Document:

Note Guaranty Insurance Policy

 EXHIBIT 4.3 
  

AMBAC ASSURANCE CORPORATION 
  
 NOTE GUARANTY INSURANCE POLICY 
  
 Policy No. AB0762BE 
  

			
	 Insured Party:
	  	 The Indenture Trustee for the benefit of the Holders of the Capital One Auto Finance Trust 2004-A Class A Notes issued pursuant to the
Indenture.

		
	 Insured Obligations:
	  	 To the extent set forth herein, the aggregate interest on and the Note Balance of all Class A Notes owned by Holders, such principal balance not to exceed in
the aggregate $1,000,000,000.

		
	 Deficiency Amounts:
	  	 (i) With respect to each Payment Date, the excess, if any, without duplication, of (a) the Scheduled Payment minus (b) the sum of, without duplication: (x) all
amounts available for payment of the Scheduled Payments under the Transaction Documents, including, but not limited to, from amounts on deposit in the Reserve Account and any other Trust Accounts available for payment of Scheduled Payments on the
Class A Notes on such Payment Date and (y) any other amounts available pursuant to the Transaction Documents to pay the Scheduled Payments on such Payment Date, in each case to the extent available in accordance with the priorities set forth in the
Indenture, and (ii) with respect to any Preference Payment Date, Preference Amounts; provided, however, that the aggregate amount of all such Preference Amounts shall be subject to the limitations in such definition; provided, further, that in no
event shall the aggregate amount payable by the Insurer under this Policy exceed the Maximum Insured Amount.

  
 AMBAC ASSURANCE
CORPORATION, a Wisconsin domiciled stock insurance corporation (“Ambae” or the “Insurer”), in consideration of the payment of the insurance premium payable with respect hereto, hereby unconditionally and irrevocably guarantees,
subject only to (i) proper presentation of a Notice in accordance with the terms of this Note Guaranty Insurance Policy (together with each and every endorsement, if any, hereto, the “Policy”) and (ii) the terms of the Policy, the payment
to, or at the direction of, the Indenture Trustee, for the benefit of the Holders of the Insured Obligations, that portion of the Deficiency Amounts which are Due for Payment but are unpaid by reason of Nonpayment. 
  
 1. Definitions. 
  
 Capitalized terms used herein and not otherwise defined shall have the
meaning assigned to them in the Insurance Agreement or, if not defined therein, in the Indenture, without giving effect to any subsequent amendment ‘or modification thereto unless such amendment or modification has been approved in writing by
Ambac. For purposes of the Policy, the following terms shall have the following meanings: 
  
 “Affiliate” shall mean, with respect to any specified Person, any other Person controlling or controlled by or under common control with such specified Person. For the purposes of this definition,
“control” when used with respect to any Person 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. 

 “Bankruptcy Code” shall mean Title 11 of the United States Code. 
  
 “Business Day” shall mean any day that is not a Saturday, a
Sunday or a day on which banking institutions in the states of Delaware, California, Texas, Virginia or New York, or in the state in which the Corporate Trust Office of the Indenture Trustee is located, are authorized or obligated by law, executive
order or government decree to be closed. 
  
 “Class A
Notes” shall mean, collectively, the Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes and the Class A-4 Notes. 
  
 “COAF Party” shall mean any of the Issuer, the Originator, the Servicer, the Seller and any of their respective Affiliates. 

 
 “Collection Period” shall mean each calendar month (or,
in the case of the initial Collection Period, the period commencing on the close of business on the Initial Cut-Off Date and ending on June 30, 2004) and the “related” Collection Period means, with respect to any Payment Date, the
Collection Period preceding the month in which such Payment Date occurs. 
  
 “Due for Payment” shall mean, with respect to any Deficiency Amounts, such amount as is due and payable pursuant to the terms of the Indenture. 
  
 “Final Scheduled Payment Date” shall mean, with respect to
(i) the Class A-1 Notes, the Payment Date occurring in May 2005, (ii) the Class A-2 Notes, the Payment Date occurring in August 2007, (iii) the Class A-3 Notes, the Payment Date occurring in July 2008 and (vi) the Class A-4 Notes, the Payment Date
occurring in March 2011. 
  
 “Holder” shall mean
any registered or beneficial owner of a Class A Note (other than a COAF Party). 
  
 “Indenture” shall mean that certain Indenture, dated as of May 25, 2004, by and between the Issuer and the Indenture Trustee. 
  
 “Indenture Trustee” shall mean JPMorgan Chase Bank, not in its individual capacity but as trustee under the
Indenture, and its successors and assigns in such capacity. 
  
 “Insurance Agreement” shall mean that certain Insurance and Indemnity Agreement, dated as of May 25, 2004, among the Insurer, the Servicer, the Originator, the Seller, the Issuer and the Indenture Trustee, in regard to the
Class A Notes, as such agreement may be amended, modified or supplemented from time to time. 
  
 “Insured Payments” shall mean, (i) with respect to any Payment Date, the aggregate amount actually paid by the Insurer to, or at the direction of, the Indenture Trustee in respect of Deficiency
Amounts for such Payment Date and (ii) the aggregate amount of any Preference Amounts paid by the Insurer on any given Business Day. 
  
 “Insurer” shall mean Ambac, or any successor thereto, as issuer of this Policy. 
  
 “Interest Rate” shall mean, with respect to (i) the Class
A-I Notes, 1.21% per annum, (ii) the Class A-2 Notes, 2.22% per annum, (iii) the Class A-3 Notes, 3.07% per annum and (vi) the Class A-4 Notes, LIBOR + 0.10% per annum. 
  

 2 

 “Issuer” shall mean Capital One Auto Finance Trust 2004-A, a Delaware statutory trust.

  
 “Late Payment Rate” shall mean the rate of
interest as it is publicly announced by Citibank, N.A. at its principal office in New York, New York as its prime rate (any change in such prime rate of interest to be effective on the date such change is announced by Citibank, N.A.). plus 3%. The
Late Payment Rate shall be computed on the basis of a year of 365 days calculating the actual number of days elapsed. In no event shall the Late Payment Rate exceed the maximum rate permissible under any applicable law limiting interest rates.

  
 “Maximum Insured Amount” shall mean
$1,000,000,000 in respect of principal, plus interest thereon calculated at the applicable Interest Rate for each Class of Class A Notes. 
  
 “Nonpayment” shall mean, with respect to any Payment Date, Deficiency Amounts which are Due for Payment but have not been paid pursuant
to the Indenture. 
  
 “Noteholders’ Interest
Carryover Shortfall” means, with respect to any Payment Date, the excess of the sum of the Noteholders’ Monthly Accrued Interest for the preceding Payment Date and any outstanding Noteholders’ Interest Carryover Shortfall on such
preceding Payment Date, over the amount in respect of interest that is actually paid to Noteholders on such preceding Payment Date, plus interest on the amount of interest due but not paid to Noteholders on the preceding Payment Date, to the extent
permitted by law, at the respective Interest Rates borne by such Notes for the related Interest Period. 
  
 “Noteholders’ Parity Deficit Amount” means, with respect to any Payment Date, an amount equal to the excess, if any, of (i) the Note
Balance of the Class A Notes as of such Payment Date (before application of all payments in respect of principal on such date); over (ii) the sum of (x) the amount of the Pool Balance (as of the last day of the related Collection Period) and (y) the
amount on deposit in the Pre-Funding Account (as of the last day of the related Collection Period). 
  
 “Notice” shall mean the telephonic or telegraphic notice, promptly confirmed in writing by telecopy substantially in the form of
Exhibit A or Exhibit B, as applicable, to this Policy, the original of which is subsequently delivered by registered or certified mail, from the Indenture Trustee specifying the amount of any Insured Payment which shall be due and
owing. 
  
 “Order” shall have the meaning given
such term in Section 8 hereto. 
  
 “Payment Date”
shall mean the 15th day of each month during which any Class A Notes remain Outstanding (provided if any such date is not a Business Day, then the Payment Date shall be the next succeeding Business Day) beginning on July 15, 2004. 
  
 “Person” shall mean any individual, corporation, limited
liability company, estate, partnership, joint venture, association, joint stock company, trust (including any beneficiary thereof), unincorporated organization or government or any agency or political subdivision thereof. 
  
 “Preference Amount” shall mean any interest on or principal
of the Class A Notes which has become Due for Payment, the Nonpayment of which would have been covered by the Policy, and which was made to a Holder by or on behalf of the Issuer which has been deemed a preferential transfer and recoverable, or
theretofore recovered, from its Holder pursuant to the Bankruptcy Code in accordance with a final, nonappealable order of a court of competent jurisdiction; provided that any Preference Amount that constitutes interest shall be limited to the
amount of interest on the Note Balance of the Class A Notes (calculated at the Interest Rate for the relevant class of Class A Notes) accrued as of the last day of the applicable interest accrual period with respect to the Class A Notes and shall
not, in any 
  

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 event, include any interest on the Class A Notes accrued after such date or any interest on such interest amount;
provided, further, that in no event shall Ambac be obligated to make any payment in respect to any Preference Amount to the extent that such payment, when added to all prior payments of Deficiency Amounts, would exceed the Maximum
Insured Amount. 
  
