIZATION CORPORATION 

       

      HSI
        Asset
        Securitization Corporation Trust 2006-HE1

      Mortgage
        Pass-Through Certificates

       

      This
        Certificate is one of a duly authorized issue of Certificates designated
        as HSI
        Asset Securitization Corporation Trust 2006-HE1 Mortgage Pass-Through
        Certificates, of the Series specified on the face hereof (herein collectively
        called the “Certificates”),
        and
        representing a beneficial ownership interest in the Trust Fund created by
        the
        Agreement.

       

      The
        Certificateholder, by its acceptance of this Certificate, agrees that it
        will
        look solely
        to the
        funds on deposit in the Distribution Account or Supplemental Interest Trust
        Account for payment hereunder and that neither the Trustee nor the Securities
        Administrator is liable to the Certificateholders for any amount payable
        under
        this Certificate or the Agreement or, except as expressly provided in the
        Agreement, subject to any liability under the Agreement.

       

      This
        Certificate does not purport to summarize the Agreement and reference is
        made to
        the Agreement for the interests, rights and limitations of rights, benefits,
        obligations and duties evidenced thereby, and the rights, duties and immunities
        of the Trustee.

       

      Pursuant
        to the terms of the Agreement, a distribution will be made on the 25th day
        of
        each month or, if such day is not a Business Day, the Business Day immediately
        following (the “Distribution
        Date”),
        commencing on the first Distribution Date specified on the face hereof, to
        the
        Person in whose name this Certificate is registered at the close of business
        on
        the applicable Record Date in an amount equal to the product of the Percentage
        Interest evidenced by this Certificate and the amount required to be distributed
        to Holders of Certificates of the Class to which this Certificate belongs
        on
        such Distribution Date pursuant to the Agreement. [The Record Date applicable
        to
        each Distribution Date is the Business Day immediately preceding such
        Distribution Date.]

       

      Distributions
        on this Certificate shall be made by wire transfer of immediately available
        funds to the account of the Holder hereof at a bank or other entity having
        appropriate facilities therefor, if such Certificateholder shall have so
        notified the Securities Administrator in writing at least five Business Days
        prior to the related Record Date and such Certificateholder shall satisfy
        the
        conditions to receive such form of payment set forth in the Agreement, or,
        if
        not, by check mailed by first class mail to the address of such
        Certificateholder appearing in the Certificate Register. The final distribution
        on each Certificate will be made in like manner, but only upon presentment
        and
        surrender of such Certificate at the offices designated by the Securities
        Administrator for such purposes or such other location specified in the notice
        to Certificateholders of such final distribution.

       

      The
        Agreement permits, with certain exceptions therein provided, the amendment
        thereof and the modification of the rights and obligations of the Trustee
        and
        the rights of the Certificateholders under the Agreement at any time by the
        parties to the Agreement with the consent of the Holders of Certificates
        affected by such amendment evidencing the requisite Percentage Interest,
        as
        provided in the Agreement. Any such consent by the Holder of this Certificate
        shall be conclusive and binding on such Holder and upon all future Holders
        of
        this Certificate and of any Certificate issued upon the transfer hereof or
        in
        exchange therefor or in lieu hereof whether or not notation of such consent
        is
        made upon this Certificate. The Agreement also permits the amendment thereof,
        in
        certain limited circumstances, without the consent of the Holders of any
        of the
        Certificates.

       

      
        
          
          

        

        
          EXH.
            A-8

          
            

          

        

        
          
          

        

      

      As
        provided in the Agreement and subject to certain limitations therein set
        forth,
        the transfer of this Certificate is registrable in the Certificate Register
        of
        the Securities Administrator upon surrender of this Certificate for registration
        of transfer at the offices designated by the Securities Administrator for
        such
        purposes, accompanied by a written instrument of transfer in form satisfactory
        to the Securities Administrator duly executed by the holder hereof or such
        holder’s attorney duly authorized in writing, and thereupon one or more new
        Certificates of the same Class in authorized denominations and evidencing
        the
        same aggregate Percentage Interest in the Trust Fund will be issued to the
        designated transferee or transferees.

       

      The
        Certificates are issuable only as registered Certificates without coupons
        in
        denominations specified in the Agreement. As provided in the Agreement and
        subject to certain limitations therein set forth, Certificates are exchangeable
        for new Certificates of the same Class in authorized denominations and
        evidencing the same aggregate Percentage Interest, as requested by the Holder
        surrendering the same.

       

      No
        service charge will be made for any such registration of transfer or exchange,
        but the Securities Administrator may require payment of a sum sufficient
        to
        cover any tax or other governmental charge payable in connection
        therewith.

       

      The
        Trustee, the Depositor and the Securities Administrator and any agent of
        the
        Trustee, the Depositor or the Securities Administrator may treat the Person
        in
        whose name this Certificate is registered as the owner hereof for all purposes,
        and neither the Trustee, the Depositor, the Securities Administrator nor
        any
        such agent shall be affected by any notice to the contrary.

       

      The
        Master Servicer, upon the instruction of the Depositor, shall have the option
        to
        purchase the Mortgage Loans and therefore cause the termination of the Trust
        on
        any Optional Termination Date, which is any Distribution Date in which the
        aggregate Stated Principal Balance of the Mortgage Loans as of the last day
        of
        the related Due Period is less than or equal to 10% of the aggregate Stated
        Principal Balance of the Mortgage Loans as of the Cut-off Date; provided,
        however,
        the
        Master Servicer in its own right may exercise the option to purchase the
        Mortgage Loans and thereby cause the termination of the Trust on any
        Distribution Date in which the aggregate Stated Principal Balance of the
        Mortgage Loans as of the last day of the related Due Period is less than
        or
        equal to 5% of the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the Cut-off Date, if the Depositor has not previously provided instructions
        to the Master Servicer to exercise such option on the Depositor’s behalf on such
        Distribution Date. 

       

      The
        obligations and responsibilities created by the Agreement will terminate
        as
        provided in Section 11.01 of the Agreement.

       

      
        
          
          

        

        
          EXH.
            A-9

          
            

          

        

        
          
          

        

      

      Any
        term
        used herein that is defined in the Agreement shall have the meaning assigned
        in
        the Agreement, and nothing herein shall be deemed inconsistent with that
        meaning.

       

      
        
          
          

        

        
          EXH.
            A-10

          
            

          

        

        
          
          

        

      

      ASSIGNMENT

       

      FOR
        VALUE
        RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
        unto

       

        
          

        

      

       

       

        
          

        

      

       

       

        
          

        

      

       

       

      (Please
        print or typewrite name and address including postal zip code of
        assignee)

       

      the
        Percentage Interest evidenced by the within Certificate and hereby authorizes
        the transfer of registration of such Percentage Interest to assignee on the
        Certificate Register of the Trust Fund.

       

      I
        (We)
        further direct the Securities Administrator to issue a new Certificate of
        a like
        denomination and Class, to the above named assignee and deliver such Certificate
        to the following address:

       

       

      
        	 	 

        	
                Dated:

              	 

      

       

       

      ______________________________

      Signature
        by or on behalf of assignor

      

       

      DISTRIBUTION
        INSTRUCTIONS

       

      The
        assignee should include the following for purposes of distribution:

       

      Distributions
        shall be made, by wire transfer or otherwise, in immediately available funds
        to
,
        __________, for
        the
        account of __________,
        account
        number __________, or, if mailed by check, to __________.

       

      Applicable
        statements should be mailed to __________,

       

      This
        information is provided by __________,
        the
        assignee named above, or __________,
        as
        its
        agent.

      

      
        
          
          

        

        
          EXH.
            A-11

          
            

          

        

        
          
          

        

      

    

    
      EXHIBIT
        B

       

      NEITHER
        THIS CERTIFICATE NOR ANY INTEREST HEREIN MAY BE TRANSFERRED UNLESS THE PROPOSED
        TRANSFEROR DELIVERS TO THE SECURITIES ADMINISTRATOR A TRANSFEROR LETTER IN
        THE
        FORM OF EXHIBIT H TO THE AGREEMENT REFERRED TO HEREIN AND EITHER
        (I) THE SECURITIES ADMINISTRATOR RECEIVES EITHER A RULE 144A INVESTMENT
        LETTER OR REGULATION S INVESTMENT LETTER IN THE FORM OF EXHIBIT I-A AND
        EXHIBIT I-B, RESPECTIVELY, TO THE AGREEMENT REFERRED TO HEREIN OR (II) THE
        SECURITIES ADMINISTRATOR RECEIVES AN OPINION OF COUNSEL, DELIVERED AT THE
        EXPENSE OF THE TRANSFEROR, STATING THAT SUCH TRANSFER MAY BE MADE WITHOUT
        REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED.

       

      NEITHER
        THIS CERTIFICATE NOR ANY INTEREST HEREIN MAY BE TRANSFERRED UNLESS THE
        TRANSFEREE DELIVERS TO THE SECURITIES ADMINISTRATOR A REPRESENTATION LETTER
        TO
        THE EFFECT THAT SUCH TRANSFEREE IS NOT AN EMPLOYEE BENEFIT PLAN SUBJECT TO
        TITLE I OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED
        (“ERISA”),
        OR A
        PLAN SUBJECT TO SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO MATERIALLY
        SIMILAR PROVISIONS OF APPLICABLE FEDERAL, STATE OR LOCAL LAW (“SIMILAR
        LAW”)
        OR A
        PERSON INVESTING ON BEHALF OF OR WITH PLAN ASSETS OF SUCH A PLAN. IN THE
        EVENT
        THAT SUCH REPRESENTATION IS VIOLATED, OR ANY ATTEMPT IS MADE TO TRANSFER
        TO A
        PLAN OR ARRANGEMENT SUBJECT TO SECTION 406 OF ERISA, A PLAN SUBJECT TO
        SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO SIMILAR LAW, OR A PERSON
        ACTING ON BEHALF OF ANY SUCH PLAN OR ARRANGEMENT OR USING THE ASSETS OF ANY
        SUCH
        PLAN OR ARRANGEMENT, SUCH ATTEMPTED TRANSFER OR ACQUISITION SHALL BE VOID
        AND OF
        NO EFFECT.

      
        	
                 

                Certificate
                  No.

              	
                 

                :

              	
                 

                P-1

              
	
                 

                Cut-off
                  Date

              	
                 

                :

              	
                 

                October
                  1, 2006

              
	
                 

                First
                  Distribution Date

              	
                 

                :

              	
                 

                November
                  27, 2006

              
	
                 

                Percentage
                  Interest of this Certificate 

              	
                 

                :

              	
                 

                100%

              
	
                 

                Interest

              	
                 

                :

              	
                 

                None

              
	
                 

                CUSIP

              	
                 

                :

              	
                44328A
                  AS 9

              
	
                 

                ISIN

              	
                 

                :

              	
                 

                US44328AAS96

              

      

       

      
        
          
          

        

        
          EXH.
            B-1

          
            

          

        

        
          
          

        

      

      HSI
        ASSET
        SECURITIZATION CORPORATION

       

      HSI
        Asset
        Securitization Corporation Trust 2006-HE1

      Mortgage
        Pass-Through Certificates, Series 2006- HE1

       

      Class
        P

       

      evidencing
        a percentage interest in the distribution of Prepayment Charges allocable
        to the
        Certificates of the above-referenced Class.

       

      Distributions
        in respect of this Certificate are distributable monthly as set forth herein.
        This Certificate does not evidence an obligation of, or an interest in, and
        is
        not guaranteed by the Depositor, the Trustee or any other party to the Agreement
        referred to below or any of their respective affiliates. Neither this
        Certificate nor the Mortgage Loans are guaranteed or insured by any governmental
        agency or instrumentality.

       

      This
        certifies that HSBC SECURITIES (USA) INC. is the registered owner of the
        Percentage Interest evidenced by this Certificate in certain monthly
        distributions of Prepayment Charges pursuant to a Pooling and Servicing
        Agreement dated as of the Cut-off Date specified above (the “Agreement”)
        among
        HSI Asset Securitization Corporation, as depositor (the “Depositor”),
        Wells
        Fargo Bank, N.A., as master servicer, (in such capacity, the “Master
        Servicer”)
        securities administrator (in such capacity, the “Securities
        Administrator”)
        and
        custodian, Clayton Fixed Income Services Inc., as Credit Risk Manager, and
        Deutsche Bank National Trust Company, as trustee (the “Trustee”).
        To
        the extent not defined herein, the capitalized terms used herein have the
        meanings assigned in the Agreement. This Certificate is issued under and
        is
        subject to the terms, provisions and conditions of the Agreement, to which
        Agreement the Holder of this Certificate by virtue of the acceptance hereof
        assents and by which such Holder is bound.

       

      This
        Certificate does not have an Interest Rate and will solely be entitled to
        receive distributions of Prepayment Charges to the extent set forth in the
        Agreement. In addition, any distribution of the proceeds of any remaining
        assets
        of the Trust will be made only upon presentment and surrender of this
        Certificate at the offices designated by the Securities Administrator for
        such
        purpose, or such other location specified in the notice to
        Certificateholders.

       

      No
        transfer of a Certificate of this Class shall be made unless such disposition
        is
        exempt from the registration requirements of the Securities Act of 1933,
        as
        amended (the “1933 Act”),
        and
        any applicable state securities laws or is made in accordance with the 1933
        Act
        and such laws. In the event of any such transfer, the Securities Administrator
        shall require the transferor to execute a transferor certificate (in
        substantially the form attached to the Agreement) and deliver either (i) a
        Rule 144A Investment Letter or a Regulation S Investment Letter, as
        applicable, in either case substantially in the form attached as Exhibit
        I-A and
        Exhibit I-B, respectively, to the Agreement, or (ii) a written Opinion of
        Counsel to the Securities Administrator that such transfer may be made pursuant
        to an exemption, describing the applicable exemption and the basis therefor,
        from the 1933 Act or is being made pursuant to the 1933 Act, which Opinion
        of
        Counsel shall be an expense of the transferor.

       

      
        
          
          

        

        
          EXH.
            B-2

          
            

          

        

        
          
          

        

      

      No
        transfer of a Certificate of this Class shall be made unless the Securities
        Administrator shall have received a representation letter from the transferee
        of
        such Certificate, acceptable to and in form and substance satisfactory to
        the
        Securities Administrator, to the effect that such transferee is not an employee
        benefit plan subject to Section 406 of ERISA, Section 4975 of the Code
        or any materially similar provisions of applicable federal, state or local
        law
        (“Similar
        Law”),
        or a
        person acting on behalf of or investing plan assets of any such plan, which
        representation letter shall not be an expense of the Securities
        Administrator.

       

      Reference
        is hereby made to the further provisions of this Certificate set forth on
        the
        reverse hereof, which further provisions shall for all purposes have the
        same
        effect as if set forth at this place.

       

      This
        Certificate shall not be entitled to any benefit under the Agreement or be
        valid
        for any purpose unless manually authenticated by an authorized signatory
        of the
        Securities Administrator.

       

      * * *

      

      
        
          
          

        

        
          EXH.
            B-3

          
            

          

        

        
          
          

        

      

      IN
        WITNESS WHEREOF, the Securities Administrator has caused this Certificate
        to be
        duly executed.

       

      
        	
                Dated:

              	 

      

       

      WELLS
        FARGO BANK, N.A.,

      not
        in
        its individual capacity, but solely as

      Securities
        Administrator

       

      By:
        _______________________________

       

      Authenticated:

       

      By:
        _______________________________  

      Authorized
        Signatory of

      WELLS
        FARGO BANK, N.A.,

      not
        in
        its individual capacity,

      but
        solely as Securities Administrator

       

      
        
          
          

        

        
          EXH.
            B-4

          
            

          

        

        
          
          

        

      

      HSI
        ASSET
        SECURITIZATION CORPORATION

       

      HSI
        Asset
        Securitization Corporation Trust 2006-HE1

      Mortgage
        Pass-Through Certificates

       

      This
        Certificate is one of a duly authorized issue of Certificates designated
        as HSI
        Asset Securitization Corporation Trust 2006-HE1 Mortgage Pass-Through
        Certificates, of the Series specified on the face hereof (herein collectively
        called the “Certificates”),
        and
        representing a beneficial ownership interest in the Trust Fund created by
        the
        Agreement.

       

      The
        Certificateholder, by its acceptance of this Certificate, agrees that it
        will
        look solely
        to the
        funds on deposit in the Distribution Account or constituting Prepayment Charges
        for payment hereunder and that neither the Trustee nor the Securities
        Administrator is liable to the Certificateholders for any amount payable
        under
        this Certificate or the Agreement or, except as expressly provided in the
        Agreement, subject to any liability under the Agreement.

       

      This
        Certificate does not purport to summarize the Agreement and reference is
        made to
        the Agreement for the interests, rights and limitations of rights, benefits,
        obligations and duties evidenced thereby, and the rights, duties and immunities
        of the Trustee.

       

      Pursuant
        to the terms of the Agreement, a distribution will be made on the 25th day
        of
        each month or, if such day is not a Business Day, the Business Day immediately
        following (the “Distribution
        Date”),
        commencing on the first Distribution Date specified on the face hereof, to
        the
        Person in whose name this Certificate is registered at the close of business
        on
        the applicable Record Date in an amount equal to the product of the Percentage
        Interest evidenced by this Certificate and the amount required to be distributed
        to Holders of Certificates of the Class to which this Certificate belongs
        on
        such Distribution Date pursuant to the Agreement. The Record Date applicable
        to
        each Distribution Date is the last Business Day of the month next preceding
        the
        month of such Distribution Date.

       

      Distributions
        on this Certificate shall be made by wire transfer of immediately available
        funds to the account of the Holder hereof at a bank or other entity having
        appropriate facilities therefor, if such Certificateholder shall have so
        notified the Securities Administrator in writing at least five Business Days
        prior to the related Record Date and such Certificateholder shall satisfy
        the
        conditions to receive such form of payment set forth in the Agreement, or,
        if
        not, by check mailed by first class mail to the address of such
        Certificateholder appearing in the Certificate Register. The final distribution
        on each Certificate will be made in like manner, but only upon presentment
        and
        surrender of such Certificate at the offices designated by the Securities
        Administrator for such purposes or such other location specified in the notice
        to Certificateholders of such final distribution.

       

      The
        Agreement permits, with certain exceptions therein provided, the amendment
        thereof and the modification of the rights and obligations of the Trustee
        and
        the rights of the Certificateholders under the Agreement at any time by the
        parties to the Agreement with the consent of the Holders of Certificates
        affected by such amendment evidencing the requisite Percentage Interest,
        as
        provided in the Agreement. Any such consent by the Holder of this Certificate
        shall be conclusive and binding on such Holder and upon all future Holders
        of
        this Certificate and of any Certificate issued upon the transfer hereof or
        in
        exchange therefor or in lieu hereof whether or not notation of such consent
        is
        made upon this Certificate. The Agreement also permits the amendment thereof,
        in
        certain limited circumstances, without the consent of the Holders of any
        of the
        Certificates.

