Document:

Unassociated Document

    

      
        
          

        

      

      

      

      

      ACE
        SECURITIES CORP.

      Depositor

       

      

      GMAC
        MORTGAGE CORPORATION

      Servicer

       

      

      WELLS
        FARGO BANK, NATIONAL ASSOCIATION

      Master
        Servicer and Securities Administrator

       

      

      HSBC
        BANK
        USA, NATIONAL ASSOCIATION

      Trustee

       

      

      POOLING
        AND SERVICING AGREEMENT

      Dated
        as
        of August 1, 2006

      

       

      

       

      ACE
        Securities Corp. Home Equity Loan Trust, Series 2006-SL4

      Asset
        Backed Pass-Through Certificates

       

       

      

       

        
          

        

      

      

       

      

      TABLE
        OF
        CONTENTS         

       

       

      
        	
                ARTICLE
                  I

                DEFINITIONS

                 

              
	
                SECTION
                  1.01.

              	
                Defined
                  Terms.

              
	
                SECTION
                  1.02.

              	
                Allocation
                  of Certain Interest Shortfalls.

                 

              
	
                ARTICLE
                  II

                CONVEYANCE
                  OF MORTGAGE LOANS; ORIGINAL ISSUANCE OF CERTIFICATES

                 

              
	
                SECTION
                  2.01.

              	
                Conveyance
                  of the Mortgage Loans.

              
	
                SECTION
                  2.02.

              	
                Acceptance
                  of REMIC I by Trustee.

              
	
                SECTION
                  2.03.

              	
                Repurchase
                  or Substitution of Mortgage Loans.

              
	
                SECTION
                  2.04.

              	
                Representations
                  and Warranties of the Master Servicer.

              
	
                SECTION
                  2.05.

              	
                Representations,
                  Warranties and Covenants of the Servicer.

              
	
                SECTION
                  2.06.

              	
                Issuance
                  of the REMIC I Regular Interests and the Class R-I
                  Interest.

              
	
                SECTION
                  2.07.

              	
                Conveyance
                  of the REMIC I Regular Interests and REMIC II Regular Interests;
                  Acceptance of REMIC I, REMIC II and REMIC III by the
                  Trustee.

              
	
                SECTION
                  2.08.

              	
                Issuance
                  of the Residual Certificates.

              
	
                SECTION
                  2.09.

              	
                Establishment
                  of the Trust.

              
	
                SECTION
                  2.10.

              	
                Purpose
                  and Powers of the Trust.

                 

              
	
                ARTICLE
                  III

                ADMINISTRATION
                  AND SERVICING OF THE MORTGAGE LOANS; ACCOUNTS

                 

              
	
                SECTION
                  3.01.

              	
                The
                  Servicer to Act as Servicer.

              
	
                SECTION
                  3.02.

              	
                Sub-Servicing
                  Agreements Between the Servicer and Sub-Servicers.

              
	
                SECTION
                  3.03.

              	
                Successor
                  Sub-Servicers.

              
	
                SECTION
                  3.04.

              	
                No
                  Contractual Relationship Between Sub-Servicer, Subcontractor, Trustee
                  or
                  the Certificateholders.

              
	
                SECTION
                  3.05.

              	
                Assumption
                  or Termination of Sub-Servicing Agreement by Successor
                  Servicer.

              
	
                SECTION
                  3.06.

              	
                Collection
                  of Certain Mortgage Loan Payments.

              
	
                SECTION
                  3.07.

              	
                Collection
                  of Taxes, Assessments and Similar Items; Servicing
                  Accounts.

              
	
                SECTION
                  3.08.

              	
                Collection
                  Account and Distribution Account.

              
	
                SECTION
                  3.09.

              	
                Withdrawals
                  from the Collection Account and Distribution Account.

              
	
                SECTION
                  3.10.

              	
                Investment
                  of Funds in the Investment Accounts.

              
	
                SECTION
                  3.11.

              	
                Maintenance
                  of Hazard Insurance, Errors and Omissions and Fidelity Coverage
                  and
                  Primary Mortgage Insurance.

              
	
                SECTION
                  3.12.

              	
                Enforcement
                  of Due-on-Sale Clauses; Assumption Agreements.

              
	
                SECTION
                  3.13.

              	
                Realization
                  Upon Defaulted Mortgage Loans.

              
	
                SECTION
                  3.14.

              	
                Trustee
                  to Cooperate; Release of Mortgage Files.

              
	
                SECTION
                  3.15.

              	
                Servicing
                  Compensation.

              
	
                SECTION
                  3.16.

              	
                Collection
                  Account Statements.

              
	
                SECTION
                  3.17.

              	
                Annual
                  Statement as to Compliance.

              
	
                SECTION
                  3.18.

              	
                Assessments
                  of Compliance and Attestation Reports.

              
	
                SECTION
                  3.19.

              	
                Annual
                  Certification; Additional Information.

              
	
                SECTION
                  3.20.

              	
                Access
                  to Certain Documentation.

              
	
                SECTION
                  3.21.

              	
                Title,
                  Management and Disposition of REO Property.

              
	
                SECTION
                  3.22.

              	
                Obligations
                  of the Servicer in Respect of Prepayment Interest Shortfalls; Relief
                  Act
                  Interest Shortfalls.

              
	
                SECTION
                  3.23.

              	
                Reserved.

              
	
                SECTION
                  3.24.

              	
                Reserve
                  Fund.

              
	
                SECTION
                  3.25.

              	
                Advance
                  Facility.

              
	
                SECTION
                  3.26.

              	
                Indemnification.

                 

              
	
                ARTICLE
                  IV

                ADMINISTRATION
                  AND MASTER SERVICING OF THE MORTGAGE LOANS BY THE MASTER
                  SERVICER

                 

              
	
                SECTION
                  4.01.

              	
                Master
                  Servicer.

              
	
                SECTION
                  4.02.

              	
                REMIC-Related
                  Covenants.

              
	
                SECTION
                  4.03.

              	
                Monitoring
                  of Servicer.

              
	
                SECTION
                  4.04.

              	
                Fidelity
                  Bond.

              
	
                SECTION
                  4.05.

              	
                Power
                  to Act; Procedures.

              
	
                SECTION
                  4.06.

              	
                Due-on-Sale
                  Clauses; Assumption Agreements.

              
	
                SECTION
                  4.07.

              	
                Documents,
                  Records and Funds in Possession of Master Servicer To Be Held for
                  Trustee.

              
	
                SECTION
                  4.08.

              	
                Standard
                  Hazard Insurance and Flood Insurance Policies.

              
	
                SECTION
                  4.09.

              	
                Presentment
                  of Claims and Collection of Proceeds.

              
	
                SECTION
                  4.10.

              	
                Reserved.

              
	
                SECTION
                  4.11.

              	
                Trustee
                  to Retain Possession of Certain Insurance Policies and
                  Documents.

              
	
                SECTION
                  4.12.

              	
                Realization
                  Upon Defaulted Mortgage Loans.

              
	
                SECTION
                  4.13.

              	
                Compensation
                  for the Master Servicer.

              
	
                SECTION
                  4.14.

              	
                REO
                  Property.

              
	
                SECTION
                  4.15.

              	
                Master
                  Servicer Annual Statement of Compliance.

              
	
                SECTION
                  4.16.

              	
                Master
                  Servicer Assessments of Compliance and Attestation
                  Reports.

              
	
                SECTION
                  4.17.

              	
                Master
                  Servicer Attestation Reports.

              
	
                SECTION
                  4.18.

              	
                Annual
                  Certification.

              
	
                SECTION
                  4.19.

              	
                Obligation
                  of the Master Servicer in Respect of Prepayment Interest
                  Shortfalls.

              
	
                SECTION
                  4.20.

              	
                Prepayment
                  Penalty Verification.

                 

              
	
                ARTICLE
                  V

                PAYMENTS
                  TO CERTIFICATEHOLDERS

                 

              
	
                SECTION
                  5.01.

              	
                Distributions.

              
	
                SECTION
                  5.02.

              	
                Statements
                  to Certificateholders.

              
	
                SECTION
                  5.03.

              	
                Servicer
                  Reports; P&I Advances.

              
	
                SECTION
                  5.04.

              	
                Allocation
                  of Realized Losses.

              
	
                SECTION
                  5.05.

              	
                Compliance
                  with Withholding Requirements.

              
	
                SECTION
                  5.06.

              	
                Reports
                  Filed with Securities and Exchange Commission.

              
	
                SECTION
                  5.07.

              	
                Supplemental
                  Interest Trust.

              
	
                SECTION
                  5.08.

              	
                Tax
                  Treatment of Swap Payments and Swap Termination Payments.

                 

              
	
                ARTICLE
                  VI

                THE
                  CERTIFICATES

                 

              
	
                SECTION
                  6.01.

              	
                The
                  Certificates.

              
	
                SECTION
                  6.02.

              	
                Registration
                  of Transfer and Exchange of Certificates.

              
	
                SECTION
                  6.03.

              	
                Mutilated,
                  Destroyed, Lost or Stolen Certificates.

              
	
                SECTION
                  6.04.

              	
                Persons
                  Deemed Owners.

              
	
                SECTION
                  6.05.

              	
                Certain
                  Available Information.

                 

              
	
                ARTICLE
                  VII

                THE
                  DEPOSITOR, THE SERVICER AND THE MASTER SERVICER

                 

              
	
                SECTION
                  7.01.

              	
                Liability
                  of the Depositor, the Servicer and the Master Servicer.

              
	
                SECTION
                  7.02.

              	
                Merger
                  or Consolidation of the Depositor, the Servicer or the Master
                  Servicer.

              
	
                SECTION
                  7.03.

              	
                Limitation
                  on Liability of the Depositor, the Servicer, the Master Servicer
                  and
                  Others.

              
	
                SECTION
                  7.04.

              	
                Limitation
                  on Resignation of the Servicer.

              
	
                SECTION
                  7.05.

              	
                Limitation
                  on Resignation of the Master Servicer.

              
	
                SECTION
                  7.06.

              	
                Assignment
                  of Master Servicing.

              
	
                SECTION
                  7.07.

              	
                Rights
                  of the Depositor in Respect of the Servicer and the Master
                  Servicer.

              
	
                SECTION
                  7.08.

              	
                Duties
                  of the Credit Risk Manager.

              
	
                SECTION
                  7.09.

              	
                Limitation
                  Upon Liability of the Credit Risk Manager.

              
	
                SECTION
                  7.10.

              	
                Removal
                  of the Credit Risk Manager.

              
	
                SECTION
                  7.11.

              	
                Transfer
                  of Servicing by Sponsor.

                 

              
	
                ARTICLE
                  VIII

                DEFAULT

                 

              
	
                SECTION
                  8.01.

              	
                Servicer
                  Events of Default.

              
	
                SECTION
                  8.02.

              	
                Master
                  Servicer to Act; Appointment of Successor.

              
	
                SECTION
                  8.03.

              	
                Notification
                  to Certificateholders.

              
	
                SECTION
                  8.04.

              	
                Waiver
                  of Servicer Events of Default.

                 

              
	
                ARTICLE
                  IX

                CONCERNING
                  THE TRUSTEE AND THE SECURITIES ADMINISTRATOR

                 

              
	
                SECTION
                  9.01.

              	
                Duties
                  of Trustee and Securities Administrator.

              
	
                SECTION
                  9.02.

              	
                Certain
                  Matters Affecting Trustee and Securities Administrator.

              
	
                SECTION
                  9.03.

              	
                Trustee
                  and Securities Administrator not Liable for Certificates or Mortgage
                  Loans.

              
	
                SECTION
                  9.04.

              	
                Trustee
                  and Securities Administrator May Own Certificates.

              
	
                SECTION
                  9.05.

              	
                Fees
                  and Expenses of Trustee and Securities Administrator.

              
	
                SECTION
                  9.06.

              	
                Eligibility
                  Requirements for Trustee and Securities Administrator.

              
	
                SECTION
                  9.07.

              	
                Resignation
                  and Removal of Trustee and Securities Administrator.

              
	
                SECTION
                  9.08.

              	
                Successor
                  Trustee or Securities Administrator.

              
	
                SECTION
                  9.09.

              	
                Merger
                  or Consolidation of Trustee or Securities
                  Administrator.

              
	
                SECTION
                  9.10.

              	
                Appointment
                  of Co-Trustee or Separate Trustee.

              
	
                SECTION
                  9.11.

              	
                Appointment
                  of Office or Agency.

              
	
                SECTION
                  9.12.

              	
                Representations
                  and Warranties.

                 

              
	
                ARTICLE
                  X

                TERMINATION

                 

              
	
                SECTION
                  10.01.

              	
                Termination
                  Upon Repurchase or Liquidation of All Mortgage Loans.

              
	
                SECTION
                  10.02.

              	
                Additional
                  Termination Requirements.

                 

              
	
                ARTICLE
                  XI

                REMIC
                  PROVISIONS

                 

              
	
                SECTION
                  11.01.

              	
                REMIC
                  Administration.

              
	
                SECTION
                  11.02.

              	
                Prohibited
                  Transactions and Activities.

              
	
                SECTION
                  11.03.

              	
                Indemnification.

                 

              
	
                ARTICLE
                  XII

                MISCELLANEOUS
                  PROVISIONS

                 

              
	
                SECTION
                  12.01.

              	
                Amendment.

              
	
                SECTION
                  12.02.

              	
                Recordation
                  of Agreement; Counterparts.

              
	
                SECTION
                  12.03.

              	
                Limitation
                  on Rights of Certificateholders.

              
	
                SECTION
                  12.04.

              	
                Governing
                  Law.

              
	
                SECTION
                  12.05.

              	
                Notices.

              
	
                SECTION
                  12.06.

              	
                Severability
                  of Provisions.

              
	
                SECTION
                  12.07.

              	
                Notice
                  to Rating Agencies.

              
	
                SECTION
                  12.08.

              	
                Article
                  and Section References.

              
	
                SECTION
                  12.09.

              	
                Grant
                  of Security Interest.

              
	
                SECTION
                  12.10.

              	
                Survival
                  of Indemnification.

              
	
                SECTION
                  12.11.

              	
                Intention
                  of the Parties and Interpretation

              

      

       

      
 

      
        	
                Exhibits

                 

              	 
	
                Exhibit
                  A-1A

              	
                Form
                  of Class A- [1] [2] Certificate

              
	
                Exhibit
                  A-1B

              	
                Form
                  of Class A-3 Certificate

              
	
                Exhibit
                  A-2A

              	
                Form
                  of Class M-[1] [2] [3] [6] Certificate

              
	
                Exhibit
                  A-2B

              	
                Form
                  of Class M-[4] [5] [7] [8] [9] [10]

              
	
                Exhibit
                  A-3

              	
                [Reserved]

              
	
                Exhibit
                  A-4

              	
                Form
                  of Class CE-1 Certificate and Class CE-2 Certificate

              
	
                Exhibit
                  A-5

              	
                Form
                  of Class P Certificate

              
	
                Exhibit
                  A-6

              	
                Form
                  of Class R Certificate

              
	
                Exhibit
                  B-1

              	
                Form
                  of Transferor Representation Letter and Form of Transferee Representation
                  Letter in Connection with Transfer of the Class P Certificates,
                  Class CE-1
                  Certificates, Class CE-2 Certificates and Residual Certificates
                  Pursuant
                  to Rule 144A Under the Securities Act

              
	
                Exhibit
                  B-2

              	
                Form
                  of Transferor Representation Letter and Form of Transferee Representation
                  Letter in Connection with Transfer of the Class P Certificates,
                  Class CE-1
                  Certificates, Class CE-2 Certificates and Residual Certificates
                  Pursuant
                  to Rule 501(a) Under the Securities Act

              
	
                Exhibit
                  B-3

              	
                Form
                  of Transfer Affidavit and Agreement and Form of Transferor Affidavit
                  in
                  Connection with Transfer of Residual Certificates

              
	
                Exhibit
                  C

              	
                Form
                  of Servicer Certification

              
	
                Exhibit
                  D

              	
                Form
                  of Power of Attorney

              
	
                Exhibit
                  E

              	
                Servicing
                  Criteria

              
	
                Exhibit
                  F

              	
                Mortgage
                  Loan Purchase Agreement between the Sponsor and the
                  Depositor

              
	
                Exhibit
                  G

              	
                Form
                  10-D, Form 8-K and Form 10-K Reporting Responsibility

              
	
                Exhibit
                  H

              	
                Additional
                  Disclosure Notification

              
	
                Exhibit
                  I

              	
                Swap
                  Agreement

              
	
                Schedule
                  1

              	
                Mortgage
                  Loan Schedule

              
	
                Schedule
                  2

              	
                Prepayment
                  Charge Schedule

              
	
                Schedule
                  3

              	
                Reserved.

              
	
                Schedule
                  4

              	
                Standard
                  File Layout - Delinquency Reporting

              
	
                Schedule
                  5

              	
                Standard
                  File Layout - Master Servicing

              
	
                Schedule
                  6

              	
                Data
                  Requirements of Servicing Advances Incurred Prior to Cut-off Date
                  

              

      

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      This
        Pooling and Servicing Agreement, is dated and effective as of August 1, 2006,
        among ACE SECURITIES CORP., as Depositor, GMAC Mortgage Corporation as Servicer,
        WELLS FARGO BANK, NATIONAL
        ASSOCIATION,
        as
        Master Servicer and Securities Administrator and HSBC BANK USA, NATIONAL
        ASSOCIATION, as Trustee.

       

      PRELIMINARY
        STATEMENT:

       

      The
        Depositor intends to sell pass-through certificates to be issued hereunder
        in
        multiple classes, which in the aggregate will evidence the entire beneficial
        ownership interest of the Trust Fund created hereunder. The Trust Fund will
        consist of a segregated pool of assets comprised of the Mortgage Loans and
        certain other related assets subject to this Agreement.

       

      REMIC
        I

       

      As
        provided herein, the Securities Administrator will elect to treat the segregated
        pool of assets consisting of the Mortgage Loans and certain other related
        assets
        subject to this Agreement (other than the Reserve Fund, and for the avoidance
        of
        doubt, the Supplemental Interest Trust and the Swap Agreement) as a REMIC
        for
        federal income tax purposes, and such segregated pool of assets will be
        designated as “REMIC I”. The Class R-I Interest will be the sole class of
“residual interests” in REMIC I for purposes of the REMIC Provisions (as defined
        herein). The following table irrevocably sets forth the designation, the
        REMIC I
        Remittance Rate, the initial Uncertificated Balance and, for purposes of
        satisfying Treasury regulation Section 1.860G-1(a)(4)(iii), the “latest
        possible maturity date” for each of the REMIC I Regular Interests (as defined
        herein). None of the REMIC I Regular Interests will be
        certificated.

       

      

      
        	
                Designation

              	 	
                REMIC
                  I

                Remittance
                  Rate

              	 	
                Initial

                Uncertificated
                  Balance

              	 	
                Latest
                  Possible

                Maturity
                  Date(1)

              	 
	
                A-I

              	 	
                Variable(2)

              	 	 	
                $
                  67,864,231.48

              	 	
                September
                  2036

              	 
	
                I-1-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   4,914,564.00

              	 	
                September
                  2036

              	 
	
                I-1-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   4,914,564.00

              	 	
                September
                  2036

              	 
	
                I-2-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   4,739,831.00

              	 	
                September
                  2036

              	 
	
                I-2-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   4,739,831.00

              	 	
                September
                  2036

              	 
	
                I-3-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   4,571,297.00

              	 	
                September
                  2036

              	 
	
                I-3-B

              	 	
                Variable(2)

              	 	 	
                $  
                  4,571,297.00

              	 	
                September
                  2036

              	 
	
                I-4-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   4,408,743.50

              	 	
                September
                  2036

              	 
	
                I-4-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   4,408,743.50

              	 	
                September
                  2036

              	 
	
                I-5-A

              	 	
                Variable(2)

              	 	 	
                $  
                  4,251,958.00

              	 	
                September
                  2036

              	 
	
                I-5-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   4,251,958.00

              	 	
                September
                  2036

              	 
	
                I-6-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   4,100,737.00

              	 	
                September
                  2036

              	 
	
                I-6-B

              	 	
                Variable(2)

              	 	 	
                $  
                  4,100,737.00

              	 	
                September
                  2036

              	 
	
                I-7-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   3,954,882.50

              	 	
                September
                  2036

              	 
	
                I-7-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   3,954,882.50

              	 	
                September
                  2036

              	 
	
                I-8-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   3,814,204.50

              	 	
                September
                  2036

              	 
	
                I-8-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   3,814,204.50

              	 	
                September
                  2036

              	 
	
                I-9-A

              	 	
                Variable(2)

              	 	 	
                $  
                  3,678,519.50

              	 	
                September
                  2036

              	 
	
                I-9-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   3,678,519.50

              	 	
                September
                  2036

              	 
	
                I-10-A

              	 	
                Variable(2)

              	 	 	
                $  
                  3,547,651.00

              	 	
                September
                  2036

              	 
	
                I-10-B

              	 	
                Variable(2)

              	 	 	
                $  
                  3,547,651.00

              	 	
                September
                  2036

              	 
	
                I-11-A

              	 	
                Variable(2)

              	 	 	
                $  
                  3,421,428.00

              	 	
                September
                  2036

              	 
	
                I-11-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   3,421,428.00

              	 	
                September
                  2036

              	 
	
                I-12-A

              	 	
                Variable(2)

              	 	 	
                $  
                  3,299,686.00

              	 	
                September
                  2036

              	 
	
                I-12-B

              	 	
                Variable(2)

              	 	 	
                $  
                  3,299,686.00

              	 	
                September
                  2036

              	 
	
                I-13-A

              	 	
                Variable(2)

              	 	 	
                $  
                  3,182,265.50

              	 	
                September
                  2036

              	 
	
                I-13-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   3,182,265.50

              	 	
                September
                  2036

              	 
	
                I-14-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   3,069,015.00

              	 	
                September
                  2036

              	 
	
                I-14-B

              	 	
                Variable(2)

              	 	 	
                $  
                  3,069,015.00

              	 	
                September
                  2036

              	 
	
                I-15-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,959,784.50

              	 	
                September
                  2036

              	 
	
                I-15-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,959,784.50

              	 	
                September
                  2036

              	 
	
                I-16-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,854,433.50

              	 	
                September
                  2036

              	 
	
                I-16-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,854,433.50

              	 	
                September
                  2036

              	 
	
                I-17-A

              	 	
                Variable(2)

              	 	 	
                $  
                  2,752,823.50

              	 	
                September
                  2036

              	 
	
                I-17-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,752,823.50

              	 	
                September
                  2036

              	 
	
                I-18-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,654,821.50

              	 	
                September
                  2036

              	 
	
                I-18-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,654,821.50

              	 	
                September
                  2036

              	 
	
                I-19-A

              	 	
                Variable(2)

              	 	 	
                $  
                  2,560,300.50

              	 	
                September
                  2036

              	 
	
                I-19-B

              	 	
                Variable(2)

              	 	 	
                $  
                  2,560,300.50

              	 	
                September
                  2036

              	 
	
                I-20-A

              	 	
                Variable(2)

              	 	 	
                $  
                  2,469,137.00

              	 	
                September
                  2036

              	 
	
                I-20-B

              	 	
                Variable(2)

              	 	 	
                $  
                  2,469,137.00

              	 	
                September
                  2036

              	 
	
                I-21-A

              	 	
                Variable(2)