 “Preference Payment Date”
shall have the meaning given such term in Section 8 hereto. 
  
 “Reimbursement Amount” shall mean, as of any Payment Date, the sum of (x)(i) all Insured Payments paid by Ambac, but for which Ambac has not been reimbursed prior to such Payment Date, plus (ii) interest accrued on
such Insured Payments not previously repaid calculated at the Late Payment Rate from the date the Indenture Trustee, or any other Person at its direction, received the related Insured Payments or the date such Insured Payments were made, (y) (i) all
costs and expenses of Ambac in connection with any action, proceeding or investigation affecting the Issuer, the Trust Estate or the rights or obligations of Ambac hereunder or under the Transaction Documents including any judgment or settlement
entered into affecting Ambac or Ambac’s interests plus (ii) interest on such amounts of the Late Payment Rate and (z) without duplication (i) any amounts then due and owing to Ambac under the Insurance Agreement or the Indenture
plus (ii) interest on such amounts at the Late Payment Rate. 
  
 “Reserve Account” shall mean the account designated as such, established and maintained pursuant to Section 4.1 of the Sale and Servicing Agreement. 
  
 “Sale and Servicing Agreement” shall mean that certain Sale and Servicing Agreement dated as of May 25,
2004 by and among the Issuer, the Seller, Capital One Auto Finance, Inc., as servicer and JPMorgan Chase Bank, as indenture trustee. 
  
 “Scheduled Payments” shall mean, with respect to any Payment Date, an amount equal to the sum of (a) the Accrued Note Interest (not
including any Noteholders’ Interest Carryover Shortfall that Ambac has made Insured Payments in respect of on a prior Payment Date) and the Noteholders’ Parity Deficit Amount for the related Payment Date and, without duplication, (b) if
the related Payment Date is the Final Scheduled Payment Date for any class of Class A Notes, the Note Balance of such Class on such date; provided that Scheduled Payments shall not include (x) any portion of Accrued Note Interest due to
Holders because the Notice in proper form was not timely received by Ambac, or (y) any portion of Accrued Note Interest due to Holders representing interest on any Noteholders’ Interest Carryover Shortfall accrued from and including the date of
payment of the amount of such Noteholders’ Interest Carryover Shortfall pursuant to the Policy. 
  
 “Seller” means Capital One Auto Receivables, LLC, a Delaware limited liability company. 
  
 2. Payments under the Policy. 
  

	 	(a)	Upon the presentation by the Indenture Trustee to Ambac at Ambac’s principal office in respect of the applicable Payment Date of a duly executed Notice, Ambac will make or
cause to be made to the Indenture Trustee, on the guarantee set forth in the first paragraph of this Policy, payment in an amount equal to the applicable Deficiency Amount (other than Preference Amounts). 

  

	 	(b)	Amounts payable in respect of any Deficiency Amounts (other than Preference Amounts) due hereunder, unless otherwise stated herein, will be distributed by Ambac to, or at the
direction of, the Indenture Trustee, by wire transfer of immediately available funds. Solely the Indenture Trustee on behalf of the Holders shall have the right to make a claim for an Insured Payment under this Policy. 

  

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	 	(c)	Ambac’s payment obligations hereunder with respect to particular Deficiency Amounts (other than Preference Amounts) shall be discharged to the extent funds equal to the
applicable Deficiency Amounts (other than Preference Amounts) are paid by Ambac to, or at the direction of, the Indenture Trustee in accordance with the Indenture Trustee’s requests, whether or not such funds are properly applied by the
Indenture Trustee. Payments of Deficiency Amounts (other than Preference Amounts) shall be made only at the time set forth in this Policy, and no accelerated Insured Payments shall be made except to the extent that Ambac has specified an earlier
date for payment at its sole option. This Policy does not insure against loss of any prepayment or other acceleration payment which at any time may become due in respect of any Insured Obligations, other than at the sole option of the Insurer, nor
against any risk other than Nonpayment, including failure of the Indenture Trustee to pay any Deficiency Amounts (other than Preference Amounts) or Scheduled Payments due to Holders. 

  

	 	(d)	Notwithstanding anything to the contrary set forth herein, in no event shall the aggregate amount paid by Ambac hereunder exceed the Maximum Insured Amount hereunder.

  
 3. Presentation of Notice of Non-Payment and
Demand. 
  

	 	(a)	Notwithstanding any other provision of this Policy but subject to Section 8 hereof with respect to Preference Amounts, the Insurer will pay any Deficiency Amounts payable hereunder
other than with respect to Preference Amounts to, or at the direction of, the Indenture Trustee no later than 12:00 noon, New York City time, on the later of (i) the Payment Date on which the related Deficiency Amount is due for payment under the
Indenture or (ii) the second Business Day following actual receipt in New York, New York on a Business Day by the Insurer of a Notice in the form attached as Exhibit A, appropriately completed and executed by the Indenture Trustee;
provided that, if such Notice is received after 12:00 noon, New York City time, on such Business Day, it will be deemed to be received before 12:00 noon on the following Business Day. 

  

	 	(b)	If any such Notice is not in proper form or is otherwise insufficient for the purpose of making a claim under this Policy, it shall be deemed not to have been received by the
Insurer for purposes of this Policy, and the Insurer shall promptly so advise the Indenture Trustee in writing and the Indenture Trustee may submit an amended or corrected Notice. If such an amended or corrected Notice is in proper form and is
otherwise sufficient for the purpose of making a claim under this Policy, it shall be deemed to have been timely received on the Business Day of such resubmission subject to the proviso in (a) above. 

  

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 4. Waiver. Ambac’s obligations to make payment under this Policy are irrevocable, absolute
and unconditional, irrespective of the value, genuineness, validity, legality or enforceability of the Indenture or any other agreement or instrument referred to herein or therein, or any substitution, release or exchange of any other guarantee of
or security for the amounts Due for Payment hereunder, and, to the fullest extent permitted by applicable law, Ambac hereby waives any legal or equitable defense to payment under this Policy, including fraud in the inducement or fraud in the fact.
Ambac hereby expressly waives diligence, presentment, protest and any requirement that the Indenture Trustee exhaust any right, power or remedy or proceed against the Issuer, or against any other person under any other guarantee of, or security for,
the Indenture, provided that the Indenture Trustee shall be required to deliver a Notice as contemplated by this Policy. None of the foregoing waivers shall prejudice any claim Ambac may have, including without limitation for Reimbursement Amounts,
whether directly or as subrogee, subsequent to making such payment to the Indenture Trustee in accordance with this Policy. 
  
 5. Subrogation. Upon any payment hereunder, in furtherance and not in limitation of Ambac’s equitable right of subrogation and Ambac’s
rights under the Insurance Agreement, Ambac will, to the extent of such payment by Ambac hereunder, be subrogated to the rights of any Holder to receive any and all amounts due in respect of the Insured Obligations as to which such Insured Payment
was made, to the extent of any payment by Ambac under this Policy and Ambac will be a co-beneficiary of the Indenture Trustee’s lien under the Indenture. 
  

6. Communications. All notices (including Notices), presentations, transmissions, deliveries and communications made by the Indenture Trustee to
Ambac with respect to this Policy shall specifically refer to the number of this Policy and shall be made to Ambac at: 
  

			
	 Ambac Assurance Corporation

	 One State Street Plaza

	 New York, New York 10004

	 Attention:
	  	 Asset-Backed Securities Department Head

	 	  	 General Counsel – URGENT

	 Phone:
	  	 (212) 208-3283

	 Fax:
	  	 (212) 556-3556

  
 or to such other address, officer,
telephone number or facsimile number as Ambac may designate to the Indenture Trustee from time to time. 
  
 7. Nature of the Obligations. Except as expressly provided herein, the obligations of Ambac under this Policy are irrevocable, absolute and
unconditional. 
  