       

      
        
          
          

        

        
          EXH.
            B-5

          
            

          

        

        
          
          

        

      

      As
        provided in the Agreement and subject to certain limitations therein set
        forth,
        the transfer of this Certificate is registrable in the Certificate Register
        of
        the Securities Administrator upon surrender of this Certificate for registration
        of transfer at the offices designated by the Securities Administrator for
        such
        purposes, accompanied by a written instrument of transfer in form satisfactory
        to the Securities Administrator duly executed by the holder hereof or such
        holder’s attorney duly authorized in writing, and thereupon one or more new
        Certificates of the same Class in authorized denominations and evidencing
        the
        same aggregate Percentage Interest in the Trust Fund will be issued to the
        designated transferee or transferees.

       

      The
        Certificates are issuable only as registered Certificates without coupons
        in
        denominations specified in the Agreement. As provided in the Agreement and
        subject to certain limitations therein set forth, Certificates are exchangeable
        for new Certificates of the same Class in authorized denominations and
        evidencing the same aggregate Percentage Interest, as requested by the Holder
        surrendering the same.

       

      No
        service charge will be made for any such registration of transfer or exchange,
        but the Securities Administrator may require payment of a sum sufficient
        to
        cover any tax or other governmental charge payable in connection
        therewith.

       

      The
        Trustee, the Depositor and the Securities Administrator and any agent of
        the
        Trustee, the Depositor or the Securities Administrator may treat the Person
        in
        whose name this Certificate is registered as the owner hereof for all purposes,
        and neither the Trustee, the Depositor, the Securities Administrator nor
        any
        such agent shall be affected by any notice to the contrary.

       

      The
        Master Servicer, upon the instruction of the Depositor, shall have the option
        to
        purchase the Mortgage Loans and therefore cause the termination of the Trust
        on
        any Optional Termination Date, which is any Distribution Date in which the
        aggregate Stated Principal Balance of the Mortgage Loans as of the last day
        of
        the related Due Period is less than or equal to 10% of the aggregate Stated
        Principal Balance of the Mortgage Loans as of the Cut-off Date; provided,
        however,
        the
        Master Servicer in its own right may exercise the option to purchase the
        Mortgage Loans and thereby cause the termination of the Trust on any
        Distribution Date in which the aggregate Stated Principal Balance of the
        Mortgage Loans as of the last day of the related Due Period is less than
        or
        equal to 5% of the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the Cut-off Date, if the Depositor has not previously provided instructions
        to the Master Servicer to exercise such option on the Depositor’s behalf on such
        Distribution Date. 

       

      The
        obligations and responsibilities created by the Agreement will terminate
        as
        provided in Section 11.01 of the Agreement.

       

      
        
          
          

        

        
          EXH.
            B-6

          
            

          

        

        
          
          

        

      

      Any
        term
        used herein that is defined in the Agreement shall have the meaning assigned
        in
        the Agreement, and nothing herein shall be deemed inconsistent with that
        meaning.

      

      
        
          
          

        

        
          EXH.
            B-7

          
            

          

        

        
          
          

        

      

      ASSIGNMENT

       

      FOR
        VALUE
        RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
        unto

       

        
          

        

      

       

        
          

        

      

       

        
          

        

      

       

        
          

        

      

       

      (Please
        print or typewrite name and address including postal zip code of
        assignee)

       

      the
        Percentage Interest evidenced by the within Certificate and hereby authorizes
        the transfer of registration of such Percentage Interest to assignee on the
        Certificate Register of the Trust Fund.

       

      I
        (We)
        further direct the Securities Administrator to issue a new Certificate of
        a like
        denomination and Class, to the above named assignee and deliver such Certificate
        to the following address:

       

       

      
        	 	 

        	
                Dated:

              	 

      

       

       

       

      _______________________________

      Signature
        by or on behalf of assignor

      

       

      DISTRIBUTION
        INSTRUCTIONS 
         

        The
          assignee should include the following for purposes of distribution:

         

        Distributions
          shall be made, by wire transfer or otherwise, in immediately available
          funds to
,
          __________, for
          the
          account of __________,
          account
          number __________, or, if mailed by check, to __________.

         

        Applicable
          statements should be mailed to __________,

         

        This
          information is provided by __________,
          the
          assignee named above, or __________,
          as
          its
          agent.

        

        
          
            
            

          

          
            EXH.
              B-8

            
              

            

          

          
            
            

          

        

      

    

    
      EXHIBIT
        C

       

      SOLELY
        FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE IS A “RESIDUAL INTEREST”
IN TWO “REAL ESTATE MORTGAGE INVESTMENT CONDUITS,” AS THOSE TERMS ARE DEFINED,
        RESPECTIVELY, IN SECTIONS 860G AND 860D OF THE INTERNAL REVENUE CODE OF 1986,
        AS
        AMENDED (THE “CODE”).

       

      NEITHER
        THIS CERTIFICATE NOR ANY INTEREST HEREIN MAY BE TRANSFERRED UNLESS THE PROPOSED
        TRANSFEREE DELIVERS TO THE SECURITIES ADMINISTRATOR A TRANSFER AFFIDAVIT
        IN
        ACCORDANCE WITH THE PROVISIONS OF THE AGREEMENT REFERRED TO HEREIN.

       

      NEITHER
        THIS CERTIFICATE NOR ANY INTEREST HEREIN MAY BE TRANSFERRED (I) TO A PERSON
        OTHER THAN A PERMITTED TRANSFEREE IN COMPLIANCE WITH SECTION 5.02I OF THE
        AGREEMENT OR (II) UNLESS THE TRANSFEREE DELIVERS TO THE SECURITIES
        ADMINISTRATOR A REPRESENTATION LETTER TO THE EFFECT THAT SUCH TRANSFEREE
        IS NOT
        AN EMPLOYEE BENEFIT PLAN SUBJECT TO TITLE I OF THE EMPLOYEE RETIREMENT INCOME
        SECURITY ACT OF 1974, AS AMENDED (“ERISA”),
        OR A
        PLAN SUBJECT TO SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO MATERIALLY
        SIMILAR PROVISIONS OF APPLICABLE FEDERAL, STATE OR LOCAL LAW (“SIMILAR
        LAW”)
        OR A
        PERSON INVESTING ON BEHALF OF OR WITH PLAN ASSETS OF SUCH A PLAN. IN THE
        EVENT
        THAT SUCH REPRESENTATION IS VIOLATED, OR ANY ATTEMPT IS MADE TO TRANSFER
        TO A
        PLAN OR ARRANGEMENT SUBJECT TO SECTION 406 OF ERISA, A PLAN SUBJECT TO
        SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO SIMILAR LAW, OR A PERSON
        ACTING ON BEHALF OF ANY SUCH PLAN OR ARRANGEMENT OR USING THE ASSETS OF ANY
        SUCH
        PLAN OR ARRANGEMENT, SUCH ATTEMPTED TRANSFER OR ACQUISITION SHALL BE VOID
        AND OF
        NO EFFECT.

      
        	
                 

                Certificate
                  No.

              	
                 

                :

              	
                 

                R-1

              
	
                 

                Cut-off
                  Date

              	
                 

                :

              	
                 

                October
                  1, 2006

              
	
                 

                First
                  Distribution Date

              	
                 

                :

              	
                 

                November
                  27, 2006

              
	
                 

                Percentage
                  Interest of this Certificate

              	
                 

                :

              	
                 

                100.00%

              
	
                 

                Interest
                  Rate

              	
                 

                :

              	
                 

                None

              
	
                 

                CUSIP

              	
                 

                :

              	
                44328A
                  AU 4

              
	
                 

                ISN

              	
                 

                :

              	
                 

                US44328AAU43

              

      

       

      
        
          
          

        

        
          EXH.
            C-1

          
            

          

        

        
          
          

        

      

      HSI
        ASSET
        SECURITIZATION CORPORATION

       

      HSI
        Asset
        Securitization Corporation Trust 2006-HE1

      Mortgage
        Pass-Through Certificates, Series 2006-HE1

       

      Class
        R

       

      evidencing
        a percentage interest in the distributions allocable to the Certificates
        of the
        above-referenced Class.

       

      Distributions
        in respect of this Certificate are distributable monthly as set forth herein.
        This Class R Certificate has no Certificate Balance and is not entitled to
        distributions in respect of principal or interest. This Certificate does
        not
        evidence an obligation of, or an interest in, and is not guaranteed by the
        Depositor, the Trustee or any other party to the Agreement referred to below
        or
        any of their respective affiliates. Neither this Certificate nor the Mortgage
        Loans are guaranteed or insured by any governmental agency or
        instrumentality.

       

      This
        certifies that [HSBC SECURITIES (USA) INC.] is the registered owner of the
        Percentage Interest specified above of any monthly distributions due to the
        Class R Certificates pursuant to a Pooling and Servicing Agreement dated as
        of the Cut-off Date specified above (the “Agreement”)
        among
        HSI Asset Securitization Corporation, as depositor (the “Depositor”),
        Wells
        Fargo Bank, N.A., as master servicer, (in such capacity, the “Master
        Servicer”)
        securities administrator (in such capacity, the “Securities
        Administrator”)
        and
        custodian, Clayton Fixed Income Services Inc., as Credit Risk Manager, and
        Deutsche Bank National Trust Company, as trustee (the “Trustee”).
        To
        the extent not defined herein, the capitalized terms used herein have the
        meanings assigned in the Agreement. This Certificate is issued under and
        is
        subject to the terms, provisions and conditions of the Agreement, to which
        Agreement the Holder of this Certificate by virtue of the acceptance hereof
        assents and by which such Holder is bound.

       

      Any
        distribution of the proceeds of any remaining assets of the Trust will be
        made
        only upon presentment and surrender of this Class R Certificate at the
        offices designated by the Securities Administrator for such purpose, or such
        other location specified in the notice to Certificateholders.

       

      No
        transfer of a Class R Certificate shall be made unless the Securities
        Administrator shall have received a representation letter from the transferee
        of
        such Certificate, acceptable to and in form and substance satisfactory to
        the
        Securities Administrator, to the effect that such transferee is not an employee
        benefit plan or arrangement subject to Section 406 of ERISA, a plan or
        arrangement subject to Section 4975 of the Code or a plan subject to
        Similar Law, or a person acting on behalf of any such plan or arrangement
        nor
        using the assets of any such plan or arrangement to effect such transfer,
        which
        representation letter shall not be an expense of the Trustee, the Securities
        Administrator, the Depositor, the Master Servicer or the Trust Fund. In the
        event that such representation is violated, or any attempt is made to transfer
        to a plan or arrangement subject to Section 406 of ERISA or a plan subject
        to Section 4975 of the Code or a plan subject to Similar Law, or a person
        acting on behalf of any such plan or arrangement or using the assets of any
        such
        plan or arrangement, such attempted transfer or acquisition shall be void
        and of
        no effect.

       

      
        
          
          

        

        
          EXH.
            C-2

          
            

          

        

        
          
          

        

      

      Each
        Holder of this Class R Certificate shall be deemed by the acceptance or
        acquisition an Ownership Interest in this Class R Certificate to have
        agreed to be bound by the following provisions, and the rights of each Person
        acquiring any Ownership Interest in this Class R Certificate are expressly
        subject to the following provisions: (i) each Person holding or acquiring
        any Ownership Interest in this Class R Certificate shall be a Permitted
        Transferee and shall promptly notify the Securities Administrator of any
        change
        or impending change in its status as a Permitted Transferee, (ii) no
        Ownership Interest in this Class R Certificate may be registered on the
        Closing Date or thereafter transferred, and the Securities Administrator
        shall
        not register the Transfer of this Certificate unless, in addition to the
        certificates required to be delivered to the Securities Administrator under
        Section 5.02(b) of the Agreement, the Securities Administrator shall have
        been furnished with a Transfer Affidavit of the initial owner or the proposed
        transferee in the form attached as Exhibit G to the Agreement,
        (iii) each Person holding or acquiring any Ownership Interest in this
        Class R Certificate shall agree (A) to obtain a Transfer Affidavit
        from any other Person to whom such Person attempts to Transfer its Ownership
        Interest this Class R Certificate, (B) to obtain a Transfer Affidavit
        from any Person for whom such Person is acting as nominee, trustee or agent
        in
        connection with any Transfer of this Class R Certificate, (C) not to
        cause income with respect to the Class R Certificate to be attributable to
        a foreign permanent establishment or fixed base, within the meaning of an
        applicable income tax treaty, of such Person or any other U.S. Person and
        (D) not to Transfer the Ownership Interest in this Class R Certificate
        or to cause the Transfer of the Ownership Interest in this Class R
        Certificate to any other Person if it has actual knowledge that such Person
        is a
        Non-Permitted Transferee and (iv) any attempted or purported Transfer of
        the Ownership Interest in this Class R Certificate in violation of the
        provisions herein shall be absolutely null and void and shall vest no rights
        in
        the purported Transferee.

       

      Reference
        is hereby made to the further provisions of this Certificate set forth on
        the
        reverse hereof, which further provisions shall for all purposes have the
        same
        effect as if set forth at this place.

       

      This
        Certificate shall not be entitled to any benefit under the Agreement or be
        valid
        for any purpose unless manually authenticated by an authorized signatory
        of the
        Securities Administrator.

       

      * * *

       

      
        
          
          

        

        
          EXH.
            C-3

          
            

          

        

        
          
          

        

      

      IN
        WITNESS WHEREOF, the Securities Administrator has caused this Certificate
        to be
        duly executed.

       

      
        	
                Dated:

              	 

      

       

      WELLS
        FARGO BANK, N.A.,

      not
        in
        its individual capacity, but solely as

      Securities
        Administrator

       

      By:
        _______________________________

       

      Authenticated:

       

      By:
        _______________________________  

      Authorized
        Signatory of

      WELLS
        FARGO BANK, N.A.,

      not
        in
        its individual capacity,

      but
        solely as Securities Administrator

       

      
        
          
          

        

        
          EXH.
            C-4

          
            

          

        

        
          
          

        

      

      HSI
        ASSET
        SECURITIZATION CORPORATION

       

      HSI
        Asset
        Securitization Corporation Trust 2006-HE1

      Mortgage
        Pass-Through Certificates

       

      This
        Certificate is one of a duly authorized issue of Certificates designated
        as HSI
        Asset Securitization Corporation Trust 2006-HE1 Mortgage Pass-Through
        Certificates, of the Series specified on the face hereof (herein collectively
        called the “Certificates”),
        and
        representing a beneficial ownership interest in the Trust Fund created by
        the
        Agreement.

       

      The
        Certificateholder, by its acceptance of this Certificate, agrees that it
        will
        look solely
        to the
        funds on deposit in the Distribution Account or Supplemental Interest Trust
        Account for payment hereunder and that neither the Trustee nor the Securities
        Administrator is liable to the Certificateholders for any amount payable
        under
        this Certificate or the Agreement or, except as expressly provided in the
        Agreement, subject to any liability under the Agreement.

       

      This
        Certificate does not purport to summarize the Agreement and reference is
        made to
        the Agreement for the interests, rights and limitations of rights, benefits,
        obligations and duties evidenced thereby, and the rights, duties and immunities
        of the Trustee.

       

      Pursuant
        to the terms of the Agreement, a distribution will be made on the 25th day
        of
        each month or, if such day is not a Business Day, the Business Day immediately
        following (the “Distribution
        Date”),
        commencing on the first Distribution Date specified on the face hereof, to
        the
        Person in whose name this Certificate is registered at the close of business
        on
        the applicable Record Date in an amount equal to the product of the Percentage
        Interest evidenced by this Certificate and the amount required to be distributed
        to Holders of Certificates of the Class to which this Certificate belongs
        on
        such Distribution Date pursuant to the Agreement. The Record Date applicable
        to
        each Distribution Date is the last Business Day of the month next preceding
        the
        month of such Distribution Date.

       

      Distributions
        on this Certificate shall be made by wire transfer of immediately available
        funds to the account of the Holder hereof at a bank or other entity having
        appropriate facilities therefor, if such Certificateholder shall have so
        notified the Securities Administrator in writing at least five Business Days
        prior to the related Record Date and such Certificateholder shall satisfy
        the
        conditions to receive such form of payment set forth in the Agreement, or,
        if
        not, by check mailed by first class mail to the address of such
        Certificateholder appearing in the Certificate Register. The final distribution
        on each Certificate will be made in like manner, but only upon presentment
        and
        surrender of such Certificate at the offices designated by the Securities
        Administrator for such purpose, or such other location specified in the notice
        to Certificateholders of such final distribution.

       

      The
        Agreement permits, with certain exceptions therein provided, the amendment
        thereof and the modification of the rights and obligations of the Trustee
        and
        the rights of the Certificateholders under the Agreement at any time by the
        parties to the Agreement with the consent of the Holders of Certificates
        affected by such amendment evidencing the requisite Percentage Interest,
        as
        provided in the Agreement. Any such consent by the Holder of this Certificate
        shall be conclusive and binding on such Holder and upon all future Holders
        of
        this Certificate and of any Certificate issued upon the transfer hereof or
        in
        exchange therefor or in lieu hereof whether or not notation of such consent
        is
        made upon this Certificate. The Agreement also permits the amendment thereof,
        in
        certain limited circumstances, without the consent of the Holders of any
        of the
        Certificates.

       

      
        
          
          

        

        
          EXH.
            C-5

          
            

          

        

        
          
          

        

      

      As
        provided in the Agreement and subject to certain limitations therein set
        forth,
        the transfer of this Certificate is registrable in the Certificate Register
        of
        the Securities Administrator upon surrender of this Certificate for registration
        of transfer at the offices designated by the Securities Administrator for
        such
        purposes, accompanied by a written instrument of transfer in form satisfactory
        to the Securities Administrator duly executed by the holder hereof or such
        holder’s attorney duly authorized in writing, and thereupon one or more new
        Certificates of the same Class in authorized denominations and evidencing the
        same aggregate Percentage Interest in the Trust Fund will be issued to the
        designated transferee or transferees.

       

      The
        Certificates are issuable only as registered Certificates without coupons
        in
        denominations specified in the Agreement. As provided in the Agreement and
        subject to certain limitations therein set forth, Certificates are exchangeable
        for new Certificates of the same Class in authorized denominations and
        evidencing the same aggregate Percentage Interest, as requested by the Holder
        surrendering the same.

       

      No
        service charge will be made for any such registration of transfer or exchange,
        but the Securities Administrator may require payment of a sum sufficient
        to
        cover any tax or other governmental charge payable in connection
        therewith.

       

      The
        Trustee, the Depositor and the Securities Administrator and any agent of
        the
        Trustee, the Depositor or the Securities Administrator may treat the Person
        in
        whose name this Certificate is registered as the owner hereof for all purposes,
        and neither the Trustee, the Depositor, the Securities Administrator nor
        any
        such agent shall be affected by any notice to the contrary.

       

      The
        Master Servicer, upon the instruction of the Depositor, shall have the option
        to
        purchase the Mortgage Loans and therefore cause the termination of the Trust
        on
        any Optional Termination Date, which is any Distribution Date in which the
        aggregate Stated Principal Balance of the Mortgage Loans as of the last day
        of
        the related Due Period is less than or equal to 10% of the aggregate Stated
        Principal Balance of the Mortgage Loans as of the Cut-off Date; provided,
        however,
        the
        Master Servicer in its own right may exercise the option to purchase the
        Mortgage Loans and thereby cause the termination of the Trust on any
        Distribution Date in which the aggregate Stated Principal Balance of the
        Mortgage Loans as of the last day of the related Due Period is less than
        or
        equal to 5% of the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the Cut-off Date, if the Depositor has not previously provided instructions
        to the Master Servicer to exercise such option on the Depositor’s behalf on such
        Distribution Date. 