              	 	 	
                $  
                  2,381,211.00

              	 	
                September
                  2036

              	 
	
                I-21-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,381,211.00

              	 	
                September
                  2036

              	 
	
                I-22-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,296,408.50

              	 	
                September
                  2036

              	 
	
                I-22-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,296,408.50

              	 	
                September
                  2036

              	 
	
                I-23-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,214,619.00

              	 	
                September
                  2036

              	 
	
                I-23-B

              	 	
                Variable(2)

              	 	 	
                $  
                  2,214,619.00

              	 	
                September
                  2036

              	 
	
                I-24-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,135,735.00

              	 	
                September
                  2036

              	 
	
                I-24-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   2,135,735.00

              	 	
                September
                  2036

              	 
	
                I-25-A

              	 	
                Variable(2)

              	 	 	
                $  
                  2,059,654.00

              	 	
                September
                  2036

              	 
	
                I-25-B

              	 	
                Variable(2)

              	 	 	
                $  
                  2,059,654.00

              	 	
                September
                  2036

              	 
	
                I-26-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,986,275.50

              	 	
                September
                  2036

              	 
	
                I-26-B

              	 	
                Variable(2)

              	 	 	
                $  
                  1,986,275.50

              	 	
                September
                  2036

              	 
	
                I-27-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,915,506.00

              	 	
                September
                  2036

              	 
	
                I-27-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,915,506.00

              	 	
                September
                  2036

              	 
	
                I-28-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,847,250.00

              	 	
                September
                  2036

              	 
	
                I-28-B

              	 	
                Variable(2)

              	 	 	
                $  
                  1,847,250.00

              	 	
                September
                  2036

              	 
	
                I-29-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,781,420.50

              	 	
                September
                  2036

              	 
	
                I-29-B

              	 	
                Variable(2)

              	 	 	
                $  
                  1,781,420.50

              	 	
                September
                  2036

              	 
	
                I-30-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,717,930.50

              	 	
                September
                  2036

              	 
	
                I-30-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,717,930.50

              	 	
                September
                  2036

              	 
	
                I-31-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,656,697.50

              	 	
                September
                  2036

              	 
	
                I-31-B

              	 	
                Variable(2)

              	 	 	
                $  
                  1,656,697.50

              	 	
                September
                  2036

              	 
	
                I-32-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,597,641.00

              	 	
                September
                  2036

              	 
	
                I-32-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,597,641.00

              	 	
                September
                  2036

              	 
	
                I-33-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,540,684.50

              	 	
                September
                  2036

              	 
	
                I-33-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,540,684.50

              	 	
                September
                  2036

              	 
	
                I-34-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,485,752.00

              	 	
                September
                  2036

              	 
	
                I-34-B

              	 	
                Variable(2)

              	 	 	
                $  
                  1,485,752.00

              	 	
                September
                  2036

              	 
	
                I-35-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,432,773.50

              	 	
                September
                  2036

              	 
	
                I-35-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,432,773.50

              	 	
                September
                  2036

              	 
	
                I-36-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,381,678.00

              	 	
                September
                  2036

              	 
	
                I-36-B

              	 	
                Variable(2)

              	 	 	
                $  
                  1,381,678.00

              	 	
                September
                  2036

              	 
	
                I-37-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,332,400.50

              	 	
                September
                  2036

              	 
	
                I-37-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,332,400.50

              	 	
                September
                  2036

              	 
	
                I-38-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,284,874.50

              	 	
                September
                  2036

              	 
	
                I-38-B

              	 	
                Variable(2)

              	 	 	
                $  
                  1,284,874.50

              	 	
                September
                  2036

              	 
	
                I-39-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,239,040.00

              	 	
                September
                  2036

              	 
	
                I-39-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,239,040.00

              	 	
                September
                  2036

              	 
	
                I-40-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,194,834.50

              	 	
                September
                  2036

              	 
	
                I-40-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,194,834.50

              	 	
                September
                  2036

              	 
	
                I-41-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,152,202.50

              	 	
                September
                  2036

              	 
	
                I-41-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,152,202.50

              	 	
                September
                  2036

              	 
	
                I-42-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,111,086.50

              	 	
                September
                  2036

              	 
	
                I-42-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,111,086.50

              	 	
                September
                  2036

              	 
	
                I-43-A

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,071,433.50

              	 	
                September
                  2036

              	 
	
                I-43-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,071,433.50

              	 	
                September
                  2036

              	 
	
                I-44-A

              	 	
                Variable(2)

              	 	 	
                $  
                  1,033,191.50

              	 	
                September
                  2036

              	 
	
                I-44-B

              	 	
                Variable(2)

              	 	 	
                $ 
                   1,033,191.50

              	 	
                September
                  2036

              	 
	
                I-45-A

              	 	
                Variable(2)

              	 	 	
                $  
                     996,310.50

              	 	
                September
                  2036

              	 
	
                I-45-B

              	 	
                Variable(2)

              	 	 	
                $   
                    996,310.50

              	 	
                September
                  2036

              	 
	
                I-46-A

              	 	
                Variable(2)

              	 	 	
                $  
                     960,741.50

              	 	
                September
                  2036

              	 
	
                I-46-B

              	 	
                Variable(2)

              	 	 	
                $  
                     960,741.50

              	 	
                September
                  2036

              	 
	
                I-47-A

              	 	
                Variable(2)

              	 	 	
                $   
                    926,438.50

              	 	
                September
                  2036

              	 
	
                I-47-B

              	 	
                Variable(2)

              	 	 	
                $  
                     926,438.50

              	 	
                September
                  2036

              	 
	
                I-48-A

              	 	
                Variable(2)

              	 	 	
                $  
                     893,356.50

              	 	
                September
                  2036

              	 
	
                I-48-B

              	 	
                Variable(2)

              	 	 	
                $   
                    893,356.50

              	 	
                September
                  2036

              	 
	
                I-49-A

              	 	
                Variable(2)

              	 	 	
                $  
                     861,452.00

              	 	
                September
                  2036

              	 
	
                I-49-B

              	 	
                Variable(2)

              	 	 	
                $  
                     861,452.00

              	 	
                September
                  2036

              	 
	
                I-50-A

              	 	
                Variable(2)

              	 	 	
                $ 
                      830,683.50

              	 	
                September
                  2036

              	 
	
                I-50-B

              	 	
                Variable(2)

              	 	 	
                $  
                     830,683.50

              	 	
                September
                  2036

              	 
	
                I-51-A

              	 	
                Variable(2)

              	 	 	
                $   
                    801,010.50

              	 	
                September
                  2036

              	 
	
                I-51-B

              	 	
                Variable(2)

              	 	 	
                $    
                   801,010.50

              	 	
                September
                  2036

              	 
	
                I-52-A

              	 	
                Variable(2)

              	 	 	
                $  
                     772,394.00

              	 	
                September
                  2036

              	 
	
                I-52-B

              	 	
                Variable(2)

              	 	 	
                $  
                     772,394.00

              	 	
                September
                  2036

              	 
	
                I-53-A

              	 	
                Variable(2)

              	 	 	
                $   
                    744,795.50

              	 	
                September
                  2036

              	 
	
                I-53-B

              	 	
                Variable(2)

              	 	 	
                $  
                     744,795.50

              	 	
                September
                  2036

              	 
	
                I-54-A

              	 	
                Variable(2)

              	 	 	
                $    
                   718,181.50

              	 	
                September
                  2036

              	 
	
                I-54-B

              	 	
                Variable(2)

              	 	 	
                $   
                    718,181.50

              	 	
                September
                  2036

              	 
	
                I-55-A

              	 	
                Variable(2)

              	 	 	
                $  
                     692,514.00

              	 	
                September
                  2036

              	 
	
                I-55-B

              	 	
                Variable(2)

              	 	 	
                $  
                     692,514.00

              	 	
                September
                  2036

              	 
	
                I-56-A

              	 	
                Variable(2)

              	 	 	
                $  
                     667,761.00

              	 	
                September
                  2036

              	 
	
                I-56-B

              	 	
                Variable(2)

              	 	 	
                $  
                     667,761.00

              	 	
                September
                  2036

              	 
	
                I-57-A

              	 	
                Variable(2)

              	 	 	
                $  
                     644,065.50

              	 	
                September
                  2036

              	 
	
                I-57-B

              	 	
                Variable(2)

              	 	 	
                $   
                    644,065.50

              	 	
                September
                  2036

              	 
	
                I-58-A

              	 	
                Variable(2)

              	 	 	
                $   
                    621,055.00

              	 	
                September
                  2036

              	 
	
                I-58-B

              	 	
                Variable(2)

              	 	 	
                $   
                    621,055.00

              	 	
                September
                  2036

              	 
	
                I-59-A

              	 	
                Variable(2)

              	 	 	
                $  
                     598,849.00

              	 	
                September
                  2036

              	 
	
                I-59-B

              	 	
                Variable(2)

              	 	 	
                $   
                    598,849.00

              	 	
                September
                  2036

              	 
	
                I-60-A

              	 	
                Variable(2)

              	 	 	
                $  
                     577,428.00

              	 	
                September
                  2036

              	 
	
                I-60-B

              	 	
                Variable(2)

              	 	 	
                $   
                    577,428.00

              	 	
                September
                  2036

              	 
	
                I-61-A

              	 	
                Variable(2)

              	 	 	
                $   
                    556,771.00

              	 	
                September
                  2036

              	 
	
                I-61-B

              	 	
                Variable(2)

              	 	 	
                $  
                     556,771.00

              	 	
                September
                  2036

              	 
	
                I-62-A

              	 	
                Variable(2)

              	 	 	
                $  
                     536,849.50

              	 	
                September
                  2036

              	 
	
                I-62-B

              	 	
                Variable(2)

              	 	 	
                $   
                    536,849.50

              	 	
                September
                  2036

              	 
	
                I-63-A

              	 	
                Variable(2)

              	 	 	
                $  
                     517,638.50

              	 	
                September
                  2036

              	 
	
                I-63-B

              	 	
                Variable(2)

              	 	 	
                $  
                     517,638.50

              	 	
                September
                  2036

              	 
	
                I-64-A

              	 	
                Variable(2)

              	 	 	
                $
                  14,389,307.50

              	 	
                September
                  2036

              	 
	
                I-64-B

              	 	
                Variable(2)

              	 	 	
                $
                  14,389,307.50

              	 	
                September
                  2036

              	 
	
                I-CE-2

              	 	
                Variable(2)

              	 	 	
                N/A(3)

              	 	
                September
                  2036

              	 

      

      ________________

      
        	
                (1)

              	
                For
                  purposes of Section 1.860G-1(a)(4)(iii) of the Treasury regulations,
                  the Distribution Date immediately following the maturity date for
                  the
                  Mortgage Loan with the latest maturity date has been designated
                  as the
                  “latest possible maturity date” for each REMIC I Regular
                  Interest.

              

      

       

      
        	
                (2)

              	
                Calculated
                  in accordance with the definition of “REMIC I Remittance Rate”
                  herein.

              

      

       

      
        	
                (3)

              	
                REMIC
                  I Regular Interest I-CE-2 will not have an Uncertificated Balance,
                  but
                  will accrue interest on their Notional Amount described in accordance
                  with
                  the definition of “Notional Amount”
herein.

              

      

       

      

      REMIC
        II

       

      As
        provided herein, the Securities Administrator will elect to treat the segregated
        pool of assets consisting of the REMIC I Regular Interests as a REMIC for
        federal income tax purposes, and such segregated pool of assets will be
        designated as “REMIC II.” The Class R-II Interest will evidence the sole class
        of “residual interests” in REMIC II for purposes of the REMIC Provisions. The
        following table irrevocably sets forth the designation, the REMIC II Remittance
        Rate, the initial aggregate Uncertificated Balance and, for purposes of
        satisfying Treasury regulation Section 1.860G-1(a)(4)(iii), the “latest
        possible maturity date” for each of the REMIC II Regular Interests. None of the
        REMIC II Regular Interests will be certificated.

       

      
        	
                Designation

              	
                REMIC
                  II

                Remittance
                  Rate

              	
                Initial

                Uncertificated
                  Balance

              	
                Latest
                  Possible

                Maturity
                  Date (1)

              
	
                AA

              	
                Variable(2)

              	
                $
                  337,700,261.41

              	
                September
                  2036

              
	
                A-1

              	
                Variable(2)

              	
                $   
                   2,026,850.00

              	
                September
                  2036

              
	
                A-2

              	
                Variable(2)

              	
                $      
                   488,900.00

              	
                September
                  2036

              
	
                A-3

              	
                Variable(2)

              	
                $      
                   120,380.00

              	
                September
                  2036

              
	
                M-1

              	
                Variable(2)

              	
                $      
                   137,850.00

              	
                September
                  2036

              
	
                M-2

              	
                Variable(2)

              	
                $      
                   134,400.00

              	
                September
                  2036

              
	
                M-3

              	
                Variable(2)

              	
                $        
                   48,250.00

              	
                September
                  2036

              
	
                M-4

              	
                Variable(2)

              	
                $        
                   79,260.00

              	
                September
                  2036

              
	
                M-5

              	
                Variable(2)

              	
                $         
                  55,140.00

              	
                September
                  2036

              
	
                M-6

              	
                Variable(2)

              	
                $        
                   48,250.00

              	
                September
                  2036

              
	
                M-7

              	
                Variable(2)

              	
                $        
                   37,900.00

              	
                September
                  2036

              
	
                M-8

              	
                Variable(2)

              	
                $         
                  24,110.00

              	
                September
                  2036

              
	
                M-9

              	
                Variable(2)

              	
                $        
                   60,300.00

              	
                September
                  2036

              
	
                M-10

              	
                Variable(2)

              	
                $        
                   53,410.00

              	
                September
                  2036

              
	
                ZZ

              	
                Variable(2)

              	
                $   
                   3,576,842.07

              	
                September
                  2036

              
	
                P

              	
                0.00%

              	
                $             
                   100.00

              	
                September
                  2036

              
	
                IO

              	
                Variable(2)

              	
                N/A(3)

              	
                September
                  2036

              
	
                CE-2

              	
                (5)

              	
                N/A(4)

              	
                September
                  2036

              

      

      ___________________________

      (1)     
         For
        purposes of Section 1.860G-1(a)(4)(iii) of the Treasury regulations, the
        Distribution Date immediately following the maturity date for the Mortgage
        Loan
        with the latest maturity date has been designated as the “latest possible
        maturity date” for each REMIC II Regular Interest.

       

      (2)     
         Calculated
        in accordance with the definition of “REMIC II Remittance Rate”
herein.

       

      (3)     
         REMIC
        II
        Regular Interest IO will not have an Uncertificated Balance, but will accrue
        interest on its Notional Amount.

       

      (4)     
         For
        federal income tax purposes, the REMIC II Regular Interest CE-2 will not
        have an
        Uncertificated Balance, but will have a Notional Amount equal to the aggregate
        Notional Amount of each of REMIC I Regular Interest I-CE-2.

       

      (5)     
         REMIC
        II
        Regular Interest CE-2 will not have an REMIC II Remittance Rate, but will
        be
        entitled to 100% of the amounts distributed on REMIC I Regular Interest
        I-CE-2.

       

      

      REMIC
        III

       

      As
        provided herein, the Securities Administrator will elect to treat the segregated
        pool of assets consisting of the REMIC II Regular Interests as a REMIC for
        federal income tax purposes, and such segregated pool of assets will be
        designated as “REMIC III.” The Class R-III Interest will evidence the sole class
        of “residual interests” in REMIC III for purposes of the REMIC Provisions. The
        following table irrevocably sets forth the designation, the Pass-Through
        Rate,
        the initial aggregate Certificate Principal Balance and, for purposes of
        satisfying Treasury regulation Section 1.860G-1(a)(4)(iii), the “latest
        possible maturity date” for the indicated Classes of Certificates.

      
        	
                 

                Designation

              	
                Pass-Through
                  Rate

              	
                Initial
                  Aggregate Certificate Principal Balance

              	
                Latest
                  Possible

                Maturity
                  Date (1)

              
	
                Class
                  A-1

              	
                Variable(2)

              	
                $
                  202,685,000.00

              	
                September
                  2036

              
	
                Class
                  A-2

              	
                Variable(2)

              	
                $ 
                   48,890,000.00

              	
                September
                  2036

              
	
                Class
                  A-3

              	
                Fixed(2)

              	
                $ 
                   12,038,000.00

              	
                September
                  2036

              
	
                Class
                  M-1

              	
                Fixed(2)

              	
                $ 
                   13,785,000.00

              	
                September
                  2036

              
	
                Class
                  M-2

              	
                Fixed(2)

              	
                $  
                  13,440,000.00

              	
                September
                  2036

              
	
                Class
                  M-3

              	
                Fixed(2)

              	
                $   
                   4,825,000.00

              	
                September
                  2036

              
	
                Class
                  M-4

              	
                Variable
                  (2)

              	
                $    
                  7,926,000.00

              	
                September
                  2036

              
	
                Class
                  M-5

              	
                Variable(2)

              	
                $   
                   5,514,000.00

              	
                September
                  2036

              
	
                Class
                  M-6

              	
                Fixed(2)

              	
                $    
                  4,825,000.00

              	
                September
                  2036

              
	
                Class
                  M-7

              	
                Variable(2)

              	
                $   
                   3,790,000.00

              	
                September
                  2036

              
	
                Class
                  M-8

              	
                Variable(2)

              	
                $   
                   2,411,000.00

              	
                September
                  2036

              
	
                Class
                  M-9

              	
                Variable(2)

              	
                $   
                   6,030,000.00

              	
                September
                  2036

              
	
                Class
                  M-10

              	
                Variable(2)

              	
                $   
                   5,341,000.00

              	
                September
                  2036

              
	
                Class
                  P

              	
                N/A(3)

              	
                $              
                  100.00

              	
                September
                  2036

              
	
                Class
                  CE-1

              	
                N/A(4)

              	
                $ 
                   13,092,103.48

              	
                September
                  2036

              
	
                Class
                  CE-2

              	
                N/A(5)

              	
                N/A(6)

              	
                September
                  2036

              
	
                Class
                  IO Interest

              	
                N/A(7)

              	
                N/A(7)

              	
                September
                  2036

              

      

      _________________

      (1)     
         For
        purposes of Section 1.860G-1(a)(4)(iii) of the Treasury regulations, the
        Distribution Date immediately following the maturity date for the Mortgage
        Loan
        with the latest maturity date has been designated as the “latest possible
        maturity date” for each Class of Certificates.

       

      (2)     
         Calculated
        in accordance with the definition of “Pass-Through Rate” herein.

       

      (3)    
         The
        Class
        P Certificates will not accrue interest.

       

      (4)     
         The
        Class
        CE-1 Certificates will accrue interest at their variable Pass-Through Rate
        on
        the Notional Amount of the Class CE-1 Certificates outstanding from time
        to time
        which shall equal the Uncertificated Balance of the REMIC II Regular Interests
        (other than REMIC II Regular Interest P). The Class CE-1 Certificates will
        not
        accrue interest on their Certificate Principal Balance.

       

      (5)     
         The
        Class
        CE-2 Certificates are an interest only class and for each Distribution Date
        the
        Class CE-2 Certificates will be entitled to receive 100% of the amounts
        distributed on REMIC II Regular Interest CE-2.

       

      (6)     
         For
        federal income tax purposes, the Class CE-2 Certificates will not have a
        Certificate Principal Balance, but will have a Notional Amount equal to the
        Notional Amount of REMIC II Regular Interest CE-2.

       

      (7)     
         The
        Class
        IO Interest will not have a Pass-Through Rate or a Certificate Principal
        Balance, but will be entitled to 100% of amounts distributed on REMIC II
        Regular
        Interest IO.

       

       

      The
        Mortgage Loans had an aggregate Scheduled Principal Balance as of the Cut-off
        Date, after deducting all Monthly Payments due on or before the Cut-off Date,
        of
        $344,592,203.48.

       

      In
        consideration of the mutual agreements herein contained, the Depositor, the
        Servicer, the Master Servicer, the Securities Administrator and the Trustee
        agree as follows:

       

       

       

      ARTICLE
        I

       

      DEFINITIONS

       

      SECTION
        1.01.  Defined
        Terms.

       

      Whenever
        used in this Agreement, including, without limitation, in the Preliminary
        Statement hereto, the following words and phrases, unless the context otherwise
        requires, shall have the meanings specified in this Article. Unless otherwise
        specified, all calculations described herein shall be made on the basis of
        a
        360-day year consisting of twelve 30-day months.

       

      “Accepted
        Master Servicing Practices”:
        With
        respect to any Mortgage Loan, as applicable, either (x) those customary mortgage
        master servicing practices of prudent mortgage servicing institutions that
        master service mortgage loans of the same type and quality as such Mortgage
        Loan
        in the jurisdiction where the related Mortgaged Property is located, to the
        extent applicable to the Master Servicer (except in its capacity as successor
        to
        any Servicer), or (y) as provided in Section 3.01 hereof, but in no event
        below the standard set forth in clause (x) of this definition.

       

      “Accepted
        Servicing Practices”:
        As
        defined in Section 3.01.

       

      “Account”:
        The
        Collection Account and the Distribution Account, as the context may
        require.

       

      “Accrued
        Certificate Interest”:
        With
        respect to any Class A Certificate, Mezzanine Certificate, Class CE-1
        Certificate or Class CE-2 Certificate and each Distribution Date, interest
        accrued during the related Interest Accrual Period at the Pass-Through Rate
        for
        such Certificate for such Distribution Date on the Certificate Principal
        Balance, in the case of the Class A Certificates and the Mezzanine Certificates,
        or on the Notional Amount in the case of the Class CE-1 Certificates and
        Class
        CE-2 Certificates, of such Certificate immediately prior to such Distribution
        Date. The Class P Certificates are not entitled to distributions in respect
        of
        interest and, accordingly, will not accrue interest. All distributions of
        interest on the Floating Rate Certificates will be calculated on the basis
        of a
        360-day year and the actual number of days in the applicable Interest Accrual
        Period. All distributions of interest on the Fixed Rate Certificates and
        the
        Class CE-1 and Class CE-2 Certificates will be based on a 360-day year
        consisting of twelve 30-day months. Accrued Certificate Interest with respect
        to
        each Distribution Date, as to any Class A Certificate, Mezzanine Certificate
        or
        Class CE-1 Certificate shall be reduced by an amount equal to the portion
        allocable to such Certificate pursuant to Section 1.02 hereof, if any, of
        the sum of (a) the aggregate Prepayment Interest Shortfall, if any, for such
        Distribution Date to the extent not covered by payments pursuant to
        Section 3.22 or Section 4.19 of this Agreement and (b) the aggregate
        amount of any Relief Act Interest Shortfall, if any, for such Distribution
        Date.
        In addition, Accrued Certificate Interest with respect to each Distribution
        Date, as to any Class CE-1 Certificate, shall be reduced by an amount equal
        to
        the portion allocable to such Class CE-1 Certificate of Realized Losses,
        if any,
        pursuant to Section 1.02 and Section 5.04 hereof. 

       

      “Additional
        Disclosure Notification”:
        Has
        the meaning set forth in Section 5.06(a).

       

      “Additional
        Form 10-D Disclosure”:
        Has
        the meaning set forth in Section 5.06(a) of this Agreement.

       

      “Additional
        Form 10-K Disclosure”:
        Has
        the meaning set forth in Section 5.06(d) of this Agreement.