 8. Termination. This Policy and the
obligations of Ambac hereunder shall terminate upon the earlier of: 
  

	 	(a)	the date on which all of the Deficiency Amounts have been paid in full by Ambac to, or at the direction of, the Indenture Trustee; or 

  

	 	(b)	the close of business on the third (3rd) Business Day after the earlier of (a) the Final Scheduled Payment Date that occurs last for a class of Class A Notes and

  

	 	(c)	the date on which all principal and interest on the Class A Notes has been paid in full; 

  

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 provided, however, that notwithstanding the occurrence of any of the foregoing events, the Insurer shall
pay any Preference Amount when due to be paid pursuant to an Order referred to below, but in any event no earlier than the fifth Business Day following actual receipt by the Insurer of (i) a certified copy of the final, nonappealable order of a
court or other body exercising jurisdiction to the effect that a Holder is required to return such Preference Amount paid during the term of this Policy because the payments of such amounts were avoided as a preferential transfer or otherwise
rescinded or required to be restored by the Indenture Trustee or such Holder (the “Order”), (ii) an opinion of counsel satisfactory to the Insurer stating that the Order has been entered and is final and not subject to any stay,
(iii) an assignment, in form and substance satisfactory to the Insurer, duly executed and delivered by such Holder and the Indenture Trustee, irrevocably assigning to the Insurer all rights and claims of the Indenture Trustee and such Holder
relating to or arising under the Indenture or otherwise with respect to such Preference Amount, (iv) appropriate instruments in form satisfactory to, the Insurer to effect the appointment of the Insurer as agent for the Indenture Trustee and such
Holder in any legal proceeding related to such Preference Amount, and (v) a Notice (in the form attached as Exhibit B) appropriately completed and executed by the Indenture Trustee (the “Preference Payment Date”);
provided, further, that (I) if such documents are received by the Insurer after 12:00 noon, New York City time, on such Business Day, they will be deemed to be received on the following Business Day, (II) the Insurer shall not be
obligated to pay any Preference Amount in respect of principal (other than the Noteholders’ Party Deficit Amount) prior to the Final Scheduled Payment Date for the relevant class of Class A Notes and (III) any Preference Amount that constitutes
interest shall be limited to the amount of interest on the Note Balance of the Class A Notes (calculated at the Interest Rate for the relevant class of Class A Notes) accrued as of the last day of the applicable interest accrual period with respect
to the Class A Notes and shall not, in any event, include any interest on the Class A Notes accrued after such date or any interest on such interest amount. Such payment shall be disbursed to the receiver, conservator, debtor-in-possession or
trustee in bankruptcy named in the Order, and not to the Indenture Trustee or the Holder directly, unless the Indenture Trustee or the relevant Holder has made a payment of the Preference Amount to the court or such receiver, conservator, debtor-in
possession or trustee in bankruptcy named in the Order, in which case the Insurer will pay the Indenture Trustee, or as directed by the Indenture Trustee, to the extent of the payment of the Preference Amount, subject to the delivery of (a) the
items referred to in clauses (i), (ii), (iii), (iv) and (v) above to the Insurer and (b) evidence satisfactory to the Insurer that payment has been made to such court or receiver, conservator, debtor-in-possession or trustee in bankruptcy named in
the Order. 
  
 Notwithstanding the foregoing, in no event shall
Ambac be obligated to make any payment in respect of any Preference Amount (i) to the extent that such payment, when added to all prior payments of Deficiency Amounts, would exceed the Maximum Insured Amount or (ii) prior to the time Ambac would
have been required to make an Insured Payment pursuant to Section 3 of this Policy. 
  

 7 

 9. There shall be no acceleration payment due under this Policy unless such acceleration is at the sole
option of the Insurer. This Policy does not cover (i) premiums, if any, payable in respect of the Class A Notes, (ii) shortfalls, if any, attributable to any payment of withholding taxes (including penalties and interest in respect of any such
liability) or (iii) any risk other than Nonpayment, including the failure of the Indenture Trustee to apply, disburse, transfer or direct Policy payments or Available Funds or other amounts in accordance with the Indenture to Holders or to any other
party. 
  
 10. Miscellaneous. 
  

	 	(a)	This Policy sets forth the full understanding of Ambac and, except as expressly provided herein, or as otherwise agreed in writing hereafter by Ambac and the Indenture Trustee, may
not be canceled or revoked. 

  

	 	(b)	This Policy is issued pursuant to, and shall be construed under, the laws of the State of New York, without giving effect to the conflicts of laws rules thereof, as contemplated in
Section 5-1401 of the New York General Obligations Law. 

  

	 	(c)	THE INSURANCE PROVIDED BY THIS POLICY IS NOT COVERED BY THE PROPERTY/CASUALTY INSURANCE SECURITY FUND SPECIFIED IN ARTICLE 76 OF THE NEW YORK INSURANCE LAW.

  

	 	(d)	Any notice hereunder or service of process on Ambac may be made at the address listed above for Ambac or such other address as Ambac shall specify in writing to the Indenture
Trustee. 

  

	 	(e)	The premium of this Policy is not refundable for any reason. The premium will be payable on this Policy on each Payment Date as provided in the Insurance Agreement, beginning with
the initial Payment Date. 

  
 ANY PERSON WHO
KNOWINGLY AND WITH INTENT TO DEFRAUD ANY INSURANCE COMPANY OR OTHER PERSON FILES AN APPLICATION FOR INSURANCE OR STATEMENT OF CLAIM CONTAINING ANY MATERIALLY FALSE INFORMATION, OR CONCEALS FOR THE PURPOSE OF MISLEADING, INFORMATION CONCERNING ANY
FACT MATERIAL THERETO, COMMITS A FRAUDULENT INSURANCE ACT, WHICH IS A CRIME AND SHALL ALSO BE SUBJECT TO A CIVIL PENALTY NOT TO EXCEED FIVE THOUSAND DOLLARS AND THE STATED VALUE OF THE CLAIM FOR EACH SUCH VIOLATION. 
  

 8 

 IN WITNESS WHEREOF, Ambac has caused this Note Guaranty Insurance Policy to be executed and attested this
25th day of May, 2004. 
  

			
	 AMBAC ASSURANCE CORPORATION

		
	 By:
	 	 /s/ Michael Babick

	 Name:
	 	 Michael Babick

	 Title:
	 	 First Vice President

  
 Attest: 
  

			
	 /s/ Melissa L. Velie

	 Name:
	 	 Melissa L. Velie

	 Title:
	 	 Asst. Secretary, Asst. Vice President

 EXHIBIT A 
  

TO THE NOTE GUARANTY INSURANCE POLICY 
  
 Policy No. AB0762BEa 
  
 NOTICE OF NONPAYMENT AND DEMAND FOR 
 PAYMENT OF INSURED AMOUNTS (OTHER

 THAN PREFERENCE AMOUNT) 
  
 Date:                      
  
 Ambac Assurance Corporation 
 One State Street Plaza 
 New York, New York 10004 
  

			
	 Attention:
	 	 Asset-Backed Securities Department Head

	 	 	 General Counsel - URGENT

  
 Reference is made to
Note Guaranty Insurance Policy No. AB0762BE (the “Policy”) issued by Ambac Assurance Corporation (“Ambac”). Terms capitalized herein and not otherwise defined shall have the meanings specified in the Policy, unless
the context otherwise requires. 
  
 The undersigned hereby
certifies as follows: 
  

	 	1.	It is the Indenture Trustee under the Indenture, and is acting for the Holders. 

  

	 	2.	The relevant Payment Date is [date]. 

  

	 	3.	There is an amount of $             with respect to such Payment Date, which amount is a Deficiency Amount which
is Due for Payment. 

  

	 	4.	The Indenture Trustee has not heretofore made a demand for the Deficiency Amount in respect of such Payment Date. 

  

	 	5.	The Indenture Trustee hereby requests the payment of the Deficiency Amount that is Due for Payment be made by Ambac under the Policy and directs that payment under the Policy be
made to the Indenture Trustee to the following account by bank wire transfer of federal or other immediately available funds in accordance with the terms of the Policy to:
            .1 

  

	 	6.	The Indenture Trustee hereby agrees that, following receipt by the Indenture Trustee of the Insured Payment from Ambac, it shall (a) hold such amounts in trust and apply the same
directly to the distribution of payments in respect of the Class A Notes when due, (b) not apply such funds for any other purpose, and (c) maintain an accurate record of such payments with respect to the Class A Notes and the corresponding claim on
the Policy and proceeds thereof. 

	1	The account number of the Indenture Trustee. 

  

 A-1 

	 	7.	The Indenture Trustee hereby assigns to Ambac all lights, and confirms that the Holders have assigned all rights, under the Insured Obligations in respect of which payment is being
requested to Ambac. 

  
 ANY PERSON WHO KNOWINGLY AND
WITH INTENT TO DEFRAUD ANY INSURANCE COMPANY OR OTHER PERSON FILES AN APPLICATION FOR INSURANCE OR STATEMENT OF CLAIM CONTAINING ANY MATERIALLY FALSE INFORMATION, OR CONCEALS FOR THE PURPOSE OF MISLEADING, INFORMATION CONCERNING ANY FACT MATERIAL
THERETO, COMMITS A FRAUDULENT INSURANCE ACT, WHICH IS A CRIME AND SHALL ALSO BE SUBJECT TO A CIVIL PENALTY NOT TO EXCEED FIVE THOUSAND DOLLARS AND THE STATED VALUE OF THE CLAIM FOR EACH SUCH VIOLATION. 
  

			
	 By:
	 	  

	 Title:
	 	  

	 	 	Officer

  

 A-2 

 EXHIBIT B 
  

TO THE NOTE GUARANTY INSURANCE POLICY 
  
 Policy No. AB0762BE 
  
 NOTICE OF NONPAYMENT AND DEMAND FOR 
 PAYMENT OF PREFERENCE AMOUNT

  
 Date:                     
  
 Ambac Assurance Corporation 
 One State Street Plaza 
 New York, New York 10004 
  

			
	 Attention:
	 	 Asset-Backed Securities Department Head

	 	 	 General Counsel — URGENT

  
 Reference is made to
Note Guaranty Insurance Policy No. AB0762BE (the “Policy”) issued by Ambac Assurance Corporation (“Ambac”). Terms capitalized herein and not otherwise defined shall have the meanings specified in the Policy, unless
the context otherwise requires. 
  