       

      The
        obligations and responsibilities created by the Agreement will terminate
        as
        provided in Section 11.01 of the Agreement.

       

      
        
          
          

        

        
          EXH.
            C-6

          
            

          

        

        
          
          

        

      

      Any
        term
        used herein that is defined in the Agreement shall have the meaning assigned
        in
        the Agreement, and nothing herein shall be deemed inconsistent with that
        meaning.

      

      
        
          
          

        

        
          EXH.
            C-7

          
            

          

        

        
          
          

        

      

      ASSIGNMENT

       

      FOR
        VALUE
        RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
        unto

       

        
          

        

      

       

        
          

        

      

       

        
          

        

      

       

        
          

        

      

       

       

      (Please
        print or typewrite name and address including postal zip code of
        assignee)

       

      the
        Percentage Interest evidenced by the within Certificate and hereby authorizes
        the transfer of registration of such Percentage Interest to assignee on the
        Certificate Register of the Trust Fund.

       

      I
        (We)
        further direct the Securities Administrator to issue a new Certificate of
        a like
        denomination and Class, to the above named assignee and deliver such Certificate
        to the following address:

       

       

      
        	 	 

        	
                Dated:

              	 

      

       

       

       

      _________________________________

      Signature
        by or on behalf of assignor

      

       

      DISTRIBUTION
        INSTRUCTIONS

       

      
        The
          assignee should include the following for purposes of distribution:

         

        Distributions
          shall be made, by wire transfer or otherwise, in immediately available
          funds to
,
          __________, for
          the
          account of __________,
          account
          number __________, or, if mailed by check, to __________.

         

        Applicable
          statements should be mailed to __________,

         

        This
          information is provided by __________,
          the
          assignee named above, or __________,
          as
          its
          agent.

        

        
          
            
            

          

          
            EXH.
              C-8

            
              

            

          

          
            
            

          

        

      

    

    
      EXHIBIT
        D

       

      SOLELY
        FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE REPRESENTS AN INTEREST
        IN
        A “REGULAR INTEREST” IN A “REAL ESTATE MORTGAGE INVESTMENT CONDUIT,” AS THOSE
        TERMS ARE DEFINED, RESPECTIVELY, IN SECTIONS 860G AND 860D OF THE INTERNAL
        REVENUE CODE OF 1986, AS AMENDED (THE “CODE”)
        AND
        CERTAIN OTHER ASSETS.

       

      NEITHER
        THIS CERTIFICATE NOR ANY INTEREST HEREIN MAY BE TRANSFERRED UNLESS THE PROPOSED
        TRANSFEROR DELIVERS TO THE SECURITIES ADMINISTRATOR A TRANSFEROR LETTER IN
        THE
        FORM OF EXHIBIT H TO THE AGREEMENT REFERRED TO HEREIN AND EITHER
        (I) THE SECURITIES ADMINISTRATOR RECEIVES EITHER A RULE 144A INVESTMENT
        LETTER OR A REGULATION S INVESTMENT LETTER IN THE FORM OF EXHIBIT I-A AND
        EXHIBIT I-B, RESPECTIVELY, TO THE AGREEMENT REFERRED TO HEREIN OR (II) THE
        SECURITIES ADMINISTRATOR RECEIVES AN OPINION OF COUNSEL, DELIVERED AT THE
        EXPENSE OF THE TRANSFEROR, THAT SUCH TRANSFER MAY BE MADE WITHOUT REGISTRATION
        UNDER THE SECURITIES ACT OF 1933, AS AMENDED.

       

      NEITHER
        THIS CERTIFICATE NOR ANY INTEREST HEREIN MAY BE TRANSFERRED UNLESS THE
        TRANSFEREE DELIVERS TO THE SECURITIES ADMINISTRATOR A REPRESENTATION LETTER
        TO
        THE EFFECT THAT SUCH TRANSFEREE IS NOT AN EMPLOYEE BENEFIT PLAN SUBJECT TO
        TITLE I OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED
        (“ERISA”),
        OR A
        PLAN SUBJECT TO SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO MATERIALLY
        SIMILAR PROVISIONS OF APPLICABLE FEDERAL, STATE OR LOCAL LAW (“SIMILAR
        LAW”)
        OR A
        PERSON INVESTING ON BEHALF OF OR WITH PLAN ASSETS OF SUCH A PLAN. IN THE
        EVENT
        THAT SUCH REPRESENTATION IS VIOLATED, OR ANY ATTEMPT IS MADE TO TRANSFER
        TO A
        PLAN OR ARRANGEMENT SUBJECT TO SECTION 406 OF ERISA, A PLAN SUBJECT TO
        SECTION 4975 OF THE CODE OR A PLAN SUBJECT TO SIMILAR LAW, OR A PERSON
        ACTING ON BEHALF OF ANY SUCH PLAN OR ARRANGEMENT OR USING THE ASSETS OF ANY
        SUCH
        PLAN OR ARRANGEMENT, SUCH ATTEMPTED TRANSFER OR ACQUISITION SHALL BE VOID
        AND OF
        NO EFFECT.

      
        	
                 

                Certificate
                  No.

              	
                 

                :

              	
                 

                X-1

              
	
                 

                Cut-off
                  Date

              	
                 

                :

              	
                 

                October
                  1, 2006

              
	
                 

                First
                  Distribution Date

              	
                 

                :

              	
                 

                November
                  27, 2006

              
	
                 

                Percentage
                  Interest of this Certificate

              	
                 

                :

              	
                 

                100%

              
	
                 

                Interest
                  Rate

              	
                 

                :

              	
                 

                None

              
	
                 

                CUSIP

              	
                 

                :

              	
                44328A
                  AT 7

              

      

       

      
        
          
          

        

        
          EXH.
            D-1

          
            

          

        

        
          
          

        

      

      
        	
                 

                ISIN

              	
                 

                :

              	
                 

                US44328AAT79

              

      

       

      
        
          
          

        

        
          EXH.
            D-2

          
            

          

        

        
          
          

        

      

      HSI
        ASSET
        SECURITIZATION CORPORATION

       

      HSI
        Asset
        Securitization Corporation Trust 2006-HE1

      Mortgage
        Pass-Through Certificates, Series 2006-HE1

       

      Class
        X

       

      evidencing
        a percentage interest in the distributions allocable to the Certificates
        of the
        above-referenced Class.

       

      Distributions
        in respect of this Certificate are distributable monthly as set forth herein.
        This Certificate does not evidence an obligation of, or an interest in, and
        is
        not guaranteed by the Depositor, the Trustee or any other party to the Agreement
        referred to below or any of their respective affiliates. Neither this
        Certificate nor the Mortgage Loans are guaranteed or insured by any governmental
        agency or instrumentality.

       

      This
        certifies that [____________________] is the registered owner of the Percentage
        Interest evidenced by this Certificate (obtained by dividing the denomination
        of
        this Certificate by the aggregate of the denominations of all Certificates
        of
        the Class to which this Certificate belongs) in certain monthly distributions
        pursuant to a Pooling and Servicing Agreement dated as of the Cut-off Date
        specified above (the “Agreement”)
        among
        HSI Asset Securitization Corporation, as depositor (the “Depositor”),
        Wells
        Fargo Bank, N.A., as master servicer, (in such capacity, the “Master
        Servicer”)
        securities administrator (in such capacity, the “Securities
        Administrator”)
        and
        custodian, Clayton Fixed Income Services Inc., as Credit Risk Manager, and
        Deutsche Bank National Trust Company, as trustee (the “Trustee”).
        To
        the extent not defined herein, the capitalized terms used herein have the
        meanings assigned in the Agreement. This Certificate is issued under and
        is
        subject to the terms, provisions and conditions of the Agreement, to which
        Agreement the Holder of this Certificate by virtue of the acceptance hereof
        assents and by which such Holder is bound.

       

      This
        Certificate does not have a Certificate Balance or an Interest Rate and will
        be
        entitled to distributions only to the extent set forth in the Agreement.
        In
        addition, any distribution of the proceeds of any remaining assets of the
        Trust
        will be made only upon presentment and surrender of this Certificate at the
        offices designated by the Securities Administrator for such purpose, or such
        other location specified in the notice to Certificateholders.

       

      No
        transfer of a Certificate of this Class shall be made unless such disposition
        is
        exempt from the registration requirements of the Securities Act of 1933,
        as
        amended (the “1933 Act”),
        and
        any applicable state securities laws or is made in accordance with the 1933
        Act
        and such laws. In the event of any such transfer, the Securities Administrator
        shall require the transferor to execute a transferor certificate (in
        substantially the form attached to the Agreement) and deliver either (i) a
        Rule 144A Investment Letter or Regulation S Investment Letter, as
        applicable, in either case substantially in the form attached to the Agreement,
        or (ii) a written Opinion of Counsel to the Securities Administrator that
        such transfer may be made pursuant to an exemption, describing the applicable
        exemption and the basis therefor, from the 1933 Act or is being made pursuant
        to
        the 1933 Act, which Opinion of Counsel shall be an expense of the
        transferor.

       

      
        
          
          

        

        
          EXH.
            D-3

          
            

          

        

        
          
          

        

      

      No
        transfer of a Certificate of this Class shall be made unless the Securities
        Administrator shall have received a representation letter from the transferee
        of
        such Certificate, acceptable to and in form and substance satisfactory to
        the
        Securities Administrator, to the effect that such transferee is not an employee
        benefit plan subject to Section 406 of ERISA, Section 4975 of the Code
        or any materially similar provisions of applicable federal, state or local
        law
        (“Similar
        Law”),
        or a
        person acting on behalf of or investing plan assets of any such plan, which
        representation letter shall not be an expense of the Securities
        Administrator.

       

      Reference
        is hereby made to the further provisions of this Certificate set forth on
        the
        reverse hereof, which further provisions shall for all purposes have the
        same
        effect as if set forth at this place.

       

      This
        Certificate shall not be entitled to any benefit under the Agreement or be
        valid
        for any purpose unless manually authenticated by an authorized signatory
        of the
        Securities Administrator.

       

      * * *

       

      
        
          
          

        

        
          EXH.
            D-4

          
            

          

        

        
          
          

        

      

      IN
        WITNESS WHEREOF, the Securities Administrator has caused this Certificate
        to be
        duly executed.

       

      
        	
                Dated:

              	 

      

       

      WELLS
        FARGO BANK, N.A.,

      not
        in
        its individual capacity, but solely as

      Securities
        Administrator

       

      By:
        _________________________________

       

      Authenticated:

       

      By:
        _________________________________

      Authorized
        Signatory of

      WELLS
        FARGO BANK, N.A.,

      not
        in
        its individual capacity,

      but
        solely as Securities Administrator

       

      
        
          
          

        

        
          EXH.
            D-5

          
            

          

        

        
          
          

        

      

      HSI
        ASSET
        SECURITIZATION CORPORATION

       

      HSI
        Asset
        Securitization Corporation Trust 2006-HE1

      Mortgage
        Pass-Through Certificates

       

      This
        Certificate is one of a duly authorized issue of Certificates designated
        as HSI
        Asset Securitization Corporation Trust 2006-HE1 Mortgage Pass-Through
        Certificates, of the Series specified on the face hereof (herein collectively
        called the “Certificates”),
        and
        representing a beneficial ownership interest in the Trust Fund created by
        the
        Agreement.

       

      The
        Certificateholder, by its acceptance of this Certificate, agrees that it
        will
        look solely
        to the
        funds on deposit in the Distribution Account or Supplemental Interest Trust
        Account for payment hereunder and that neither the Trustee nor the Securities
        Administrator is liable to the Certificateholders for any amount payable
        under
        this Certificate or the Agreement or, except as expressly provided in the
        Agreement, subject to any liability under the Agreement.

       

      This
        Certificate does not purport to summarize the Agreement and reference is
        made to
        the Agreement for the interests, rights and limitations of rights, benefits,
        obligations and duties evidenced thereby, and the rights, duties and immunities
        of the Trustee.

       

      Pursuant
        to the terms of the Agreement, a distribution will be made on the 25th day
        of
        each month or, if such 25th day is not a Business Day, the Business Day
        immediately following (the “Distribution
        Date”),
        commencing on the first Distribution Date specified on the face hereof, to
        the
        Person in whose name this Certificate is registered at the close of business
        on
        the applicable Record Date in an amount equal to the product of the Percentage
        Interest evidenced by this Certificate and the amount required to be distributed
        to Holders of Certificates of the Class to which this Certificate belongs
        on
        such Distribution Date pursuant to the Agreement. The Record Date applicable
        to
        each Distribution Date is the last Business Day of the month next preceding
        the
        month of such Distribution Date.

       

      Distributions
        on this Certificate shall be made by wire transfer of immediately available
        funds to the account of the Holder hereof at a bank or other entity having
        appropriate facilities therefor, if such Certificateholder shall have so
        notified the Securities Administrator in writing at least five Business Days
        prior to the related Record Date and such Certificateholder shall satisfy
        the
        conditions to receive such form of payment set forth in the Agreement, or,
        if
        not, by check mailed by first class mail to the address of such
        Certificateholder appearing in the Certificate Register. The final distribution
        on each Certificate will be made in like manner, but only upon presentment
        and
        surrender of such Certificate at the offices designated by the Securities
        Administrator for such purposes or such other location specified in the notice
        to Certificateholders of such final distribution.

       

      The
        Agreement permits, with certain exceptions therein provided, the amendment
        thereof and the modification of the rights and obligations of the Trustee
        and
        the rights of the Certificateholders under the Agreement at any time by the
        parties to the Agreement with the consent of the Holders of Certificates
        affected by such amendment evidencing the requisite Percentage Interest,
        as
        provided in the Agreement. Any such consent by the Holder of this Certificate
        shall be conclusive and binding on such Holder and upon all future Holders
        of
        this Certificate and of any Certificate issued upon the transfer hereof or
        in
        exchange therefor or in lieu hereof whether or not notation of such consent
        is
        made upon this Certificate. The Agreement also permits the amendment thereof,
        in
        certain limited circumstances, without the consent of the Holders of any
        of the
        Certificates.

       

      
        
          
          

        

        
          EXH.
            D-6

          
            

          

        

        
          
          

        

      

      As
        provided in the Agreement and subject to certain limitations therein set
        forth,
        the transfer of this Certificate is registrable in the Certificate Register
        of
        the Securities Administrator upon surrender of this Certificate for registration
        of transfer at the offices designated by the Securities Administrator for
        such
        purposes, accompanied by a written instrument of transfer in form satisfactory
        to the Securities Administrator duly executed by the holder hereof or such
        holder’s attorney duly authorized in writing, and thereupon one or more new
        Certificates of the same Class in authorized denominations and evidencing
        the
        same aggregate Percentage Interest in the Trust Fund will be issued to the
        designated transferee or transferees.

       

      The
        Certificates are issuable only as registered Certificates without coupons
        in
        denominations specified in the Agreement. As provided in the Agreement and
        subject to certain limitations therein set forth, Certificates are exchangeable
        for new Certificates of the same Class in authorized denominations and
        evidencing the same aggregate Percentage Interest, as requested by the Holder
        surrendering the same.

       

      No
        service charge will be made for any such registration of transfer or exchange,
        but the Securities Administrator may require payment of a sum sufficient
        to
        cover any tax or other governmental charge payable in connection
        therewith.

       

      The
        Trustee, the Depositor and the Securities Administrator and any agent of
        the
        Trustee, the Depositor or the Securities Administrator may treat the Person
        in
        whose name this Certificate is registered as the owner hereof for all purposes,
        and neither the Trustee, the Depositor, the Securities Administrator nor
        any
        such agent shall be affected by any notice to the contrary.

       

      The
        Master Servicer, upon the instruction of the Depositor, shall have the option
        to
        purchase the Mortgage Loans and therefore cause the termination of the Trust
        on
        any Optional Termination Date, which is any Distribution Date in which the
        aggregate Stated Principal Balance of the Mortgage Loans as of the last day
        of
        the related Due Period is less than or equal to 10% of the aggregate Stated
        Principal Balance of the Mortgage Loans as of the Cut-off Date; provided,
        however,
        the
        Master Servicer in its own right may exercise the option to purchase the
        Mortgage Loans and thereby cause the termination of the Trust on any
        Distribution Date in which the aggregate Stated Principal Balance of the
        Mortgage Loans as of the last day of the related Due Period is less than
        or
        equal to 5% of the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the Cut-off Date, if the Depositor has not previously provided instructions
        to the Master Servicer to exercise such option on the Depositor’s behalf on such
        Distribution Date. 

       

      The
        obligations and responsibilities created by the Agreement will terminate
        as
        provided in Section 11.01 of the Agreement.

       

      
        
          
          

        

        
          EXH.
            D-7

          
            

          

        

        
          
          

        

      

      Any
        term
        used herein that is defined in the Agreement shall have the meaning assigned
        in
        the Agreement, and nothing herein shall be deemed inconsistent with that
        meaning

       

      
        
          
          

        

        
          EXH.
            D-8

          
            

          

        

        
          
          

        

      

      ASSIGNMENT

       

      FOR
        VALUE
        RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
        unto

       

        
          

        

      

       

        
          

        

         

        
          

        

         

        
          

        

      

       

      (Please
        print or typewrite name and address including postal zip code of
        assignee)

       

      the
        Percentage Interest evidenced by the within Certificate and hereby authorizes
        the transfer of registration of such Percentage Interest to assignee on the
        Certificate Register of the Trust Fund.

       

      I
        (We)
        further direct the Securities Administrator to issue a new Certificate of
        a like
        denomination and Class, to the above named assignee and deliver such Certificate
        to the following address:

       

       

      
        	 	 

        	
                Dated:

              	 

      

       

       

       

      ______________________________________

      Signature
        by or on behalf of assignor

       

      DISTRIBUTION
        INSTRUCTIONS

    

    
       

      
        The
          assignee should include the following for purposes of distribution:

         

        Distributions
          shall be made, by wire transfer or otherwise, in immediately available
          funds to
,
          __________, for
          the
          account of __________,
          account
          number __________, or, if mailed by check, to __________.

         

        Applicable
          statements should be mailed to __________,

         

        This
          information is provided by __________,
          the
          assignee named above, or __________,
          as
          its
          agent.

        

        
          
            
            

          

          
            EXH.
              D-9

            
              

            

          

          
            
            

          

        

      

    

    
      
        EXHIBIT
          E

        FORM
          OF
          INITIAL CERTIFICATION OF CUSTODIAN

        [date]

         

        
          	
                  HSI
                    Asset Securitization Corporation

                  452
                    Fifth Avenue

                  New
                    York, New York 10018

                   

                	 
	
                  Wells
                    Fargo Bank, N.A.