       

      “Additional
        Servicer”:
        Means
        each affiliate of the Servicer that Services any of the Mortgage Loans and
        each
        Person who is not an affiliate of the Servicer, that Services the Mortgage
        Loans. For clarification purposes, the Master Servicer and the Securities
        Administrator are Additional Servicers.

       

      “Administration
        Fees”:
        The
        sum of (i) the Servicing Fee, (ii) the Master Servicing Fee and (iii) the
        Credit
        Risk Management Fee.

       

      “Administration
        Fee Rate”:
        The
        sum of (i) the Servicing Fee Rate, (ii) the Master Servicing Fee Rate and
        (iii)
        the Credit Risk Management Fee Rate.

       

      “Advance
        Facility”:
        As
        defined in Section 3.25(a).

       

      “Advance
        Financing Person”:
        As
        defined in Section 3.25(a).

       

      “Advance
        Reimbursement Amounts”:
        As
        defined in Section 3.25(b).

       

      “Affiliate”:
        With
        respect to any specified Person, any other Person controlling or controlled
        by
        or under common control with such specified Person. For the purposes of this
        definition, “control” when used with respect to any specified 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.

       

      “Aggregate
        Loss Severity 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 on
        any
        Mortgage Loans from the Cut-off Date to the last day of the preceding calendar
        month and the denominator of which is the aggregate principal balance of
        such
        Mortgage Loans immediately prior to the liquidation of such Mortgage
        Loans.

       

      “Agreement”:
        This
        Pooling and Servicing Agreement, including all exhibits and schedules hereto
        and
        all amendments hereof and supplements hereto.

       

      “Allocated
        Realized Loss Amount”:
        With
        respect to any Class of Mezzanine Certificates and any Distribution Date,
        an
        amount equal to the sum of any Realized Loss allocated to that Class of
        Certificates on the Distribution Date and any Allocated Realized Loss Amount
        for
        that Class remaining unpaid from the previous Distribution Date.

       

      “Amounts
        Held for Future Distribution”:
        As to
        any Distribution Date, the aggregate amount held in the Collection Account
        at
        the close of business on the immediately preceding Determination Date on
        account
        of (i) all Monthly Payments or portions thereof received in respect of the
        Mortgage Loans due after the related Due Period and (ii) Principal Prepayments
        and Liquidation Proceeds received in respect of the Mortgage Loans after
        the
        last day of the related Prepayment Period.

       

      “Ancillary
        Income”:
        All
        income derived from the Mortgage Loans, other than Servicing Fees and Prepayment
        Charges, including but not limited to, late charges, fees received with respect
        to checks or bank drafts returned by the related bank for non-sufficient
        funds,
        assumption fees, optional insurance administrative fees and all other incidental
        fees and charges.

       

      “Annual
        Statement of Compliance”:
        As
        defined in Section 3.17.

       

      “Assignment”:
        An
        assignment of Mortgage, notice of transfer or equivalent instrument, in
        recordable form, which is sufficient under the laws of the jurisdiction where
        the related Mortgaged Property is located to reflect of record the sale and
        assignment of the Mortgage, which assignment, notice of transfer or equivalent
        instrument may be in the form of one or more blanket assignments covering
        Mortgages secured by Mortgaged Properties located in the same county, if
        permitted by law.

       

      “Assignment
        Agreement”:
        The
        Assignment, Assumption and Recognition Agreement, dated as of August 29,
        2006,
        by and among the Sponsor, the Depositor and GreenPoint evidencing the assignment
        of the GreenPoint Servicing Agreement to the Depositor.

       

      “Available
        Distribution Amount”:
        With
        respect to any Distribution Date, an amount equal to (1) the sum of (a) the
        aggregate of the amounts on deposit in the Collection Account and Distribution
        Account as of the close of business on the Servicer Remittance Date, (b)
        the
        aggregate of any amounts deposited in the Distribution Account by the Servicer
        or the Master Servicer in respect of Prepayment Interest Shortfalls for such
        Distribution Date pursuant to Section 3.22 or Section 4.19 of this
        Agreement, (c) the aggregate of any P&I Advances for such Distribution Date
        made by the Servicer pursuant to Section 5.03 of this Agreement and (d) the
        aggregate of any P&I Advances made by a successor Servicer (including the
        Master Servicer) for such Distribution Date pursuant to Section 8.02 of
        this Agreement, reduced (to an amount not less than zero) by (2) the portion
        of
        the amount described in clause (1)(a) above that represents (i) Amounts Held
        for
        Future Distribution, (ii) Principal Prepayments on the Mortgage Loans received
        after the related Prepayment Period (together with any interest payments
        received with such Principal Prepayments to the extent they represent the
        payment of interest accrued on the Mortgage Loans during a period subsequent
        to
        the related Prepayment Period), (iii) Liquidation Proceeds, Insurance Proceeds
        and Subsequent Recoveries received in respect of the Mortgage Loans after
        the
        related Prepayment Period, (iv) amounts reimbursable or payable to the
        Depositor, the Servicer, the Trustee, the Master Servicer, the Securities
        Administrator or the Custodians pursuant to Section 3.09 or 9.05 of this
        Agreement or otherwise payable in respect of Extraordinary Trust Fund Expenses,
        (v) the Credit Risk Management Fee, (vi) amounts deposited in a Collection
        Account or the Distribution Account in error, (vii) the amount of any Prepayment
        Charges collected by the Servicer in connection with the Principal Prepayment
        of
        any of the Mortgage Loans and (viii) amounts reimbursable to a successor
        Servicer (including the Master Servicer) pursuant to Section 8.02 of this
        Agreement.

       

      “Balloon
        Mortgage Loan”:
        A
        Mortgage Loan that provides for the payment of the unamortized principal
        balance
        of such Mortgage Loan in a single payment, that is substantially greater
        than
        the preceding monthly payment at the maturity of such Mortgage
        Loan.

       

      “Balloon
        Payment”:
        A
        payment of the unamortized principal balance of a Mortgage Loan in a single
        payment, that is substantially greater than the preceding Monthly Payment
        at the
        maturity of such Mortgage Loan.

       

      “Bankruptcy
        Code”:
        The
        Bankruptcy Reform Act of 1978 (Title 11 of the United States Code), as
        amended.

       

      “Book-Entry
        Certificates”:
        The
        Offered Certificates for so long as the Certificates of such Class shall
        be
        registered in the name of the Depository or its nominee.

       

      “Book-Entry
        Custodian”:
        The
        custodian appointed pursuant to Section 6.01.

       

      “Business
        Day”:
        Any
        day other than a Saturday, a Sunday or a day on which banking or savings
        and
        loan institutions in the States of New York, California, Maryland or Minnesota,
        or in the city in which the Corporate Trust Office of the Trustee is located,
        are authorized or obligated by law or executive order to be closed.

       

      “Cash-Out
        Refinancing”:
        A
        Refinanced Mortgage Loan the proceeds of which are more than a nominal amount
        in
        excess of the principal balance of any existing first mortgage plus any
        subordinate mortgage on the related Mortgaged Property and related closing
        costs.

       

      “Certificate”:
        Any
        one of ACE Securities Corp., Asset Backed Pass-Through Certificates, Series
        2006-SL4, Class A-1, Class A-2, , Class A-3, 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, Class M-10,
        Class P, Class CE-1, Class CE-2 and Class R Certificates issued under this
        Agreement. 

       

      “Certificate
        Factor”:
        With
        respect to any Class of Certificates (other than the Residual Certificates)
        as
        of any Distribution Date, a fraction, expressed as a decimal carried to six
        places, the numerator of which is the aggregate Certificate Principal Balance
        (or Notional Amount, in the case of the Class CE-1 Certificates and Class
        CE-2
        Certificates) of such Class of Certificates on such Distribution Date (after
        giving effect to any distributions of principal and allocations of Realized
        Losses resulting in reduction of the Certificate Principal Balance (or Notional
        Amount, in the case of the Class CE-1 Certificates and Class CE-2 Certificates)
        of such Class of Certificates to be made on such Distribution Date), and
        the
        denominator of which is the initial aggregate Certificate Principal Balance
        (or
        Notional Amount, in the case of the Class CE-1 Certificates and Class CE-2
        Certificates) of such Class of Certificates as of the Closing Date.

       

      “Certificate
        Margin”:
        With
        respect to the Class A-1 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest A-1, 0.120% the case of each
        Distribution Date through and including the Optional Termination Date and
        0.240%
        in the case of each Distribution Date thereafter.

       

      With
        respect to the Class A-2 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest A-2, 0.200% the case of each
        Distribution Date through and including the Optional Termination Date and
        0.400%
        in the case of each Distribution Date thereafter.

       

      With
        respect to the Class M-4 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-4, 0.520% in the case of each
        Distribution Date through and including the Optional Termination Date and
        0.780%
        in the
        case of each Distribution Date thereafter.

       

      With
        respect to the Class M-5 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-5, 0.570% in the case of each
        Distribution Date through and including the Optional Termination Date and
        0.855%
        in the case of each Distribution Date thereafter.

       

      With
        respect to the Class M-7 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-7, 1.100% in the case of each
        Distribution Date through and including the Optional Termination Date and
        1.600%
        in the case of each Distribution Date thereafter.

       

      With
        respect to the Class M-8 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-8, 1.250% in the case of each
        Distribution Date through and including the Optional Termination Date and
        1.750%
        in the case of each Distribution Date thereafter.

       

      With
        respect to the Class M-9 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-9, 2.500% in the case of each
        Distribution Date through and including the Optional Termination Date and
        3.000%
        in the case of each Distribution Date thereafter.

       

      With
        respect to the Class M-10 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-10, 2.500% in the case of each
        Distribution Date through and including the Optional Termination Date and
        3.000%
        in the case of each Distribution Date thereafter.

       

      “Certificateholder”
or
        “Holder”:
        The
        Person in whose name a Certificate is registered in the Certificate Register,
        except that a Disqualified Organization or a Non-United States Person shall
        not
        be a Holder of a Residual Certificate for any purposes hereof, and solely
        for
        the purposes of giving any consent pursuant to this Agreement, any Certificate
        registered in the name of or beneficially owned by the Depositor, the Sponsor,
        the Servicer, the Master Servicer, the Securities Administrator, the Trustee
        or
        any Affiliate thereof shall be deemed not to be outstanding and the Voting
        Rights to which it is entitled shall not be taken into account in determining
        whether the requisite percentage of Voting Rights necessary to effect any
        such
        consent has been obtained, except as otherwise provided in Section 12.01.
        The Trustee and the Securities Administrator may conclusively rely upon a
        certificate of the Depositor, the Sponsor, the Master Servicer, the Securities
        Administrator or the Servicer in determining whether a Certificate is held
        by an
        Affiliate thereof. All references herein to “Holders” or “Certificateholders”
shall reflect the rights of Certificate Owners as they may indirectly exercise
        such rights through the Depository and participating members thereof, except
        as
        otherwise specified herein; provided, however, that the Trustee and the
        Securities Administrator shall be required to recognize as a “Holder” or
“Certificateholder” only the Person in whose name a Certificate is registered in
        the Certificate Register.

       

      “Certificate
        Owner”:
        With
        respect to a Book-Entry Certificate, the Person who is the beneficial owner
        of
        such Certificate as reflected on the books of the Depository or on the books
        of
        a Depository Participant or on the books of an indirect participating brokerage
        firm for which a Depository Participant acts as agent.

       

      “Certificate
        Principal Balance”:
        With
        respect to each Class A Certificate, Mezzanine Certificate or Class P
        Certificate as of any date of determination, the Certificate Principal Balance
        of such Certificate on the Distribution Date immediately prior to such date
        of
        determination plus any Subsequent Recoveries added to the Certificate Principal
        Balance of such Certificate pursuant to Section 5.04 of this Agreement,
        minus all distributions allocable to principal made thereon and Realized
        Losses
        allocated thereto, if any, on such immediately prior Distribution Date (or,
        in
        the case of any date of determination up to and including the first Distribution
        Date, the initial Certificate Principal Balance of such Certificate, as stated
        on the face thereof). With respect to each Class CE-1 Certificate as of any
        date
        of determination, an amount equal to the Percentage Interest evidenced by
        such
        Certificate times the excess, if any, of (A) the then aggregate Uncertificated
        Balances of the REMIC II Regular Interests over (B) the then aggregate
        Certificate Principal Balances of the Class A Certificates, the Mezzanine
        Certificates and the Class P Certificates then outstanding. The aggregate
        initial Certificate Principal Balance of each Class of Regular Certificates
        is
        set forth in the Preliminary Statement hereto.

       

      “Certificate
        Register”:
        The
        register maintained pursuant to Section 6.02 of this
        Agreement.

       

      “Certification
        Parties”:
        Has
        the meaning set forth in Section 3.19 of this Agreement.

       

      “Certifying
        Person”:
        Has
        the meaning set forth in Section 3.19 of this Agreement.

       

      “Charged
        Off Loan”:
        With
        respect to any Distribution Date, a defaulted Mortgage Loan that the Servicer
        is
        required to charge off once such Mortgage Loan becomes 180 days delinquent
        pursuant to Section 3.13, provided that such Mortgage Loan is not a Liquidated
        Mortgage Loan and provided further, that the Servicer has determined, based
        on a
        broker’s price opinion and other relevant considerations, that there will be (i)
        no Significant Subsequent Recoveries with respect to such Mortgage Loan or
        (ii)
        the potential Subsequent Recoveries are anticipated to be an amount, determined
        by the Servicer in its good faith judgment and in light of other mitigating
        circumstances, that is insufficient to warrant proceeding through foreclosure
        or
        other liquidation of the related Mortgaged Property.

       

      “Class”:
        Collectively, all of the Certificates bearing the same class
        designation.

       

      “Class
        A Certificates”:
        Collectively, the Class A-1 Certificates, Class A-2 Certificates and Class
        A-3
        Certificates.

       

      “Class
        A Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of the Certificate
        Principal Balances of the Class A Certificates immediately prior to such
        Distribution Date over (y) the lesser of (A) the product of (i) 53.00% and
        (ii)
        the aggregate Stated Principal Balance of the Mortgage Loans as of the last
        day
        of the related Due Period (after giving effect to scheduled payments of
        principal due during the related Due Period, to the extent received or advanced
        and unscheduled collections of principal received during the related Prepayment
        Period) and (B) the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the last day of the related Due Period (after giving effect to scheduled
        payments of principal due during the related Due Period, to the extent received
        or advanced and unscheduled collections of principal received during the
        related
        Prepayment Period) minus the product of (i) 0.50% and (ii) the aggregate
        principal balance of the Mortgage Loans as of the Cut-off Date.

       

      Class
        A-1 Certificate”:
        Any
        one of the Class A-1 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-1A and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount. 

       

      Class
        A-2 Certificate”:
        Any
        one of the Class A-2 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-1A and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

       

      Class
        A-3 Certificate”:
        Any
        one of the Class A-3 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-1B and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

       

      “Class
        CE-1 Certificate”:
        Any
        one of the Class CE-1 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-4 and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the obligation to pay any Net WAC Rate Carryover Amounts and (iii) the
        obligation to pay any Class IO Distribution Amount.

      

      “Class
        CE-2 Certificate”:
        Any
        one of the Class CE-2 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-4 and evidencing a Regular Interest in REMIC III for
        purposes of the REMIC Provisions.

       

      “Class
        IO Distribution Amount”:
        As
        defined in Section 5.07(e) hereof. For
        purposes of clarity, the Class IO Distribution Amount for any Distribution
        Date
        shall equal the amount payable to the Supplemental Interest Trust on such
        Distribution Date in excess of the amount payable on the Class IO Interest
        on
        such Distribution Date, all as further provided in Section 5.07(e)
        hereof.

       

      “Class
        IO Interest”:
        An
        uncertificated interest in the Trust Fund held by the Trustee, evidencing
        a
        REMIC Regular Interest in REMIC III for purposes of the REMIC
        Provisions.

       

      “Class
        M-1 Certificate”:
        Any
        one of the Class M-1 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2A and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

      

      “Class
        M-1 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date) and (ii) the Certificate Principal Balance of the Class
        M-1
        Certificates immediately prior to such Distribution Date over (y) the lesser
        of
        (A) the product of (i) 61.00% and (ii) the aggregate Stated Principal Balance
        of
        the Mortgage Loans as of the last day of the related Due Period (after giving
        effect to scheduled payments of principal due during the related Due Period,
        to
        the extent received or advanced and unscheduled collections of principal
        received during the related Prepayment Period) and (B) the aggregate Stated
        Principal Balance of the Mortgage Loans as of the last day of the related
        Due
        Period (after giving effect to scheduled payments of principal due during
        the
        related Due Period, to the extent received or advanced and unscheduled
        collections of principal received during the related Prepayment Period) minus
        the product of (i) 0.50% and (ii) the aggregate principal balance of the
        Mortgage Loans as of the Cut-off Date.

       

      “Class
        M-2 Certificates”: Any
        one
        of the Class M-2 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2A and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

       

      “Class
        M-2 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date), (ii) the Certificate Principal Balance of the Class M-1
        Certificates (after taking into account the payment of the Class M-1 Principal
        Distribution Amount on such Distribution Date) and (iii) the Certificate
        Principal Balance of the Class M-2 Certificates immediately prior to such
        Distribution Date over (y) the lesser of (A) the product of (i) 68.80% and
        (ii)
        the aggregate Stated Principal Balance of the Mortgage Loans as of the last
        day
        of the related Due Period (after giving effect to scheduled payments of
        principal due during the related Due Period, to the extent received or advanced
        and unscheduled collections of principal received during the related Prepayment
        Period) and (B) the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the last day of the related Due Period (after giving effect to scheduled
        payments of principal due during the related Due Period, to the extent received
        or advanced and unscheduled collections of principal received during the
        related
        Prepayment Period) minus the product of (i) 0.50% and (ii) the aggregate
        principal balance of the Mortgage Loans as of the Cut-off Date.

       

      “Class
        M-3 Certificate”:
        Any
        one of the Class M-3 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2A and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

      

      “Class
        M-3 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date), (ii) the Certificate Principal Balance of the Class M-1
        Certificates (after taking into account the payment of the Class M-1 Principal
        Distribution Amount on such Distribution Date), (iii) the Certificate Principal
        Balance of the Class M-2 Certificates (after taking into account the payment
        of
        the Class M-2 Principal Distribution Amount on such Distribution Date) and
        (iv)
        the Certificate Principal Balance of the Class M-3 Certificates immediately
        prior to such Distribution Date over (y) the lesser of (A) the product of
        (i)
        71.60% and (ii) the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the last day of the related Due Period (after giving effect to scheduled
        payments of principal due during the related Due Period, to the extent received
        or advanced and unscheduled collections of principal received during the
        related
        Prepayment Period) and (B) the aggregate Stated Principal Balance of the
        Mortgage Loans as of the last day of the related Due Period (after giving
        effect
        to scheduled payments of principal due during the related Due Period, to
        the
        extent received or advanced and unscheduled collections of principal received
        during the related Prepayment Period) minus the product of (i) 0.50% and
        (ii)
        the aggregate principal balance of the Mortgage Loans as of the Cut-off
        Date.

       

      “Class
        M-4 Certificate”:
        Any
        one of the Class M-4 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2B and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

      

      “Class
        M-4 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date), (ii) the Certificate Principal Balance of the Class M-1
        Certificates (after taking into account the payment of the Class M-1 Principal
        Distribution Amount on such Distribution Date), (iii) the Certificate Principal
        Balance of the Class M-2 Certificates (after taking into account the payment
        of
        the Class M-2 Principal Distribution Amount on such Distribution Date), (iv)
        the
        Certificate Principal Balance of the Class M-3 Certificates (after taking
        into
        account the payment of the Class M-3 Principal Distribution Amount on such
        Distribution Date) and (v) the Certificate Principal Balance of the Class
        M-4
        Certificates immediately prior to such Distribution Date over (y) the lesser
        of
        (A) the product of (i) 76.20% and (ii) the aggregate Stated Principal Balance
        of
        the Mortgage Loans as of the last day of the related Due Period (after giving
        effect to scheduled payments of principal due during the related Due Period,
        to
        the extent received or advanced and unscheduled collections of principal
        received during the related Prepayment Period) and (B) the aggregate Stated
        Principal Balance of the Mortgage Loans as of the last day of the related
        Due
        Period (after giving effect to scheduled payments of principal due during
        the
        related Due Period, to the extent received or advanced and unscheduled
        collections of principal received during the related Prepayment Period) minus
        the product of (i) 0.50% and (ii) the aggregate principal balance of the
        Mortgage Loans as of the Cut-off Date.

       

      “Class
        M-5 Certificate”:
        Any
        one of the Class M-5 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2B and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

      

      “Class
        M-5 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date), (ii) the Certificate Principal Balance of the Class M-1
        Certificates (after taking into account the payment of the Class M-1 Principal
        Distribution Amount on such Distribution Date), (iii) the Certificate Principal
        Balance of the Class M-2 Certificates (after taking into account the payment
        of
        the Class M-2 Principal Distribution Amount on such Distribution Date), (iv)
        the
        Certificate Principal Balance of the Class M-3 Certificates (after taking
        into
        account the payment of the Class M-3 Principal Distribution Amount on such
        Distribution Date), (v) the Certificate Principal Balance of the Class M-4
        Certificates (after taking into account the payment of the Class M-4 Principal
        Distribution Amount on such Distribution Date) and (vi) the Certificate
        Principal Balance of the Class M-5 Certificates immediately prior to such
        Distribution Date over (y) the lesser of (A) the product of (i) 79.40% and
        (ii)
        the aggregate Stated Principal Balance of the Mortgage Loans as of the last
        day
        of the related Due Period (after giving effect to scheduled payments of
        principal due during the related Due Period, to the extent received or advanced
        and unscheduled collections of principal received during the related Prepayment
        Period) and (B) the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the last day of the related Due Period (after giving effect to scheduled
        payments of principal due during the related Due Period, to the extent received
        or advanced and unscheduled collections of principal received during the
        related
        Prepayment Period) minus the product of (i) 0.50% and (ii) the aggregate
        principal balance of the Mortgage Loans as of the Cut-off Date.

       

      “Class
        M-6 Certificates”: 
        Any one
        of the Class M-6 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2A and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

       

      “Class
        M-6 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date), (ii) the Certificate Principal Balance of the Class M-1
        Certificates (after taking into account the payment of the Class M-1 Principal
        Distribution Amount on such Distribution Date), (iii) the Certificate Principal
        Balance of the Class M-2 Certificates (after taking into account the payment
        of
        the Class M-2 Principal Distribution Amount on such Distribution Date), (iv)
        the
        Certificate Principal Balance of the Class M-3 Certificates (after taking
        into
        account the payment of the Class M-3 Principal Distribution Amount on such
        Distribution Date), (v) the Certificate Principal Balance of the Class M-4
        Certificates (after taking into account the payment of the Class M-4 Principal
        Distribution Amount on such Distribution Date), (vi) the Certificate Principal
        Balance of the Class M-5 Certificates (after taking into account the payment
        of
        the Class M-5 Principal Distribution Amount on such Distribution Date) and
        (vii)
        the Certificate Principal Balance of the Class M-6 Certificates immediately
        prior to such Distribution Date over (y) the lesser of (A) the product of
        (i)
        82.20% and (ii) the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the last day of the related Due Period (after giving effect to scheduled
        payments of principal due during the related Due Period, to the extent received
        or advanced and unscheduled collections of principal received during the
        related
        Prepayment Period) and (B) the aggregate Stated Principal Balance of the
        Mortgage Loans as of the last day of the related Due Period (after giving
        effect
        to scheduled payments of principal due during the related Due Period, to
        the
        extent received or advanced and unscheduled collections of principal received
        during the related Prepayment Period) minus the product of (i) 0.50% and
        (ii)
        the aggregate principal balance of the Mortgage Loans as of the Cut-off
        Date.