 The undersigned hereby
certifies as follows: 
  

	 	l.	It is the Indenture Trustee under the Indenture, and is acting for the Holders. 

  

	 	2.	[A payment previously made in respect of the Class A Notes pursuant to the Indenture has become a Preference Amount, as indicated by the attached Order.] 

 

	 	3.	The Holder of the applicable Class A Notes has certified that the Order has been entered and is not subject to stay. 

  

	 	4.	The amount of the Preference Amount is $            , and consists of interest in the amount of
$             paid on                     , [and principal in the amount of
$             paid on                     .] 

  

	 	5.	Neither the Indenture Trustee nor the Holder has heretofore made a demand for such Preference Amount. 

  

	 	6.	The Indenture Trustee hereby requests the payment of the Insured Payment be made by Ambac under the Policy and directs that payment under the Policy be made to the Indenture Trustee
to the following account by bank wire transfer of federal or other immediately available funds in accordance with the terms of the Policy to:            2 

  

	 	7.	The Indenture Trustee hereby agrees that if such Insured Payment is made to the Indenture Trustee, following receipt of such Insured Payment from Ambac, it shall (a) hold such
amounts in trust and apply the same directly to the Holder for payment of the 

	2	The account of the relevant receiver, conservator, debtor-in-possession or trustee in bankruptcy named in the Order, unless the Holder or Indenture Trustee has
already paid such Preference Amount to such party, in which case, the account of the payor. 

  

 B-1 

 Preference Amount, (b) not apply such funds for any other purpose, and (c) maintain an accurate record of
such payments with respect to the Class A Notes and the corresponding claim on the Policy and proceeds thereof. 
  

	 	8.	The Indenture Trustee hereby assigns to Ambac all rights, and confirms that the Holders have assigned all rights, under the Insured Obligations in respect of which payment is being
requested to Ambac. 

  
 ANY PERSON WHO KNOWINGLY AND
WITH INTENT TO DEFRAUD ANY INSURANCE COMPANY OR OTHER PERSON FILES AN APPLICATION FOR INSURANCE OR STATEMENT OF CLAIM CONTAINING ANY MATERIALLY FALSE INFORMATION, OR CONCEALS FOR THE PURPOSE OF MISLEADING, INFORMATION CONCERNING ANY FACT MATERIAL
THERETO, COMMITS A FRAUDULENT INSURANCE ACT, WHICH IS A CRIME AND SHALL ALSO BE SUBJECT TO A CIVIL PENALTY NOT TO EXCEED FIVE THOUSAND DOLLARS AND THE STATED VALUE OF THE CLAIM FOR EACH SUCH VIOLATION. 
  

			
	 By:
	 	  

	 Title:
	 	  

	 	 	(Officer)

  

 B-2Purchase Agreement dated May 25, 2004

 EXHIBIT 10.1 
  

  
 PURCHASE AGREEMENT 
  
 dated as of May 25, 2004

  
 between 
  
 CAPITAL ONE AUTO FINANCE, INC. 
  
 and 
  
 CAPITAL ONE AUTO RECEIVABLES, LLC, 
 as Purchaser 
  

 TABLE OF CONTENTS 
  

							
	 	 	 	 	 	  	Page

		
	 ARTICLE I            DEFINITIONS AND USAGE
	  	1
				
	 SECTION 1.1
	 	 	 	 Definitions
	  	1
				
	 SECTION 1.2
	 	 	 	 Other Interpretive Provisions
	  	1
		
	 ARTICLE II          PURCHASE
	  	2
				
	 SECTION 2.1
	 	 	 	 Agreement to Sell and Contribute on the Closing Date
	  	2
				
	 SECTION 2.2
	 	 	 	 Agreement to Sell and Contribute on the Funding Dates
	  	2
				
	 SECTION 2.3
	 	 	 	 Consideration and Payment
	  	2
				
	 SECTION 2.4
	 	 	 	 Consideration and Payment for the Subsequent Purchased Assets
	  	2
		
	 ARTICLE III        REPRESENTATIONS, WARRANTIES AND COVENANTS
	  	3
				
	 SECTION 3.1
	 	 	 	 Representations and Warranties of COAF
	  	3
				
	 SECTION 3.2
	 	 	 	 Representations and Warranties of COAF as to each Receivable
	  	4
				
	 SECTION 3.3
	 	 	 	 Repurchase upon Breach
	  	4
				
	 SECTION 3.4
	 	 	 	 Protection of Title
	  	5
				
	 SECTION 3.5
	 	 	 	 Other Liens or Interests
	  	6
				
	 SECTION 3.6
	 	 	 	 Perfection Representations, Warranties and Covenants
	  	6
		
	 ARTICLE IV        MISCELLANEOUS
	  	6
				
	 SECTION 4.1
	 	 	 	 Transfers Intended as Sale; Security Interest
	  	6
				
	 SECTION 4.2
	 	 	 	 Notices, Etc
	  	7
				
	 SECTION 4.3
	 	 	 	 Choice of Law
	  	7
				
	 SECTION 4.4
	 	 	 	 Headings
	  	8
				
	 SECTION 4.5
	 	 	 	 Counterparts
	  	8
				
	 SECTION 4.6
	 	 	 	 Amendment
	  	8
				
	 SECTION 4.7
	 	 	 	 Waivers
	  	9
				
	 SECTION 4.8
	 	 	 	 Entire Agreement
	  	9
				
	 SECTION 4.9
	 	 	 	 Severability of Provisions
	  	9
				
	 SECTION 4.10
	 	 	 	 Binding Effect
	  	9
				
	 SECTION 4.11
	 	 	 	 Acknowledgment and Agreement
	  	9
				
	 SECTION 4.12
	 	 	 	 Cumulative Remedies
	  	9
				
	 SECTION 4.13
	 	 	 	 Nonpetition Covenant
	  	9

  

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 TABLE OF CONTENTS

 (continued) 
  

							
	 	 	 	 	 	  	Page

	 SECTION 4.14
	 	 	 	 Submission to Jurisdiction
	  	10
				
	 SECTION 4.15
	 	 	 	 Third-Party Beneficiaries
	  	10
				
	 SECTION 4.16
	 	 	 	 Limitation of Rights
	  	10

  

			
	EXHIBITS	 	 
		
	Exhibit A	 	Form of Assignment
		
	Schedule I	 	Notice Addresses
		
	Schedule II	 	Perfection Representations, Warranties and Covenants

  

 -ii- 

 THIS PURCHASE AGREEMENT is made and entered into as of May 25, 2004 (as amended from time to time, this
“Agreement”) by CAPITAL ONE AUTO FINANCE, INC., a Texas corporation (“COAF”), and CAPITAL ONE AUTO RECEIVABLES, LLC, a Delaware limited liability company (the “Purchaser”). 
  
 WITNESSETH: 
  
 WHEREAS, the Purchaser desires to purchase from COAF a portfolio of motor
vehicle receivables, including motor vehicle retail installment sales contracts and/or installment loans that are secured by new and used automobiles and light-duty trucks; and 
  
 WHEREAS, COAF is willing to sell such portfolio of motor vehicle receivables and related property to the Purchaser on the
terms and conditions set forth in this Agreement. 
  
 NOW,
THEREFORE, in consideration of the premises and the mutual agreements set forth herein, the parties hereto agree as follows: 
  
 ARTICLE I 
 DEFINITIONS AND USAGE 
  
 SECTION 1.1 Definitions. Except as otherwise defined herein or as the
context may otherwise require, capitalized terms used but not otherwise defined herein are defined in Appendix A to the Sale and Servicing Agreement dated as of the date hereof (as from time to time amended, supplemented or otherwise modified
and in effect, the “Sale and Servicing Agreement”) among Capital One Auto Finance Trust 2004-A, COAF, as Servicer, the Purchaser, as Seller, and JPMorgan Chase Bank, as Indenture Trustee, which also contains rules as to usage that
are applicable herein. As used herein, the following terms shall have the following meanings: 
  
 “Initial Purchased Assets” has the meaning specified in Section 2.1. 
  
 “Purchased Assets” has the meaning specified in Section 2.2. 
  
 “Subsequent Purchased Assets” has the meaning specified in Section 2.2. 
  
 SECTION 1.2 Other Interpretive Provisions. For purposes of this
Agreement, unless the context otherwise requires: (a) accounting terms not otherwise defined in this Agreement, and accounting terms partly defined in this Agreement to the extent not defined, shall have the respective meanings given to them under
generally accepted accounting principles; (b) terms defined in Article 9 of the UCC as in effect in the relevant jurisdiction and not otherwise defined in this Agreement are used as defined in that Article; (c) the words “hereof,”
“herein” and “hereunder” and words of similar import refer to this Agreement as a whole and not to any particular provision of this Agreement; (d) references to any Article, Section, Schedule, Appendix or Exhibit are references
to Articles, Sections, Schedules, Appendices and Exhibits in or to this Agreement and references to any paragraph, subsection, clause or other subdivision within any Section or definition refer to such paragraph, subsection, clause or other
subdivision of such Section or definition; (e) the term “including” means “including without limitation”; (f) except as otherwise expressly provided herein, references to any law or regulation refer to that 

 law or regulation as amended from time to time and include any successor law or regulation; (g) references to any Person
include that Person’s successors and assigns; and (h) headings are for purposes of reference only and shall not otherwise affect the meaning or interpretation of any provision hereof. 
  