                  1015
                    10th Avenue SE

                  Minneapolis,
                    Minnesota 55414

                   

                	 
	
                  Deutsche
                    Bank National Trust Company

                  1761
                    East St. Andrew Place

                  Santa
                    Ana, California 92705-4934

                   

                	 

        

        
          	 	
                  Re:

                	
                  HSI
                    Asset Securitization Corporation, Series
                    2006-HE1

                

        

         

        
          Ladies
            and Gentlemen:

           

          In
            accordance with Section 2.02 of the Pooling and Servicing Agreement (the
“Pooling
            and Servicing Agreement”)
            dated
            as of October 1, 2006 among HSI Asset Securitization Corporation, as
            depositor,
            Wells Fargo Bank, N.A., as master servicer, securities administrator
            and
            custodian, Clayton Fixed Income Services Inc., as Credit Risk Manager,
            and
            Deutsche Bank National Trust Company, as trustee, for each Mortgage Loan
            listed
            in the Mortgage Loan Schedule (other than any Mortgage Loan listed in
            the
            attached schedule), it has received:

           

          (i) the
            original Mortgage Note, endorsed as provided in the following form: “Pay to the
            order of ________, without recourse”; and

           

          (ii) a
            duly
            executed assignment of the Mortgage (which may be included in a blanket
            assignment or assignments).

           

          Based
            on
            its review and examination and only as to the foregoing documents, such
            documents appear regular on their face and related to such Mortgage
            Loan.

           

          The
            Custodian has made no independent examination of any documents contained
            in each
            Mortgage File beyond the review specifically required in the Pooling
            and
            Servicing Agreement. The Custodian makes no representations as to: (i) the
            validity, legality, sufficiency, enforceability or genuineness of any
            of the
            documents contained in each Mortgage File of any of the Mortgage Loans
            identified on the Mortgage Loan Schedule, or (ii) the collectability,
            insurability, effectiveness or suitability of any such Mortgage
            Loan.

           

          Capitalized
            words and phrases used herein shall have the respective meanings assigned
            to
            them in the Pooling and Servicing Agreement.

           

          
            
              
              

            

            
              EXH.
                E-1

              
                

              

            

            
              
              

            

          

          WELLS
            FARGO BANK, N.A., as Custodian

           

          By:
            _____________________________

          Name:
            ________________________

          Title:
            _________________________

          

          
            
              
              

            

            
              EXH.
                E-2

              
                

              

            

            
              
              

            

          

          EXHIBIT
            F

           

          FORM
            OF
            DOCUMENT CERTIFICATION

           

          AND
            EXCEPTION REPORT OF CUSTODIAN

           

          ______,
            20___

           

          
            	
                    HSI
                      Asset Securitization Corporation

                    452
                      Fifth Avenue

                    New
                      York, New York 10018

                  	
                    Wells
                      Fargo Bank, N.A.

                    1
                      Home Campus

                    Des
                      Moines, Iowa 50328-0001

                  
	 	 
	
                    Wells
                      Fargo Bank, N.A.

                    1015
                      10th Avenue SE

                    Minneapolis,
                      Minnesota 55414

                  	
                    Countrywide
                      Home Loans Servicing LP

                    4500
                      Park Granada

                    Calabas,
                      California 91302

                     

                  
	
                    Deutsche
                      Bank National Trust Company

                    1761
                      East St. Andrew Place

                    Santa
                      Ana, California 92705-4934

                  	 

          

           

          
            	 	
                    Re:

                  	
                    HSI
                      Asset Securitization Corporation, Series
                      2006-HE1

                  

          

           

          Ladies
            and Gentlemen:

           

          In
            accordance with Section 2.02 of the Pooling and Servicing Agreement (the
“Pooling
            and Servicing Agreement”)
            dated
            as of October 1, 2006 among HSI Asset Securitization Corporation, as
            depositor,
            Wells Fargo Bank, N.A., as master servicer, securities administrator
            and
            custodian, Clayton Fixed Income Services Inc., as Credit Risk Manager,
            and
            Deutsche Bank National Trust Company, as trustee, the undersigned, as
            Custodian,
            hereby certifies that as to each Mortgage Loan listed in the Mortgage
            Loan
            Schedule (other than any Mortgage Loan paid in full or listed on the
            attached
            Document Exception Report) it has received:

           

          (i) The
            original Mortgage Note, endorsed in the form provided in Section 2.01 of
            the Pooling and Servicing Agreement, with all intervening endorsements
            showing a
            complete chain of endorsement from the mortgage loan seller to the last
            endorsee.

           

          (ii) The
            original recorded Mortgage.

           

          (iii) A
            duly
            executed assignment of the Mortgage in the form provided in Section 2.01 of
            the Pooling and Servicing Agreement; or, if the Mortgage Loan Seller
            has
            certified or the Custodian otherwise knows that the related Mortgage
            has not
            been returned from the applicable recording office, a copy of the assignment
            of
            the Mortgage (excluding information to be provided by the recording
            office).

           

          
            
              
              

            

            
              EXH.
                F-1

              
                

              

            

            
              
              

            

          

          (iv) The
            original or duplicate original recorded assignment or assignments of
            the
            Mortgage showing a complete chain of assignment from the mortgage loan
            seller to
            the last endorsee.

           

          (v) The
            original or duplicate original lender’s title policy and all riders thereto or,
            any one of an original title binder, an original preliminary title report
            or an
            original title commitment, or a copy thereof certified by the title
            company.

           

          Based
            on
            its review and examination and only as to the foregoing documents, (a) such
            documents appear regular on their face and related to such Mortgage Loan,
            and
            (b) the information set forth in items (1), (2), (3), (15), (18) and
            (22) of the Data Tape Information accurately reflects information set
            forth in
            the Custodial File.

           

          The
            Custodian has made no independent examination of any documents contained
            in each
            Mortgage File beyond the review of the Custodial File specifically required
            in
            the Pooling and Servicing Agreement. The Custodian makes no representation
            as
            to: (i) the validity, legality, sufficiency, enforceability or genuineness
            of any of the documents contained in each Mortgage File of any of the
            Mortgage
            Loans identified on the Mortgage Loan Schedule, or (ii) the collectability,
            insurability, effectiveness or suitability of any such Mortgage Loan.
            Notwithstanding anything herein to the contrary, the Custodian has made
            no
            determination and makes no representations as to whether (i) any
            endorsement is sufficient to transfer all right, title and interest of
            the party
            so endorsing, as noteholder or assignee thereof, in and to that Mortgage
            Note or
            (ii) any assignment is in recordable form or sufficient to effect the
            assignment of and transfer to the assignee thereof, under the Mortgage
            to which
            the assignment relates.

           

          Capitalized
            words and phrases used herein shall have the respective meanings assigned
            to
            them in the Pooling and Servicing Agreement.

           

          WELLS
            FARGO BANK, N.A., as Custodian

          
             

            By:
              _____________________________

            Name:
              ________________________

            Title:
              _________________________

            

            
              
                
                

              

              
                EXH.
                  F-2

                
                  

                

              

              
                
                

              

            

          

          EXHIBIT
            G

           

          FORM
            OF
            RESIDUAL TRANSFER AFFIDAVIT

           

          HSI
            Asset
            Securitization Corporation Trust 2006-HE1

          Mortgage
            Pass-Through Certificates, Series 2006- HE1

        

        
          
            	
                     

                    STATE
                      OF

                  	
                     

                    )

                  
	
                  	
                    )
                      ss.:

                  
	
                    COUNTY
                      OF

                  	
                    )

                  

          

           

          The
            undersigned, being first duly sworn, deposes and says as follows:

           

          1. The
            undersigned is an officer of ___________________, the proposed Transferee
            of an
            Ownership Interest in a Class R Certificate (the “Certificate”)
            issued
            pursuant to the Pooling and Servicing Agreement (the “Agreement”),
            relating to the above-referenced Series, dated as of October 1, 2006
            among HSI
            Asset Securitization Corporation, as depositor, Wells Fargo Bank, N.A.,
            as
            master servicer, securities administrator and custodian, Clayton Fixed
            Income
            Services Inc., as Credit Risk Manager, and Deutsche Bank National Trust
            Company,
            as trustee. Capitalized terms used, but not defined herein, shall have
            the
            meanings ascribed to such terms in the Agreement. The Transferee has
            authorized
            the undersigned to make this affidavit on behalf of the Transferee for
            the
            benefit of the Depositor, the Securities Administrator and the
            Trustee.

           

          2. The
            Transferee is, as of the date hereof, and will be, as of the date of
            the
            Transfer, a Permitted Transferee. The Transferee is acquiring its Ownership
            Interest in the Certificate for its own account. The Transferee has no
            knowledge
            that any such affidavit is false.

           

          3. The
            Transferee has been advised of, and understands that (i) a tax will be
            imposed on Transfers of the Certificate to Persons that are Non-Permitted
            Transferees; (ii) such tax will be imposed on the transferor, or, if such
            Transfer is through an agent (which includes a broker, nominee or middleman)
            for
            a Person that is a Non-Permitted Transferee, on the agent; and (iii) the
            Person otherwise liable for the tax shall be relieved of liability for
            the tax
            if the subsequent Transferee furnished to such Person an affidavit that
            such
            subsequent Transferee is a Permitted Transferee and, at the time of Transfer,
            such Person does not have actual knowledge that the affidavit is
            false.

           

          4. The
            Transferee has been advised of, and understands that a tax will be imposed
            on a
“pass-through entity” holding the Certificate if at any time during the taxable
            year of the pass-through entity a Person that is a Non-Permitted Transferee
            is
            the record holder of an interest in such entity. The Transferee understands
            that
            such tax will not be imposed for any period with respect to which the
            record
            holder furnishes to the pass-through entity an affidavit that such record
            holder
            is a Permitted Transferee and the pass-through entity does not have actual
            knowledge that such affidavit is false. (For this purpose, a “pass-through
            entity” includes a regulated investment company, a real estate investment trust
            or common trust fund, a partnership, trust or estate, and certain cooperatives
            and, except as may be provided in Treasury Regulations, persons holding
            interests in pass-through entities as a nominee for another
            Person.)

           

          
            
              
              

            

            
              EXH.
                G-1

              
                

              

            

            
              
              

            

          

          5. The
            Transferee has reviewed the provisions of Section 5.02(c) of the Agreement
            and understands the legal consequences of the acquisition of an Ownership
            Interest in the Certificate including, without limitation, the restrictions
            on
            subsequent Transfers and the provisions regarding voiding the Transfer
            and
            mandatory sales. The Transferee expressly agrees to be bound by and to
            abide by
            the provisions of Section 5.02(c) of the Agreement and the restrictions
            noted on the face of the Certificate. The Transferee understands and
            agrees that
            any breach of any of the representations included herein shall render
            the
            Transfer to the Transferee contemplated hereby null and void.

           

          6. The
            Transferee agrees to require a Transfer Affidavit from any Person to
            whom the
            Transferee attempts to Transfer its Ownership Interest in the Certificate,
            and
            in connection with any Transfer by a Person for whom the Transferee is
            acting as
            nominee, trustee or agent, and the Transferee will not Transfer its Ownership
            Interest or cause any Ownership Interest to be Transferred to any Person
            that
            the Transferee knows is a Non-Permitted Transferee. In connection with
            any such
            Transfer by the Transferee, the Transferee agrees to deliver to the Securities
            Administrator a certificate substantially in the form set forth as
            Exhibit H to the Agreement (a “Transferor
            Certificate”)
            to the
            effect that, among other things, such Transferee has no actual knowledge
            that
            the Person to which the Transfer is to be made is a Non-Permitted
            Transferee.

           

          7. The
            Transferee does not have the intention to impede the assessment or collection
            of
            any tax legally required to be paid with respect to the Certificate.
            The
            Transferee has historically paid its debts as they have come due and
            intends to
            pay its debts as they come due in the future. The Transferee intends
            to pay all
            taxes due with respect to the Certificate as they become due.

           

          8. The
            Transferee’s taxpayer identification number is __________.

           

          9. The
            Transferee is not a Disqualified Non-U.S. Person as defined in the
            Agreement.

           

          10. The
            Transferee is aware that the Certificate may be a “noneconomic residual
            interest” within the meaning of proposed Treasury regulations promulgated
            pursuant to the Code and that the transferor of a noneconomic residual
            interest
            will remain liable for any taxes due with respect to the income on such
            residual
            interest, unless no significant purpose of the transfer was to impede
            the
            assessment or collection of tax.

           

          11. The
            Transferee will not cause income from the Residual Certificate to be
            attributable to a foreign permanent establishment or fixed base, within
            the
            meaning of an applicable income tax treaty, of the Transferee or any
            other U.S.
            Person.

           

          
            
              
              

            

            
              EXH.
                G-2

              
                

              

            

            
              
              

            

          

          12. Check
            the
            applicable paragraph:

           

          

             ̈
The
              present value of the anticipated tax liabilities associated with holding
              the
              Certificate, as applicable, does not exceed the sum of:

          

           

          (i) the
            present value of any consideration given to the Transferee to acquire
            such
            Certificate;

           

          (ii) the
            present value of the expected future distributions on such Certificate;
            and

           

          (iii) the
            present value of the anticipated tax savings associated with holding
            such
            Certificate as the related REMIC generates losses.

           

          For
            purposes of this calculation, (i) the Transferee is assumed to pay tax at
            the highest rate currently specified in Section 11(b) of the Code (but the
            tax rate in Section 55(b)(1)(B) of the Code may be used in lieu of the
            highest
            rate specified in Section 11(b) of the Code if the Transferee has been
            subject to the alternative minimum tax under Section 55 of the Code in the
            preceding two years and will compute its taxable income in the current
            taxable
            year using the alternative minimum tax rate) and (ii) present values are
            computed using a discount rate equal to the short-term Federal rate prescribed
            by Section 1274(d) of the Code for the month of the transfer and the
            compounding period used by the Transferee.

           

          

             ̈
The
              transfer of the Certificate complies with U.S. Treasury Regulations
              Sections
              1.860E-1(c)(5) and (6) and, accordingly,

          

           

          (i) the
            Transferee is an “eligible corporation,” as defined in U.S. Treasury Regulations
            Section 1.860E-1(c)(6)(i), as to which income from the Certificate will
            only be
            taxed in the United States;

           

          (ii) at
            the
            time of the transfer, and at the close of the Transferee’s two fiscal years
            preceding the year of the transfer, the Transferee had gross assets for
            financial reporting purposes (excluding any obligation of a person related
            to
            the Transferee within the meaning of U.S. Treasury Regulations Section
            1.860E-1(c)(6)(ii)) in excess of $100 million and net assets in excess of
            $10 million;

           

          (iii) the
            Transferee will transfer the Certificate only to another “eligible corporation,”
as defined in U.S. Treasury Regulations Section 1.860E-1(c)(6)(i), in
            a
            transaction that satisfies the requirements of Sections 1.860E-1(c)(4)(i),
            (ii)
            and (iii) and Section 1.860E-1(c)(5) of the U.S. Treasury Regulations;
            and

           

          (iv) the
            Transferee determined the consideration paid to it to acquire the Certificate
            based on reasonable market assumptions (including, but not limited to,
            borrowing
            and investment rates, prepayment and loss assumptions, expense and reinvestment
            assumptions, tax rates and other factors specific to the Transferee)
            that it has
            determined in good faith.

          

             ̈
None
              of the above.

          

           

          
            
              
              

            

            
              EXH.
                G-3

              
                

              

            

            
              
              

            

          

          13. The
            Transferee is not an employee benefit plan that is subject to Title I of
            ERISA or a plan that is subject to Section 4975 of the Code or a plan
            subject to any Federal, state or local law that is substantially similar
            to
            Title I of ERISA or Section 4975 of the Code, and the Transferee is
            not acting on behalf of or investing plan assets of such a plan.

           

          * * *

           

          IN
            WITNESS WHEREOF, the Transferee has caused this instrument to be executed
            on its
            behalf, pursuant to authority of its Board of Directors, by its duly
            authorized
            officer and its corporate seal to be hereunto affixed, duly attested,
            this ___
            day of _______, 20__.

           

           

           

          ___________________________________

          Print
            Name of Transferee

           

          By:
            ________________________________

          Name:

          Title:

           

          [Corporate
            Seal]

           

          

           

          ATTEST:

           

          __________________________________

          [Assistant]
            Secretary

           

          Personally
            appeared before me the above-named __________, known or proved to me
            to be the
            same person who executed the foregoing instrument and to be the ___________
            of
            the Transferee, and acknowledged that he executed the same as his free
            act and
            deed and the free act and deed of the Transferee.

           

          Subscribed
            and sworn before me this ___ day of _______, 20__.

           

           

           

          _____________________________________

          NOTARY
            PUBLIC

           

          My
            Commission expires the __ day

           

          of
            _________, 20__

          

          
            
              
              

            

            
              EXH.
                G-4

              
                

              

            

            
              
              

            

          

          EXHIBIT
            H

           

          FORM
            OF
            TRANSFEROR CERTIFICATE

           

          __________,
            20__

           

          HSI
            Asset
            Securitization Corporation

          452
            Fifth
            Avenue

          New
            York,
            New York 10018

          Attention:
            Head MBS Principal Finance

           

          Wells
            Fargo Bank, N.A.,

          as
            Securities Administrator

          Sixth
            Street and Marquette Avenue

          Minneapolis,
            Minnesota 55479

          Attention:
            Corporate Trust Services - HASCO 2006-HE1

           

          
            	 	
                    Re:

                  	
                    HSI
                      Asset Securitization Corporation Trust 2006-HE1 Mortgage Pass-Through
                      Certificates, Series 2006-HE1, Class
                      [__]

                  

          

           

          Ladies
            and Gentlemen:

           

          In
            connection with our disposition of the above Certificates we certify
            that
            (a) we understand that the Certificates have not been registered under the
            Securities Act of 1933, as amended (the “Act”),
            and
            are being disposed by us in a transaction that is exempt from the registration
            requirements of the Act, (b) we have not offered or sold any Certificates
            to, or solicited offers to buy any Certificates from, any person, or
            otherwise
            approached or negotiated with any person with respect thereto, in a manner
            that
            would be deemed, or taken any other action which would result in, a violation
            of
            Section 5 of the Act and (c) to the extent we are disposing of a
            Residual Certificate, (i) we have no knowledge the Transferee is a
            Non-Permitted Transferee, (ii) after conducting a reasonable investigation
            of the financial condition of the Transferee, we have no knowledge and
            no reason
            to believe that the Transferee will not pay all taxes with respect to
            the
            Residual Certificates as they become due and (iii) we have no reason to
            believe that the statements made in paragraphs 7, 10 and 11 of the
            Transferee’s Residual Transfer Affidavit are false.

           

          In
            connection with any disposition of the above Certificates in accordance
            with
            Rule 904 of Regulation S we hereby certify that:

           

          
            	
                  	a.	
                    the
                      offer of the Certificates was not made to a person in the United
                      States;

                  

          

           

          
            	 	
                    b.
                      

                  	
                    at
                      the time the buy order was originated, the transferee was outside
                      the
                      United States or the Transferor and any person acting on its
                      behalf
                      responsibly believed
                      the transferee was outside the United
                      States;

                  

          

           

          
            
              
              

            

            
              EXH.
                H-1

              
                

              

            

            
              
              

            

          

          
            	 	
                    c.

                  	
                    no
                      directed selling efforts have been made in contravention of
                      the
                      requirements of Rule 903 or Rule 904 of Regulation S, as
                      applicable;

                  

          

           

          
            	 	
                    d.
                      