       

      “Class
        M-7 Certificate”:
        Any
        one of the Class M-7 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2B and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

      

      “Class
        M-7 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date), (ii) the Certificate Principal Balance of the Class M-1
        Certificates (after taking into account the payment of the Class M-1 Principal
        Distribution Amount on such Distribution Date), (iii) the Certificate Principal
        Balance of the Class M-2 Certificates (after taking into account the payment
        of
        the Class M-2 Principal Distribution Amount on such Distribution Date), (iv)
        the
        Certificate Principal Balance of the Class M-3 Certificates (after taking
        into
        account the payment of the Class M-3 Principal Distribution Amount on such
        Distribution Date), (v) the Certificate Principal Balance of the Class M-4
        Certificates (after taking into account the payment of the Class M-4 Principal
        Distribution Amount on such Distribution Date), (vi) the Certificate Principal
        Balance of the Class M-5 Certificates (after taking into account the payment
        of
        the Class M-5 Principal Distribution Amount on such Distribution Date), (vii)
        the Certificate Principal Balance of the Class M-6 Certificates (after taking
        into account the payment of the Class M-6 Principal Distribution Amount on
        such
        Distribution Date) and (viii) the Certificate Principal Balance of the Class
        M-7
        Certificates immediately prior to such Distribution Date over (y) the lesser
        of
        (A) the product of (i) 84.40% and (ii) the aggregate Stated Principal Balance
        of
        the Mortgage Loans as of the last day of the related Due Period (after giving
        effect to scheduled payments of principal due during the related Due Period,
        to
        the extent received or advanced and unscheduled collections of principal
        received during the related Prepayment Period) and (B) the aggregate Stated
        Principal Balance of the Mortgage Loans as of the last day of the related
        Due
        Period (after giving effect to scheduled payments of principal due during
        the
        related Due Period, to the extent received or advanced and unscheduled
        collections of principal received during the related Prepayment Period) minus
        the product of (i) 0.50% and (ii) the aggregate principal balance of the
        Mortgage Loans as of the Cut-off Date.

       

      “Class
        M-8 Certificate”:
        Any
        one of the Class M-8 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2B and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

       

      “Class
        M-8 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date), (ii) the Certificate Principal Balance of the Class M-1
        Certificates (after taking into account the payment of the Class M-1 Principal
        Distribution Amount on such Distribution Date), (iii) the Certificate Principal
        Balance of the Class M-2 Certificates (after taking into account the payment
        of
        the Class M-2 Principal Distribution Amount on such Distribution Date), (iv)
        the
        Certificate Principal Balance of the Class M-3 Certificates (after taking
        into
        account the payment of the Class M-3 Principal Distribution Amount on such
        Distribution Date), (v) the Certificate Principal Balance of the Class M-4
        Certificates (after taking into account the payment of the Class M-4 Principal
        Distribution Amount on such Distribution Date), (vi) the Certificate Principal
        Balance of the Class M-5 Certificates (after taking into account the payment
        of
        the Class M-5 Principal Distribution Amount on such Distribution Date), (vii)
        the Certificate Principal Balance of the Class M-6 Certificates (after taking
        into account the payment of the Class M-6 Principal Distribution Amount on
        such
        Distribution Date), (viii) the Certificate Principal Balance of the Class
        M-7
        Certificates (after taking into account the payment of the Class M-7 Principal
        Distribution Amount on such Distribution Date) and (ix) the Certificate
        Principal Balance of the Class M-8 Certificates immediately prior to such
        Distribution Date over (y) the lesser of (A) the product of (i) 85.80% and
        (ii)
        the aggregate Stated Principal Balance of the Mortgage Loans as of the last
        day
        of the related Due Period (after giving effect to scheduled payments of
        principal due during the related Due Period, to the extent received or advanced
        and unscheduled collections of principal received during the related Prepayment
        Period) and (B) the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the last day of the related Due Period (after giving effect to scheduled
        payments of principal due during the related Due Period, to the extent received
        or advanced and unscheduled collections of principal received during the
        related
        Prepayment Period) minus the product of (i) 0.50% and (ii) the aggregate
        principal balance of the Mortgage Loans as of the Cut-off Date.

       

      “Class
        M-9 Certificates”:
        Any
        one of the Class M-9 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2B and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

      

      “Class
        M-9 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date), (ii) the Certificate Principal Balance of the Class M-1
        Certificates (after taking into account the payment of the Class M-1 Principal
        Distribution Amount on such Distribution Date), (iii) the Certificate Principal
        Balance of the Class M-2 Certificates (after taking into account the payment
        of
        the Class M-2 Principal Distribution Amount on such Distribution Date), (iv)
        the
        Certificate Principal Balance of the Class M-3 Certificates (after taking
        into
        account the payment of the Class M-3 Principal Distribution Amount on such
        Distribution Date), (v) the Certificate Principal Balance of the Class M-4
        Certificates (after taking into account the payment of the Class M-4 Principal
        Distribution Amount on such Distribution Date), (vi) the Certificate Principal
        Balance of the Class M-5 Certificates (after taking into account the payment
        of
        the Class M-5 Principal Distribution Amount on such Distribution Date), (vii)
        the Certificate Principal Balance of the Class M-6 Certificates (after taking
        into account the payment of the Class M-6 Principal Distribution Amount on
        such
        Distribution Date), (viii) the Certificate Principal Balance of the Class
        M-7
        Certificates (after taking into account the payment of the Class M-7 Principal
        Distribution Amount on such Distribution Date), (ix) the Certificate Principal
        Balance of the Class M-8 Certificates (after taking into account the payment
        of
        the Class M-8 Principal Distribution Amount on such Distribution Date) and
        (x)
        the Certificate Principal Balance of the Class M-9 Certificates immediately
        prior to such Distribution Date over (y) the lesser of (A) the product of
        (i)
        89.30% and (ii) the aggregate Stated Principal Balance of the Mortgage Loans
        as
        of the last day of the related Due Period (after giving effect to scheduled
        payments of principal due during the related Due Period, to the extent received
        or advanced and unscheduled collections of principal received during the
        related
        Prepayment Period) and (B) the aggregate Stated Principal Balance of the
        Mortgage Loans as of the last day of the related Due Period (after giving
        effect
        to scheduled payments of principal due during the related Due Period, to
        the
        extent received or advanced and unscheduled collections of principal received
        during the related Prepayment Period) minus the product of (i) 0.50% and
        (ii)
        the aggregate principal balance of the Mortgage Loans as of the Cut-off
        Date.

       

      “Class
        M-10 Certificates”:
        Any
        one of the Class M-10 Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-2B and evidencing (i) a REMIC Regular Interest in REMIC
        III,
        (ii) the right to receive the related Net WAC Rate Carryover Amount and (iii)
        the obligation to pay any Class IO Distribution Amount.

       

      

      “Class
        M-10 Principal Distribution Amount”:
        With
        respect to any Distribution Date on or after the Stepdown Date and on which
        a
        Trigger Event is not in effect, the excess of (x) the sum of (i) the sum
        of the
        Certificate Principal Balances of the Class A Certificates (after taking
        into
        account the payment of the Class A Principal Distribution Amount on such
        Distribution Date), (ii) the Certificate Principal Balance of the Class M-1
        Certificates (after taking into account the payment of the Class M-1 Principal
        Distribution Amount on such Distribution Date), (iii) the Certificate Principal
        Balance of the Class M-2 Certificates (after taking into account the payment
        of
        the Class M-2 Principal Distribution Amount on such Distribution Date), (iv)
        the
        Certificate Principal Balance of the Class M-3 Certificates (after taking
        into
        account the payment of the Class M-3 Principal Distribution Amount on such
        Distribution Date), (v) the Certificate Principal Balance of the Class M-4
        Certificates (after taking into account the payment of the Class M-4 Principal
        Distribution Amount on such Distribution Date), (vi) the Certificate Principal
        Balance of the Class M-5 Certificates (after taking into account the payment
        of
        the Class M-5 Principal Distribution Amount on such Distribution Date), (vii)
        the Certificate Principal Balance of the Class M-6 Certificates (after taking
        into account the payment of the Class M-6 Principal Distribution Amount on
        such
        Distribution Date), (viii) the Certificate Principal Balance of the Class
        M-7
        Certificates (after taking into account the payment of the Class M-7 Principal
        Distribution Amount on such Distribution Date), (ix) the
        Certificate Principal Balance of the Class M-8 Certificates (after taking
        into
        account the payment of the Class M-8 Principal Distribution Amount on such
        Distribution Date),
        (x) the
        Certificate Principal Balance of the Class M-9 Certificates (after taking
        into
        account the payment of the Class M-9 Principal Distribution Amount on such
        Distribution Date) and (xi) the Certificate Principal Balance of the Class
        M-10
        Certificates immediately prior to such Distribution Date over (y) the lesser
        of
        (A) the product of (i) 92.40% and (ii) the aggregate Stated Principal Balance
        of
        the Mortgage Loans as of the last day of the related Due Period (after giving
        effect to scheduled payments of principal due during the related Due Period,
        to
        the extent received or advanced and unscheduled collections of principal
        received during the related Prepayment Period) and (B) the aggregate Stated
        Principal Balance of the Mortgage Loans as of the last day of the related
        Due
        Period (after giving effect to scheduled payments of principal due during
        the
        related Due Period, to the extent received or advanced and unscheduled
        collections of principal received during the related Prepayment Period) minus
        the product of (i) 0.50% and (ii) the aggregate principal balance of the
        Mortgage Loans as of the Cut-off Date.

       

      “Class
        P Certificate”:
        Any
        one of the Class P Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-5 and evidencing a Regular Interest in REMIC II for purposes
        of the REMIC Provisions.

       

      “Class
        R Certificates”:
        Any
        one of the Class R Certificates executed and authenticated by the Securities
        Administrator and delivered by the Trustee, substantially in the form annexed
        hereto as Exhibit A-6, and evidencing the Class R-I Interest, the Class R-II
        Interest and the Class R-III Interest.

       

      “Class
        R-I Interest”:
        The
        uncertificated residual interest in REMIC I.

       

      “Class
        R-II Interest”:
        The
        uncertificated residual interest in REMIC II.

       

      “Class
        R-III Interest”:
        The
        uncertificated residual interest in REMIC III.

       

      “Closing
        Date”:
        August
        29, 2006.

       

      “Code”:
        The
        Internal Revenue Code of 1986, as amended from time to time.

       

      “Collection
        Account”:
        The
        separate account or accounts created and maintained, or caused to be created
        and
        maintained, by the Servicer pursuant to Section 3.08(a) of this Agreement,
        which shall be entitled “GMAC Mortgage Corporation, as the Servicer for HSBC
        Bank USA, National Association as Trustee, in trust for the registered holders
        of ACE Securities Corp., Home Equity Loan Trust, Series 2006-SL4, Asset Backed
        Pass-Through Certificates”, respectively. The Collection Account must be an
        Eligible Account.

       

      “Combined
        Loan-to-Value Ratio”:
        With
        respect to any Mortgage Loan and as of any date of determination, the fraction
        (expressed as a percentage) the numerator of which is the sum of (i) original
        principal balance of the related Mortgage Loan at such date of determination
        and
        (ii) the unpaid principal balance of the related First Mortgage Loan as of
        the
        date of origination of that Mortgage Loan and the denominator of which is
        (a)
        with respect to a Refinanced Mortgage Loan, the Value of the related Mortgaged
        Property at origination and (b) with respect to all other Mortgage Loans,
        the
        lesser of (i) the Value of the related Mortgage Property at origination and
        (ii)
        the purchase price of the related Mortgaged Property.

       

      “Commission”:
        The
        Securities and Exchange Commission.

       

      “Controlling
        Person”:
        Means,
        with respect to any Person, any other Person who “controls” such Person within
        the meaning of the Securities Act.

       

      “Corporate
        Trust Office”:
        The
        principal corporate trust office of the Trustee or the Securities Administrator,
        as the case may be, at which, at any particular time, its corporate trust
        business in connection with this Agreement shall be administered, which office
        at the date of the execution of this instrument is located at (i) with respect
        to the Trustee, HSBC Bank USA, National Association, 452 Fifth Avenue, New
        York,
        New York 10018, Attention: CTLA Structured Finance/ACE Securities Corp.,
        2006-SL4, or at such other address as the Trustee may designate from time
        to
        time by notice to the Certificateholders, the Depositor, the Master Servicer,
        the Securities Administrator and the Servicer and (ii) with respect to the
        office of the Securities Administrator, which for purposes of Certificate
        transfers and surrender is located at Wells Fargo Bank, National Association,
        Sixth Street and Marquette Avenue, Minneapolis, Minnesota 55479, Attention:
        Corporate Trust (ACE 2006-SL4), and (B) for all other purposes is located
        at
        Wells Fargo Bank, National Association, P.O. Box 98, Columbia, Maryland 21046,
        Attention: Corporate Trust (ACE 2006-SL4) (or for overnight deliveries, at
        9062
        Old Annapolis Road, Columbia, Maryland 21045, Attention: Corporate Trust
        (ACE
        2006-SL4)) 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, the Servicer and the Trustee.

       

      “Corresponding
        Certificate”:
        With
        respect to each REMIC II Regular Interest, as follows:

       

      
        	
                REMIC
                  II Regular
                  Interest

              	
                Class

              
	
                REMIC
                  II Regular Interest A-1

              	
                A-1

              
	
                REMIC
                  II Regular Interest A-2

              	
                A-2

              
	
                REMIC
                  II Regular Interest A-3

              	
                A-3

              
	
                REMIC
                  II Regular Interest M-1

              	
                M-1

              
	
                REMIC
                  II Regular Interest M-2

              	
                M-2

              
	
                REMIC
                  II Regular Interest M-3

              	
                M-3

              
	
                REMIC
                  II Regular Interest M-4

              	
                M-4

              
	
                REMIC
                  II Regular Interest M-5

              	
                M-5

              
	
                REMIC
                  II Regular Interest M-6

              	
                M-6

              
	
                REMIC
                  II Regular Interest M-7

              	
                M-7

              
	
                REMIC
                  II Regular Interest M-8

              	
                M-8

              
	
                REMIC
                  II Regular Interest M-9

              	
                M-9

              
	
                REMIC
                  II Regular Interest M-10

              	
                M-10

              
	
                REMIC
                  II Regular Interest P

              	
                P

              
	
                REMIC
                  II Regular Interest CE-2

              	
                CE-2

              

      

      

      “Credit
        Enhancement Percentage”:
        For
        any Distribution Date, the percentage equivalent of a fraction, the numerator
        of
        which is the sum of the aggregate Certificate Principal Balances of the
        Mezzanine Certificates and the Class CE-1 Certificates, and the denominator
        of
        which is the aggregate Stated Principal Balance of the Mortgage Loans,
        calculated after taking into account distributions of principal on the Mortgage
        Loans and distribution of the Principal Distribution Amount to the Certificates
        then entitled to distributions of principal on such Distribution
        Date.

       

      “Credit
        Risk Management Agreements”:
        The
        agreements between the Credit Risk Manager and the Servicer and/or Master
        Servicer, each regarding the loss mitigation and advisory services to be
        provided by the Credit Risk Manager.

       

      “Credit
        Risk Management Fee”:
        The
        amount payable to the Credit Risk Manager on each Distribution Date as
        compensation for all services rendered by it in the exercise and performance
        of
        any and all powers and duties of the Credit Risk Manager under the Credit
        Risk
        Management Agreements, which amount shall equal one twelfth of the product
        of
        (i) the Credit Risk Management Fee Rate multiplied by (ii) the Stated Principal
        Balance of the Mortgage Loans and any related REO Properties as of the first
        day
        of the related Due Period.

       

      “Credit
        Risk Management Fee Rate”:
        0.015%
        per annum.

       

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

       

      “Custodial
        Agreement”:
        Either
        of the DBNTC Custodial Agreement or the Wells Fargo Custodial Agreement,
        or any
        other custodial agreement entered into after the date hereof with respect
        to any
        Mortgage Loan subject to this Agreement.

       

      “Custodian”:
        Either
        Wells Fargo or DBNTC or any other custodian appointed under any custodial
        agreement entered into after the date of this Agreement.

       

      “Cut-off
        Date”:
        With
        respect to each Mortgage Loan, August 1, 2006. With respect to all Qualified
        Substitute Mortgage Loans, their respective dates of substitution. References
        herein to the “Cut-off Date,” when used with respect to more than one Mortgage
        Loan, shall be to the respective Cut-off Dates for such Mortgage
        Loans.

       

      “DBNTC”:
        Deutsche Bank National Trust Company, a national banking
        association.

       

      “DBNTC
        Custodial Agreement”:
        The
        Custodial Agreement dated as of August 1, 2006, among the Trustee, DBNTC
        and
        GMAC, as may be amended or supplemented from time to time.

       

      “Debt
        Service Reduction”:
        With
        respect to any Mortgage Loan, a reduction in the scheduled Monthly Payment
        for
        such Mortgage Loan by a court of competent jurisdiction in a proceeding under
        the Bankruptcy Code, except such a reduction resulting from a Deficient
        Valuation.

       

      “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 the then outstanding
        principal balance of the Mortgage Loan, which valuation results from a
        proceeding initiated under the Bankruptcy Code.

       

      “Definitive
        Certificates”:
        As
        defined in Section 6.01(b) of this Agreement.

       

      “Deleted
        Mortgage Loan”:
        A
        Mortgage Loan replaced or to be replaced by a Qualified Substitute Mortgage
        Loan.

       

      “Delinquency
        Percentage”:
        As of
        the last day of the related Due Period, the percentage equivalent of a fraction,
        the numerator of which is the aggregate Stated Principal Balance of all Mortgage
        Loans that, as of the last day of the previous calendar month, are sixty
        (60) or
        more days delinquent, are in foreclosure, have been converted to REO Properties
        or have been discharged by reason of bankruptcy, and the denominator of which
        is
        the aggregate Stated Principal Balance of the Mortgage Loans and REO Properties
        as of the last day of the previous calendar month.

       

      “Depositor”:
        ACE
        Securities Corp., a Delaware corporation, or its successor in
        interest.

       

      “Depository”:
        The
        Depository Trust Company, or any successor Depository hereafter named. The
        nominee of the initial Depository, for purposes of registering those
        Certificates that are to be Book-Entry Certificates, is Cede & Co. The
        Depository shall at all times be a “clearing corporation” as defined in
        Section 8-102(3) of the Uniform Commercial Code of the State of New York
        and a “clearing agency” registered pursuant to the provisions of
        Section 17A of the Exchange Act.

       

      “Depository
        Institution”:
        Any
        depository institution or trust company, including the Trustee, 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 (or, in the case of a depository
        institution that is the principal subsidiary of a holding company, such holding
        company has unsecured commercial paper or other short-term unsecured debt
        obligations) that are rated at least A-1+ by S&P, F-1+ by Fitch and P-1 by
        Moody’s (or, if such Rating Agencies are no longer rating the Offered
        Certificates, comparable ratings by any other nationally recognized statistical
        rating agency then rating the Offered Certificates).

       

      “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.

       

      “Determination
        Date”:
        With
        respect to each Distribution Date, the 15th day of the calendar month in
        which
        such Distribution Date occurs, or if such 15th day is not a Business Day,
        the
        Business Day immediately preceding such 15th day. The Determination Date
        for
        purposes of Article X hereof shall mean the 15th
        day of
        the month or, if such 15th
        day is
        not a Business Day, the first Business Day following such 15th
        day.

       

      “Directly
        Operate”:
        With
        respect to any REO Property, the furnishing or rendering of services to the
        tenants thereof, the management or operation of such REO Property, the holding
        of such REO Property primarily for sale to customers, the performance of
        any
        construction work thereon or any use of such REO Property in a trade or business
        conducted by REMIC I other than through an Independent Contractor; provided,
        however, that the Servicer, on behalf of the Trustee, shall not be considered
        to
        Directly Operate an REO Property solely because the Servicer establishes
        rental
        terms, chooses tenants, enters into or renews leases, deals with taxes and
        insurance, or makes decisions as to repairs or capital expenditures with
        respect
        to such REO Property.

       

      “Disqualified
        Organization”:
        Any of
        the following: (i) the United States, any State or political subdivision
        thereof, any possession of the United States, or any agency or instrumentality
        of any of the foregoing (other than an instrumentality which is a corporation
        if
        all of its activities are subject to tax and, except for Freddie Mac, a majority
        of its board of directors is not selected by such governmental unit), (ii)
        any
        foreign government, any international organization, or any agency or
        instrumentality of any of the foregoing, (iii) any organization (other than
        certain farmers’ cooperatives described in Section 521 of the Code) which
        is exempt from the tax imposed by Chapter 1 of the Code (including the tax
        imposed by Section 511 of the Code on unrelated business taxable income),
        (iv) rural electric and telephone cooperatives described in
        Section 1381(a)(2)(C) of the Code, (v) an “electing large partnership” and
        (vi) any other Person so designated by the Trustee based upon an Opinion
        of
        Counsel that the holding of an Ownership Interest in a Residual Certificate
        by
        such Person may cause any Trust REMIC or any Person having an Ownership Interest
        in any Class of Certificates (other than such Person) to incur a liability
        for
        any federal tax imposed under the Code that would not otherwise be imposed
        but
        for the Transfer of an Ownership Interest in a Residual Certificate to such
        Person. The terms “United States,” “State” and “international organization”
shall have the meanings set forth in Section 7701 of the Code or successor
        provisions.

       

      “Distribution
        Account”:
        The
        separate trust account or accounts created and maintained by the Securities
        Administrator pursuant to Section 3.08(b) of this Agreement in the name of
        the Securities Administrator for the benefit of the Certificateholders and
        designated “Wells Fargo Bank, National Association, in trust for registered
        holders of ACE Securities Corp. Home Equity Loan Trust, Series 2006-SL4”. Funds
        in the Distribution Account shall be held in trust for the Certificateholders
        for the uses and purposes set forth in this Agreement. The Distribution Account
        must be an Eligible Account.

       

      “Distribution
        Date”:
        The
        25th day of any month, or if such 25th day is not a Business Day, the Business
        Day immediately following such 25th day, commencing in September
        2006.

       

      “Due
        Date”:
        With
        respect to each Distribution Date, the day of the month on which the Monthly
        Payment is due on a Mortgage Loan during the related Due Period, exclusive
        of
        any days of grace.

       

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

       

      “Eligible
        Account”:
        Any of
        (i) an account or accounts maintained with a Depository Institution, (ii)
        an
        account or accounts the deposits in which are fully insured by the FDIC,
        (iii) a
        trust account or accounts maintained with a federal depository institution
        or
        state chartered depository institution acting in its fiduciary capacity,
        or (iv)
        an account or accounts acceptable to each Rating Agency as confirmed and
        approved in writing by each Rating Agency. Eligible Accounts may bear
        interest.

       

      “ERISA”:
        The
        Employee Retirement Income Security Act of 1974, as amended from time to
        time.