 ARTICLE II 
 PURCHASE 
  
 SECTION 2.1 Agreement to Sell and Contribute on the Closing Date. On the terms and subject to the conditions set forth in this Agreement, COAF agrees to sell, transfer, assign and otherwise convey to the Purchaser without recourse
(subject to the obligations herein) on the Closing Date all of its right, title and interest in, to and under the Receivables, the Collections after the Initial Cut-Off Date and the Related Security relating thereto, whether now owned or hereafter
acquired, identified in an Assignment substantially in the form of Exhibit A delivered on the Closing Date (collectively, the “Initial Purchased Assets”), which sale shall be effective as of the Initial Cut-Off Date. The
transfer, assignment and conveyance made hereunder does not constitute and is not intended to result in an assumption by the Purchaser of any obligation of COAF or any Originator to the Obligors, the Dealers or any other Person in connection with
the Receivables or the other assets and properties conveyed hereunder or any agreement, document or instrument related thereto. 
  
 SECTION 2.2 Agreement to Sell and Contribute on the Funding Dates. On the terms and subject to the conditions set forth in this Agreement, COAF
agrees to sell, transfer, assign and otherwise convey to the Purchaser on each Funding Date all of its right, title and interest in, to and under the Receivables, and the Collections after the related Subsequent Cut-Off Date and the Related Security
relating thereto, whether now owned or hereafter acquired, identified in an Assignment substantially in the form of Exhibit A delivered on such Funding Date (collectively, the “Subsequent Purchased Assets” and, together with
the Initial Purchased Assets, and all proceeds of the foregoing, the “Purchased Assets”). The transfer, assignment and conveyance made hereunder does not constitute and is not intended to result in an assumption by the Purchaser of
any obligation of COAF or any Originator to the Obligors, the Dealers or any other Person in connection with the Receivables or the other assets and properties conveyed hereunder or any agreement, document or instrument related thereto. 

 
 SECTION 2.3 Consideration and Payment. In consideration of the sale
of the Initial Purchased Assets sold to the Purchaser on the Closing Date, the Purchaser shall pay to COAF on such date an amount equal to $1,149,631,256.37, representing the estimated fair market value of the Initial Purchased Assets on the Closing
Date. 
  
 SECTION 2.4 Consideration and Payment for the
Subsequent Purchased Assets. In consideration of the sale of the Subsequent Purchased Assets sold to the Purchaser on each Funding Date, the Purchaser shall pay to COAF on such date an amount equal to the estimated fair market value of the
related Subsequent Purchased Assets on such Funding Date (the “Purchase Price”). Notwithstanding the preceding sentence, if the Purchase Price to be paid by the Purchaser for such Subsequent Transferred Assets exceeds the amount of
any cash payments paid by the Issuer to the Purchaser on such Funding Date for such Subsequent Transferred Assets, an undivided interest in such Subsequent Transferred Assets in an amount equal to such excess shall be deemed to have been contributed
to the Purchaser by COAF. 
  

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 ARTICLE III 
 REPRESENTATIONS, WARRANTIES AND COVENANTS 
  
 SECTION 3.1 Representations and Warranties of COAF. COAF makes the following representations and warranties as of the Closing Date with respect to the Initial Purchased Assets and as of each Funding Date with
respect to the Subsequent Purchased Assets, in each case on which the Purchaser will be deemed to have relied in acquiring the Purchased Assets. The representations and warranties will survive the conveyance of the Purchased Assets to the Purchaser,
the conveyance of the Purchased Assets to the Issuer pursuant to the Sale and Servicing Agreement and the pledge thereof by the Issuer to the Indenture Trustee pursuant to the Indenture: 
  
 (a) Existence and Power. COAF is a corporation validly existing and in good standing under the laws of its state of
organization and has, in all material respects, full power and authority to own its assets and operate its business as presently owned or operated, and to execute, deliver and perform its obligations under the Transaction Documents to which it is a
party or affect the enforceability or collectibility of the Receivables or any other part of the Purchased Assets. COAF has obtained all necessary licenses and approvals in each jurisdiction where the failure to do so would materially and adversely
affect the ability of COAF to perform its obligations under the Transaction Documents or affect the enforceability or collectibility of the Receivables or any other part of the Purchased Assets. 
  
 (b) Authorization and No Contravention. The execution, delivery and
performance by COAF of the Transaction Documents to which it is a party have been duly authorized by all necessary action on the part of COAF and do not contravene or constitute a default under (i) any applicable law, rule or regulation, (ii) its
organizational documents or (iii) any material indenture or material agreement or instrument to which COAF is a party or by which its properties are bound (other than violations of such laws, rules, regulations, indentures or agreements which do not
affect the legality, validity or enforceability of any of such agreements and which, individually or in the aggregate, would not materially and adversely affect the transactions contemplated by, or COAF’s ability to perform its obligations
under, the Transaction Documents). 
  
 (c) No Consent
Required. No approval or authorization by, or filing with, any Governmental Authority is required in connection with the execution, delivery and performance by COAF of any Transaction Document other than (i) UCC filings, (ii) approvals and
authorizations that have previously been obtained and filings that have previously been made and (iii) approvals, authorizations or filings which, if not obtained or made, would not have a material adverse effect on the enforceability or
collectibility of the Receivables or any other part of the Purchased Assets or would not materially and adversely affect the ability of COAF to perform its obligations under the Transaction Documents. 
  
 (d) Binding Effect. Each Transaction Document to which COAF is a party
constitutes the legal, valid and binding obligation of COAF enforceable against COAF in 
  

 -3- 

 accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium, receivership, conservatorship or other similar laws affecting the enforcement of creditors’ rights generally and, if applicable, the rights of creditors of limited liability companies from time to time in effect or
by general principles of equity. 
  
 (e) No Proceedings.
There are no actions, orders, suits or proceedings pending or, to the knowledge of COAF, threatened against COAF before or by any Governmental Authority that (i) assert the invalidity or unenforceability of this Agreement or any of the other
Transaction Documents, (ii) seek to prevent the issuance of the Notes or the consummation of any of the transactions contemplated by this Agreement or any of the other Transaction Documents, (iii) seek any determination or ruling that would
materially and adversely affect the performance by COAF of its obligations under this Agreement or any of the other Transaction Documents, or (iv) relating to COAF that would materially and adversely affect the federal or Applicable Tax State
income, excise, franchise or similar tax attributes of the Notes. 
  
 (f) Lien Filings. COAF is not aware of any material judgment, ERISA or tax lien filings against COAF. 
  
 SECTION 3.2 Representations and Warranties of COAF as to each Receivable. On the date hereof, with respect to the Initial Receivables, or on each
Funding Date, with respect to the Subsequent Receivables, COAF hereby makes the representations and warranties set forth on Schedule I to the Sale and Servicing Agreement to the Purchaser as to the Initial Receivables and Subsequent
Receivables, as applicable, sold, transferred, assigned and otherwise conveyed to the Purchaser under this Agreement on which such representations and warranties the Purchaser relies in acquiring the Receivables. Such representations and warranties
shall survive the sale of the Receivables to the Issuer under the Sale and Servicing Agreement, and the Grant of the Receivables by the Issuer to the Indenture Trustee pursuant to the Indenture. 
  
 SECTION 3.3 Repurchase upon Breach. Upon discovery by or notice to the
Purchaser or COAF of a breach of any of the representations and warranties set forth in Section 3.2 with respect to any Receivable at the time such representations and warranties were made which materially and adversely affects the interests
of the Issuer, the Note Insurer or the Noteholders in such Receivable, the party discovering such breach or receiving such notice shall give prompt written notice thereof to the other party; provided, that the failure to give such notice
shall not affect any obligation of COAF hereunder. If COAF does not correct or cure such breach prior to the end of the Collection Period which includes the 60th day (or, if the Purchaser elects, an earlier date) after the date that COAF became
aware or was notified of such breach, then COAF shall purchase from the Purchaser any Receivable affected by such breach which materially and adversely affects the interests of the Issuer, the Note Insurer or the Noteholders in such Receivable on
the Payment Date following the end of such Collection Period. Any such purchase by COAF shall be at a price equal to the Repurchase Price. In consideration for such repurchase, COAF shall make (or shall cause to be made) a payment to the Purchaser
equal to the Repurchase Price by depositing such amount into the Collection Account prior to noon, New York City time on such Payment Date. Upon payment of such Repurchase Price by COAF, the Purchaser shall release and shall execute and deliver such
instruments of release, transfer or 
  

 -4- 

 assignment, in each case without recourse or representation, as may be reasonably requested by COAF to evidence such
release, transfer or assignment or more effectively vest in COAF or its designee any Receivable and related Purchased Assets repurchased pursuant to this Section 3.3. It is understood and agreed that, unless COAF fails to purchase any
Receivable as described above, the obligation of COAF to purchase any Receivable as described above shall constitute the sole remedy respecting such breach available to the Purchaser. 
  