                  	
                    the
                      transaction is not part of a plan or scheme to
                      evade the registration requirements of the Securities Act,
                      as amended;
                      and

                  

          

           

          
            	
                  	e.	
                    the
                      transferee is not a U.S. person (as defined in Regulation
                      S).

                  

          

           

          

           

          Very
            truly yours,

           

           

          ________________________________

          Print
            Name of Transferor

           

          By:
            _____________________________

          Authorized
            Officer

           

          
            
              
              

            

            
              EXH.
                H-2

              
                

              

            

            
              
              

            

          

          EXHIBIT
            I-A

           

          FORM
            OF
            RULE 144A INVESTMENT LETTER

           

          ____________,
            20__

           

          HSI
            Asset
            Securitization Corporation

          452
            Fifth
            Avenue

          New
            York,
            New York 10018

          Attention:
            Head MBS Principal Finance

           

          Wells
            Fargo Bank, N.A.,

          as
            Securities Administrator

          Sixth
            Street and Marquette Avenue

          Minneapolis,
            Minnesota 55479

          Attention:
            Corporate Trust Services - HASCO 2006-HE1

           

          
            	 	
                    Re:

                  	
                    HSI
                      Asset Securitization Corporation Trust
                      2006-HE1

                  

          

          
            	 	 	
                    Mortgage
                      Pass-Through Certificates, Series 2006-HE1, Class
                      [__]

                  

          

           

          Ladies
            and Gentlemen:

          

          In
            connection with our acquisition of the above Certificates we certify
            that
            (a) we understand that the Certificates are not being registered under the
            Securities Act of 1933, as amended (the “Act”),
            or
            any state securities laws and are being transferred to us in a transaction
            that
            is exempt from the registration requirements of the Act and any such
            laws,
            (b) we have such knowledge and experience in financial and business matters
            that we are capable of evaluating the merits and risks of investments
            in the
            Certificates, (c) we have had the opportunity to ask questions of and
            receive answers from the Depositor concerning the purchase of the Certificates
            and all matters relating thereto or any additional information deemed
            necessary
            to our decision to purchase the Certificates, (d) either we are purchasing
            a Class I-A, Class II-A-1, Class II-A-2, Class II-A-3, Class II-A-4,
            Class
            II-A-5, Class M-1, Class M-3, Class M-4, Class M-5, Class M-6, Class
            M-7, Class
            M-8, Class M-9 Certificate or we are not an employee benefit plan that
            is
            subject to Title I of the Employee Retirement Income Security Act of 1974,
            as amended (“ERISA”),
            or a
            plan or arrangement that is subject to Section 4975 of the Internal Revenue
            Code of 1986, as amended, or a plan subject to materially similar provisions
            of
            applicable federal, state or local law, nor are we acting on behalf of
            any such
            plan or arrangement nor using the assets of any such plan or arrangement
            to
            effect such acquisition or, with respect to any Class M-10 Certificate,
            such Certificate has been the subject of an ERISA-Qualifying Underwriting
            and
            the purchaser is an insurance company that is purchasing this certificate
            with
            funds contained in an “insurance company general account” (as such term is
            defined in Section V(e) of Prohibited Transaction Class Exemption
            (“PTCE”)
            95-60)
            and that the purchase and holding of such Certificates are covered under
            Sections I and III of PTCE 95-60, (e)  in the case of an
            ERISA-Restricted Trust Certificate, either (i) we are not an employee
            benefit
            plan that is subject to Title I of ERISA, or a plan or arrangement that is
            subject to Section 4975 of the Internal Revenue Code of 1986, as amended,
            nor a person acting on behalf of any such plan, nor are we using the
            assets of
            any such plan to effect such transfer or 

           

          
            
              
              

            

            
              EXH.
                I-A-1

              
                

              

            

            
              
              

            

          

          (ii)
            our
            acquisition and holding of the ERISA-Restricted Trust Certificate is
            eligible
            for exemptive relief under the statutory exemption for nonfiduciary service
            providers under Section 408(b)(17) of ERISA and Section 4975(d)(20) of
            the Code,
            PTCE 84-14, PTCE 90-1, PTCE 91-38, PTCE 95-60 or PTCE 96-23 or some other
            applicable exemption, (f) we have not, nor has anyone acting on our behalf
            offered, transferred, pledged, sold or otherwise disposed of the Certificates,
            any interest in the Certificates or any other similar security to, or
            solicited
            any offer to buy or accept a transfer, pledge or other disposition of
            the
            Certificates, any interest in the Certificates or any other similar security
            from, or otherwise approached or negotiated with respect to the Certificates,
            any interest in the Certificates or any other similar security with,
            any person
            in any manner, or made any general solicitation by means of general advertising
            or in any other manner, or taken any other action, that would constitute
            a
            distribution of the Certificates under the Securities Act or that would
            render
            the disposition of the Certificates a violation of Section 5 of the
            Securities Act or require registration pursuant thereto, nor will act,
            nor has
            authorized or will authorize any person to act, in such manner with respect
            to
            the Certificates, and (g) we are a “qualified institutional buyer” as that
            term is defined in Rule 144A under the Securities Act and have completed
            either of the forms of certification to that effect attached hereto as
            Annex 1 or Annex 2. We are aware that the sale to us is being made in
            reliance on Rule 144A. We are acquiring the Certificates for our own
            account or for resale pursuant to Rule 144A and further, understand that
            such Certificates may be resold, pledged or transferred only (i) to a
            person reasonably believed to be a qualified institutional buyer that
            purchases
            for its own account or for the account of a qualified institutional buyer
            to
            whom notice is given that the resale, pledge or transfer is being made
            in
            reliance on Rule 144A, or (ii) pursuant to another exemption from
            registration under the Securities Act.

           

          
            
              
              

            

            
              EXH.
                I-A-2

              
                

              

            

            
              
              

            

          

          ANNEX
            1 TO EXHIBIT I

           

          QUALIFIED
            INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A

           

          [For
            Transferees Other Than Registered Investment Companies]

           

          The
            undersigned (the “Buyer”)
            hereby
            certifies as follows to the parties listed in the Rule 144A Transferee
            Certificate to which this certification relates with respect to the Certificates
            described therein:

           

          1. As
            indicated below, the undersigned is the President, Chief Financial Officer,
            Senior Vice President or other executive officer of the Buyer.

           

          2. In
            connection with purchases by the Buyer, the Buyer is a “qualified institutional
            buyer” as that term is defined in Rule 144A under the Securities Act of
            1933, as amended (“Rule 144A”),
            because (i) the Buyer owned and/or invested on a discretionary basis
            $________ in securities (except for the excluded securities referred
            to below)
            as of the end of the Buyer’s most recent fiscal year (such amount being
            calculated in accordance with Rule 144A and (ii) the Buyer satisfies
            the criteria in the category marked below.

        

        
          
            	 	
                     

                    ____

                  	
                     

                    Corporation,
                      etc.
                      The Buyer is a corporation (other than a bank, savings and
                      loan
                      association or similar institution), Massachusetts or similar
                      business
                      trust, partnership, or charitable organization described in
                      Section 501(c)(3) of the Internal Revenue Code of 1986, as
                      amended.

                  
	 	
                     

                    ____

                  	
                     

                    Bank.
                      The Buyer (a) is a national bank or banking institution organized
                      under the laws of any State, territory or the District of Columbia,
                      the
                      business of which is substantially confined to banking and
                      is supervised
                      by the State or territorial banking commission or similar official
                      or is a
                      foreign bank or equivalent institution, and (b) has an audited net
                      worth of at least $25,000,000 as demonstrated in its latest
                      annual
                      financial statements, a copy of which is attached
                      hereto.

                  
	 	
                     

                    ____

                  	
                     

                    Savings
                      and Loan.
                      The Buyer (a) is a savings and loan association, building and loan
                      association, cooperative bank, homestead association or similar
                      institution, which is supervised and examined by a State or
                      Federal
                      authority having supervision over any such institutions or
                      is a foreign
                      savings and loan association or equivalent institution and
                      (b) has an
                      audited net worth of at least $25,000,000 as demonstrated in
                      its latest
                      annual financial statements, a copy of which is attached
                      hereto.

                  
	 	
                     

                    ____

                  	
                     

                    Broker-dealer.
                      The Buyer is a dealer registered pursuant to Section 15 of the
                      Securities Exchange Act of 1934.

                  

          

           

            
              

            

            1 Buyer
              must own and/or invest on a discretionary basis at least $100,000,000
              in
              securities unless Buyer is a dealer, and, in that case, Buyer must
              own and/or
              invest on a discretionary basis at least $10,000,000 in securities.

             

          

          
            
              
              

            

            
              EXH.
                I-A-3

              
                

              

            

            
              
              

            

          

          
            	 	
                     

                    ____

                  	
                     

                    Insurance
                      Company.
                      The Buyer is an insurance company whose primary and predominant
                      business
                      activity is the writing of insurance or the reinsuring of risks
                      underwritten by insurance companies and which is subject to
                      supervision by
                      the insurance commissioner or a similar official or agency
                      of a State,
                      territory or the District of Columbia.

                  
	 	
                     

                    ____

                  	
                     

                    State
                      or Local Plan.
                      The Buyer is a plan established and maintained by a State,
                      its political
                      subdivisions, or any agency or instrumentality of the State
                      or its
                      political subdivisions, for the benefit of its
                      employees.

                  
	 	
                     

                    ____

                  	
                     

                    ERISA
                      Plan.
                      The Buyer is an employee benefit plan within the meaning of
                      Title I
                      of the Employee Retirement Income Security Act of 1974.

                  
	 	
                     

                    ____

                  	
                     

                    Investment
                      Advisor.
                      The Buyer is an investment advisor registered under the Investment
                      Advisors Act of 1940.

                  
	 	
                     

                    ____

                  	
                     

                    Small
                      Business Investment Company.
                      Buyer is a small business investment company licensed by the
                      U.S. Small
                      Business Administration under Section 301(c) or (d) of the
                      Small Business
                      Investment Act of 1958.

                  
	 	
                     

                    ____

                  	
                     

                    Business
                      Development Company.
                      Buyer is a business development company as defined in Section
                      202(a)(22)
                      of the Investment Advisors Act of
                      1940.

                  

          

          
             

            3. The
              term
“securities”
as
              used
              herein does
              not include
              (i) securities of issuers that are affiliated with the Buyer,
              (ii) securities that are part of an unsold allotment to or subscription
              by
              the Buyer, if the Buyer is a dealer, (iii) securities issued or guaranteed
              by the U.S. or any instrumentality thereof, (iv) bank deposit notes and
              certificates of deposit, (v) loan participations, (vi) repurchase
              agreements, (vii) securities owned but subject to a repurchase agreement
              and (viii) currency, interest rate and commodity swaps.

             

            4. For
              purposes of determining the aggregate amount of securities owned and/or
              invested
              on a discretionary basis by the Buyer, the Buyer used the cost of such
              securities to the Buyer and did not include any of the securities referred
              to in
              the preceding paragraph, except (i) where the Buyer reports its securities
              holdings in its financial statements on the basis of their market value,
              and
              (ii) no current information with respect to the cost of those securities
              has been published. If clause (ii) in the preceding sentence applies, the
              securities may be valued at market. Further, in determining such aggregate
              amount, the Buyer may have included securities owned by subsidiaries
              of the
              Buyer, but only if such subsidiaries are consolidated with the Buyer
              in its
              financial statements prepared in accordance with generally accepted
              accounting
              principles and if the investments of such subsidiaries are managed
              under the
              Buyer’s direction. However, such securities were not included if the Buyer
              is a
              majority-owned, consolidated subsidiary of another enterprise and the
              Buyer is
              not itself a reporting company under the Securities Exchange Act of
              1934, as
              amended.

             

            5. The
              Buyer
              acknowledges that it is familiar with Rule 144A and understands that the
              seller to it and other parties related to the Certificates are relying
              and will
              continue to rely on the statements made herein because one or more
              sales to the
              Buyer may be in reliance on Rule 144A.

             

            
              
                
                

              

              
                EXH.
                  I-A-4

                
                  

                

              

              
                
                

              

            

            6. Until
              the
              date of purchase of the Rule 144A Securities, the Buyer will notify each of
              the parties to which this certification is made of any changes in the
              information and conclusions herein. Until such notice is given, the
              Buyer’s
              purchase of the Certificates will constitute a reaffirmation of this
              certification as of the date of such purchase. In addition, if the
              Buyer is a
              bank or savings and loan is provided above, the Buyer agrees that it
              will
              furnish to such parties updated annual financial statements promptly
              after they
              become available.

             

            ______________________________

            Print
              Name of Transferee

             

            By:
              ___________________________

            Name:

            Title:

            Date:
              __________________________

            

            
              
                
                

              

              
                EXH.
                  I-A-5

                
                  

                

              

              
                
                

              

            

            ANNEX
              2 TO EXHIBIT I

             

            QUALIFIED
              INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A

             

            [For
              Transferees That Are Registered Investment Companies]

             

            The
              undersigned (the “Buyer”)
              hereby
              certifies as follows to the parties listed in the Rule 144A Transferee
              Certificate to which this certification relates with respect to the
              Certificates
              described therein:

             

            1. As
              indicated below, the undersigned is the President, Chief Financial
              Officer or
              Senior Vice President of the Buyer or, if the Buyer is a “qualified
              institutional buyer” as that term is defined in Rule 144A under the
              Securities Act of 1933, as amended (“Rule 144A”),
              because Buyer is part of a Family of Investment Companies (as defined
              below), is
              such an officer of the Adviser.

             

            2. In
              connection with purchases by Buyer, the Buyer is a “qualified institutional
              buyer” as defined in SEC Rule 144A because (i) the Buyer is an
              investment company registered under the Investment Company Act of 1940,
              as
              amended, and (ii) as marked below, the Buyer alone, or the Buyer’s Family
              of Investment Companies, owned at least $100,000,000 in securities
              (other than
              the excluded securities referred to below) as of the end of the Buyer’s most
              recent fiscal year. For purposes of determining the amount of securities
              owned
              by the Buyer or the Buyer’s Family of Investment Companies, the cost of such
              securities was used, except (i) where the Buyer or the Buyer’s Family of
              Investment Companies reports its securities holdings in its financial
              statements
              on the basis of their market value, and (ii) no current information with
              respect to the cost of those securities has been published. If clause (ii)
              in the preceding sentence applies, the securities may be valued at
              market.

             

            
              	 	
                      ____

                    	
                      The
                        Buyer owned $_______ in securities (other than the excluded
                        securities
                        referred to below) as of the end of the Buyer’s most recent fiscal year
                        (such amount being calculated in accordance with
                        Rule 144A).

                    

            

             

            
              	 	
                      ____

                    	
                      The
                        Buyer is part of a Family of Investment Companies which owned
                        in the
                        aggregate $_______ in securities (other than the excluded
                        securities
                        referred to below) as of the end of the Buyer’s most recent fiscal year
                        (such amount being calculated in accordance with
                        Rule 144A).

                    

            

             

            3. The
              term
“Family
              of Investment Companies”
as
              used
              herein means two or more registered investment companies (or series
              thereof)
              that have the same investment adviser or investment advisers that are
              affiliated
              (by virtue of being majority owned subsidiaries of the same parent
              or because
              one investment adviser is a majority owned subsidiary of the
              other).

             

            4. The
              term
“securities”
as
              used
              herein does not include (i) securities of issuers that are affiliated with
              the Buyer or are part of the Buyer’s Family of Investment Companies,
              (ii) securities issued or guaranteed by the U.S. or any instrumentality
              thereof, (iii) bank deposit notes and certificates of deposit,
              (iv) loan participations, (v) repurchase agreements,
              (vi) securities owned but subject to a repurchase agreement and
              (vii) currency, interest rate and commodity swaps.

             

            
              
                
                

              

              
                EXH.
                  I-A-6

                
                  

                

              

              
                
                

              

            

            5. The
              Buyer
              is familiar with Rule 144A and understands that the parties listed in the
              Rule 144A Transferee Certificate to which this certification relates are
              relying and will continue to rely on the statements made herein because
              one or
              more sales to the Buyer will be in reliance on Rule 144A. In addition, the
              Buyer will only purchase for the Buyer’s own account.

             

            6. Until
              the
              date of purchase of the Certificates, the undersigned will notify the
              parties
              listed in the Rule 144A Transferee Certificate to which this certification
              relates of any changes in the information and conclusions herein. Until
              such
              notice is given, the Buyer’s purchase of the Certificates will constitute a
              reaffirmation of this certification by the undersigned as of the date
              of such
              purchase.