       

      “Escrow
        Mortgage Loan”:
        Any
        Mortgage Loan for which the Servicer has established an Escrow Account for
        items
        constituting Escrow Payments.

       

      “Escrow
        Payments”:
        With
        respect to any Mortgage Loan, the amounts constituting ground rents, taxes,
        mortgage insurance premiums, fire and hazard insurance premiums, and any
        other
        payments required to be escrowed by the Mortgagor with the mortgagee pursuant
        to
        the Mortgage, applicable law or any other related document.

       

      “Estate
        in Real Property”:
        A fee
        simple estate in a parcel of land.

       

      “Excess
        Liquidation Proceeds”:
        To the
        extent that such amount is not required by law to be paid to the related
        Mortgagor, the amount, if any, by which Liquidation Proceeds with respect
        to a
        liquidated Mortgage Loan exceed the sum of (i) the outstanding principal
        balance
        of such Mortgage Loan and accrued but unpaid interest at the related Net
        Mortgage Rate through the last day of the month in which the related Liquidation
        Event occurs, plus (ii) related liquidation expenses or other amounts to
        which
        the Servicer is entitled to be reimbursed from Liquidation Proceeds with
        respect
        to such liquidated Mortgage Loan pursuant to Section 3.09 of this
        Agreement.

       

      “Exchange
        Act”:
        Means
        the Securities Exchange Act of 1934, as amended, and the rules and regulations
        thereunder.

       

      “Excess
        Servicing Fee”:
        Shall
        have the meaning set forth in Section 5.01(b).

       

      “Extraordinary
        Trust Fund Expense”:
        Any
        amounts payable or reimbursable to the Trustee, the Master Servicer, the
        Securities Administrator, the Custodians or any director, officer, employee
        or
        agent of any such Person from the Trust Fund pursuant to the terms of this
        Agreement and any amounts payable from the Distribution Account in respect
        of
        taxes pursuant to Section 11.01(g)(v) of this Agreement.

       

      “Fannie
        Mae”:
        Fannie
        Mae, formerly known as the Federal National Mortgage Association, or any
        successor thereto.

       

      “FDIC”:
        Federal Deposit Insurance Corporation or any successor thereto.

       

      “Final
        Maturity Date”:
        The
        Distribution Date occurring in September 2036.

       

      “Final
        Recovery Determination”:
        With
        respect to any defaulted Mortgage Loan or any REO Property (other than a
        Mortgage Loan or REO Property purchased by an originator, the Sponsor or
        the
        Master Servicer pursuant to or as contemplated by Section 2.03, 3.13(c) or
        Section 10.01 of this Agreement), a determination made by the Servicer that
        all Insurance 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, which determination
        shall
        be evidenced by a certificate of a Servicing Officer delivered to the Master
        Servicer and maintained in its records.

       

      “First
        Mortgage Loan”:
        A
        mortgage loan that is secured by a first lien on the related Mortgaged
        Property.

       

      “Fitch”:
        Fitch
        Ratings or any successor thereto.

       

      “Fixed
        Rate Certificates”:
        Any
        one of the Class A-3, Class M-1, Class M-2, Class M-3 or Class M-6 Certificates.
        

       

      “Floating
        Rate Certificates”:
        Any
        one of the Class A-1, Class A-2, Class M-4, Class M-5, Class M-7, Class M-8,
        Class M-9 or Class M-10 Certificates. 

       

      “Form
        8-K Disclosure Information”:
        Has
        the meaning set forth in Section 5.06(b) of this Agreement.

       

      “Freddie
        Mac”:
        Freddie Mac, formerly known as the Federal Home Loan Mortgage Corporation,
        or
        any successor thereto.

       

      “GMAC”:
        GMAC
        Mortgage Corporation or any successor thereto appointed hereunder in connection
        with the servicing and administration of the GMAC Mortgage Loans.

       

      “GMAC
        Mortgage Loans”:
        The
        Mortgage Loans serviced by GMAC pursuant to the terms of this Agreement,
        as
        specified on the Mortgage Loan Schedule, which shall include the GreenPoint
        Mortgage Loans on and after the Servicing Transfer Date.

       

      “GMAC
        Servicing Fee Rate”:
        With
        respect to each GMAC Mortgage Loan, 0.18% per annum.

       

      “GreenPoint”:
        GreenPoint Mortgage Funding, Inc., and any successor thereto.

       

      “GreenPoint
        Mortgage Loans”:
        The
        Mortgage Loans being serviced by the GreenPoint from the period beginning
        on the
        Closing Date and ending on the Servicing Transfer Date.

       

      “GreenPoint
        Servicing Agreement”:
        The
        Amended and Restated Master Mortgage Loan Purchase and Servicing Agreement,
        dated as of January 1, 2005, as amended by Amendment Number One, dated as
        of
        April 8, 2005, Amendment Number Two, dated as of June 30, 2005, Amendment
        Number
        Three, dated as of October 7, 2005, Amendment Number Four, dated as of March
        7,
        2006 and Amendment Number Five, dated as of June 9, 2006, each between the
        Sponsor and GreenPoint, as modified by the Assignment Agreement.

       

      “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. When used with
        respect to any specified Person, any such Person who (a) is in fact independent
        of the Depositor, the Master Servicer, the Securities Administrator, the
        Servicer, the Sponsor, any originator and their respective Affiliates, (b)
        does
        not have any direct financial interest in or any material indirect financial
        interest in the Depositor, the Master Servicer, the Securities Administrator,
        the Servicer, the Sponsor, any originator or any Affiliate thereof, (c) is
        not
        connected with the Depositor, the Master Servicer, the Securities Administrator,
        the Servicer, the Sponsor, any originator or any Affiliate thereof 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 on clause (b) or (c) above. 

       

      “Independent
        Contractor”:
        Either
        (i) any Person (other than the Servicer) that would be an “independent
        contractor” with respect to REMIC I within the meaning of Section 856(d)(3)
        of the Code if REMIC I were a real estate investment trust (except that the
        ownership tests set forth in that section shall be considered to be met by
        any
        Person that owns, directly or indirectly, 35% or more of any Class of
        Certificates), so long as REMIC I does not receive or derive any income from
        such Person and provided that the relationship between such Person and REMIC
        I
        is at arm’s length, all within the meaning of Treasury Regulation
        Section 1.856-4(b)(5), or (ii) any other Person (including the Servicer) if
        the Trustee has received an Opinion of Counsel to the effect that the taking
        of
        any action in respect of any REO Property by such Person, subject to any
        conditions therein specified, that is otherwise herein contemplated to be
        taken
        by an Independent Contractor will not cause such REO Property to cease to
        qualify as “foreclosure property” within the meaning of Section 860G(a)(8)
        of the Code (determined without regard to the exception applicable for purposes
        of Section 860D(a) of the Code), or cause any income realized in respect of
        such REO Property to fail to qualify as Rents from Real Property.

       

      “Insurance
        Proceeds”:
        Proceeds of any title policy, hazard policy or other insurance policy, covering
        a Mortgage Loan or the related Mortgaged Property, to the extent such proceeds
        are not to be applied to the restoration of the related Mortgaged Property
        or
        released to the Mortgagor or a senior lienholder in accordance with Accepted
        Servicing Practices, subject to the terms and conditions of the related Mortgage
        Note and Mortgage.

       

      “Interest
        Accrual Period”:
        With
        respect to any Distribution Date and the Floating Rate Certificates, the
        period
        commencing on the Distribution Date of the month immediately preceding the
        month
        in which such Distribution Date occurs (or, in the case of the first
        Distribution Date, commencing on the Closing Date) and ending on the day
        preceding such Distribution Date. With respect to any Distribution Date and
        the
        Fixed Rate Certificates, the Class CE-1 Certificates and the Class CE-2
        Certificates and the REMIC II Regular Interests, the one-month period commencing
        on the first day of the month prior to the month in which the Distribution
        Date
        occurs and ending on the last day of the calendar month immediately preceding
        the month in which such Distribution Date occurs.

       

      “Interest
        Carry Forward Amount”:
        With
        respect to any Distribution Date and any Class A Certificate or Mezzanine
        Certificate, the sum of (i) the amount, if any, by which (a) the Interest
        Distribution Amount for such Class as of the immediately preceding Distribution
        Date exceeded (b) the actual amount distributed on such Class in respect
        of
        interest on such immediately preceding Distribution Date and (ii) the amount
        of
        any Interest Carry Forward Amount for such Class remaining unpaid from the
        previous Distribution Date, plus accrued interest on such sum calculated
        at the
        related Pass-Through Rate for the most recently ended Interest Accrual
        Period.

       

      “Interest
        Determination Date”:
        With
        respect to the Floating Rate Certificates and REMIC II Regular Interest A-1,
        REMIC II Regular Interest A-2, REMIC II Regular Interest M-4, REMIC II Regular
        Interest M-5, REMIC II Regular Interest M-7, REMIC II Regular Interest M-8,
        REMIC II Regular Interest M-9 and REMIC II Regular Interest M-10 and any
        Interest Accrual Period therefor, the second London Business Day preceding
        the
        commencement of such Interest Accrual Period.

       

      “Interest
        Distribution Amount”:
        With
        respect to any Distribution Date and any Class A Certificates, any Mezzanine
        Certificates and any Class CE-1 Certificates, the aggregate Accrued Certificate
        Interest on the Certificates of such Class for such Distribution
        Date.

       

      “Interest
        Remittance Amount”:
        With
        respect to any Distribution Date, that portion of the Available Distribution
        Amount for such Distribution Date that represents interest received or advanced
        on the Mortgage Loans (net of the Administration Fees and any Prepayment
        Charges
        and after taking into account amounts payable or reimbursable to the Trustee,
        the Custodians, the Securities Administrator, the Credit Risk Manager, the
        Master Servicer or the Servicer pursuant to this Agreement or the Custodial
        Agreements).

       

      “Last
        Scheduled Distribution Date”:
        The
        Distribution Date in September 2036, which is the Distribution Date immediately
        following the maturity date for the Mortgage Loan with the latest maturity
        date.

       

      “Late
        Collections”:
        With
        respect to any Mortgage Loan and any Due Period, all amounts received subsequent
        to the Determination Date immediately following such Due Period with respect
        to
        such Mortgage Loan, whether as late payments of Monthly Payments or as Insurance
        Proceeds, Liquidation Proceeds 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.

       

      “Liquidated
        Mortgage Loan”:
        A
        Liquidated Mortgage Loan is a Mortgage Loan that was liquidated and for which
        the Servicer has determined that it has received all amounts it expects to
        receive in connection with such liquidation, including payments under any
        related private mortgage insurance policy, hazard insurance policy or any
        condemnation proceeds and amounts received in connection with the final
        disposition of the related REO Property.

       

      “Liquidation
        Event”:
        With
        respect to any Mortgage Loan, any of the following events: (i) such Mortgage
        Loan is paid in full; (ii) a Final Recovery Determination is made as to such
        Mortgage Loan or (iii) such Mortgage Loan is removed from REMIC I by reason
        of
        its being purchased, sold or replaced pursuant to or as contemplated by
        Section 2.03, Section 3.13(c) or Section 10.01 of this Agreement.
        With respect to any REO Property, either of the following events: (i) a Final
        Recovery Determination is made as to such REO Property or (ii) such REO Property
        is removed from REMIC I by reason of its being purchased pursuant to
        Section 10.01 of this Agreement.

       

      “Liquidation
        Proceeds”:
        The
        amount (other than Insurance Proceeds, amounts received in respect of the
        rental
        of any REO Property prior to REO Disposition, or required to be released
        to a
        Mortgagor or a senior lienholder in accordance with applicable law or the
        terms
        of the related Mortgage Loan Documents) received by the Servicer in connection
        with (i) the taking of all or a part of a Mortgaged Property by exercise
        of the
        power of eminent domain or condemnation (other than amounts required to be
        released to the Mortgagor or a senior lienholder), (ii) the liquidation of
        a
        defaulted Mortgage Loan through a trustee’s sale, foreclosure sale or otherwise,
        (iii) the repurchase, substitution or sale of a Mortgage Loan or an REO Property
        pursuant to or as contemplated by Section 2.03, Section 3.13(c),
        Section 3.21 or Section 10.01 of this Agreement or (iv) any Subsequent
        Recoveries. 

       

      “Loan-to-Value
        Ratio”:
        As of
        any date of determination, the fraction, expressed as a percentage, the
        numerator of which is the principal balance of the related Mortgage Loan
        at such
        date and the denominator of which is the Value of the related Mortgaged
        Property.

       

      “London
        Business Day”:
        Any
        day on which banks in the Cities of London and New York are open and conducting
        transactions in United States dollars.

       

      “Loss
        Severity Percentage”:
        With
        respect to any Distribution Date, the percentage equivalent of a fraction,
        the
        numerator of which is the amount of Realized Losses incurred on a Mortgage
        Loan
        and the denominator of which is the principal balance of such Mortgage Loan
        immediately prior to the liquidation of such Mortgage Loan.

       

      “Marker
        Rate”:
        With
        respect to the Class CE-1 Certificates and any Distribution Date, a per annum
        rate equal to two (2) times the weighted average of the REMIC II Remittance
        Rate
        for each of REMIC II Regular Interest A-1, REMIC II Regular Interest A-2,
        REMIC
        II Regular Interest A-3, REMIC II Regular Interest M-1, REMIC II Regular
        Interest M-2, REMIC II Regular Interest M-3, REMIC II Regular Interest M-4,
        REMIC II Regular Interest M-5, REMIC II Regular Interest M-6, REMIC II Regular
        Interest M-7, REMIC II Regular Interest M-8, REMIC II Regular Interest M-9,
        REMIC II Regular Interest M-10 and REMIC II Regular Interest ZZ, with the
        rate
        on each such REMIC II Regular Interest (other than REMIC II Regular Interest
        ZZ)
        subject to a cap equal to the related Pass-Through Rate for the corresponding
        Certificate for the purpose of this calculation for such Distribution Date
        and
        with the rate on REMIC II Regular Interest ZZ subject to a cap of zero for
        the
        purpose of this calculation; provided however, the cap for each REMIC II
        Regular
        Interest (other than REMIC II Regular Interest A-3, REMIC II Regular Interest
        M-1, REMIC II Regular Interest M-2, REMIC II Regular Interest M-3, REMIC
        II
        Regular Interest M-6 and REMIC II Regular Interest ZZ) shall be multiplied
        by a
        fraction the numerator of which is the actual number of days in the related
        Interest Accrual Period and the denominator of which is thirty
        (30).

       

      “Master
        Servicer”:
        As of
        the Closing Date, Wells Fargo Bank, National Association and thereafter,
        its
        respective successors in interest who meet the qualifications of this Agreement.
        The Master Servicer and the Securities Administrator shall at all times be
        the
        same Person or an Affiliate.

       

      “Master
        Servicer Event of Default”:
        One or
        more of the events described in Section 8.01(b) of this
        Agreement.

       

      “Master
        Servicing Fee”:
        With
        respect to each Mortgage Loan and for any calendar month, an amount equal
        to one
        twelfth of the product of the Master Servicing Fee Rate multiplied by the
        Scheduled Principal Balance of the Mortgage Loans as of the Due Date in the
        preceding calendar month.

       

      “Master
        Servicing Fee Rate”:
        0.0160% per annum.

       

      “Maximum
        II-ZZ Uncertificated Interest Deferral Amount”:
        With
        respect to any Distribution Date, the excess of (i) accrued interest at the
        REMIC II Remittance Rate applicable to REMIC II Regular Interest ZZ for such
        Distribution Date on a balance equal to the Uncertificated Balance of REMIC
        II
        Regular Interest ZZ minus the REMIC II Overcollateralization Amount, in each
        case for such Distribution Date, over (ii) Uncertificated Interest on REMIC
        II
        Remittance Rate for each of REMIC II Regular Interest A-1, REMIC II Regular
        Interest A-2, REMIC II Regular Interest A-3, REMIC II Regular Interest M-1,
        REMIC II Regular Interest M-2, REMIC II Regular Interest M-3, REMIC II Regular
        Interest M-4, REMIC II Regular Interest M-5, REMIC II Regular Interest M-6,
        REMIC II Regular Interest M-7, REMIC II Regular Interest M-8, REMIC II Regular
        Interest M-9 and REMIC II Regular Interest M-10, for such Distribution Date,
        with the rate on each such REMIC II Regular Interest subject to a cap equal
        to
        the related Pass-Through Rate for the corresponding Certificate for the purpose
        of this calculation for such Distribution Date; provided however, the cap
        for
        each such REMIC II Regular Interest (other than REMIC II Regular Interest
        A-3,
        REMIC II Regular Interest M-1, REMIC II Regular Interest M-2, REMIC II Regular
        Interest M-3 and REMIC II Regular Interest M-6) shall be multiplied by a
        fraction the numerator of which is the actual number of days in the related
        Interest Accrual Period and the denominator of which is thirty
        (30).

       

      “MERS”:
        Mortgage Electronic Registration Systems, Inc., a corporation organized and
        existing under the laws of the State of Delaware, or any successor
        thereto.

       

      “MERS®
        System”:
        The
        system of recording transfers of mortgages electronically maintained by
        MERS.

       

      “Mezzanine
        Certificate”:
        Any
        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 or Class M-10 Certificate.

       

      “MIN”:
        The
        Mortgage Identification Number for Mortgage Loans registered with MERS on
        the
        MERS® System.

       

      “MOM
        Loan”:
        With
        respect to any Mortgage Loan, MERS acting as the mortgagee of such Mortgage
        Loan, solely as nominee for the originator of such Mortgage Loan and its
        successors and assigns, at the origination thereof.

       

      “Monthly
        Payment”:
        With
        respect to any Mortgage Loan, the scheduled monthly payment of principal
        and
        interest on such Mortgage Loan which is payable by the related Mortgagor
        from
        time to time under the related Mortgage Note, determined: (a) after giving
        effect to (i) any Deficient Valuation and/or Debt Service Reduction with
        respect
        to such Mortgage Loan and (ii) any reduction in the amount of interest
        collectible from the related Mortgagor pursuant to the Relief Act or similar
        state or local laws; (b) without giving effect to any extension granted or
        agreed to by the Servicer pursuant to Section 3.01 of this Agreement; and
        (c) on the assumption that all other amounts, if any, due under such Mortgage
        Loan are paid when due.

       

      “Moody’s”:
        Moody’s Investors Service, Inc. or any successor interest.

       

      “Mortgage”:
        The
        mortgage, deed of trust or other instrument creating a second lien on, or
        second
        priority security interest in, a Mortgaged Property securing a Mortgage
        Note.

       

      “Mortgage
        File”:
        The
        Mortgage Loan Documents pertaining to a particular Mortgage Loan.

       

      “Mortgage
        Loan”:
        Each
        mortgage loan transferred and assigned to the Trustee and the Mortgage Loan
        Documents for which have been delivered to the related Custodian pursuant
        to
        Section 2.01 of this Agreement and pursuant to the applicable Custodial
        Agreement, as held from time to time as a part of the Trust Fund, the Mortgage
        Loans so held being identified in the Mortgage Loan Schedule. 

       

      “Mortgage
        Loan Documents”:
        The
        documents evidencing or relating to each Mortgage Loan delivered to the
        Custodians under the Custodial Agreements on behalf of the Trustee.

       

      “Mortgage
        Loan Purchase Agreement”:
        Shall
        mean the Mortgage Loan Purchase Agreement dated as of August 29, 2006, between
        the Depositor and the Sponsor, a copy of which is attached hereto as
Exhibit
        F.

       

      “Mortgage
        Loan Schedule”:
        As of
        any date, the list of Mortgage Loans included in REMIC I on such date, attached
        hereto as Schedule 1. The Depositor shall deliver or cause the delivery of
        the
        initial Mortgage Loan Schedule to the Servicer, the Master Servicer, the
        Custodians and the Trustee on the Closing Date. The Mortgage Loan Schedule
        shall
        set forth the following information with respect to each Mortgage
        Loan:

       

      (i)  the
        Mortgage Loan identifying number;

       

      (ii)  the
        Mortgagor’s first and last name;

       

      (iii)  the
        street address of the Mortgaged Property including the state and zip
        code;

       

      (iv)  a
        code
        indicating whether the Mortgaged Property is owner-occupied;

       

      (v)  the
        type
        of Residential Dwelling constituting the Mortgaged Property;

       

      (vi)  the
        original months to maturity;

       

      (vii)  the
        original date of the Mortgage Loan and the remaining months to maturity from
        the
        Cut-off Date, based on the original amortization schedule;

       

      (viii)  the
        Loan-to-Value Ratio at origination;

       

      (ix)  the
        Mortgage Rate in effect immediately following the Cut-off Date;

       

      (x)  the
        date
        on which the first Monthly Payment was due on the Mortgage Loan;

       

      (xi)  the
        stated maturity date;

       

      (xii)  the
        amount of the Monthly Payment at origination;

       

      (xiii)  the
        amount of the Monthly Payment as of the Cut-off Date;

       

      (xiv)  the
        last
        Due Date on which a Monthly Payment was actually applied to the unpaid Stated
        Principal Balance;

       

      (xv)  the
        original principal amount of the Mortgage Loan;

       

      (xvi)  the
        Stated Principal Balance of the Mortgage Loan as of the close of business
        on the
        Cut-off Date;

       

      (xvii)  a
        code
        indicating the purpose of the loan (i.e., purchase financing, rate/term
        refinancing, cash-out refinancing);

       

      (xviii)  the
        Mortgage Rate at origination;

       

      (xix)  the
        date
        on which the first Monthly Payment was due on the Mortgage Loan and, if such
        date is not consistent with the Due Date currently in effect, such Due
        Date;

       

      (xx)  a
        code
        indicating the documentation style (i.e., full, stated or limited);

       

      (xxi)  a
        code
        indicating if the Mortgage Loan is subject to a primary insurance policy
        or
        lender paid mortgage insurance policy and the name of the insurer and, if
        applicable, the rate payable in connection therewith;

       

      (xxii)  the
        Appraised Value of the Mortgaged Property;

       

      (xxiii)  the
        sale
        price of the Mortgaged Property, if applicable;

       

      (xxiv)  a
        code
        indicating whether the Mortgage Loan is subject to a Prepayment Charge, the
        term
        of such Prepayment Charge and the amount of such Prepayment Charge;

       

      (xxv)  the
        product type (e.g., 2/28, 15 year fixed, 30 year fixed, 15/30 balloon,
        etc.);

       

      (xxvi)  the
        Mortgagor’s debt to income ratio; 

       

      (xxvii)  the
        FICO
        score at origination; 

       

      (xxviii)  the
        Servicer; and 

       

      (xxix)  the
        applicable Custodian.

       

      The
        Mortgage Loan Schedule shall set forth the following information with respect
        to
        the Mortgage Loans in the aggregate as of the Cut-off Date: (1) the number
        of
        Mortgage Loans; (2) the current principal balance of the Mortgage Loans;
        (3) the
        weighted average Mortgage Rate of the Mortgage Loans; and (4) the weighted
        average maturity of the Mortgage Loans. The Mortgage Loan Schedule shall
        be
        amended from time to time by the Depositor in accordance with the provisions
        of
        this Agreement. With respect to any Qualified Substitute Mortgage Loan, the
        Cut-off Date shall refer to the related Cut-off Date for such Mortgage Loan,
        determined in accordance with the definition of Cut-off Date
        herein.