 SECTION 3.4 Protection of Title. 
  
 (a) COAF shall authorize and file such financing statements and cause to be authorized and filed such continuation and other
statements, all in such manner and in such places as may be required by law fully to preserve, maintain and protect the interest of the Purchaser under this Agreement in the Receivables (other than any Related Security with respect thereto, to the
extent that the interest of the Purchaser therein cannot be perfected by the filing of a financing statement). COAF shall deliver (or cause to be delivered) to the Purchaser file-stamped copies of, or filing receipts for, any document filed as
provided above, as soon as available following such filing. 
  
 (b) COAF shall not change its name, identity, corporate structure or jurisdiction of organization in any manner that would make any financing statement or continuation statement filed by COAF in accordance with paragraph (a) above
“seriously misleading” within the meaning of Sections 9-506, 9-507 or 9-508 of the UCC, unless it shall have given the Purchaser at least five days’ prior written notice thereof and, to the extent necessary, shall have promptly filed
amendments to previously filed financing statements or continuation statements described in paragraph (a) above. 
  
 (c) COAF shall give the Purchaser at least five days’ prior written notice of any change of location of COAF for purposes of Section 9-307 of the UCC
and shall have taken all action prior to making such change (or shall have made arrangements to take such action substantially simultaneously with such change, if it is not possible to take such action in advance) reasonably necessary or advisable
in the opinion of the Purchaser to amend all previously filed financing statements or continuation statements described in paragraph (a) above. 
  
 (d) COAF shall maintain (or shall cause its Sub-Servicer to maintain) accounts and records as to each Receivable accurately and in sufficient detail to
permit (i) the reader thereof to know at any time the status of such Receivable, including payments and recoveries made and payment owing (and the nature of each) and (ii) reconciliation between payments or recoveries on (or with respect to) each
Receivable and the amounts from time to time deposited in the Collection Account in respect of such Receivable. 
  
 (e) COAF shall maintain (or shall cause its Sub-Servicer to maintain) its computer systems so that, from time to time after the conveyance under this
Agreement of the Receivables, the master computer records (including any backup archives) that refer to a Receivable shall indicate clearly the interest of the Purchaser (or any subsequent assignee of the Purchaser) in such Receivable and that such
Receivable is owned by such Person. Indication of such Person’s interest in a Receivable shall not be deleted from or modified on such computer systems until, and only until, the related Receivable shall have been paid in full or repurchased.

  

 -5- 

 (f) If at any time COAF shall propose to sell, grant a security interest in or otherwise transfer any
interest in motor vehicle receivables to any prospective purchaser, lender or other transferee, COAF shall give to such prospective purchaser, lender or other transferee computer tapes, records or printouts (including any restored from backup
archives) that, if they shall refer in any manner whatsoever to any Receivable, shall indicate clearly that such Receivable has been sold and is owned by the Purchaser (or any subsequent assignee of the Purchaser). 
  
 SECTION 3.5 Other Liens or Interests. Except for the conveyances and
grants of security interests pursuant to this Agreement and the other Transaction Documents, COAF shall not sell, pledge, assign or transfer the Receivables or other property transferred to the Purchaser to any other Person, or grant, create, incur,
assume or suffer to exist any Lien (other than Permitted Liens) on any interest therein, and COAF shall defend the right, title and interest of the Purchaser in, to and under such Receivables or other property transferred to the Purchaser against
all claims of third parties claiming through or under COAF. 
  
 SECTION 3.6 Perfection Representations, Warranties and Covenants. COAF hereby makes the perfection representations, warranties and covenants attached hereto as Schedule II to the Purchaser and the Purchaser shall be deemed to
have relied on such representations, warranties and covenants in acquiring the Purchased Assets. 
  
 ARTICLE IV 
 MISCELLANEOUS 
  
 SECTION 4.1 Transfers Intended as Sale; Security Interest. 
  
 (a) Each of the parties hereto expressly intends and agrees that the
transfers contemplated and effected under this Agreement are complete and absolute sales and transfers rather than pledges or assignments of only a security interest and shall be given effect as such for all purposes. It is further the intention of
the parties hereto that the Receivables and related Purchased Assets shall not be part of COAF’s estate in the event of a bankruptcy or insolvency of COAF. The sales and transfers by COAF of the Receivables and related Purchased Assets
hereunder are and shall be without recourse to, or representation or warranty (express or implied) by, COAF, except as otherwise specifically provided herein. The limited rights of recourse specified herein against COAF are intended to provide a
remedy for breach of representations and warranties relating to the condition of the property sold, rather than to the collectibility of the Receivables. 
  
 (b) Notwithstanding the foregoing, in the event that the Receivables and other Purchased Assets are held to be property of COAF, or if for any reason this
Agreement is held or deemed to create indebtedness or a security interest in the Receivables and other Purchased Assets, then it is intended that: 
  
 (i) This Agreement shall be deemed to be a security agreement within the meaning of Articles 8 and 9 of the New York Uniform Commercial
Code and the Uniform Commercial Code of any other applicable jurisdiction; 
  

 -6- 

 (ii) The conveyances provided for in Section 2.1 and Section 2.2 shall be
deemed to be a grant by COAF of, and COAF hereby grants to the Purchaser, a security interest in all of its right (including the power to convey title thereto), title and interest, whether now owned or hereafter acquired, in and to the Receivables
and other Purchased Assets, to secure such indebtedness and the performance of the obligations of COAF hereunder; 
  
 (iii) The possession by the Purchaser or its agent of the Receivables files and any other property as constitute instruments, money,
negotiable documents or chattel paper shall be deemed to be “possession by the secured party” or possession by the purchaser or a person designated by such purchaser, for purposes of perfecting the security interest pursuant to the New
York Uniform Commercial Code and the Uniform Commercial Code of any other applicable jurisdiction; and 
  
 (iv) Notifications to persons holding such property, and acknowledgments, receipts or confirmations from persons holding such property,
shall be deemed to be notifications to, or acknowledgments, receipts or confirmations from, bailees or agents (as applicable) of the Purchaser for the purpose of perfecting such security interest under applicable law. 
  
 SECTION 4.2 Notices, Etc. All demands, notices and communications
hereunder shall be in writing and shall be delivered or mailed by registered or certified first-class United States or international mail, postage prepaid, hand delivery, prepaid courier service, or by facsimile, and addressed in each case set forth
in Schedule I or at such other address as shall be designated in a written notice to the other parties hereto. Any notice required or permitted to be mailed to a Noteholder shall be given by first class mail, postage prepaid, at the address of such
Noteholder as shown in the Note Register. Delivery shall occur only upon receipt or reported tender of such communication by an officer of the recipient entitled to receive such notices located at the address of such recipient for notices hereunder;
provided, however, that any notice to a Noteholder mailed within the time prescribed in this Agreement shall be conclusively presumed to have been duly given, whether or not the Noteholder shall receive such notice. 
  
 SECTION 4.3 Choice of Law. THIS AGREEMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE INTERNAL, SUBSTANTIVE LAWS OF THE STATE OF NEW YORK INCLUDING SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS LAW BUT EXCLUDING TO THE MAXIMUM EXTENT PERMITTED BY LAW ALL OTHER RULES THEREOF RELATING
TO CONFLICTS OF LAW AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
  

 -7- 

 SECTION 4.4 Headings. The section headings hereof have been inserted for convenience only and
shall not be construed to affect the meaning, construction or effect of this Agreement. 
  
 SECTION 4.5 Counterparts. This Agreement may be executed in any number of counterparts, each of which so executed shall be deemed to be an original, but all of such counterparts shall together constitute but
one and the same instrument. 
  
 SECTION 4.6 Amendment.

  
 (a) Any term or provision of this Agreement may be amended by
the parties hereto, with the written consent of the Note Insurer (so long as the Note Insurer is the Controlling Party), but without the consent of any Noteholder, to cure any ambiguity, to correct or supplement any provisions in this Agreement, to
comply with changes in the Code, to comply with or obtain more favorable treatment under any law or regulation or any accounting rule or principle or to make any other provisions with respect to matters or questions arising under this Agreement
which shall not be inconsistent with the provisions of this Agreement; provided that such amendment shall not, as evidenced by an Opinion of Counsel delivered to the Indenture Trustee and the Owner Trustee, materially and adversely affect the
interests of any Noteholder; provided, further, that such amendment shall be deemed not to materially and adversely affect the interests of any Noteholder, and no Opinion of Counsel shall be required, if the Rating Agency Condition is satisfied with
respect to such amendment; provided, further, that if the Note Insurer is not the Controlling Party, such amendment shall not materially and adversely affect the interests of the Note Insurer without the prior written consent of the Note Insurer.

  
 (b) This Agreement may also be amended from time to time by
the parties hereto, with the consent of the Controlling Party, 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 Noteholders
or the Note Insurer. It will not be necessary for the consent of Noteholders to approve the particular form of any proposed amendment or consent, but it will be sufficient if such consent approves the substance thereof. The manner of obtaining such
consents (and any other consents of Noteholders provided for in this Agreement) and of evidencing the authorization of the execution thereof by Noteholders will be subject to such reasonable requirements as the Indenture Trustee may prescribe,
including the establishment of record dates pursuant to the Note Depository Agreement. 
  