             

             

             

            ____________________________

            Print
              Name of Transferee

             

            By:
              _________________________

            Name:

            Title:

             

            IF
              AN
              ADVISER:

             

             

             

            ____________________________

            Print
              Name of Buyer

             

            Date:
              ________________________

            

            
              
                
                

              

              
                EXH.
                  I-A-7

                
                  

                

              

              
                
                
EXHIBIT
                I-B

            

             

            FORM
              OF
              REGULATION S INVESTMENT LETTER

             

            ____________,
              20__

             

            HSI
              Asset
              Securitization Corporation

            452
              Fifth
              Avenue

            New
              York,
              New York 10018

            Attention:
              Head MBS Principal Finance

             

            Wells
              Fargo Bank, N.A.,

            as
              Securities Administrator

            Sixth
              Street and Marquette Avenue

            Minneapolis,
              Minnesota 55479

            Attention:
              Corporate Trust Services - HASCO 2006-HE1

             

            
              	 	
                      Re:

                    	
                      HSI
                        Asset Securitization Corporation Trust 2006-HE1

                    

            

            Mortgage
              Pass-Through Certificates, Series 2006-HE1, Class [__] 

             

            Ladies
              and Gentlemen:

             

            In
              connection with our acquisition of the above Certificates we certify
              that
              (a) we understand that the Certificates are not being registered under
              the
              Securities Act of 1933, as amended (the “Act”),
              or
              any state securities laws and are being transferred to us in a transaction
              that
              is exempt from the registration requirements of the Act and any such
              laws,
              (b) we have such knowledge and experience in financial and business matters
              that we are capable of evaluating the merits and risks of investments
              in the
              Certificates, (c) we have had the opportunity to ask questions of and
              receive answers from the Depositor concerning the purchase of the Certificates
              and all matters relating thereto or any additional information deemed
              necessary
              to our decision to purchase the Certificates, (d) either we are purchasing
              a Class A Certificate or we are not an employee benefit plan that is
              subject to
              Title I of the Employee Retirement Income Security Act of 1974, as amended
              (“ERISA”),
              or a
              plan or arrangement that is subject to Section 4975 of the Internal Revenue
              Code of 1986, as amended, or a plan subject to materially similar provisions
              of
              applicable federal, state or local law, nor are we acting on behalf
              of any such
              plan or arrangement nor using the assets of any such plan or arrangement
              to
              effect such acquisition or, with respect to any Class M Certificate, such
              Certificate has been the subject of an ERISA-Qualifying Underwriting
              and the
              purchaser is an insurance company that is purchasing this certificate
              with funds
              contained in an “insurance company general account” (as such term is defined in
              Section V(e) of Prohibited Transaction Class Exemption (“PTCE”)
              95-60)
              and that the purchase and holding of such Certificates are covered
              under
              Sections I and III of PTCE 95-60, (e)  in the case of an
              ERISA-Restricted Trust Certificate, either (i) we are not an employee
              benefit
              plan that is subject to Title I of ERISA, or a plan or arrangement that is
              subject to Section 4975 of the Internal Revenue Code of 1986, as amended,
              nor a person acting on behalf of any such plan, nor are we using the
              assets of
              any such plan to effect such transfer or 

             

            
              
                
                

              

              
                EXH.
                  I-B-1

                
                  

                

              

              
                
                

              

            

            (ii)
              our
              acquisition and holding of the ERISA-Restricted Trust Certificate is
              eligible
              for exemptive relief under the statutory exemption for nonfiduciary
              service
              providers under Section 408(b)(17) of ERISA and Section 4975(d)(20)
              of the Code,
              PTCE 84-14, PTCE 90-1, PTCE 91-38, PTCE 95-60 or PTCE 96-23 or some
              other
              applicable exemption, (f) we have not, nor has anyone acting on our
              behalf
              offered, transferred, pledged, sold or otherwise disposed of the Certificates,
              any interest in the Certificates or any other similar security to,
              or solicited
              any offer to buy or accept a transfer, pledge or other disposition
              of the
              Certificates, any interest in the Certificates or any other similar
              security
              from, or otherwise approached or negotiated with respect to the Certificates,
              any interest in the Certificates or any other similar security with,
              any person
              in any manner, or made any general solicitation by means of general
              advertising
              or in any other manner, or taken any other action, that would constitute
              a
              distribution of the Certificates under the Securities Act or that would
              render
              the disposition of the Certificates a violation of Section 5 of the
              Securities Act or require registration pursuant thereto, nor will act,
              nor has
              authorized or will authorize any person to act, in such manner with
              respect to
              the Certificates, and (g) we are not a U.S. person within the meaning of
              Regulation S of the Securities Act and was at the time the buy order
              was
              originated for the Class [ ] Certificates outside the United States.
              We are
              aware that the sale to us is being made in reliance on Regulation S
              of the
              Securities Act and we understand (x) that until the expiration of the
              40-day distribution
              compliance period (within the meaning of Regulation S), no offer, sale,
              pledge
              or other transfer of such Certificates or any interest therein shall
              be made in
              the United States or to or for the account or benefit of a U.S. person
              (each as
              defined in Regulation S), (y) if in the future we decide to offer,
              resell,
              pledge or otherwise transfer such Certificates, such Certificates may
              be
              offered, resold, pledged or transferred only to (A) a person which
              the seller
              reasonably believes is a “qualified institutional buyer” (a “QIB”) as defined in
              Rule 144A under the Securities Act, that is purchasing such Certificate
              for its
              own account or for the account of a QIB in reliance on Rule 144A or
              (B) in an
              offshore transaction (as defined in Regulation S) in compliance with
              the
              provisions of Regulation S, in each case in compliance with the requirements
              of
              the Agreement; and we will notify such transferee of the transfer restrictions
              specified in the Agreement. 

             

            
              
                
                

              

              
                EXH.
                  I-B-2

                
                  

                

              

              
                
                

              

            

             

             

            _____________________________________

            Print
              Name of Transferee

             

            By:
              __________________________________

            Name:

            Title:

            

            IF
              AN
              ADVISER:

             

            _____________________________________

            Print
              Name of Buyer

             

            Date

             

            
              
                
                

              

              
                EXH.
                  I-B-3

                
                  

                

              

              
                
                

              

            

            EXHIBIT
              J

          

          
             

            FORM
              OF
              REQUEST FOR RELEASE

             

            (for
              Custodian)

             

            
              	
                      To:

                    	
                      Wells
                        Fargo Bank, N.A.

                    

            

            1015
              10th
              Avenue SE

            Minneapolis,
              Minnesota 55414

             

            
              	 	
                      Re:

                    	
                      Pooling
                        and Servicing Agreement (the “Pooling and Servicing Agreement”) dated as
                        of October 1, 2006 among HSI Asset Securitization Corporation,
                        as
                        depositor, Wells Fargo Bank, N.A., as master servicer, securities
                        administrator and custodian, Clayton Fixed Income Services
                        Inc., as Credit
                        Risk Manager, and Deutsche Bank National Trust Company, as
                        trustee.

                    

            

             

            In
              connection with the administration of the Mortgage Loans held by you
              as the
              Custodian on behalf of the Certificateholders, we request the release,
              and
              acknowledge receipt, of the (Custodial File/[specify documents]) for
              the
              Mortgage Loan described below, for the reason indicated.

             

            Mortgagor’s
              Name, Address & Zip Code:

             

            Mortgage
              Loan Number:

             

            Send
              Custodial File to:

             

            Delivery
              Method (check one)

             

            
              	
                      ____1.

                    	
                      Regular
                        mail

                    

            

             

            
              	
                      ____2.

                    	
                      Overnight
                        courier (Tracking information:
                                           )

                    

            

             

            If
              neither box 1 nor 2 is checked, regular mail shall be assumed.

             

            Reason
              for Requesting Documents
              (check
              one)

             

            
              	
                      ____1.

                    	
                      Mortgage
                        Loan Paid in Full.
                        (The Servicer hereby certifies that all amounts received
                        in connection
                        therewith have been credited to the Collection Account as
                        provided in the
                        Pooling and Servicing Agreement.)

                    

            

             

            
              	
                      ____2.

                    	
                      Mortgage
                        Loan Repurchase Pursuant to Subsection 2.03 of the Pooling
                        and Servicing
                        Agreement.
                        (The Servicer hereby certifies that the repurchase price
                        has been credited
                        to the Collection Account as provided in the Pooling and
                        Servicing
                        Agreement.)

                    

            

             

            
              	
                      ____3.

                    	
                      Mortgage
                        Loan Liquidated by _________________. (The Servicer hereby
                        certifies that
                        all proceeds of foreclosure, insurance, condemnation or other
                        liquidation
                        have been finally received and credited to the Collection
                        Account pursuant
                        to the Pooling and Servicing
                        Agreement.)

                    

            

             

            
              
                
                

              

              
                EXH.
                  J-1

                
                  

                

              

              
                
                

              

            

            
              	
                      ____4.

                    	
                      Mortgage
                        Loan in Foreclosure.

                    

            

             

            
              	____5.	
                      Other
                        (explain).
                        ______________________________________

                    

            

             

            If
              box 1,
              2 or 3 above is checked, and if all or part of the Custodial File was
              previously
              released to us, please release to us our previous request and receipt
              on file
              with you, as well as any additional documents in your possession relating
              to the
              specified Mortgage Loan.

             

            If
              box 4
              or 5 above is checked, upon our return of all of the above documents
              to you as
              the Trustee, please acknowledge your receipt by signing in the space
              indicated
              below, and returning this form if requested by us.

             

            [WELLS
              FARGO BANK, N.A.]

             

            By:
              __________________________

            Name:

            Title:

            Date:

             

            ACKNOWLEDGED
              AND AGREED:

             

            [WELLS
              FARGO BANK, N.A.]

             

            By:
              _________________________ 

            Name:

            Title:

            Date:

            

            
              
                
                

              

              
                EXH.
                  J-2

                
                  

                

              

              
                
                
EXHIBIT
                K

            

             

            CONTENTS
              OF EACH MORTGAGE FILE

             

            With
              respect to each Mortgage Loan, the Mortgage File shall include each
              of the
              following items, which shall be available for inspection by the Depositor
              and
              which shall be retained by the Servicer or delivered to and retained
              by the
              Custodian:

             

            (a) The
              documents or instruments set forth as items (i) to (ix) in Section 2.01(b)
              of the Pooling and Servicing Agreement.

             

            (b) Residential
              loan application.

             

            (c) Mortgage
              Loan closing statement.

             

            (d) Verification
              of employment and income.

             

            (e) Verification
              of acceptable evidence of source and amount of downpayment.

             

            (f) Credit
              report on Mortgagor.

             

            (g) Residential
              appraisal report.

             

            (h) Photograph
              of the Mortgaged Property.

             

            (i) Survey
              of
              the Mortgaged Property.

             

            (j) Copy
              of
              each instrument necessary to complete identification of any exception
              set forth
              in the exception schedule in the title policy, i.e., map or plat, restrictions,
              easements, sewer agreements, home association declarations, etc.

             

            (k) All
              required disclosure statements and statement of Mortgagor confirming
              receipt
              thereof.

             

            (l) If
              available, termite report, structural engineer’s report, water potability and
              septic certification.

             

            (m) Sales
              contract, if applicable.

             

            (n) Hazard
              insurance policy.

             

            (o) Tax
              receipts, insurance premium receipts, ledger sheets, payment history
              from date
              of origination, insurance claim files, correspondence, current and
              historical
              computerized data files, and all other processing, underwriting and
              closing
              papers and records which are customarily contained in a mortgage loan
              file and
              which are required to document the Mortgage Loan or to service the
              Mortgage
              Loan.

             

            
              
                
                

              

              
                EXH.
                  K-1

                
                  

                

              

              
                
                

              

            

            (p) Amortization
              schedule, if available.

             

            (q) Payment
              history for Mortgage Loans that have been closed for more than 90
              days.

             

            
              
                
                

              

              
                EXH.
                  K-2

                
                  

                

              

              
                
                

              

            

            EXHIBIT
              L

             

            FORM
              OF
              SARBANES-OXLEY CERTIFICATION TO BE

            PROVIDED
              BY MASTER SERVICER (OR OTHER 

            CERTIFICATION
              PARTY) WITH FORM 10-K

             

            HSI
              Asset
              Securitization Corporation Trust 2006-HE1

            Mortgage
              Pass-Through Certificates

            Series
              2006-HE1

             

            This
              Certification is being made pursuant to Section 3.05 and Section 8.12 of
              the Pooling and Servicing Agreement dated as of October 1, 2006 (the
              “Pooling
              and Servicing Agreement”)
              relating to the above-referenced Series, among HSI Asset Securitization
              Corporation, as depositor, Wells Fargo Bank, N.A., as master servicer,
              securities administrator and custodian, Clayton Fixed Income Services
              Inc., as
              Credit Risk Manager, and Deutsche Bank National Trust Company, as trustee.
              Capitalized terms used but not defined herein shall have the meanings
              assigned
              in the Pooling and Servicing Agreement.

             

            1. I
              have
              reviewed this annual report on Form 10-K, and all reports on Form 10-D
              required to be filed in respect of the period covered by this report
              on Form
              10-K of HSI Asset Securitization Corporation Trust 2006-HE1 (the “Exchange Act
              periodic reports”);

             

            2. Based
              on
              my knowledge, the Exchange Act periodic reports, taken as a whole,
              do not
              contain any untrue statement of a material fact or omit to state a
              material fact
              necessary to make the statements made, in light of the circumstances
              under which
              such statements were made, not misleading with respect to the period
              covered by
              this report;

             

            3. Based
              on
              my knowledge, all of the distribution, servicing and other information
              required
              to be provided under Form 10-D for the period covered by this report
              is included
              in the Exchange Act periodic reports;

             

            4. I
              am
              responsible for reviewing the activities performed by each Servicer
              and based on
              my knowledge and the compliance review conducted in preparing the Servicer
              compliance statement required in this report under Item 1123 of Regulation
              AB,
              and except as disclosed in the Exchange Act periodic reports, each
              Servicer has
              fulfilled its obligations under its related Servicing Agreement;
              and

             

            5. All
              of
              the reports on assessment of compliance with servicing criteria for
              asset-backed
              securities and their related attestation reports on assessment of compliance
              with servicing criteria for asset-backed securities required to be
              included in
              this report in accordance with Item 1122 of Regulation AB and Exchange
              Act Rules
              13a-18 and 15d-18 have been included as an exhibit to this report,
              except as
              otherwise disclosed in this report. Any material instances of noncompliance
              described in such reports have been disclosed in this report on Form
              10-K.

             

            
              
                
                

              

              
                EXH.
                  L-1

                
                  

                

              

              
                
                

              

            

            In
              giving
              the certifications above, I have reasonably relied on information provided
              to me
              by the following party: Wells Fargo Bank, N.A.

            

             

            WELLS
              FARGO BANK, N.A.

            as
              Master
              Servicer

             

            By:
              _________________________

            Name:

            Title:

            Date:

             

            
              
                
                

              

              
                EXH.
                  L-2

                
                  

                

              

              
                
                

              

            

          

        

      

    

    
      
        EXHIBIT
          M

         

        LIST
          OF
          SERVICING AGREEMENTS

        

        1. Servicing
          Agreement, dated as of June 30, 2006, by and among HSBC Bank (USA) Inc.
          and
          Wells Fargo Bank, N.A., as servicer, as reconstituted pursuant to a
          Reconstituted Servicing Agreement, dated as of October 1, 2006, by and
          among
          HSBC Bank USA, National Association, HSI Asset Securitization Corporation
          and
          Wells Fargo Bank, N.A., as servicer, and acknowledged by Wells Fargo Bank,
          N.A.,
          as master servicer and securities administrator, and Deutsche Bank National
          Trust Company, as trustee.

         

        2. Servicing
          Agreement as amended by Amendment Reg AB, each dated as of August 30, 2006,
          each
          between HSBC Bank USA, National Association, and Countrywide Home Loans,
          Inc.,
          each as reconstituted pursuant to an Assignment, Assumption and Recognition
          Agreement, dated as of October 1, 2006, among HSBC Bank (USA), National
          Association, HSI Asset Securitization Corporation, Countrywide Home Loans,
          Inc.
          , and acknowledged by Wells Fargo Bank, N.A., as master servicer and securities
          administrator, and Deutsche Bank National Trust Company, as
          trustee.

         

        
          
            
            

          

          
            EXH.
              M-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          N-1

         

        [RESERVED]

        

        
          
            
            

          

          
            EXH.
              N-1-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          N-2

         

        [RESERVED]

         

        
          
            
            

          

          
            EXH.
              N-2-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          N-3

         

        [RESERVED]

        

        
          
            
            

          

          
            EXH.
              N-3-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          O

         

        FORM
          OF SWAP AGREEMENT

         

        
          
            
            

          

          
            EXH.
              O-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          P

         

        FORM
          OF CAP AGREEMENT

         

        
          
            
            

          

          
            EXH.
              P-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          Q

         

        TRANSFER
          AGREEMENTS

        

        
          
            
            

          

          
            EXH.
              Q-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          R-1

        

        FORM
          OF WATCHLIST REPORT

        

        
          
            
            

          

          
            EXH.
              R-1-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          R-2

        

        FORM
          OF LOSS SEVERITY REPORT

         

        
          
            
            

          

          
            EXH.
              R-2-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          R-3

        

        FORM
          OF PREPAYMENT CHARGES REPORT

        

        
          
            
            

          

          
            EXH.
              R-3-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          R-4

         

        
          FORM
            OF
            ANALYTICS REPORT

        

        
          
            
            

          

          
            EXH.
              R-4-1

            
              

            

          

          
            
            

          

        

        EXHIBIT
          S

        

        SERVICING
          CRITERIA MATRIX

        

        The
          assessment of compliance to be delivered by Wells Fargo Bank, N.A. (“Wells
          Fargo”), in its capacities as Master Servicer and Securities Administrator,
          shall address, at a minimum, the criteria identified as below as “Applicable
          Servicing Criteria:”

         

        Capitalized
          terms used herein but not defined herein shall have the meanings assigned
          to
          them in the Pooling and Servicing Agreement dated as of October 1, 2006
          (the
“Pooling and Servicing Agreement”), by and among HSI Asset Securitization
          Corporation, as depositor, Wells Fargo Bank, N.A., as master servicer,
          securities administrator and custodian, Clayton Fixed Income Services Inc.,
          as
          credit risk manager, and Deutsche Bank National Trust Company, as trustee
          

        

          
            	
                    Reg
                      AB Reference

                  	
                    Servicing
                      Criteria

                  	
                    Wells
                      Fargo

                  
	 	
                    General Servicing
                       Considerations

                  	 
	
                    1122(d)(1)(i)

                  	
                    Policies
                      and procedures are instituted to monitor any performance or
                      other triggers
                      and events of default in accordance with the transaction
                      agreements.

                  	
                    X

                  
	
                    1122(d)(1)(ii)

                  	
                    If
                      any material servicing activities are outsourced to third parties,
                      policies and procedures are instituted to monitor the third
                      party’s
                      performance and compliance with such servicing activities.
                      

                  	
                    X

                  
	
                    1122(d)(1)(iii)

                  	
                    Any
                      requirements in the transaction agreements to maintain a back-up
                      servicer
                      for the pool assets are maintained. 

                  	 
	
                    1122(d)(1)(iv)

                  	
                    A
                      fidelity bond and errors and omissions policy is in effect
                      on the party
                      participating in the servicing function throughout the reporting
                      period in
                      the amount of coverage required by and otherwise in accordance
                      with the
                      terms of the transaction agreements. 

                  	
                    X

                  
	 	
                    Cash Collection and Administration

                  	 
	
                    1122(d)(2)(i)

                  	
                    Payments
                      on pool assets are deposited into the appropriate custodial
                      bank accounts
                      and related bank clearing accounts no more than two business
                      days
                      following receipt, or such other number of days specified in
                      the
                      transaction agreements. 

                  	
                    X

                  
	
                    1122(d)(2)(ii)

                  	
                    Disbursements
                      made via wire transfer on behalf of an obligor or to an investor
                      are made
                      only by authorized personnel. 

                  	
                    X

                  
	
                    1122(d)(2)(iii)

                  	
                    Advances
                      of funds or guarantees regarding collections, cash flows or
                      distributions,
                      and any interest or other fees charged for such advances, are
                      made,
                      reviewed and approved as specified in the transaction agreements.
                      

                  	
                    X

                  
	
                    1122(d)(2)(iv)

                  	
                    The
                      related accounts for the transaction, such as cash reserve
                      accounts or
                      accounts established as a form of over collateralization, are
                      separately
                      maintained (e.g., with respect to commingling of cash) as set
                      forth in the
                      transaction agreements. 

                  	
                    X

                  
	
                    1122(d)(2)(v)

                  	
                    Each
                      custodial account is maintained at a federally insured depository
                      institution as set forth in the transaction agreements. For
                      purposes of
                      this criterion, “federally insured depository institution” with respect to
                      a foreign financial institution means a foreign financial institution
                      that
                      meets the requirements of Rule 13k-1(b)(1) of the Securities
                      Exchange Act.
      

                  	
                    X

                  
	
                    1122(d)(2)(vi)

                  	
                    Unissued
                      checks are safeguarded so as to prevent unauthorized access.
                      

                  	
                    X

                  

          

           

          
            
              
              

            

            
              EXH.
                S-1

              
                

              

            

            
              
              

            

          

          
            	
                    Reg
                      AB Reference

                  	
                    Servicing
                      Criteria

                  	
                    Wells
                      Fargo

                  

          

          
            	
                    1122(d)(2)(vii)
                      

                  	
                    Reconciliations
                      are prepared on a monthly basis for all asset-backed securities
                      related
                      bank accounts, including custodial accounts and related bank
                      clearing
                      accounts. These reconciliations are (A) mathematically accurate;
                      (B)
                      prepared within 30 calendar days after the bank statement cutoff
                      date, or
                      such other number of days specified in the transaction agreements;
                      (C)
                      reviewed and approved by someone other than the person who
                      prepared the
                      reconciliation; and (D) contain explanations for reconciling
                      items. These
                      reconciling items are resolved within 90 calendar days of their
                      original
                      identification, or such other number of days specified in the
                      transaction
                      agreements. 