       

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

       

      “Mortgage
        Rate”:
        With
        respect to each Mortgage Loan, the annual rate at which interest accrues
        on such
        Mortgage Loan from time to time in accordance with the provisions of the
        related
        Mortgage Note. With respect to each Mortgage Loan that becomes an REO Property,
        as of any date of determination, the annual rate determined in accordance
        with
        the immediately preceding sentence as of the date such Mortgage Loan became
        an
        REO Property.

       

      “Mortgaged
        Property”:
        The
        underlying property securing a Mortgage Loan, including any REO Property,
        consisting of an Estate in Real Property improved by a Residential
        Dwelling.

       

      “Mortgagor”:
        The
        obligor on a Mortgage Note.

       

      “Net
        Monthly Excess Cashflow”:
        With
        respect to any Distribution Date, the sum of (i) any Overcollateralization
        Reduction Amount for such Distribution Date and (ii) the excess of (x) the
        Available Distribution Amount for such Distribution Date over (y) the sum
        for
        such Distribution Date of (A) the aggregate Senior Interest Distribution
        Amounts
        payable to the Holders of the Class A Certificates, (B) the aggregate Interest
        Distribution Amounts payable to the holders of the Mezzanine Certificates,
        (C)
        the Principal Remittance Amount and (D) any Net Swap Payment or Swap Termination
        Payment (not caused by the occurrence of a Swap Provider Trigger Event) owed
        to
        the Swap Provider.

       

      “Net
        Mortgage Rate”:
        With
        respect to any Mortgage Loan (or the related REO Property) as of any date
        of
        determination, a per annum rate of interest equal to the then applicable
        Mortgage Rate for such Mortgage Loan minus the Administration Fee
        Rate.

       

      “Net
        Swap Payment”:
        With
        respect to each Distribution Date, the net payment required to be made pursuant
        to the terms of the Swap Agreement by either the Swap Provider or the
        Supplemental Interest Trust, which net payment shall not take into account
        any
        Swap Termination Payment.

       

      “Net
        WAC Pass-Through Rate”:
        For
        any Distribution Date and the Offered Certificates, a rate per annum (adjusted,
        with respect to the Floating Rate Certificates, for the actual number of
        days
        elapsed in the related Interest Accrual Period) equal to the product of (i)
        twelve and (ii) a fraction, expressed as a percentage, the numerator of which
        is
        the amount of interest which accrued on the Mortgage Loans in the prior calendar
        month minus the Administration Fees for such Distribution Date and the Net
        Swap
        Payment payable to the Swap Provider and Swap Termination Payment payable
        to the
        Swap Provider which was not caused by the occurrence of a Swap Provider Trigger
        Event, in each case for such Distribution Date and the denominator of which
        is
        the aggregate principal balance of the Mortgage Loans as of the last day
        of the
        immediately preceding Due Period (or as of the Cut-off Date with respect
        to the
        first Distribution Date), after giving effect to Principal Prepayments received
        during the related Prepayment Period. For federal income tax purposes, such
        rate
        shall be a rate per annum (which rate shall be multiplied by a fraction with
        respect to the Floating Rate Certificates, the numerator of which is equal
        to 30
        and the denominator of which is actual number of days elapsed in the related
        Interest Accrual Period) equal to the weighted average of the REMIC II
        Remittance Rates on the REMIC II Regular Interests (other than REMIC II Regular
        Interest IO and REMIC II Regular Interest CE-2), weighted on the basis of
        the
        Uncertificated Balance of each such REMIC II Regular Interest, and the treatment
        of the Class IO Distribution Amount and Swap Termination Payments is described
        in Sections 5.07 and 5.08 hereof.

       

      “Net
        WAC Rate Carryover Amount”:
        With
        respect to any Class A Certificate or Mezzanine Certificate and any Distribution
        Date on which the Pass-Through Rate is limited to the applicable Net WAC
        Pass-Through Rate, an amount equal to the sum of (i) the excess of (x) the
        amount of interest such Class would have been entitled to receive on such
        Distribution Date had the applicable Net WAC Pass-Through Rate not been
        applicable to such Class on such Distribution Date over (y) the amount of
        interest paid to such Class on such Distribution Date at the applicable Net
        WAC
        Pass-Through Rate plus (ii) the related Net WAC Rate Carryover Amount for
        the
        previous Distribution Date not previously distributed to such Class together
        with interest thereon at a rate equal to the Pass-Through Rate for such Class
        for the most recently ended Interest Accrual Period without taking into account
        the applicable Net WAC Pass-Through Rate.

       

      “New
        Lease”:
        Any
        lease of REO Property entered into on behalf of REMIC I, including any lease
        renewed or extended on behalf of REMIC I, if REMIC I has the right to
        renegotiate the terms of such lease.

       

      “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 of the Servicer
        or a successor to the Servicer (including the Master Servicer) will not or,
        in
        the case of a proposed P&I Advance, would not be ultimately recoverable from
        related Late Collections, Insurance Proceeds or Liquidation Proceeds on such
        Mortgage Loan or REO Property as provided herein.

       

      “Nonrecoverable
        Servicing Advance”:
        Any
        Servicing Advance previously made or proposed to be made in respect of a
        Mortgage Loan or REO Property that, in the good faith business judgment of
        the
        Servicer, will not or, in the case of a proposed Servicing Advance, would
        not be
        ultimately recoverable from related Late Collections, Insurance Proceeds
        or
        Liquidation Proceeds on such Mortgage Loan or REO Property as provided
        herein.

       

      “Non-United
        States Person”:
        Any
        Person other than a United States Person.

       

      “Notional
        Amount”:
        With
        respect to the Class CE-1 Certificates and any Distribution Date, the
        Uncertificated Balance of the REMIC II Regular Interests (other than REMIC
        II
        Regular Interest P) for such Distribution Date. As of the Closing Date, the
        Notional Amount of the Class CE-1 Certificates is equal to
        $344,592,103.48.

       

      With
        respect to the Class CE-2 Certificates and any Distribution Date, the Notional
        Amount of the REMIC II Regular Interest CE-2 for such Distribution Date.
        

       

      With
        respect to the REMIC II Regular Interest CE-2 and any Distribution Date,
        the
        Notional Amount of the REMIC I Regular Interest I-CE-2. 

       

      With
        respect to REMIC I Regular Interest I-CE-2 and any Distribution Date, the
        sum of
        the aggregate principal balances of the GMAC Mortgage Loans for such
        Distribution Date.

       

      With
        respect to REMIC II Regular Interest IO and each Distribution Date listed
        below,
        the aggregate Uncertificated Balance of the REMIC I Regular Interests ending
        with the designation “A” listed below:

       

      
        	
                Distribution
                  Date

              	
                REMIC
                  I Regular Interests

              
	
                1

              	
                I-1-A
                  through I-64-A

              
	
                2

              	
                I-2-A
                  through I-64-A

              
	
                3

              	
                I-3-A
                  through I-64-A

              
	
                4

              	
                I-4-A
                  through I-64-A

              
	
                5

              	
                I-5-A
                  through I-64-A

              
	
                6

              	
                I-6-A
                  through I-64-A

              
	
                7

              	
                I-7-A
                  through I-64-A

              
	
                8

              	
                I-8-A
                  through I-64-A

              
	
                9

              	
                I-9-A
                  through I-64-A

              
	
                10

              	
                I-10-A
                  through I-64-A

              
	
                11

              	
                I-11-A
                  through I-64-A

              
	
                12

              	
                I-12-A
                  through I-64-A

              
	
                13

              	
                I-13-A
                  through I-64-A

              
	
                14

              	
                I-14-A
                  through I-64-A

              
	
                15

              	
                I-15-A
                  through I-64-A

              
	
                16

              	
                I-16-A
                  through I-64-A

              
	
                17

              	
                I-17-A
                  through I-64-A

              
	
                18

              	
                I-18-A
                  through I-64-A

              
	
                19

              	
                I-19-A
                  through I-64-A

              
	
                20

              	
                I-20-A
                  through I-64-A

              
	
                21

              	
                I-21-A
                  through I-64-A

              
	
                22

              	
                I-22-A
                  through I-64-A

              
	
                23

              	
                I-23-A
                  through I-64-A

              
	
                24

              	
                I-24-A
                  through I-64-A

              
	
                25

              	
                I-25-A
                  through I-64-A

              
	
                26

              	
                I-26-A
                  through I-64-A

              
	
                27

              	
                I-27-A
                  through I-64-A

              
	
                28

              	
                I-28-A
                  through I-64-A

              
	
                29

              	
                I-29-A
                  through I-64-A

              
	
                30

              	
                I-30-A
                  through I-64-A

              
	
                31

              	
                I-31-A
                  through I-64-A

              
	
                32

              	
                I-32-A
                  through I-64-A

              
	
                33

              	
                I-33-A
                  through I-64-A

              
	
                34

              	
                I-34-A
                  through I-64-A

              
	
                35

              	
                I-35-A
                  through I-64-A

              
	
                36

              	
                I-36-A
                  through I-64-A

              
	
                37

              	
                I-37-A
                  through I-64-A

              
	
                38

              	
                I-38-A
                  through I-64-A

              
	
                39

              	
                I-39-A
                  through I-64-A

              
	
                40

              	
                I-40-A
                  through I-64-A

              
	
                41

              	
                I-41-A
                  through I-64-A

              
	
                42

              	
                I-42-A
                  through I-64-A

              
	
                43

              	
                I-43-A
                  through I-64-A

              
	
                44

              	
                I-44-A
                  through I-64-A

              
	
                45

              	
                I-45-A
                  through I-64-A

              
	
                46

              	
                I-46-A
                  through I-64-A

              
	
                47

              	
                I-47-A
                  through I-64-A

              
	
                48

              	
                I-48-A
                  through I-64-A

              
	
                49

              	
                I-49-A
                  through I-64-A

              
	
                50

              	
                I-50-A
                  through I-64-A

              
	
                51

              	
                I-51-A
                  through I-64-A

              
	
                52

              	
                I-52-A
                  through I-64-A

              
	
                53

              	
                I-53-A
                  through I-64-A

              
	
                54

              	
                I-54-A
                  through I-64-A

              
	
                55

              	
                I-55-A
                  through I-64-A

              
	
                56

              	
                I-56-A
                  through I-64-A

              
	
                57

              	
                I-57-A
                  through I-64-A

              
	
                58

              	
                I-58-A
                  through I-64-A

              
	
                59

              	
                I-59-A
                  through I-64-A

              
	
                60

              	
                I-60-A
                  through I-64-A

              
	
                61

              	
                I-61-A
                  through I-64-A

              
	
                62

              	
                I-62-A
                  through I-64-A

              
	
                63

              	
                I-63-A
                  and I-64-A

              
	
                64

              	
                I-64-A

              
	
                thereafter

              	
                $0.00

              

      

      

      With
        respect to the Class IO Interest and any Distribution Date, an amount equal
        to
        the Notional Amount of the REMIC II Regular Interest IO.

       

      “Offered
        Certificates”:
        The
        Class A Certificates and the Mezzanine Certificates, collectively.

       

      “Officer’s
        Certificate”:
        With
        respect to any Person, a certificate signed by the Chairman of the Board,
        the
        Vice Chairman of the Board, the President or a vice president (however
        denominated), or by the Treasurer, the Secretary, or one of the assistant
        treasurers or assistant secretaries of such Person (or, in the case of a
        Person
        that is not a corporation, signed by a person or persons having like
        responsibilities).

       

      “One-Month
        LIBOR”:
        With
        respect to the Floating Rate Certificates and REMIC II Regular Interest A-1,
        REMIC II Regular Interest A-2, REMIC II Regular Interest M-4, REMIC II Regular
        Interest M-5, REMIC II Regular Interest M-7, REMIC II Regular Interest M-8,
        REMIC II Regular Interest M-9 and REMIC II Regular Interest M-10 and any
        Interest Accrual Period therefor, the rate determined by the Securities
        Administrator on the related Interest 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 Interest Determination
        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 offered rates of the
        Reference Banks for one-month U.S. dollar deposits, as of 11:00 a.m. (London
        time) on such Interest Determination Date. In such event, the Securities
        Administrator will request the principal London office of each of the Reference
        Banks to provide a quotation of its rate. If on such Interest Determination
        Date, two or more Reference Banks provide such offered quotations, One-Month
        LIBOR for the related Interest Accrual Period shall be the arithmetic mean
        of
        such offered quotations (rounded upwards if necessary to the nearest whole
        multiple of 1/16). If on such Interest Determination Date, fewer than two
        Reference Banks provide such offered quotations, One-Month LIBOR for the
        related
        Interest Accrual Period shall be the higher of (i) LIBOR as determined on
        the
        previous Interest Determination Date and (ii) the Reserve Interest Rate.
        Notwithstanding the foregoing, if, under the priorities described above,
        LIBOR
        for an Interest Determination Date would be based on LIBOR for the previous
        Interest Determination Date for the third consecutive Interest Determination
        Date, the Securities Administrator shall select an alternative comparable
        index
        (over which the Securities Administrator has no control), used for determining
        one-month Eurodollar lending rates that is calculated and published (or
        otherwise made available) by an independent party. The establishment of
        One-Month LIBOR by the Securities Administrator and the Securities
        Administrator’s subsequent calculation of the One-Month LIBOR Pass-Through Rates
        for the relevant Interest Accrual Period, shall, in the absence of manifest
        error, be final and binding.

       

      “One-Month
        LIBOR Pass-Through Rate”:
        With
        respect to the Class A-1 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest A-1, a per annum rate equal to
        One-Month LIBOR plus the Certificate Margin.

       

      With
        respect to the Class A-2 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest A-2, a per annum rate equal to
        One-Month LIBOR plus the related Certificate Margin.

       

      With
        respect to the Class M-4 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-4, a per annum rate equal to
        One-Month LIBOR plus the related Certificate Margin.

       

      With
        respect to the Class M-5 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-5, a per annum rate equal to
        One-Month LIBOR plus the related Certificate Margin.

       

      With
        respect to the Class M-7 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-7, a per annum rate equal to
        One-Month LIBOR plus the related Certificate Margin.

       

      With
        respect to the Class M-8 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-8, a per annum rate equal to
        One-Month LIBOR plus the related Certificate Margin.

       

      With
        respect to the Class M-9 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-9, a per annum rate equal to
        One-Month LIBOR plus the related Certificate Margin.

       

      With
        respect to the Class M-10 Certificates and, for purposes of the definition
        of
“Marker Rate”, REMIC II Regular Interest M-10, a per annum rate equal to
        One-Month LIBOR plus the related Certificate Margin.

       

      “Opinion
        of Counsel”:
        A
        written opinion of counsel, who may, without limitation, be salaried counsel
        for
        the Depositor, the Servicer, the Securities Administrator or the Master
        Servicer, acceptable to the Trustee, except that any opinion of counsel relating
        to (a) the qualification of any REMIC as a REMIC or (b) compliance with the
        REMIC Provisions must be an opinion of Independent counsel.

       

      “Optional
        Termination Date”:
        The
        Distribution Date on which the aggregate principal balance of the Mortgage
        Loans
        (and properties acquired in respect thereof) remaining in the Trust Fund
        is
        equal to or less than 10% of the aggregate principal balance of the Mortgage
        Loans as of the Cut-off Date.

       

      “Overcollateralization
        Amount”:
        With
        respect to any Distribution Date, the excess, if any, of (a) the aggregate
        Stated Principal Balances of the Mortgage Loans and REO Properties immediately
        following such Distribution Date over (b) the sum of the aggregate Certificate
        Principal Balances of the Class A Certificates, the Mezzanine Certificates
        and
        the Class P Certificates as of such Distribution Date (after taking into
        account
        the payment of the Principal Remittance Amount on such Distribution
        Date).

       

      “Overcollateralization
        Increase Amount”:
        With
        respect to any Distribution Date, the amount of Net Monthly Excess Cashflow
        actually applied as an accelerated payment of principal to the Class A
        Certificates and the Mezzanine Certificates then entitled to distributions
        of
        principal to the extent the Required Overcollateralization Amount exceeds
        the
        Overcollateralization Amount.

       

      “Overcollateralization
        Reduction Amount”:
        With
        respect to any Distribution Date, is the lesser of (i) the amount by which
        the
        Overcollateralization Amount exceeds the Required Overcollateralization Amount
        and (ii) the Principal Remittance Amount; provided however that on any
        Distribution Date on which a Trigger Event is in effect, the
        Overcollateralization Reduction Amount shall equal zero.

       

      “Ownership
        Interest”:
        As to
        any Certificate, any ownership or security 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, as owner
        or
        as pledgee.

       

      “P&I
        Advance”:
        As to
        any Mortgage Loan or REO Property, any advance made by the Servicer in respect
        of any Determination Date pursuant to Section 5.03 of this Agreement, an
        Advance Financing Person pursuant to Section 3.25 of this Agreement or in
        respect of any Distribution Date by a successor Servicer (including the Master
        Servicer) pursuant to Section 8.02 of this Agreement (which advances shall
        not include principal or interest shortfalls due to bankruptcy proceedings
        or
        application of the Relief Act or similar state or local laws).

       

      “Pass-Through
        Rate”:
        With
        respect to the Class A-1 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) the One-Month LIBOR Pass-Through Rate for
        such
        Distribution Date and (ii) the Net WAC Pass-Through Rate for such Distribution
        Date.

       

      With
        respect to the Class A-2 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) the One-Month LIBOR Pass-Through Rate for
        such
        Distribution Date and (ii) the Net WAC Pass-Through Rate for such Distribution
        Date.

       

      With
        respect to the Class A-3 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) 6.140% in the case of each Distribution
        Date
        through and including the Optional Termination Date, or 6.640% in the case
        of
        any Distribution Date thereafter and (ii) the Net WAC Pass-Through Rate for
        such
        Distribution Date.

       

      With
        respect to the Class M-1 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) 6.190% in the case of each Distribution
        Date
        through and including the Optional Termination Date, or 6.690% in the case
        of
        any Distribution Date thereafter and (ii) the Net WAC Pass-Through Rate for
        such
        Distribution Date.

       

      With
        respect to the Class M-2 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) 6.230% in the case of each Distribution
        Date
        through and including the Optional Termination Date, or 6.730% in the case
        of
        any Distribution Date thereafter and (ii) the Net WAC Pass-Through Rate for
        such
        Distribution Date.

       

      With
        respect to the Class M-3 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) 6.270% in the case of each Distribution
        Date
        through and including the Optional Termination Date, or 6.770% in the case
        of
        any Distribution Date thereafter and (ii) the Net WAC Pass-Through Rate for
        such
        Distribution Date.

       

      With
        respect to the Class M-4 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) the One-Month LIBOR Pass-Through Rate for
        such
        Distribution Date and (ii) the Net WAC Pass-Through Rate for such Distribution
        Date.

       

      With
        respect to the Class M-5 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) the One-Month LIBOR Pass-Through Rate for
        such
        Distribution Date and (ii) the Net WAC Pass-Through Rate for such Distribution
        Date.

       

      With
        respect to the Class M-6 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) 6.500% in the case of each Distribution
        Date
        through and including the Optional Termination Date, or 7.000% in the case
        of
        any Distribution Date thereafter and (ii) the Net WAC Pass-Through Rate for
        such
        Distribution Date.

       

      With
        respect to the Class M-7 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) the One-Month LIBOR Pass-Through Rate for
        such
        Distribution Date and (ii) the Net WAC Pass-Through Rate for such Distribution
        Date.

       

      With
        respect to the Class M-8 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) the One-Month LIBOR Pass-Through Rate for
        such
        Distribution Date and (ii) the Net WAC Pass-Through Rate for such Distribution
        Date.

       

      With
        respect to the Class M-9 Certificates and any Distribution Date, a rate per
        annum equal to the lesser of (i) the One-Month LIBOR Pass-Through Rate for
        such
        Distribution Date and (ii) the Net WAC Pass-Through Rate for such Distribution
        Date.

       

      With
        respect to the Class M-10 Certificates and any Distribution Date, a rate
        per
        annum equal to the lesser of (i) the One-Month LIBOR Pass-Through Rate for
        such
        Distribution Date and (ii) the Net WAC Pass-Through Rate for such Distribution
        Date.

       

      With
        respect to the Class CE-1 Certificates and any Distribution Date, a rate
        per
        annum equal to the percentage equivalent of a fraction, the numerator of
        which
        is the sum of the amounts calculated pursuant to clauses (i) through (xv)
        below,
        and the denominator of which is the aggregate Uncertificated Balances of
        REMIC
        II Regular Interest AA, REMIC II Regular Interest A-1, REMIC II Regular Interest
        A-2, REMIC II Regular Interest A-3, REMIC II Regular Interest M-1, REMIC
        II
        Regular Interest M-2, REMIC II Regular Interest M-3, REMIC II Regular Interest
        M-4, REMIC II Regular Interest M-5, REMIC II Regular Interest M-6, REMIC
        II
        Regular Interest M-7, REMIC II Regular Interest M-8, REMIC II Regular Interest
        M-9, REMIC II Regular Interest M-10 and REMIC II Regular Interest ZZ. For
        purposes of calculating the Pass-Through Rate for the Class CE-1 Certificates,
        the numerator is equal to the sum of the following components:

       

      (i)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest AA minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest AA;

       

      (ii)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest A-1 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest A-1;

       

      (iii)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest A-2 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest A-2;

       

      (iv)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest A-3 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest A-3;

       

      (v)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-1 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-1;

       

      (vi)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-2 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-2;

       

      (vii)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-3 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-3;

       

      (viii)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-4 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-4;

       

      (ix)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-5 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-5;

       

      (x)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-6 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-6;

       

      (xi)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-7 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-7;

       

      (xii)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-8 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-8;

       

      (xiii)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-9 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-9;

       

      (xiv)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest M-10 minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest M-10; and

       

      (xv)  the
        REMIC
        II Remittance Rate for REMIC II Regular Interest ZZ minus the Marker Rate,
        applied to an amount equal to the Uncertificated Balance of REMIC II Regular
        Interest ZZ.

       

      With
        respect to the Class CE-2 Certificates and any Distribution Date, an amount
        equal to 100% of the amounts distributed on REMIC II Regular Interest
        CE-2.

       

      “PCAOB”:
        Means
        the Public Company Accounting Oversight Board.

       

      “Percentage
        Interest”:
        With
        respect to any Class of Certificates (other than the Residual Certificates),
        the
        undivided percentage ownership in such Class evidenced by such Certificate,
        expressed as a percentage, the numerator of which is the initial Certificate
        Principal Balance represented by such Certificate and the denominator of
        which
        is the aggregate initial Certificate Principal Balance or Notional Amount
        of all
        of the Certificates of such Class. The Class A Certificates and the Mezzanine
        Certificates are issuable only in minimum Percentage Interests corresponding
        to
        minimum initial Certificate Principal Balances of $25,000 and integral multiples
        of $1.00 in excess thereof. The Class P Certificates are issuable only in
        Percentage Interests corresponding to initial Certificate Principal Balances
        of
        $20 and integral multiples thereof. The Class CE-1 Certificates and Class
        CE-2
        Certificates are issuable only in minimum Percentage Interests corresponding
        to
        minimum initial Notional Amounts of $10,000 and integral multiples of $1.00
        in
        excess thereof; provided, however, that a single Certificate of each such
        Class
        of Certificates may be issued having a Percentage Interest corresponding
        to the
        remainder of the aggregate initial Notional Amount of such Class or to an
        otherwise authorized denomination for such Class plus such remainder. With
        respect to any Residual Certificate, the undivided percentage ownership in
        such
        Class evidenced by such Certificate, as set forth on the face of such
        Certificate. The Residual Certificates are issuable in Percentage Interests
        of
        20% and integral multiples of 5% in excess thereof.