 (c) Prior to the execution of any such amendment, COAF shall provide written notification of the substance of such amendment to each Rating Agency; and promptly after the execution of any such amendment or consent,
COAF shall furnish a copy of such amendment or consent to each Rating Agency and the Indenture Trustee. 
  
 (d) Prior to the execution of any amendment to this Agreement, the Purchaser, the Note Insurer, the Owner Trustee and the Indenture Trustee shall be
entitled to receive and conclusively rely upon an Opinion of Counsel stating that the execution of such amendment is authorized or permitted by this Agreement and that all conditions precedent to the execution and delivery of such amendment have
been satisfied. The Owner Trustee and the Indenture Trustee may, but shall not be obligated to, enter into any such amendment which adversely affects the Owner Trustee’s or the Indenture Trustee’s, as applicable, own rights, duties or
immunities under this Agreement. 
  

 -8- 

 SECTION 4.7 Waivers. No failure or delay on the part of the Purchaser, the Servicer, the Note
Insurer, COAF, the Issuer or the Indenture Trustee in exercising any power or right hereunder (to the extent such Person has any power or right hereunder) shall operate as a waiver thereof, nor shall any single or partial exercise of any such power
or right preclude any other or further exercise thereof or the exercise of any other power or right. No notice to or demand on the Purchaser or COAF in any case shall entitle it to any notice or demand in similar or other circumstances. No waiver or
approval by any Party under this Agreement shall, except as may otherwise be stated in such waiver or approval, be applicable to subsequent transactions. No waiver or approval under this Agreement shall require any similar or dissimilar waiver or
approval thereafter to be granted hereunder. 
  
 SECTION 4.8
Entire Agreement. The Transaction Documents contain a final and complete integration of all prior expressions by the parties hereto with respect to the subject matter thereof and shall constitute the entire agreement among the parties hereto
with respect to the subject matter thereof, superseding all prior oral or written understandings. There are no unwritten agreements among the parties. 
  
 SECTION 4.9 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. 
  
 SECTION 4.10
Binding Effect. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns. This Agreement shall create and constitute the continuing obligations of the parties
hereto in accordance with its terms, and shall remain in full force and effect until such time as the parties hereto shall agree. 
  
 SECTION 4.11 Acknowledgment and Agreement. By execution below, COAF expressly acknowledges and consents to the sale of the Purchased Assets and the
assignment of all rights and obligations of COAF related thereto by the Purchaser to the Issuer pursuant to the Sale and Servicing Agreement and the pledge, assignment and grant of a security interest in the Receivables and the other Purchased
Assets by the Issuer to the Indenture Trustee pursuant to the Indenture for the benefit of the Noteholders. In addition, COAF hereby acknowledges and agrees that for so long as the Notes are outstanding, the Indenture Trustee will have the right to
exercise all powers, privileges and claims of the Purchaser under this Agreement. 
  
 SECTION 4.12 Cumulative Remedies. The remedies herein provided are cumulative and not exclusive of any remedies provided by law. 
  
 SECTION 4.13 Nonpetition Covenant. Each party hereto agrees that, prior to the date which is one year and one day
after payment in full of all obligations of each Bankruptcy Remote Party in respect of all securities issued by any Bankruptcy Remote Party (i) such party 
  

 -9- 

 hereto shall not authorize any Bankruptcy Remote Party to commence a voluntary winding-up or other voluntary case or
other proceeding seeking liquidation, reorganization or other relief with respect to such Bankruptcy Remote Party or its debts under any bankruptcy, insolvency or other similar law now or hereafter in effect in any jurisdiction or seeking the
appointment of an administrator, a trustee, receiver, liquidator, custodian or other similar official with respect to such Bankruptcy Remote Party or any substantial part of its property or to consent to any such relief or to the appointment of or
taking possession by any such official in an involuntary case or other proceeding commenced against such Bankruptcy Remote Party, or to make a general assignment for the benefit of its creditors generally, any party hereto or any other creditor of
such Bankruptcy Remote Party, and (ii) none of the parties hereto shall commence or join with any other Person in commencing any proceeding against such Bankruptcy Remote Party under any bankruptcy, reorganization, liquidation or insolvency law or
statute now or hereafter in effect in any jurisdiction. This Section shall survive the termination of this Agreement. 
  
 SECTION 4.14 Submission to Jurisdiction. Each of the parties hereto hereby irrevocably and unconditionally: 
  
 (a) submits for itself and its property in any legal action or proceeding
relating to this Agreement or any documents executed and delivered in connection herewith, or for recognition and enforcement of any judgment in respect thereof, to the nonexclusive general jurisdiction of the courts of the State of New York, the
courts of the United States of America for the Southern District of New York and appellate courts from any thereof; 
  
 (b) consents that any such action or proceeding may be brought in such courts and waives any objection that it may now or hereafter have to the venue of
such action or proceeding in any such court or that such action or proceeding was brought in an inconvenient court and agrees not to plead or claim the same; 
  
 (c) agrees that service of process in any such action or proceeding may be effected by mailing a copy thereof by registered or certified mail (or any
substantially similar form of mail), postage prepaid, to such Person at its address determined in accordance with Section 3.3 of this Agreement; and 
  
 (d) agrees that nothing herein shall affect the right to effect service of process in any other manner permitted by law or shall limit the right to sue in
any other jurisdiction. 
  
 SECTION 4.15 Third-Party
Beneficiaries. This Agreement shall inure to the benefit of and be binding upon the parties hereto, the Noteholders and the Residual Interestholders and their respective successors and permitted assigns and each of the Owner Trustee, the Note
Insurer and the Swap Counterparty shall be an express third party beneficiary hereof and may enforce the provisions hereof as if it were a party hereto. Except as otherwise provided in this Section, no other Person will have any right hereunder.

  
 SECTION 4.16 Limitation of Rights. 
  
 (a) All of the rights of the Note Insurer in, to and under this Agreement
(including, but not limited to, all of the Note Insurer’s rights as a third party beneficiary of this Agreement and all of the Note Insurer’s rights to receive notice of any action hereunder and to 
  

 -10- 

 give or withhold consent to any action hereunder) shall terminate upon the termination of the Insurance Agreement in
accordance with the terms thereof and the payment in full of all amounts owing to the Note Insurer. 
  
 (b) All of the rights of the Swap Counterparty in, to and under this Agreement (including, but not limited to, all of the Swap Counterparty’s rights
as a third party beneficiary of this Agreement and all of the Swap Counterparty’s rights to receive notice of any action hereunder and to give or withhold consent to any action hereunder) shall terminate upon the termination of the Interest
Rate Swap Agreement in accordance with the terms thereof and the payment in full of all amounts owing to the Swap Counterparty. 
  
 [Remainder of Page Intentionally Left Blank] 
  

 -11- 

 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first written
above. 
  

			
	 CAPITAL ONE AUTO FINANCE, INC.

		
	 By:
	 	 /s/ Jerry Hamstead

	 Name:
	 	 Jerry Hamstead

	 Title:
	 	 Assistant Vice President

  

 S-1 

			
	 CAPITAL ONE AUTO RECEIVABLES, LLC

		
	 By:
	 	 /s/ Al Ciafre

	 Name:
	 	 Albert Ciafre

	 Title:
	 	 Assistant Vice President

  

 S-2 

 EXHIBIT A 
  

FORM OF 
 ASSIGNMENT PURSUANT TO
PURCHASE AGREEMENT 
  
 [DATE] 
  
 For value received, in accordance with the Purchase Agreement dated as of May
25, 2004, between Capital One Auto Finance, Inc., a Texas corporation (“COAF”), and Capital One Auto Receivables, LLC, a Delaware limited liability company (the “Purchaser”) (the “Agreement”), on
the terms and subject to the conditions set forth in the Agreement, COAF does hereby irrevocably sell, transfer, assign and otherwise convey to the Purchaser on the date hereof (without recourse (subject to the obligations in the Agreement) on the
date hereof), all right, title and interest of COAF, whether now owned or hereafter acquired, in, to and under the Receivables set forth on the schedule of Receivables delivered by COAF to the Purchaser on the date hereof (such schedule, together
with any other Schedule of Receivables delivered by COAF to the Purchaser pursuant to the Agreement, the “Schedule of Receivables”), and the Collections after the related Cut-Off Date and the Related Security relating thereto and
all the proceeds of the foregoing, which sale shall be effective as of such Cut-Off Date. 
  
 The foregoing sale does not constitute and is not intended to result in any assumption by the Purchaser of any obligation of COAF or any Originator to the Obligors, the Dealers or any other Person in connection with
the Receivables, or the other assets and properties conveyed hereunder or any agreement, document or instrument related thereto. 
  
 This assignment is made pursuant to and upon the representations, warranties and agreements on the part of the undersigned contained in the Agreement and
is governed by the Agreement. 
  