                  	
                    X

                  
	 	
                    Investor
                      Remittances and Reporting

                  	 
	
                    1122(d)(3)(i)

                  	
                    Reports
                      to investors, including those to be filed with the Commission,
                      are
                      maintained in accordance with the transaction agreements and
                      applicable
                      Commission requirements. Specifically, such reports (A) are
                      prepared in
                      accordance with timeframes and other terms set forth in the
                      transaction
                      agreements; (B) provide information calculated in accordance
                      with the
                      terms specified in the transaction agreements; (C) are filed
                      with the
                      Commission as required by its rules and regulations; and (D)
                      agree with
                      investors’ or the trustee’s records as to the total unpaid principal
                      balance and number of pool assets serviced by the Servicer.
                      

                  	
                    X

                  
	
                    1122(d)(3)(ii)

                  	
                    Amounts
                      due to investors are allocated and remitted in accordance with
                      timeframes,
                      distribution priority and other terms set forth in the transaction
                      agreements. 

                  	
                    X

                  
	
                    1122(d)(3)(iii)

                  	
                    Disbursements
                      made to an investor are posted within two business days to
                      the Servicer’s
                      investor records, or such other number of days specified in
                      the
                      transaction agreements. 

                  	
                    X

                  
	
                    1122(d)(3)(iv)

                  	
                    Amounts
                      remitted to investors per the investor reports agree with cancelled
                      checks, or other form of payment, or custodial bank statements.
                      

                  	
                    X

                  
	 	
                    Pool
                      Asset Administration

                  	 
	
                    1122(d)(4)(i)
                      

                  	
                    Collateral
                      or security on pool assets is maintained as required by the
                      transaction
                      agreements or related pool asset documents. 

                  	
                    X

                  
	
                    1122(d)(4)(ii)

                  	
                    Pool
                      assets and related documents are safeguarded as required by
                      the
                      transaction agreements 

                  	
                    X

                  
	
                    1122(d)(4)(iii)

                  	
                    Any
                      additions, removals or substitutions to the asset pool are
                      made, reviewed
                      and approved in accordance with any conditions or requirements
                      in the
                      transaction agreements. 

                  	 
	
                    1122(d)(4)(iv)

                  	
                    Payments
                      on pool assets, including any payoffs, made in accordance with
                      the related
                      pool asset documents are posted to the Servicer’s obligor records
                      maintained no more than two business days after receipt, or
                      such other
                      number of days specified in the transaction agreements, and
                      allocated to
                      principal, interest or other items (e.g., escrow) in accordance
                      with the
                      related pool asset documents. 

                  	 
	
                    1122(d)(4)(v)

                  	
                    The
                      Servicer’s records regarding the pool assets agree with the Servicer’s
                      records with respect to an obligor’s unpaid principal balance.
                      

                  	 
	
                    1122(d)(4)(vi)

                  	
                    Changes
                      with respect to the terms or status of an obligor's pool assets
                      (e.g.,
                      loan modifications or re-agings) are made, reviewed and approved
                      by
                      authorized personnel in accordance with the transaction agreements
                      and
                      related pool asset documents. 

                  	 
	
                    1122(d)(4)(vii)

                  	
                    Loss
                      mitigation or recovery actions (e.g., forbearance plans, modifications
                      and
                      deeds in lieu of foreclosure, foreclosures and repossessions,
                      as
                      applicable) are initiated, conducted and concluded in accordance
                      with the
                      timeframes or other requirements established by the transaction
                      agreements. 

                  	 

          

           

          
            
              
              

            

            
              EXH.
                S-2

              
                

              

            

            
              
              

            

          

          
            	
                    Reg
                      AB Reference

                  	
                    Servicing
                      Criteria

                  	
                    Wells
                      Fargo

                  

          

          
            	
                    1122(d)(4)(viii)

                  	
                    Records
                      documenting collection efforts are maintained during the period
                      a pool
                      asset is delinquent in accordance with the transaction agreements.
                      Such
                      records are maintained on at least a monthly basis, or such
                      other period
                      specified in the transaction agreements, and describe the entity’s
                      activities in monitoring delinquent pool assets including,
                      for example,
                      phone calls, letters and payment rescheduling plans in cases
                      where
                      delinquency is deemed temporary (e.g., illness or unemployment).
                      

                  	 
	
                    1122(d)(4)(ix)

                  	
                    Adjustments
                      to interest rates or rates of return for pool assets with variable
                      rates
                      are computed based on the related pool asset documents. 

                  	 
	
                    1122(d)(4)(x)

                  	
                    Regarding
                      any funds held in trust for an obligor (such as escrow accounts):
                      (A) such
                      funds are analyzed, in accordance with the obligor’s pool asset documents,
                      on at least an annual basis, or such other period specified
                      in the
                      transaction agreements; (B) interest on such funds is paid,
                      or credited,
                      to obligors in accordance with applicable pool asset documents
                      and state
                      laws; and (C) such funds are returned to the obligor within
                      30 calendar
                      days of full repayment of the related pool assets, or such
                      other number of
                      days specified in the transaction agreements. 

                  	 
	
                    1122(d)(4)(xi)

                  	
                    Payments
                      made on behalf of an obligor (such as tax or insurance payments)
                      are made
                      on or before the related penalty or expiration dates, as indicated
                      on the
                      appropriate bills or notices for such payments, provided that
                      such support
                      has been received by the servicer at least 30 calendar days
                      prior to these
                      dates, or such other number of days specified in the transaction
                      agreements. 

                  	 
	
                    1122(d)(4)(xii)

                  	
                    Any
                      late payment penalties in connection with any payment to be
                      made on behalf
                      of an obligor are paid from the Servicer’s funds and not charged to the
                      obligor, unless the late payment was due to the obligor’s error or
                      omission. 

                  	 
	
                    1122(d)(4)(xiii)

                  	
                    Disbursements
                      made on behalf of an obligor are posted within two business
                      days to the
                      obligor’s records maintained by the servicer, or such other number
                      of days
                      specified in the transaction agreements. 

                  	 
	
                    1122(d)(4)(xiv)
                      

                  	
                    Delinquencies,
                      charge-offs and uncollectible accounts are recognized and recorded
                      in
                      accordance with the transaction agreements. 

                  	
                    X

                  
	
                    1122(d)(4)(xv)

                  	
                    Any
                      external enhancement or other support, identified in Item 1114(a)(1)
                      through (3) or Item 1115 of Regulation AB, is maintained as
                      set forth in
                      the transaction agreements. 

                  	
                    [X]

                    if
                      obligated under transaction
                      documents

                  

          

        

         

        
          
            
            

          

          
            EXH.
              S-3

            
              

            

          

          
            
            

          

        

      

    

    EXHIBIT
      T

    

    

    Trustee:
      Deutsche Bank National Trust Company

    

    Securities
      Administrator:
      Wells
      Fargo Bank, N.A.

    

    Master
      Servicer:
      Wells
      Fargo Bank, N.A. 

    

    Derivative
      Counterparty:
      ABN
      AMRO Bank N.V.

    

    Servicers:
      Wells
      Fargo Bank, N.A. and Countrywide Home Loans Servicing LP

    

    Custodian:
      Wells
      Fargo Bank, N.A.

    

    Sponsor:
      HSBC
      Bank USA, National Association

    

    Credit
      Risk Manager:
      Clayton
      Fixed Income Services Inc.

    

    
      
        
        

      

      
        EXH.
          T-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
      U

    

    FORM
      OF ANNUAL COMPLIANCE CERTIFICATE

    

    Via
      Overnight Delivery

    

    [DATE]

    

    HSI
      Asset
      Securitization Corporation,

    452
      Fifth
      Avenue

    New
      York,
      New York 10018

    Attention:
      Head MBS Principal Finance

    

    Wells
      Fargo Bank, N.A., 

    9062
      Old
      Annapolis Road

    Columbia,
      Maryland 21045

    Attention:
      Corporate Trust Services - HASCO 2006-HE1

    

    
      	
              RE:

            	
              Annual
                officer’s certificate delivered pursuant to Section 3.05 of that certain
                Pooling Servicing Agreement, dated as of October 1, 2006 (the
                “Pooling
                and Servicing Agreement”),
                among HSI Asset Securitization Corporation, as depositor (the
                “Depositor”),
                Wells Fargo Bank, N.A., master servicer (the “Master
                Servicer”),
                securities administrator (the “Securities
                Administrator”)
                and custodian, Clayton Fixed Income Services Inc., as credit risk
                manager,
                and Deutsche Bank National Trust Company, as trustee (the
                “Trustee”)

            

    

    

    [_______],
      the undersigned, a duly authorized [_______] of [Master Servicer] [Securities
      Administrator] [Name of Subservicer], does hereby certify the following for
      the
      [calendar year][identify other period] ending on December 31,
      20[__]:

    

    
      	
              1.

            	
              A
                review of the activities of the [Master Servicer] [Securities
                Administrator] during the preceding calendar year (or portion thereof)
                and
                of its performance under the Agreement for such period has been made
                under
                my supervision.

            

    

    

    
      	
              2.

            	
              To
                the best of my knowledge, based on such review, the [Master Servicer]
                [Securities Administrator] has fulfilled all of its obligations under
                the
                Agreement in all material respects throughout such year (or applicable
                portion thereof), or, if there has been a failure to fulfill any
                such
                obligation in any material respect, I have specifically identified
                to the
                Depositor and the [Master Servicer][Securities Administrator] each
                such
                failure known to me and the nature and status thereof, including
                the steps
                being taken by the [Master Servicer] [Securities Administrator] to
                remedy
                such default.

            

    

    

    
      
        
        

      

      
        EXH.
          U-1

        
          

        

      

      
        
        

      

    

    Certified
      By:

    

    

    ______________________________

    Name:

    Title:
      

     

    
      
        
        

      

      
        EXH.
          U-2

        
          

        

      

      
        
        

      

    

    EXHIBIT
      V

     

    ADDITIONAL
      FORM 10-D DISCLOSURE

    
      

      
        	
                ADDITIONAL
                  FORM 10-D DISCLOSURE

              
	
                Item
                  on Form 10-D

              	
                Party
                  Responsible 

              
	
                Item
                  1: Distribution and Pool Performance Information

              	 
	
                Information
                  included in the [Monthly Statement]

              	
                Master
                  Servicer, Servicer(1)

                Securities
                  Administrator

              
	
                Any
                  information required by 1121 which is NOT included on the [Monthly
                  Statement]

              	
                Depositor

              
	
                Item
                  2: Legal Proceedings

                 

                Any
                  legal proceeding pending against the following entities or their
                  respective property, that is material to Certificateholders, including
                  any
                  proceeding known to be contemplated by governmental
                  authorities:

              	 
	
                ▪
                  Issuing Entity (Trust Fund)

              	
                Master
                  Servicer, Securities Administrator, Servicer(1)
                  and Depositor

              
	
                ▪
                  Sponsor (Seller)

              	
                Seller
                  (if a party to the Pooling and Servicing Agreement) or
                  Depositor

              
	
                ▪
                  Depositor

              	
                Depositor

              
	
                ▪
                  Trustee

              	
                Trustee

              
	
                ▪
                  Securities Administrator

              	
                Securities
                  Administrator

              
	
                ▪
                  Master Servicer

              	
                Master
                  Servicer

              
	
                ▪
                  Servicer

              	
                Servicer(1)

              
	
                ▪
                  Custodian

              	
                Custodian

              
	
                ▪
                  1110(b) Originator

              	
                Depositor

              
	
                ▪
                  Any 1108(a)(2) Servicer (other than the Master Servicer or Securities
                  Administrator)

              	
                Servicer(1)

              
	
                ▪
                  Any other party contemplated by 1100(d)(1)

              	
                Depositor

              
	
                Item
                  3: Sale of Securities and Use of Proceeds

                Information
                  from Item 2(a) of Part II of Form 10-Q:

                 

                With
                  respect to any sale of securities by the sponsor, depositor or
                  issuing
                  entity, that are backed by the same asset pool or are otherwise
                  issued by
                  the issuing entity, whether or not registered, provide the sales
                  and use
                  of proceeds information in Item 701 of Regulation S-K. Pricing
                  information
                  can be omitted if securities were not registered.

              	
                Depositor

              

      

       

      
        
          
          

        

        
          EXH.
            V-1

          
            

          

        

        
          
          

        

      

      
        	
                ADDITIONAL
                  FORM 10-D DISCLOSURE

              
	
                Item
                  on Form 10-D

              	
                Party
                  Responsible 

              

      

      
        	
                Item
                  4: Defaults Upon Senior Securities

                 

                Information
                  from Item 3 of Part II of Form 10-Q:

                 

                Report
                  the occurrence of any Event of Default (after expiration of any
                  grace
                  period and provision of any required notice)

              	
                Securities
                  Administrator

              
	
                Item
                  5: Submission of Matters to a Vote of Security
                  Holders

                 

                Information
                  from Item 4 of Part II of Form 10-Q

              	
                Securities
                  Administrator

              
	
                Item
                  6: Significant Obligors of Pool Assets

                 

                Item
                  1112(b) - Significant
                  Obligor Financial Information*

              	
                Depositor

              
	
                *This
                  information need only be reported on the Form 10-D for the distribution
                  period in which updated information is required pursuant to the
                  Item.

              	 
	
                Item
                  7: Significant Enhancement Provider Information

                 

                Item
                  1114(b)(2) - Credit Enhancement Provider Financial
                  Information*

              	 
	
                ▪
                  Determining applicable disclosure threshold

              	
                Depositor

              
	
                ▪
                  Requesting required financial information (including any required
                  accountants’ consent to the use thereof) or effecting incorporation by
                  reference

              	
                Depositor

              
	
                Item
                  1115(b) - Derivative Counterparty Financial
                  Information*

              	 
	
                ▪
                  Determining current maximum probable exposure

              	
                Depositor

              
	
                ▪
                  Determining current significance percentage

              	
                Depositor

              
	
                ▪
                  Requesting required financial information (including any required
                  accountants’ consent to the use thereof) or effecting incorporation by
                  reference

              	
                Depositor

              
	
                *This
                  information need only be reported on the Form 10-D for the distribution
                  period in which updated information is required pursuant to the
                  Items.

              	 

      

       

      
        
          
          

        

        
          EXH.
            V-2

          
            

          

        

        
          
          

        

        
          	
                  ADDITIONAL
                    FORM 10-D DISCLOSURE

                
	
                  Item
                    on Form 10-D

                	
                  Party
                    Responsible 

                

        

      

      
        
          	
                  Item
                    8: Other Information

                   

                  Disclose
                    any information required to be reported on Form 8-K during the
                    period
                    covered by the Form 10-D but not reported

                	
                   

                   

                   

                  Any
                    party responsible for the applicable Form 8-K Disclosure
                    item

                
	
                  Item
                    9: Exhibits

                  Monthly
                    Statement to Certificateholders

                	
                   

                  Securities
                    Administrator

                
	
                  Exhibits
                    required by Item 601 of Regulation S-K, such as material
                    agreements

                	
                  Depositor

                
	 	 

        

        
          (1)
This
            information is provided pursuant to the applicable Servicing
            Agreement.

        

      

       

      
        
          
          

        

        
          EXH.
            V-3

          
            

          

        

        
          
          

        

      

      EXHIBIT
        W

      

      ADDITIONAL
        FORM 10-K DISCLOSURE

      

      
        	
                ADDITIONAL
                  FORM 10-K DISCLOSURE

              
	
                Item
                  on Form 10-K

              	
                Party
                  Responsible 

              
	
                Item
                  1B: Unresolved Staff Comments

              	
                Depositor

              
	
                Item
                  9B: Other Information

                Disclose
                  any information required to be reported on Form 8-K during the
                  fourth
                  quarter covered by the Form 10-K but not reported

              	
                Any
                  party responsible for disclosure items on Form 8-K

              
	
                Item
                  15: Exhibits, Financial Statement Schedules

              	
                Securities
                  Administrator

                Depositor

              
	
                Reg
                  AB Item 1112(b): Significant Obligors of Pool
                  Assets

              	 
	
                Significant
                  Obligor Financial Information*

              	
                Depositor

              
	
                *This
                  information need only be reported on the Form 10-K if updated information
                  is required pursuant to the Item.

              	 
	
                Reg
                  AB Item 1114(b)(2): Credit Enhancement Provider Financial
                  Information

              	 
	
                ▪
                  Determining applicable disclosure threshold

              	
                Depositor

              
	
                ▪
                  Requesting required financial information (including any required
                  accountants’ consent to the use thereof) or effecting incorporation by
                  reference

              	
                Depositor

              
	
                *This
                  information need only be reported on the Form 10-K if updated information
                  is required pursuant to the Item.

              	 
	
                Reg
                  AB Item 1115(b): Derivative Counterparty Financial
                  Information

              	 
	
                ▪
                  Determining current maximum probable exposure

              	
                Depositor

              
	
                ▪
                  Determining current significance percentage

              	
                Depositor

              
	
                ▪
                  Requesting required financial information (including any required
                  accountants’ consent to the use thereof) or effecting incorporation by
                  reference

              	
                Depositor

              
	
                *This
                  information need only be reported on the Form 10-K if updated information
                  is required pursuant to the Item.