       

      “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 Depositor,
        the Servicer, the Master Servicer, 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)  (A)
        demand and time deposits in, certificates of deposit of, bankers’ acceptances
        issued by or federal funds sold by any depository institution or trust company
        (including the Trustee or its agent acting in their respective commercial
        capacities) incorporated under the laws of the United States of America or
        any
        state thereof and subject to supervision and examination by federal and/or
        state
        authorities, so long as, at the time of such investment or contractual
        commitment providing for such investment, such depository institution or
        trust
        company (or, if the only Rating Agency is S&P, in the case of the principal
        depository institution in a depository institution holding company, debt
        obligations of the depository institution holding company) or its ultimate
        parent has a short-term uninsured debt rating in the highest available rating
        category of Moody’s, Fitch and S&P and provided that each such investment
        has an original maturity of no more than 365 days; and provided further that,
        if
        the only Rating Agency is S&P and if the depository or trust company is a
        principal subsidiary of a bank holding company and the debt obligations of
        such
        subsidiary are not separately rated, the applicable rating shall be that
        of the
        bank holding company; and, provided further that, if the original maturity
        of
        such short-term obligations of a domestic branch of a foreign depository
        institution or trust company shall exceed 30 days, the short-term rating
        of such
        institution shall be A-1+ in the case of S&P if S&P is the Rating
        Agency; and (B) any other demand or time deposit or deposit which is fully
        insured by the FDIC;

       

      (iii)  repurchase
        obligations with a term not to exceed 30 days with respect to any security
        described in clause (i) above and entered into with a depository institution
        or
        trust company (acting as principal) rated A-1+ or higher by S&P, F-1 or
        higher by Fitch and A2 or higher by Moody’s, provided, however, that collateral
        transferred pursuant to such repurchase obligation must be of the type described
        in clause (i) above and must (A) be valued daily at current market prices
        plus
        accrued interest, (B) pursuant to such valuation, be equal, at all times,
        to
        105% of the cash transferred by a party in exchange for such collateral and
        (C)
        be delivered to such party or, if such party is supplying the collateral,
        an
        agent for such party, in such a manner as to accomplish perfection of a security
        interest in the collateral by possession of certificated
        securities;

       

      (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 each 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 each
        Rating
        Agency that rates such securities in its highest short-term unsecured debt
        rating available at the time of such investment;

       

      (vi)  units
        of
        money market funds that have been rated “AAA” by Fitch (if rated by Fitch),
“AAAm” or “AAAm-G” by S&P and “Aaa” by Moody’s including any such money
        market fund managed or advised by the Master Servicer, the Trustee or any
        of
        their Affiliates; and

       

      (vii)  if
        previously confirmed in writing to the Trustee, any other demand, money market
        or time deposit, or any other obligation, security or investment, as may
        be
        acceptable to the Rating Agencies as a permitted investment of funds backing
        securities having ratings equivalent to its highest initial rating of the
        Class
        A Certificates;

       

      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% of
        the
        yield to maturity at par of the underlying obligations.

       

      “Permitted
        Transferee”:
        Any
        Transferee of a Residual Certificate other than a Disqualified Organization
        or
        Non-United States Person.

       

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

       

      “Plan”:
        Any
        employee benefit plan or certain other retirement plans and arrangements,
        including individual retirement accounts and annuities, Keogh plans and bank
        collective investment funds and insurance company general or separate accounts
        in which such plans, accounts or arrangements are invested, that are subject
        to
        ERISA or Section 4975 of the Code.

       

      “Prepayment
        Assumption”:
        A
        prepayment rate of 35% CPR. The Prepayment Assumption is used solely for
        determining the accrual of original issue discount on the Certificates for
        federal income tax purposes. A CPR (or Constant Prepayment Rate) represents
        an
        annualized constant assumed rate of prepayment each month of a pool of mortgage
        loans relative to its outstanding principal balance for the life of such
        pool.

       

      “Prepayment
        Charge”:
        With
        respect to any Principal Prepayment, any prepayment premium, penalty or charge
        payable by a Mortgagor in connection with any Principal Prepayment on a Mortgage
        Loan pursuant to the terms of the related Mortgage Note.

       

      “Prepayment
        Charge Schedule”:
        As of
        any date, the list of Mortgage Loans providing for a Prepayment Charge included
        in the Trust Fund on such date, attached hereto as Schedule 2 (including
        the
        prepayment charge summary attached thereto). The Depositor shall deliver
        or
        cause the delivery of the Prepayment Charge Schedule to the Servicer, the
        Master
        Servicer and the Trustee on the Closing Date. The Prepayment Charge Schedule
        shall set forth the following information with respect to each Prepayment
        Charge:

       

      (i)  the
        Mortgage Loan identifying number;

       

      (ii)  a
        code
        indicating the type of Prepayment Charge;

       

      (iii)  the
        date
        on which the first Monthly Payment was due on the related Mortgage
        Loan;

       

      (iv)  the
        term
        of the related Prepayment Charge;

       

      (v)  the
        original Stated Principal Balance of the related Mortgage Loan; and

       

      (vi)  the
        Stated Principal Balance of the related Mortgage Loan as of the Cut-off
        Date.

       

      “Prepayment
        Interest Excess”:
        With
        respect to each Mortgage Loan that was the subject of a Principal Prepayment
        in
        full during the portion of the related Prepayment Period occurring between
        the
        first day of the calendar month in which such Distribution Date occurs and
        the
        fifteenth (15th)
        day of
        the calendar month in which such Distribution Date occurs, an amount equal
        to
        interest (to the extent received) at the applicable Net Mortgage Rate on
        the
        amount of such Principal Prepayment for the number of days commencing on
        the
        first day of the calendar month in which such Distribution Date occurs and
        ending on the last date through which interest is collected from the related
        Mortgagor. The Servicer may withdraw such Prepayment Interest Excess from
        the
        Collection Account in accordance with Section 3.09(a)(x).

       

      “Prepayment
        Interest Shortfall”:
        With
        respect to any Distribution Date, for each such Mortgage Loan that was the
        subject of a Principal Prepayment in full or in part during the portion of
        the
        related Prepayment Period occurring between the first day of the related
        Prepayment Period and the last day of the calendar month preceding the month
        in
        which such Distribution Date occurs that was applied by the related Servicer
        to
        reduce the outstanding principal balance of such Mortgage Loan on a date
        preceding the Due Date in the succeeding Prepayment Period, an amount equal
        to
        interest at the applicable Net Mortgage Rate on the amount of such Principal
        Prepayment for the number of days commencing on the date on which the prepayment
        is applied and ending on the last day of the calendar month preceding such
        Distribution Date. The obligations of the related Servicer and the Master
        Servicer in respect of any Prepayment Interest Shortfall are set forth in
        Section 3.22 and Section 4.19, respectively of this Agreement.

       

      “Prepayment
        Period”:
        With
        respect to the first Distribution Date, the period beginning on the Cut-off
        Date
        and ending on the (15th)
        day of
        the month of such Distribution Date, and with respect to any Distribution
        Date
        thereafter, the period beginning on the sixteenth (16th)
        day of
        the month preceding the related Distribution Date and ending on the fifteenth
        (15th)
        day of
        the month in which such Distribution Date occurs.

       

      “Principal
        Distribution Amount”:
        With
        respect to any Distribution Date will be the sum of (i) the principal portion
        of
        all Monthly Payments on the Mortgage Loans due during the related Due Period,
        whether or not received on or prior to the related Determination Date; (ii)
        the
        principal portion of all proceeds received in respect of the repurchase of
        a
        Mortgage Loan or, in the case of a substitution, certain amounts representing
        a
        principal adjustment, during the related Prepayment Period pursuant to or
        as
        contemplated by Section 2.03, Section 3.13(c) and Section 10.01
        of this Agreement; (iii) the principal portion of all other unscheduled
        collections, including Insurance Proceeds, Liquidation Proceeds and all
        Principal Prepayments in full and in part, received during the related
        Prepayment Period, to the extent applied as recoveries of principal on the
        Mortgage Loans, net in each case of payments or reimbursements to the Trustee,
        the Custodians, the Master Servicer, the Securities Administrator and the
        Servicer and (iv) the amount of any Overcollateralization Increase Amount
        for
        such Distribution Date minus
        (vi) the
        amount of any Overcollateralization Reduction Amount for such Distribution
        Date.

       

      “Principal
        Prepayment”:
        Any
        voluntary payment of principal made by the Mortgagor on a Mortgage Loan which
        is
        received in advance of its scheduled Due Date and which is not accompanied
        by an
        amount of interest representing the full amount of scheduled interest due
        on any
        Due Date in any month or months subsequent to the month of
        prepayment.

       

      “Principal
        Remittance Amount”:
        With
        respect to any Distribution Date will be the sum of the amounts described
        in
        clauses (i) through (iii) of the definition of Principal Distribution
        Amount.

       

      “Purchase
        Price”:
        With
        respect to any Mortgage Loan or REO Property to be purchased pursuant to
        or as
        contemplated by Section 2.03, Section 3.13(c) or Section 10.01 of
        this Agreement, and as confirmed by a certification of a Servicing Officer
        of
        the Servicer to the Trustee, an amount equal to the sum of (i) 100% of the
        Stated Principal Balance thereof as of the date of purchase (or such other
        price
        as provided in Section 10.01 of this Agreement), (ii) in the case of (x) a
        Mortgage Loan, accrued interest on such Stated Principal Balance at the
        applicable Net Mortgage Rate in effect from time to time from the Due Date
        as to
        which interest was last covered by a payment by the Mortgagor or a P&I
        Advance by the Servicer, which payment or P&I Advance had as of the date of
        purchase been distributed pursuant to Section 5.01 of this Agreement,
        through the end of the calendar month in which the purchase is to be effected
        and (y) an REO Property, the sum of (1) accrued interest on such Stated
        Principal Balance at the applicable Net Mortgage Rate in effect from time
        to
        time from the Due Date as to which interest was last covered by a payment
        by the
        Mortgagor or a P&I Advance by the Servicer through the end of the calendar
        month immediately preceding the calendar month in which such REO Property
        was
        acquired, plus (2) REO Imputed Interest for such REO Property for each calendar
        month commencing with the calendar month in which such REO Property was acquired
        and ending with the calendar month in which such purchase is to be effected,
        net
        of the total of all net rental income, Insurance Proceeds, Liquidation Proceeds
        and P&I Advances that as of the date of purchase had been distributed as or
        to cover REO Imputed Interest pursuant to Section 5.01 of this Agreement,
        (iii) any unreimbursed Servicing Advances and P&I Advances (including
        Nonrecoverable P&I Advances and Nonrecoverable Servicing Advances) and any
        unpaid Servicing Fees allocable to such Mortgage Loan or REO Property, and
        (iv)
        in the case of a Mortgage Loan required to be purchased pursuant to
        Section 2.03 of this Agreement, expenses reasonably incurred or to be
        incurred by the Servicer or the Trustee in respect of the breach or defect
        giving rise to the purchase obligation and any costs and damages incurred
        by the
        Trust Fund and the Trustee in connection with any violation by any such Mortgage
        Loan of any predatory or abusive lending law.

       

      “QIB”:
        As
        defined in Section 6.01(c).

       

      “Qualified
        Substitute Mortgage Loan”:
        A
        mortgage loan substituted for a Deleted Mortgage Loan pursuant to the terms
        of
        this Agreement which must, on the date of such substitution, (i) have an
        outstanding principal balance, after application of all scheduled payments
        of
        principal and interest due during or prior to the month of substitution,
        not in
        excess of the Scheduled Principal Balance of the Deleted Mortgage Loan as
        of the
        Due Date in the calendar month during which the substitution occurs, (ii)
        have a
        fixed Mortgage Rate which is not less than (and not more than one percentage
        point in excess of) the Mortgage Rate 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) have the same Due Date as the
        Due
        Date on the Deleted Mortgage Loan, (v) have a Combined Loan-to Value Ratio,
        as
        of the date of substitution equal to or lower than the Combined Loan-to-Value
        Ratio of the Deleted Mortgage Loan as of such date, (vi) be secured by the
        same
        lien priority on the related Mortgaged Property as the Deleted Loan, (vii)
        have
        a credit grade at least equal to the credit grading assigned on the Deleted
        Mortgage Loan, (viii) be a “qualified mortgage” as defined in the REMIC
        Provisions and (ix) conform to each representation and warranty set forth
        in
        Section 6 of the Mortgage Loan Purchase Agreement applicable to the Deleted
        Mortgage Loan. In the event that one or more mortgage loans are substituted
        for
        one or more Deleted Mortgage Loans, the amounts described in clause (i) hereof
        shall be determined on the basis of aggregate principal balances, the Mortgage
        Rates described in clause (ii) hereof shall be determined on the basis of
        weighted average Mortgage Rates, the terms described in clause (iii) hereof
        shall be determined on the basis of weighted average remaining term to maturity,
        the Combined Loan-to-Value Ratios, described in clause (v) hereof shall be
        satisfied as to each such mortgage loan, the credit grades described in clause
        (vi) hereof shall be satisfied as to each such mortgage loan and, except
        to the
        extent otherwise provided in this sentence, the representations and warranties
        described in clause (viii) hereof must be satisfied as to each Qualified
        Substitute Mortgage Loan or in the aggregate, as the case may be.

       

      “Rate/Term
        Refinancing”:
        A
        Refinanced Mortgage Loan, the proceeds of which are not more than a nominal
        amount in excess of the existing first mortgage loan and any subordinate
        mortgage loan on the related Mortgaged Property and related closing costs,
        and
        were used exclusively (except for such nominal amount) to satisfy the then
        existing first mortgage loan and any subordinate mortgage loan of the Mortgagor
        on the related Mortgaged Property and to pay related closing costs.

       

      “Rating
        Agency or Rating Agencies”:
        Moody’s and S&P or their successors. If such agencies or their successors
        are no longer in existence, “Rating Agencies” shall be such nationally
        recognized statistical rating agencies, or other comparable Persons, designated
        by the Depositor, notice of which designation shall be given to the Trustee
        and
        the Servicer.

       

      “Realized
        Loss”:
        With
        respect to each Mortgage Loan as to which a Final Recovery Determination
        has
        been made, an amount (not less than zero), as reported by the Servicer to
        the
        Master Servicer (in substantially the form of Schedule 4 hereto) equal to
        (i)
        the unpaid principal balance of such Mortgage Loan as of the commencement
        of the
        calendar month in which the Final Recovery Determination was made, plus (ii)
        accrued interest from the Due Date as to which interest was last paid by
        the
        Mortgagor through the end of the calendar month in which such Final Recovery
        Determination was made, calculated in the case of each calendar month during
        such period (A) at an annual rate equal to the annual rate at which interest
        was
        then accruing on such Mortgage Loan and (B) on a principal amount equal to
        the
        Stated Principal Balance of such Mortgage Loan as of the close of business
        on
        the Distribution Date during such calendar month, plus (iii) any amounts
        previously withdrawn from the Collection Account in respect of such Mortgage
        Loan pursuant to Section 3.09(a)(ix) and Section 3.13(b) of this
        Agreement, minus (iv) the proceeds, if any, received in respect of such Mortgage
        Loan during the calendar month in which such Final Recovery Determination
        was
        made, net of amounts that are payable therefrom to the Servicer with respect
        to
        such Mortgage Loan pursuant to Section 3.09(a)(iii) of this Agreement. Any
        Charged Off Loan will give rise to a Realized Loss (calculated as if clause
        (iv)
        of the previous sentence is equal to zero) at the time it is charged off,
        as
        described in Section 3.13(a)(iii) hereof.

       

      With
        respect to any REO Property as to which a Final Recovery Determination has
        been
        made, an amount (not less than zero) equal to (i) the unpaid principal balance
        of the related Mortgage Loan as of the date of acquisition of such REO Property
        on behalf of REMIC I, plus (ii) accrued interest from the Due Date as to
        which
        interest was last paid by the Mortgagor in respect of the related Mortgage
        Loan
        through the end of the calendar month immediately preceding the calendar
        month
        in which such REO Property was acquired, calculated in the case of each calendar
        month during such period (A) at an annual rate equal to the annual rate at
        which
        interest was then accruing on the related Mortgage Loan and (B) on a principal
        amount equal to the Stated Principal Balance of the related Mortgage Loan
        as of
        the close of business on the Distribution Date during such calendar month,
        plus
        (iii) REO Imputed Interest for such REO Property for each calendar month
        commencing with the calendar month in which such REO Property was acquired
        and
        ending with the calendar month in which such Final Recovery Determination
        was
        made, plus (iv) any amounts previously withdrawn from the Collection Account
        in
        respect of the related Mortgage Loan pursuant to Section 3.09(a)(ix) and
        Section 3.13(b) of this Agreement, minus (v) the aggregate of all P&I
        Advances and Servicing Advances (in the case of Servicing Advances, without
        duplication of amounts netted out of the rental income, Insurance Proceeds
        and
        Liquidation Proceeds described in clause (vi) below) made by the Servicer
        in
        respect of such REO Property or the related Mortgage Loan for which the Servicer
        has been or, in connection with such Final Recovery Determination, will be
        reimbursed pursuant to Section 3.21 of this Agreement out of rental income,
        Insurance Proceeds and Liquidation Proceeds received in respect of such REO
        Property, minus (vi) the total of all net rental income, Insurance Proceeds
        and
        Liquidation Proceeds received in respect of such REO Property that has been,
        or
        in connection with such Final Recovery Determination, will be transferred
        to the
        Distribution Account pursuant to Section 3.21 of this
        Agreement.

       

      With
        respect to each Mortgage Loan which has become the subject of a Deficient
        Valuation, the difference between the principal balance of the Mortgage Loan
        outstanding immediately prior to such Deficient Valuation and the principal
        balance of the Mortgage Loan as reduced by the Deficient Valuation.

       

      With
        respect to each Mortgage Loan which has become the subject of a Debt Service
        Reduction, the portion, if any, of the reduction in each affected Monthly
        Payment attributable to a reduction in the Mortgage Rate imposed by a court
        of
        competent jurisdiction. Each such Realized Loss shall be deemed to have been
        incurred on the Due Date for each affected Monthly Payment.

       

      To
        the
        extent the Servicer receives Subsequent Recoveries with respect to any Mortgage
        Loan, the amount of Realized Loss with respect to that Mortgage Loan will
        be
        reduced to the extent such recoveries are applied to reduce the Certificate
        Principal Balance of any Class of Certificates on any Distribution
        Date.

       

      “Record
        Date”:
        With
        respect to each Distribution Date and the Floating Rate Certificates that
        are
        Book-Entry Certificates, the Business Day immediately preceding such
        Distribution Date for so long as such Certificates are Book-Entry Certificates.
        With respect to each Distribution Date, the Fixed Rate Certificates and any
        Floating Rate Certificates held in Definitive Certificates, the last Business
        Day of the calendar month immediately preceding the month in which such
        Distribution Date occurs.

       

      “Reference
        Banks”:
        Barclays Bank PLC, The Tokyo Mitsubishi Bank and National Westminster Bank
        PLC
        and their successors in interest; provided, however, that if any of the
        foregoing banks are not suitable to serve as a Reference Bank, then any leading
        banks selected by the Securities Administrator which are engaged in transactions
        in Eurodollar deposits in the International Eurocurrency market (i) with
        an
        established place of business in London, (ii) not controlling, under the
        control
        of or under common control with the Depositor or any Affiliate thereof and
        (iii)
        which have been designated as such by the Securities Administrator.

       

      “Refinanced
        Mortgage Loan”:
        A
        Mortgage Loan the proceeds of which were not used to purchase the related
        Mortgaged Property.

       

      “Regular
        Certificate”:
        Any
        Class A Certificate, Mezzanine Certificate, Class CE-1 Certificate, Class
        CE-2
        Certificate or Class P Certificate.

       

      “Regular
        Interest”:
        A
“regular interest” in a REMIC within the meaning of Section 860G(a)(1) of
        the Code.

       

      “Regulation
        AB”:
        Means
        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.

       

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

       

      “Regulation
        S Temporary Global Certificate”:
        As
        defined in Section 6.01(c).

       

      “Regulation
        S Permanent Global Certificate”:
        As
        defined in Section 6.01(c).

       

      “Release
        Date”:
        The
        fortieth (40th) day after the Closing Date.

       

      “Released
        Loan”:
        Any
        Charged Off Loan that is released by the Servicer to the Class CE-2
        Certificateholders pursuant to Section 3.13(b)(iv), generally on the date
        that
        is six months after the date on which the Servicer begins using Special
        Servicing Practices on such Charged Off Loans. Any Released Loan will no
        longer
        be an asset of any Trust REMIC or the Trust Fund.

       

      “Relief
        Act”:
        The
        Servicemembers Civil Relief Act, as amended.

       

      “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 Relief Act or similar state
        or
        local laws.

       

      “REMIC”:
        A
“real estate mortgage investment conduit” within the meaning of
        Section 860D of the Code.

       

      “REMIC
        I”:
        The
        segregated pool of assets subject hereto, constituting the primary trust
        created
        hereby and to be administered hereunder, with respect to which a REMIC election
        is to be made, consisting of: (i) such Mortgage Loans and Prepayment Charges
        as
        from time to time are subject to this Agreement, together with the Mortgage
        Files relating thereto, and together with all collections thereon and proceeds
        thereof; (ii) any REO Property, together with all collections thereon and
        proceeds thereof; (iii) the Trustee’s rights with respect to the Mortgage Loans
        under all insurance policies required to be maintained pursuant to this
        Agreement and any proceeds thereof; (iv) the Depositor’s rights under the
        Mortgage Loan Purchase Agreement (including any security interest created
        thereby) and the Assignment Agreement and (v) the Collection Account, the
        Distribution Account and any REO Account, and such assets that are deposited
        therein from time to time and any investments thereof, together with any
        and all
        income, proceeds and payments with respect thereto. Notwithstanding the
        foregoing, however, REMIC I specifically excludes (i) all payments and other
        collections of principal and interest due on the Mortgage Loans on or before
        the
        Cut-off Date and all Prepayment Charges payable in connection with Principal
        Prepayments made before the Cut-off Date; (ii) the Reserve Fund and any amounts
        on deposit therein from time to time and any proceeds thereof; (iii) the
        Swap
        Agreement; and (iv) the Supplemental Interest Trust.

       

      “REMIC
        I Regular Interest”:
        Any of
        the separate non-certificated beneficial ownership interests in REMIC I issued
        hereunder and designated as a “regular interest” in REMIC I. Each REMIC I
        Regular Interest shall accrue interest at the related REMIC I Remittance
        Rate in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.
        The designations for the respective REMIC I Regular Interests are set forth
        in
        the Preliminary Statement hereto.