 Capitalized terms used herein
and not otherwise defined shall have the meaning assigned to them in the Agreement. 
  
 [Remainder of page intentionally left blank] 
  

 Ex A-1 

 IN WITNESS HEREOF, the undersigned has caused this assignment to be duly executed as of the date first
written above. 
  

			
	 CAPITAL ONE AUTO FINANCE, INC.

		
	 By:
	 	  

	 Name:
	 	 
	 Title:
	 	 

  

 Ex A-2 

 SCHEDULE I 
  

NOTICE ADDRESSES 
  
 If to the Issuer: 
  
 Capital One Auto Finance Trust 2004-A 
 c/o Wilmington Trust Company 
 1100 North Market Street 
 Rodney Square North, Wilmington, Delaware 19890-0001 
 Facsimile: (302) 636-4140 
 Attention: Corporate Trust Department 
  
 with copies to the Administrator and the Indenture Trustee 
  
 If to COAF, the Servicer or the Administrator: 
  

Capital One Auto Finance, Inc. 
 1680 Capital One Drive 
 McLean, Virginia 22102 
 Facsimile: (703) 720-2121 
 Attention: Manager of Securitization 
  
 with a copies to: 
  
 Capital One Auto Finance, Inc. 
 1680 Capital One Drive 
 McLean, Virginia 22102 
 Facsimile: (703) 720-2227 
 Attention: Funding Counsel 
  
 Capital One Auto Finance, Inc. 
 3901 N. Dallas Parkway 
 Plano, Texas 75093 
 Facsimile: (888) 722-8255 
 Attention: Chief Financial Officer 
  
 Capital One Auto Finance, Inc. 
 3901 N. Dallas Parkway 
 Plano, Texas 75093 
 Facsimile: (866) 722-6341 
 Attention: Legal 
  

 I-1 

 If to the Purchaser: 
  
 Capital One Auto Receivables, LLC 
 1680 Capital One Drive 
 McLean, Virginia 22102 
 Facsimile: (703) 720-2121 
 Attention: Capital Markets 
  
 with a copy to: 
  
 Capital One Auto Finance, Inc. 
 1680 Capital One Drive 
 McLean, Virginia 22102 
 (Facsimile No. (703) 720-2227 
 Attention: Funding Counsel 
  
 If to the Indenture Trustee: 
  
 JPMorgan Chase Bank 
 4 New York Plaza, 6th Floor 
 New York, New York
10004-2477 
 Facsimile: (212) 623-5932 
 Attention: Structured Finance Administration – Capital One Auto Finance Trust 2004-A 
  
 If to the Owner Trustee: 
  
 Wilmington Trust Company 
 1100 North Market Street 
 Rodney Square North, Wilmington, Delaware 19890-0001 
 Facsimile: (302) 636-4140 

Attention: Corporate Trust Department 
  
 If to Moody’s: 
  
 Moody’s Investors Service, Inc. 
 99 Church Street 
 New York, New York 10007 
 Facsimile: (212) 298-7139) 
 Attention: ABS Monitoring Group, 4th Floor 
  
 If to S&P: 
  
 Standard & Poor’s Ratings Services 
 55 Water Street 
 New York, New York 10041 
 Facsimile: (212) 438-2664 
 Attention: Asset Backed Surveillance Group 
  

 I-2 

 If to Fitch: 
  
 Fitch, Inc. 
 One State Street Plaza, 32nd Floor 
 New York, New York 10004 
 Facsimile: (212) 480-4438 
 Attention: Asset Backed Securities Group 
  
 If to the Note Insurer: 
  
 Ambac Assurance Corporation 
 One State Street Plaza 
 New York, New York 10004 
 Facsimile: (212) 668-0340 
 Attention: Structural Finance Department ABS 
  
 If to the Initial Swap Counterparty: 
  
 Credit Suisse First Boston International 
 One Cabot Square 
 London, England E144QJ 

			
	 Attention:
	 	 (1) Head of Credit Risk Management

	 	 	 (2) Managing Director, Operations Department

	 	 	 (3) Managing Director, Legal and Compliance, Department

  

 I-3 

 SCHEDULE II 
  

PERFECTION REPRESENTATIONS, WARRANTIES AND COVENANTS 
  
 In addition to the representations, warranties and covenants contained in the Agreement, COAF hereby represents, warrants, and covenants to the Purchaser
as follows on the Closing Date and on each Funding Date: 
  
 General 
  
 1. This Agreement creates a valid and continuing
security interest (as defined in the applicable UCC) in the Receivables and the other Purchased Assets in favor of the Purchaser, which security interest is prior to all other Liens, and is enforceable as such as against creditors of and purchasers
from COAF. 
  
 2. The Receivables constitute “chattel paper” (including
“electronic chattel paper” or “tangible chattel paper”), “accounts,” “instruments” or “general intangibles,” within the meaning of the UCC. 
  
 3. Each Receivable is secured by a first priority validly perfected security interest in the
related Financed Vehicle in favor of the applicable Originator, as secured party, or all necessary actions with respect to such Receivable have been taken or will be taken to perfect a first priority security interest in the related Financed Vehicle
in favor of the applicable Originator, as secured party. 
  
 Creation 
  
 4. Immediately prior to the sale, transfer,
assignment and conveyance of a Receivable by COAF to the Purchaser, COAF owned and had good and marketable title to such Receivable free and clear of any Lien and immediately after the sale, transfer, assignment and conveyance of such Receivable to
the Purchaser, the Purchaser will have good and marketable title to such Receivable free and clear of any Lien. 
  
 5. The related Originator has received all consents and approvals to the sale of the Receivables hereunder to the Purchaser required by the terms of the Receivables that
constitute instruments. 
  
 Perfection: 
  
 6. COAF has caused or will have caused, within ten days after the effective date of this
Agreement, the filing of all appropriate financing statements in the proper filing office in the appropriate jurisdictions under applicable law in order to perfect the sale of the Receivables from COAF to the Purchaser, and the security interest in
the Receivables granted to the Purchaser hereunder; and the Servicer, in its capacity as custodian, has in its possession the original copies of such instruments or tangible chattel paper that constitute or evidence the Receivables, and all
financing statements referred to in this paragraph contain a statement that: “A purchase of or security interest in any collateral described in this financing statement will violate the rights of the Secured Party”. 
  
 7. With respect to Receivables that constitute an instrument or tangible chattel paper,
either: 
  
 (i) All original executed copies of each such
instrument or tangible chattel paper have been delivered to the Indenture Trustee; or 
  

 II-1 

 (ii) Such instruments or tangible chattel paper are in the possession of the Servicer and the Indenture
Trustee has received a written acknowledgment from the Servicer that the Servicer (in its capacity as custodian) is holding such instruments or tangible chattel paper solely on behalf and for the benefit of the Indenture Trustee; or 
  
 (iii) The Servicer received possession of such instruments or tangible
chattel paper after the Indenture Trustee received a written acknowledgment from the Servicer that the Servicer is acting solely as agent of the Indenture Trustee. 
  
 Priority 
  
 8. COAF has not authorized the filing of, or is aware of any financing statements against COAF that include a description of collateral covering the Receivables other
than any financing statement (i) relating to the security interest granted to the Purchaser hereunder or (ii) that has been terminated. 
  
 9. COAF is not aware of any material judgment, ERISA or tax lien filings against COAF. 
  
 10. Neither COAF nor a custodian holding any Receivable that is electronic chattel paper has communicated an authoritative copy of any loan
agreement that constitutes or evidences such Receivable to any Person other than the Servicer. 
  
 11. None of the instruments, tangible chattel paper or electronic chattel paper that constitute or evidence the Receivables has any marks or notations indicating that they have been pledged, assigned or otherwise
conveyed to any Person other than the Purchaser, the Issuer or the Indenture Trustee. 
  
 12. Survival of Perfection Representations. Notwithstanding any other provision of the Purchase Agreement or any other Transaction Document, the perfection representations, warranties and covenants contained in this Schedule II shall
be continuing, and remain in full force and effect until such time as all obligations under the Transaction Documents and the Notes have been finally and fully paid and performed. 
  
 13. No Waiver. The parties to the Purchase Agreement shall provide the Rating Agencies with prompt written notice of any breach of
the perfection representations, warranties and covenants contained in this Schedule II, and shall not, without satisfying the Rating Agency Condition, waive a breach of any of such perfection representations, warranties or covenants. 
  
 14. Servicer to Maintain Perfection and Priority. The Servicer covenants that, in
order to evidence the interests of COAF and the Purchaser under the Purchase Agreement, the Servicer shall take such action, or execute and deliver such instruments as may be necessary or advisable (including, without limitation, such actions as are
requested by the Indenture Trustee) to maintain and perfect, as a first priority perfected security interest, the Indenture Trustee’s security interest in the Receivables. The Servicer shall, from time to time and within the time limits
established by law, prepare and file all financing statements, amendments, continuations, initial financing statements in lieu of a continuation statement, terminations, partial terminations, releases or partial releases, or any other filings
necessary or advisable to continue, maintain and perfect the Indenture Trustee’s security interest in the Receivables as a first-priority interest (each a “Filing”). 
  

 II-2

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