              	 

      

       

      
        
          
          

        

        
          EXH.
            W-1

          
            

          

        

        
          
          

        

      

      
        	
                ADDITIONAL
                  FORM 10-K DISCLOSURE

              
	
                Item
                  on Form 10-K

              	
                Party
                  Responsible 

              

      

      
        	
                Reg
                  AB Item 1117: Legal Proceedings

                 

                Any
                  legal proceeding pending against the following entities or their
                  respective property, that is material to Certificateholders, including
                  any
                  proceeding known to be contemplated by governmental
                  authorities:

              	 
	
                ▪
                  Issuing Entity (Trust Fund)

              	
                Master
                  Servicer, Securities Administrator, Servicer(1)
                  and
                  Depositor

              
	
                ▪
                  Sponsor (Seller)

              	
                Seller
                  (if a party to the Pooling and Servicing Agreement) or
                  Depositor

              
	
                ▪
                  Depositor

              	
                Depositor

              
	
                ▪
                  Trustee

              	
                Trustee

              
	
                ▪
                  Securities Administrator

              	
                Securities
                  Administrator

              
	
                ▪
                  Master Servicer

              	
                Master
                  Servicer

              
	
                ▪
                  Servicer

              	
                Servicer(1)

              
	
                ▪
                  Custodian

              	
                Custodian

              
	
                ▪
                  1110(b) Originator

              	
                Depositor

              
	
                ▪
                  Any 1108(a)(2) Servicer (other than the Servicer, Master Servicer
                  or
                  Securities Administrator)

              	
                Servicer

              
	
                ▪
                  Any other party contemplated by 1100(d)(1)

              	
                Depositor

              
	
                Reg
                  AB Item 1119: Affiliations and Relationships

              	 
	
                Whether
                  (a) the Sponsor (Seller), Depositor or Issuing Entity is an affiliate
                  of
                  the following parties, and (b) to the extent known and material,
                  any of
                  the following parties are affiliated with one another:

              	
                Depositor
                  as to (a) 

                Sponsor/Seller
                  as to (a)

              

      

       

      
        
          
          

        

        
          EXH.
            W-2

          
            

          

        

        
          
          

        

      

      
        	
                ADDITIONAL
                  FORM 10-K DISCLOSURE

              
	
                Item
                  on Form 10-K

              	
                Party
                  Responsible 

              

      

      
        	
                ▪
                  Master Servicer

              	
                Master
                  Servicer 

              
	
                ▪
                  Servicer

              	
                Servicer(1)

              
	
                ▪
                  Securities Administrator

              	
                Securities
                  Administrator

              
	
                ▪
                  Trustee

              	
                Trustee

              
	
                ▪
                  Any other 1108(a)(3) servicer

              	
                Servicer(1)

              
	
                ▪
                  Any 1110 Originator

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1112(b) Significant Obligor

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1114 Credit Enhancement Provider

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1115 Derivative Counterparty Provider

              	
                Depositor/Sponsor

              
	
                ▪
                  Any other 1101(d)(1) material party

              	
                Depositor/Sponsor

              
	
                Whether
                  there are any “outside the ordinary course business arrangements” other
                  than would be obtained in an arm’s length transaction between (a) the
                  Sponsor (Seller), Depositor or Issuing Entity on the one hand,
                  and (b) any
                  of the following parties (or their affiliates) on the other hand,
                  that
                  exist currently or within the past two years and that are material
                  to a
                  Certificateholder’s understanding of the Certificates:

              	
                Depositor
                  as to (a) 

                Sponsor/Seller
                  as to (a)

              
	
                ▪
                  Master Servicer

              	
                Master
                  Servicer 

              
	
                ▪
                  Servicer

              	
                Servicer(1)

              
	
                ▪
                  Securities Administrator

              	
                Securities
                  Administrator

              
	
                ▪
                  Trustee

              	
                Depositor/Sponsor

              
	
                ▪
                  Any other 1108(a)(3) servicer

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1110 Originator

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1112(b) Significant Obligor

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1114 Credit Enhancement Provider

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1115 Derivative Counterparty Provider

              	
                Depositor/Sponsor

              
	
                ▪
                  Any other 1101(d)(1) material party

              	
                Depositor/Sponsor

              
	
                Whether
                  there are any specific relationships involving the transaction
                  or the pool
                  assets between (a) the Sponsor (Seller), Depositor or Issuing Entity
                  on
                  the one hand, and (b) any of the following parties (or their affiliates)
                  on the other hand, that exist currently or within the past two
                  years and
                  that are material:

              	
                Depositor
                  as to (a) 

                Sponsor/Seller
                  as to (a)

              
	
                ▪
                  Master Servicer

              	
                Master
                  Servicer 

              
	
                ▪
                  Servicer

              	
                Servicer(1)

              
	
                ▪
                  Securities Administrator

              	
                Securities
                  Administrator

              
	
                ▪
                  Trustee

              	
                Depositor/Sponsor

              
	
                ▪
                  Any other 1108(a)(3) servicer

              	
                Servicer(1)

              
	
                ▪
                  Any 1110 Originator

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1112(b) Significant Obligor

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1114 Credit Enhancement Provider

              	
                Depositor/Sponsor

              
	
                ▪
                  Any 1115 Derivate Counterparty Provider

              	
                Depositor/Sponsor

              
	
                ▪
                  Any other 1101(d)(1) material party

              	
                Depositor/Sponsor

              

      

      (1)
        This
        information is provided pursuant to the applicable Servicing
        Agreement.

       

      
        
          
          

        

        
          EXH.
            W-3

          
            

          

        

        
          
          

        

      

      EXHIBIT
        X

      

      FORM
        8-K DISCLOSURE INFORMATION

      

      
        	
                FORM
                  8-K DISCLOSURE INFORMATION

              
	
                Item
                  on Form 8-K

              	
                Party
                  Responsible 

              
	
                Item
                  1.01- Entry into a Material Definitive Agreement

                 

                Disclosure
                  is required regarding entry into or amendment of any definitive
                  agreement
                  that is material to the securitization, even if depositor is not
                  a party.
                  

                 

                Examples:
                  servicing agreement, custodial agreement.

                 

                Note:
                  disclosure not required as to definitive agreements that are fully
                  disclosed in the prospectus

              	
                All
                  parties other than the Trustee

              
	
                Item
                  1.02- Termination of a Material Definitive Agreement

                 

                Disclosure
                  is required regarding termination of any definitive agreement that
                  is
                  material to the securitization (other than expiration in accordance
                  with
                  its terms), even if depositor is not a party. 

                 

                Examples:
                  servicing agreement, custodial agreement.

              	
                All
                  parties other than the Trustee

              
	
                Item
                  1.03- Bankruptcy or Receivership

                 

                Disclosure
                  is required regarding the bankruptcy or receivership, with respect
                  to any
                  of the following: 

              	
                Depositor

              
	
                ▪
                  Sponsor (Seller)

              	
                Depositor/Sponsor
                  (Seller)

              
	
                ▪
                  Depositor

              	
                Depositor

              
	
                ▪
                  Master Servicer

              	
                Master
                  Servicer

              
	
                ▪
                  Affiliated Servicer

              	
                Servicer(1)

              
	
                ▪
                  Other Servicer servicing 20% or more of the pool assets at the
                  time of the
                  report

              	
                Servicer(1)

              
	
                ▪
                  Other material servicers

              	
                Servicer(1)

              
	
                ▪
                  Trustee

              	
                Trustee

              
	
                ▪
                  Securities Administrator

              	
                Securities
                  Administrator

              

      

       

      
        
          
          

        

        
          EXH.
            X-1

          
            

          

        

        
          
          

        

      

      
        	
                FORM
                  8-K DISCLOSURE INFORMATION

              
	
                Item
                  on Form 8-K

              	
                Party
                  Responsible 

              

      

      
        	
                ▪
                  Significant Obligor

              	
                Depositor

              
	
                ▪
                  Credit Enhancer (10% or more)

              	
                Depositor

              
	
                ▪
                  Derivative Counterparty

              	
                Depositor

              
	
                ▪
                  Custodian

              	
                Custodian

              
	
                Item
                  2.04- Triggering Events that Accelerate or Increase a Direct Financial
                  Obligation or an Obligation under an Off-Balance Sheet
                  Arrangement

                 

                Includes
                  an early amortization, performance trigger or other event, including
                  event
                  of default, that would materially alter the payment priority/distribution
                  of cash flows/amortization schedule.

                 

                Disclosure
                  will be made of events other than waterfall triggers which are
                  disclosed
                  in the monthly statements to the certificateholders.

              	
                Depositor

                Master
                  Servicer

                Securities
                  Administrator

              
	
                Item
                  3.03- Material Modification to Rights of Security
                  Holders

                 

                Disclosure
                  is required of any material modification to documents defining
                  the rights
                  of Certificateholders, including the Pooling and Servicing
                  Agreement.

              	
                Securities
                  Administrator

                Depositor

              
	
                Item
                  5.03- Amendments of Articles of Incorporation or Bylaws; Change
                  of Fiscal
                  Year

                Disclosure
                  is required of any amendment “to the governing documents of the issuing
                  entity”.

              	
                Depositor

              
	
                Item
                  6.01- ABS Informational and Computational
                  Material

              	
                Depositor

              
	
                Item
                  6.02- Change of Servicer or Securities Administrator

                 

                Requires
                  disclosure of any removal, replacement, substitution or addition
                  of any
                  master servicer, affiliated servicer, other servicer servicing
                  10% or more
                  of pool assets at time of report, other material servicers or
                  trustee.

              	
                Master
                  Servicer/Securities Administrator/Depositor/

                Servicer(1)

              
	
                Reg
                  AB disclosure about any new servicer or master servicer is also
                  required.

              	
                Servicer(1)/Master
                  Servicer/Depositor

              
	
                Reg
                  AB disclosure about any new Trustee is also required.

              	
                Trustee

              

      

       

      
        
          
          

        

        
          EXH.
            X-2

          
            

          

        

        
          
          

        

      

      
        	
                FORM
                  8-K DISCLOSURE INFORMATION

              
	
                Item
                  on Form 8-K

              	
                Party
                  Responsible 

              

      

      
        	
                Item
                  6.03- Change in Credit Enhancement or External
                  Support

                Covers
                  termination of any enhancement in manner other than by its terms,
                  the
                  addition of an enhancement, or a material change in the enhancement
                  provided. Applies to external credit enhancements as well as derivatives.
                  

              	
                Depositor/Securities
                  Administrator

              
	
                Reg
                  AB disclosure about any new enhancement provider is also
                  required.

              	
                Depositor

              
	
                Item
                  6.04- Failure to Make a Required Distribution

              	
                Securities
                  Administrator

              
	
                Item
                  6.05- Securities Act Updating Disclosure

                 

                If
                  any material pool characteristic differs by 5% or more at the time
                  of
                  issuance of the securities from the description in the final prospectus,
                  provide updated Reg AB disclosure about the actual asset
                  pool.

              	
                Depositor

              
	
                If
                  there are any new servicers or originators required to be disclosed
                  under
                  Regulation AB as a result of the foregoing, provide the information
                  called
                  for in Items 1108 and 1110 respectively.

              	
                Depositor

              
	
                Item
                  7.01- Reg FD Disclosure

              	
                All
                  parties other than the Trustee

              
	
                Item
                  8.01- Other Events

                 

                Any
                  event, with respect to which information is not otherwise called
                  for in
                  Form 8-K, that the registrant deems of importance to
                  certificateholders.

              	
                Depositor

              
	
                Item
                  9.01- Financial Statements and Exhibits

              	
                Responsible
                  party for reporting/disclosing the financial statement or
                  exhibit

              

      

      (1)
        This
        information is provided pursuant to the applicable Servicing
        Agreement.

      

      
        
          
          

        

        
          EXH.
            X-3

          
            

          

        

        
          
          

        

      

      EXHIBIT
        Y

      

      ADDITIONAL
        DISCLOSURE NOTIFICATION

       

      **SEND
        TO WELLS FARGO VIA FAX TO 410-715-2380 AND VIA EMAIL TO
        cts.sec.notifications@wellsfargo.com AND VIA OVERNIGHT MAIL TO THE ADDRESS
        IMMEDIATELY BELOW. SEND TO THE DEPOSITOR AT THE ADDRESS
        BELOW**

      

       

      Wells
        Fargo Bank, N.A. as Securities Administrator 

      Old
        Annapolis Road

      Columbia,
        Maryland 21045

      Fax:
        (410) 715-2380

      E-mail:
        cts.sec.notifications@wellsfargo.com

       

      HSI
        Asset
        Securitization Corporation

      452
        Fifth
        Avenue

      New
        York,
        New York 10018

      Attention:
        Head MBS Principal Finance

      

      Attn:
        Corporate Trust Services - [DEAL NAME]-SEC REPORT PROCESSING

      RE:
        **Additional Form [   ] Disclosure**Required

      Ladies
        and Gentlemen:

       

      In
        accordance with Section [   ] of the Pooling and Servicing Agreement,
        dated as of [   ] [   ], 2006, among [   ], as
        [   ], [   ], as [   ], [   ], as
        [   ] and [   ], as [   ]. The Undersigned, as
        [   ], hereby notifies you that certain events have come to our
        attention that [will][may] need to be disclosed on Form [  
].

       

      Description
        of Additional Form [   ] Disclosure:

       

      

       

      List
        of
        Any Attachments hereto to be included in the Additional Form [   ]
        Disclosure:

       

       

       

      Any
        inquiries related to this notification should be directed to [   ],
        phone number: [   ]; email address: [   ].

       

      
        
          
          

        

        
          EXH.
            Y-1

          
            

          

        

        
          
          

        

      

       

       

      

       

      [NAME
        OF
        PARTY]

      as
        [role]

       

      

       

      By:
        __________________

      Name:

      Title: 

       

      
        
          
          

        

        
          EXH.
            Y-2THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE UNITED
STATES SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE SOLD, TRANSFERRED,
ASSIGNED, PLEDGED, OR HYPOTHECATED ABSENT AN EFFECTIVE REGISTRATION THEREOF
UNDER SUCH ACT OR COMPLIANCE WITH RULE 144 PROMULGATED UNDER SUCH ACT, OR UNLESS
THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL, IN FORM AND SUBSTANCE REASONABLY
SATISFACTORY TO THE COMPANY AND ITS COUNSEL AND FROM ATTORNEYS REASONABLY
ACCEPTABLE TO THE COMPANY AND ITS COUNSEL, THAT SUCH REGISTRATION IS NOT
REQUIRED.

                                 PROMISSORY NOTE

August 18, 2006                                                       $60,000.00

                             Sixty Thousand Dollars
                                    15% NOTE

      FOR VALUE RECEIVED, HEALTHRENU MEDICAL, INC., a Nevada corporation (the
"Company") hereby promises to pay to the order of Paul Cartmell (the "Holder"),
or its registered assigns, the principal sum of SIXTY THOUSAND DOLLARS AND
00/100 ($60,000.00), and to pay interest from the date hereof on the outstanding
principal sum at the rate of 15% per annum based on a 360-day year, such
interest to accrue from the date hereof (the "Closing Date"). The principal and
accrued but unpaid interest shall be paid in full on or before November 16, 2006
(the "Maturity Date").

      All payments shall be paid in lawful money of the United States of America
at the principal office of the Holder or at such other place as the Holder may
designate from time to time in writing to the Company.

      1. PREPAYMENTS. The Company may prepay and redeem the Note, at the
election of the Company, upon not less than 10 days' notice, at any time as a
whole only and not in part, at a price equal to the outstanding principal of the
Note together with accrued interest to the Maturity Date, along with any other
sums due hereunder.

      2. ADDITIONAL CONSIDERATION. As additional consideration for making the
loan described herein, the Company agrees to issue to the Holder a warrant to
purchase a total of 400,000 shares of the Company's common stock which shall
have an exercise price of $0.05 per share (the "$0.05 Warrants") and shall be
exercisable for a period of five years (the shares issuable upon conversion of
the $0.05 Warrants shall be referred to as the "Warrant Shares"). In addition,
the Company agrees to include the Warrant Shares in the Company's pre-effective
amendment to its Registration Statement on Form SB-2 as filed by the Company on
April 12, 2006 with the SEC and to use its best efforts to cause such
registration to be declared effective by the SEC.

<PAGE>

      3. GRANT OF SECURITY INTEREST. The repayment of this obligation shall be
secured by the grant of a security interest in certain Advance Notices that may
be issued from time to time by the Company to Cornell Capital Partners, LP
pursuant to a certain Standby Equity Distribution Agreement dated May 23, 2005,
as amended to date. The parties acknowledge and agree that the Standby Equity
Distribution Agreement has been entered into for Ten Million Dollars
($10,000,000), however, the Company cannot request funds from Cornell Capital
Partners under the Standby Equity Distribution Agreement until such time as the
Company has an effective registration statement covering the shares that may be
issued pursuant to the Standby Equity Distribution Agreement and that Advance
Notices are subject to certain limits and other restrictions as set forth in the
Agreement. Within five (5) days of the effectiveness of such registration
statement, the Company will take action to perfect the Holder's security
interest in the Advance Notices.

      4. DEFAULT. The Company shall be in default under this Note upon the
occurrence of any of the following events ("Event of Default"):

            (a) Failure to make any principal or interest payment required under
      this Note within three days of the date such payment is due; or

            (b) An assignment for the benefit of creditors or the filing of a
      petition under bankruptcy, insolvency or debtor's relief law, or for any
      readjustment of indebtedness, composition or extension by the Company, or
      commenced against the Company which is not discharged within sixty (60)
      days.

      5. REMEDIES UPON EVENT OF DEFAULT. Upon the occurrence of an Event of
Default:

            (a) specified in clause (a) of Section 4, then the Holder may
      declare the Note immediately accelerated due and payable;

            (b) specified in clause (b) of Section43, then the Note shall be
      automatically accelerated and immediately due and payable at the option of
      Holder, without notice or demand; and

            (c) the Holder shall have all of the rights and remedies, at law and
      in equity, by statute or otherwise, and no remedy herein conferred upon
      the Holder is intended to be exclusive of any other remedy and each remedy
      shall be cumulative and shall be in addition to every other remedy given
      hereunder or now or hereafter existing at law, in, equity, by statute or
      otherwise.

                                       2
<PAGE>

      6. CHANGES; PARTIES. This Note can only be changed by an agreement in
writing signed by the Company and the Holder. This Note shall inure to the
benefit of and be binding upon the Company and the Holder and their respective
successors and assigns.

      7. WAIVER OF PRESENTMENT. The Company hereby waives presentment, demand,
notice, protest and all other demands and notices in connection with the
delivery, acceptance, performance, default or enforcement of this Note.

      8. MAXIMUM RATE OF INTEREST. It is expressly stipulated and agreed to be
the intent of the Company and Holder at all times to comply with the applicable
law governing the maximum rate of interest payable on or in connection with all
indebtedness and transactions hereunder (or applicable United States federal law
to the extent that it permits Holder to contract for, charge, take, reserve or
receive a greater amount of interest). If the applicable law is ever judicially
interpreted so as to render usurious any amount of money or other consideration
called for hereunder, or contracted for, charged, taken, reserved or received
with respect to any loan or advance hereunder, or if acceleration of the
maturity of this Note or the indebtedness hereunder or if any prepayment by the
Company results in the Company's having paid any interest in excess of that
permitted by law, then it is the Company's and Holder's express intent that all
excess cash amounts theretofore collected by Holder be credited on the principal
balance of this Note (or if this Note has been or would thereby be paid in full,
refunded to the Company), and the provisions of this Note immediately be deemed
reformed and the amounts thereafter collectible hereunder reduced, without the
necessity of the execution of any new document, so as to comply with the
applicable law, but so as to permit the recovery of the fullest amount otherwise
called for hereunder. The right to accelerate maturity of this Note does not
include the right to accelerate any interest which has not otherwise accrued on
the date of such acceleration, and Holder does not intend to collect any
unearned interest in the event of acceleration.

      9. NO IMPLIED WAIVER. No failure or delay on the part of Holder in
exercising any right, power or privilege under this Note and no course of
dealing between the Company and Holder shall operate as a waiver thereof. No
single or partial exercise of any right, power or privilege hereunder shall
preclude any other or further exercise of any right, power or privilege Holder
would otherwise have. No notice to, or demand on, the Company in any case shall
entitle the Company to any other or further notice or demand in similar or other
circumstances or constitute a waiver of the right of Holder to any other or
further action in any circumstances without notice or demand.

      10. GOVERNING LAW. THIS AGREEMENT SHALL BE CONSTRUED ACCORDING TO THE LAWS
OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO THE PRINCIPLES THEREOF
RELATING TO CONFLICTS OF LAWS.

            [The remainder of this page is intentionally left blank.]

                                       3
<PAGE>

         IN WITNESS WHEREOF, the Company has executed this Note as of the day
and year set forth above.

                                    HEALTHRENU MEDICAL, INC.

                                    By:   ________________________________
                                          Robert W. Prokos
                                          Chief Executive Officer and President

                                       4

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