       

      “REMIC
        I Remittance Rate”:
        With
        respect to REMIC I Regular Interest A-I, a per annum rate equal to the weighted
        average of the Net Mortgage Rates of the Mortgage Loans. With respect to
        each
        REMIC I Regular Interest ending with the designation “A”, a per annum rate equal
        to the weighted average of the Net Mortgage Rates of the Mortgage Loans
        multiplied by 2, subject to a maximum rate of 10.980%. With respect to each
        REMIC I Regular Interest ending with the designation “B”, the greater of (x) a
        per annum rate equal to the excess, if any, of (i) 2 multiplied by the weighted
        average of the Net Mortgage Rates of the Mortgage Loans over (ii) 10.980%
        and
        (y) 0.00%. With respect to REMIC I Regular Interest I-CE-2, a weighted average
        per annum rate, determined on a Mortgage Loan by Mortgage Loan basis (and
        solely
        with respect to the GMAC Mortgage Loans), equal to the excess, if any, of
        (i)
        the excess of (a) the Mortgage Rate for each such Mortgage Loan over (b)
        the sum
        of the (x) GMAC Servicing Fee Rate and provided however, that such rate shall
        be
        subject to a cap equal to the Servicing Fee Rate, (y) Master Servicing Fee
        Rate
        and (z) Credit Risk Management Fee Rate, over (ii) the Net Mortgage Rate
        of each
        such Mortgage Loan. 

       

      “REMIC
        II Remittance Rate”:
        With
        respect to REMIC II Regular Interest AA, REMIC II Regular Interest A-1, REMIC
        II
        Regular Interest A-2, REMIC II Regular Interest A-3, REMIC II Regular Interest
        M-1, REMIC II Regular Interest M-2, REMIC II Regular Interest M-3, REMIC
        II
        Regular Interest M-4, REMIC II Regular Interest M-5, REMIC II Regular Interest
        M-6, REMIC II Regular Interest M-7, REMIC II Regular Interest M-8, REMIC
        II
        Regular Interest M-9, REMIC II Regular Interest M-10 and REMIC II Regular
        Interest ZZ, a per annum rate (but not less than zero) equal to the weighted
        average of: (w) with respect to REMIC I Regular Interest A-I, the REMIC I
        Remittance Rate for such REMIC Regular Interest for each such Distribution
        Date,
        (x) with respect to each REMIC I Regular Interest ending with the designation
        “B”, the weighted average of the REMIC I Remittance Rates for such REMIC I
        Regular Interests, weighted on the basis of the Uncertificated Balances of
        such
        REMIC I Regular Interests for each such Distribution Date and (y) with respect
        to REMIC I Regular Interests ending with the designation “A”, for each
        Distribution Date listed below, the weighted average of the rates listed
        below
        for each such REMIC I Regular Interest listed below, weighted on the basis
        of
        the Uncertificated Balances of each such REMIC I Regular Interest for each
        such
        Distribution Date:

       

      
        	
                Distribution
                  Date

              	
                REMIC
                  I Regular Interest

              	
                Rate

              
	
                1

              	
                I-1-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	
                2

              	
                I-2-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A

              	
                REMIC
                  I Remittance Rate

              
	
                3

              	
                I-3-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  and I-2-A

              	
                REMIC
                  I Remittance Rate

              
	
                4

              	
                I-4-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-3-A

              	
                REMIC
                  I Remittance Rate

              
	
                5

              	
                I-5-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-4-A

              	
                REMIC
                  I Remittance Rate

              
	
                6

              	
                I-6-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-5-A

              	
                REMIC
                  I Remittance Rate

              
	
                7

              	
                I-7-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-6-A

              	
                REMIC
                  I Remittance Rate

              
	
                8

              	
                I-8-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-7-A

              	
                REMIC
                  I Remittance Rate

              
	
                9

              	
                I-9-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-8-A

              	
                REMIC
                  I Remittance Rate

              
	
                10

              	
                I-10-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-9-A

              	
                REMIC
                  I Remittance Rate

              
	
                11

              	
                I-11-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-10-A

              	
                REMIC
                  I Remittance Rate

              
	
                12

              	
                I-12-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-11-A

              	
                REMIC
                  I Remittance Rate

              
	
                13

              	
                I-13-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-12-A

              	
                REMIC
                  I Remittance Rate

              
	
                14

              	
                I-14-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-13-A

              	
                REMIC
                  I Remittance Rate

              
	
                15

              	
                I-15-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-14-A

              	
                REMIC
                  I Remittance Rate

              
	
                16

              	
                I-16-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-15-A

              	
                REMIC
                  I Remittance Rate

              
	
                17

              	
                I-17-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-16-A

              	
                REMIC
                  I Remittance Rate

              
	
                18

              	
                I-18-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-17-A

              	
                REMIC
                  I Remittance Rate

              
	
                19

              	
                I-19-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-18-A

              	
                REMIC
                  I Remittance Rate

              
	
                20

              	
                I-20-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-19-A

              	
                REMIC
                  I Remittance Rate

              
	
                21

              	
                I-21-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-20-A

              	
                REMIC
                  I Remittance Rate

              
	
                22

              	
                I-22-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-21-A

              	
                REMIC
                  I Remittance Rate

              
	
                23

              	
                I-23-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-22-A

              	
                REMIC
                  I Remittance Rate

              
	
                24

              	
                I-24-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-23-A

              	
                REMIC
                  I Remittance Rate

              
	
                25

              	
                I-25-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-24-A

              	
                REMIC
                  I Remittance Rate

              
	
                26

              	
                I-26-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-25-A

              	
                REMIC
                  I Remittance Rate

              
	
                27

              	
                I-27-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-26-A

              	
                REMIC
                  I Remittance Rate

              
	
                28

              	
                I-28-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-27-A

              	
                REMIC
                  I Remittance Rate

              
	
                29

              	
                I-29-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-28-A

              	
                REMIC
                  I Remittance Rate

              
	
                30

              	
                I-30-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-29-A

              	
                REMIC
                  I Remittance Rate

              
	
                31

              	
                I-31-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-30-A

              	
                REMIC
                  I Remittance Rate

              
	
                32

              	
                I-32-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-31-A

              	
                REMIC
                  I Remittance Rate

              
	
                33

              	
                I-33-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-32-A

              	
                REMIC
                  I Remittance Rate

              
	
                34

              	
                I-34-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-33-A

              	
                REMIC
                  I Remittance Rate

              
	
                35

              	
                I-35-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-34-A

              	
                REMIC
                  I Remittance Rate

              
	
                36

              	
                I-36-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-35-A

              	
                REMIC
                  I Remittance Rate

              
	
                37

              	
                I-37-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-36-A

              	
                REMIC
                  I Remittance Rate

              
	
                38

              	
                I-38-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-37-A

              	
                REMIC
                  I Remittance Rate

              
	
                39

              	
                I-39-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-38-A

              	
                REMIC
                  I Remittance Rate

              
	
                40

              	
                I-40-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-39-A

              	
                REMIC
                  I Remittance Rate

              
	
                41

              	
                I-41-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-40-A

              	
                REMIC
                  I Remittance Rate

              
	
                42

              	
                I-42-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-41-A

              	
                REMIC
                  I Remittance Rate

              
	
                43

              	
                I-43-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-42-A

              	
                REMIC
                  I Remittance Rate

              
	
                44

              	
                I-44-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-43-A

              	
                REMIC
                  I Remittance Rate

              
	
                45

              	
                I-45-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-44-A

              	
                REMIC
                  I Remittance Rate

              
	
                46

              	
                I-46-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-45-A

              	
                REMIC
                  I Remittance Rate

              
	
                47

              	
                I-47-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-46-A

              	
                REMIC
                  I Remittance Rate

              
	
                48

              	
                I-48-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-47-A

              	
                REMIC
                  I Remittance Rate

              
	
                49

              	
                I-49-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-48-A

              	
                REMIC
                  I Remittance Rate

              
	
                50

              	
                I-50-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-49-A

              	
                REMIC
                  I Remittance Rate

              
	
                51

              	
                I-51-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-50-A

              	
                REMIC
                  I Remittance Rate

              
	
                52

              	
                I-52-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-51-A

              	
                REMIC
                  I Remittance Rate

              
	
                53

              	
                I-53-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-52-A

              	
                REMIC
                  I Remittance Rate

              
	
                54

              	
                I-54-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-53-A

              	
                REMIC
                  I Remittance Rate

              
	
                55

              	
                I-55-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-52-A

              	
                REMIC
                  I Remittance Rate

              
	
                56

              	
                I-56-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-55-A

              	
                REMIC
                  I Remittance Rate

              
	
                57

              	
                I-57-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-56-A

              	
                REMIC
                  I Remittance Rate

              
	
                58

              	
                I-58-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-57-A

              	
                REMIC
                  I Remittance Rate

              
	
                59

              	
                I-59-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-58-A

              	
                REMIC
                  I Remittance Rate

              
	
                60

              	
                I-60-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-59-A

              	
                REMIC
                  I Remittance Rate

              
	
                61

              	
                I-61-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-60-A

              	
                REMIC
                  I Remittance Rate

              
	
                62

              	
                I-62-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-61-A

              	
                REMIC
                  I Remittance Rate

              
	
                63

              	
                I-63-A
                  through I-64-A

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-62-A

              	
                REMIC
                  I Remittance Rate

              
	
                64

              	
                I-64-A
                  

              	
                2
                  multiplied by Swap LIBOR, subject to a maximum rate of REMIC I
                  Remittance
                  Rate

              
	 	
                I-1-A
                  through I-63-A

              	
                REMIC
                  I Remittance Rate

              
	
                thereafter

              	
                I-1-A
                  through I-64-A

              	
                REMIC
                  I Remittance Rate

              

      

      

      With
        respect to REMIC II Regular Interest IO, and (i) the first Distribution Date
        through the 64th Distribution Date, the excess of (x) the weighted average
        of
        the REMIC II Remittance Rates for REMIC II Regular Interests including the
        designation “A”, over (y) 2 multiplied by Swap LIBOR and (ii) thereafter, 0.00%.
        With respect to REMIC II Regular Interest P, 0.00%. 

       

      “REMIC
        II Interest Loss Allocation Amount”:
        With
        respect to any Distribution Date, an amount equal to (a) the product of (i)
        the
        aggregate Stated Principal Balance of the Mortgage Loans and REO Properties
        then
        outstanding and (ii) the REMIC II Remittance Rate for REMIC II Regular Interest
        AA minus the Marker Rate, divided by (b) 12.

       

      “REMIC
        II Overcollateralization Amount”:
        With
        respect to any date of determination, (i) 1.00% of the aggregate Uncertificated
        Balances of the REMIC II Regular Interests (other than the REMIC II Regular
        Interest P) minus (ii) the aggregate Uncertificated Balances of each of REMIC
        II
        Regular Interest A-1, REMIC II Regular Interest A-2, REMIC II Regular Interest
        A-3, REMIC II Regular Interest M-1, REMIC II Regular Interest M-2, REMIC
        II
        Regular Interest M-3, REMIC II Regular Interest M-4, REMIC II Regular Interest
        M-5, REMIC II Regular Interest M-6, REMIC II Regular Interest M-7, REMIC
        II
        Regular Interest M-8, REMIC II Regular Interest M-9 and REMIC II Regular
        Interest M-10, in each case as of such date of determination.

       

      “REMIC
        II Principal Loss Allocation Amount”:
        With
        respect to any Distribution Date, an amount equal to (a) the product of (i)
        1.00% of the aggregate Stated Principal Balance of the Mortgage Loans and
        REO
        Properties then outstanding and (ii) 1 minus a fraction, the numerator of
        which
        is two times the aggregate of the Uncertificated Balances of REMIC II Regular
        Interest A-1, REMIC II Regular Interest A-2, REMIC II Regular Interest A-3,
        REMIC II Regular Interest M-1, REMIC II Regular Interest M-2, REMIC II Regular
        Interest M-3, REMIC II Regular Interest M-4, REMIC II Regular Interest M-5,
        REMIC II Regular Interest M-6, REMIC II Regular Interest M-7, REMIC II Regular
        Interest M-8, REMIC II Regular Interest M-9 and REMIC II Regular Interest
        M-10
        and the denominator of which is the aggregate of the Uncertificated Balances
        of
        REMIC II Regular Interest A-1, REMIC II Regular Interest A-2, REMIC II Regular
        Interest A-3, REMIC II Regular Interest M-1, REMIC II Regular Interest M-2,
        REMIC II Regular Interest M-3, REMIC II Regular Interest M-4, REMIC II Regular
        Interest M-5, REMIC II Regular Interest M-6, REMIC II Regular Interest M-7,
        REMIC II Regular Interest M-8, REMIC II Regular Interest M-9 and REMIC II
        Regular Interest M-10 and REMIC II Regular Interest ZZ.

       

      “REMIC
        II Regular Interest A-1”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest A-1 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest A-2”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest A-2 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest A-3”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest A-3 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest AA”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest AA shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest CE-2”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest CE-2 shall accrue interest as set forth in the Preliminary Statement
        hereto. REMIC II Regular Interest CE-2 shall not be entitled to distributions
        of
        principal.

       

      “REMIC
        II Regular Interest M-1”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-1 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest M-2”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-2 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest M-3”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-3 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest M-4”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC I issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-4 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest M-5”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-5 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest M-6”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-6 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest M-7”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC I issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-7 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest M-8”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-8 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest M-9”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-9 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest M-10”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest M-10 shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest P”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest P shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Regular Interest ZZ”:
        One of
        the separate non-certificated beneficial ownership interests in REMIC II
        issued
        hereunder and designated as a Regular Interest in REMIC II. REMIC II Regular
        Interest ZZ shall accrue interest at the related REMIC II Remittance Rate
        in
        effect from time to time, and shall be entitled to distributions of principal,
        subject to the terms and conditions hereof, in an aggregate amount equal
        to its
        initial Uncertificated Balance as set forth in the Preliminary Statement
        hereto.

       

      “REMIC
        II Required Overcollateralization Amount”:
        1.00%
        of the Required Overcollateralization Amount.

       

      “REMIC
        III”:
        The
        segregated pool of assets consisting of all of the REMIC II Regular Interests
        conveyed in trust to the Trustee, for the benefit of the REMIC III
        Certificateholders pursuant to Section 2.07, and all amounts deposited therein,
        with respect to which a separate REMIC election is to be made.

       

      “REMIC
        III Certificate”:
        Any
        Regular Certificate or Class R Certificate.

       

      “REMIC
        III Certificateholder”:
        The
        Holder of any REMIC III Certificate.

       

      “REMIC
        Regular Interests”:
        The
        REMIC I Regular Interests and REMIC II Regular Interests.

       

      “REMIC
        Remittance Rates”:
        The
        REMIC I Remittance Rate and the REMIC II Remittance Rate.

       

      “REMIC
        Provisions”:
        Provisions of the federal income tax law relating to real estate mortgage
        investment conduits, which appear at Section 860A through 860G of the Code,
        and
        related provisions, and proposed, temporary and final regulations and published
        rulings, notices and announcements promulgated thereunder, as the foregoing
        may
        be in effect from time to time.

       

      “Remittance
        Report”:
        A
        report by the Servicer pursuant to Section 5.03(a) of this
        Agreement.

       

      “Rents
        from Real Property”:
        With
        respect to any REO Property, gross income of the character described in
        Section 856(d) of the Code as being included in the term “rents from real
        property.”

       

      “REO
        Account”:
        The
        account or accounts maintained, or caused to be maintained, by the Servicer
        in
        respect of an REO Property pursuant to Section 3.21 of this
        Agreement.

       

      “REO
        Disposition”:
        The
        sale or other disposition of an REO Property on behalf of REMIC I.

       

      “REO
        Imputed Interest”:
        As to
        any REO Property, for any calendar month during which such REO Property was
        at
        any time part of REMIC I, one month’s interest at the applicable Net Mortgage
        Rate on the Stated Principal Balance of such REO Property (or, in the case
        of
        the first such calendar month, of the related Mortgage Loan, if appropriate)
        as
        of the close of business on the Distribution Date in such calendar
        month.

       

      “REO
        Principal Amortization”:
        With
        respect to any REO Property, for any calendar month, the excess, if any,
        of (a)
        the aggregate of all amounts received in respect of such REO Property during
        such calendar month, whether in the form of rental income, sale proceeds
        (including, without limitation, that portion of the Termination Price paid
        in
        connection with a purchase of all of the Mortgage Loans and REO Properties
        pursuant to Section 10.01 of this Agreement that is allocable to such REO
        Property) or otherwise, net of any portion of such amounts (i) payable in
        respect of the proper operation, management and maintenance of such REO Property
        or (ii) payable or reimbursable to the Servicer pursuant to Section 3.21(d)
        of this Agreement for unpaid Servicing Fees in respect of the related Mortgage
        Loan and unreimbursed Servicing Advances and P&I Advances in respect of such
        REO Property or the related Mortgage Loan, over (b) the REO Imputed Interest
        in
        respect of such REO Property for such calendar month.

       

      “REO
        Property”:
        A
        Mortgaged Property acquired by the Servicer or its nominee on behalf of REMIC
        I
        through foreclosure or deed-in-lieu of foreclosure, as described in
        Section 3.21 of this Agreement. 

       

      “Reportable
        Event”:
        Has
        the meaning set forth in Section 5.06(b) of this Agreement.

       

      “Required
        Overcollateralization Amount”:
        With
        respect to any Distribution Date (i) prior to the Stepdown Date, the product
        of
        (A) 3.80% and (B) the aggregate principal balance of the Mortgage Loans as
        of
        the Cut-off Date, (ii) on or after the Stepdown Date provided a Trigger Event
        is
        not in effect, the greater of (x) 7.60% of the aggregate Stated Principal
        Balance of the Mortgage Loans as of the last day of the related Due Period
        and
        (y) an amount equal to the product of (A) 0.50% and (B) the aggregate principal
        balance of the Mortgage Loans as of the Cut-off Date, and (iii) on or after
        the
        Stepdown Date and a Trigger Event is in effect, the Required
        Overcollateralization Amount for the immediately preceding Distribution Date.
        Notwithstanding the foregoing, on and after any Distribution Date following
        the
        reduction of the aggregate Certificate Principal Balance of the Class A
        Certificates and the Mezzanine Certificates to zero, the Required
        Overcollateralization Amount shall be zero.

       

      “Reserve
        Fund”:
        A fund
        created pursuant to Section 3.24 which shall be an asset of the Trust Fund
        but which shall not be an asset of any Trust REMIC.

       

      “Reserve
        Interest Rate”:
        With
        respect to any Interest Determination Date, the rate per annum that the
        Securities Administrator determines to be either (i) the arithmetic mean
        (rounded upwards if necessary to the nearest whole multiple of 1/16%) of
        the
        one-month U.S. dollar lending rates which New York City banks selected by
        the
        Securities Administrator, after consultation with the Depositor, are quoting
        on
        the relevant Interest Determination Date to the principal London offices
        of
        leading banks in the London interbank market or (ii) in the event that the
        Securities Administrator can determine no such arithmetic mean, the lowest
        one-month U.S. dollar lending rate which New York City banks selected by
        the
        Securities Administrator are quoting on such Interest Determination Date
        to
        leading European banks.

       

      “Residential
        Dwelling”:
        Any
        one of the following: attached, detached or semi-detached, one to four-family
        dwelling units, townhouses, individual condominium units and individual units
        in
        planned unit developments

       

      “Residual
        Certificate”:
        Any
        one of the Class R Certificates.

       

      “Residual
        Interest”:
        The
        sole class of “residual interests” in a REMIC within the meaning of
        Section 860G(a)(2) of the Code.

       

      “Responsible
        Officer”:
        When
        used with respect to the Trustee, any officer of the Trustee having direct
        responsibility for the administration of this Agreement and, with respect
        to a
        particular matter, to whom such matter is referred because of such officer’s
        knowledge of and familiarity with the particular subject.

       

      “Rule
        144A”:
        As
        defined in Section 6.01(c).

       

      “S&P”:
        Standard and Poor’s, a division of the McGraw-Hill Companies, Inc. 

       

      “Sarbanes-Oxley
        Act”:
        Means
        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”:
        “Sarbanes-Oxley Certification”: A written certification signed by an officer of
        the Master Servicer that complies with (i) the Sarbanes-Oxley Act of 2002,
        as
        amended from time to time, 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 of 2002 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 of 2002, 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, the Depositor and the Sponsor following a negotiation in
        good
        faith to determine how to comply with any such new requirements.

       

      “Scheduled
        Principal Balance”:
        With
        respect to any Mortgage Loan: (a) as of the Cut-off Date, the outstanding
        principal balance of such Mortgage Loan as of such date, net of the principal
        portion of all unpaid Monthly Payments, if any, due on or before such date;
        (b)
        as of any Due Date subsequent to the Cut-off Date up to and including the
        Due
        Date in the calendar month in which a Liquidation Event occurs with respect
        to
        such Mortgage Loan, the Scheduled Principal Balance of such Mortgage Loan
        as of
        the Cut-off Date, minus the sum of (i) the principal portion of each Monthly
        Payment due on or before such Due Date but subsequent to the Cut-off Date,
        whether or not received, (ii) all Principal Prepayments received before such
        Due
        Date but after the Cut-off Date, (iii) the principal portion of all Liquidation
        Proceeds and Insurance Proceeds received before such Due Date but after the
        Cut-off Date, net of any portion thereof that represents principal due (without
        regard to any acceleration of payments under the related Mortgage and Mortgage
        Note) on a Due Date occurring on or before the date on which such proceeds
        were
        received and (iv) any Realized Loss incurred with respect thereto as a result
        of
        a Deficient Valuation occurring before such Due Date, but only to the extent
        such Realized Loss represents a reduction in the portion of principal of
        such
        Mortgage Loan not yet due (without regard to any acceleration of payments
        under
        the related Mortgage and Mortgage Note) as of the date of such Deficient
        Valuation; and (c) as of any Due Date subsequent to the occurrence of a
        Liquidation Event with respect to such Mortgage Loan, zero. With respect
        to any
        REO Property: (a) as of any Due Date subsequent to the date of its acquisition
        on behalf of the Trust Fund up to and including the Due Date in the calendar
        month in which a Liquidation Event occurs with respect to such REO Property,
        an
        amount (not less than zero) equal to the Scheduled Principal Balance of the
        related Mortgage Loan as of the Due Date in the calendar month in which such
        REO
        Property was acquired, minus the aggregate amount of REO Principal Amortization,
        if any, in respect of REO Property for all previously ended calendar months;
        and
        (b) as of any Due Date subsequent to the occurrence of a Liquidation Event
        with
        respect to such REO Property, zero.

       

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

       

      “Securities
        Administrator”:
        As of
        the Closing Date, Wells Fargo Bank, National Association and thereafter,
        its
        respective successors in interest that meet the qualifications of this
        Agreement. The Securities Administrator and the Master Servicer shall at
        all
        times be the same Person or Affiliates.

       

      “Senior
        Interest Distribution Amount”:
        With
        respect to any Distribution Date, an amount equal to the sum of (i) the Interest
        Distribution Amounts for such Distribution Date for the Class A Certificates
        and
        (ii) the Interest Carry Forward Amounts, if any, for such Distribution Date
        for
        the Class A Certificates.

       

      “Servicer”:
        GMAC,
        or any successor thereto appointed hereunder in connection with the servicing
        and administration of the GMAC Mortgage Loans.

       

      “Servicer
        Event of Default”:
        One or
        more of the events described in Section 8.01(a) of this
        Agreement.

       

      “Servicer
        Remittance Date”:
        With
        respect to any Distribution Date, by 12:00 p.m. New York time on the 18th
        day of
        the month in which such Distribution Date occurs; provided that if such 18th
        day
        of a given month is not a Business Day, the Servicer Remittance Date for
        such
        month shall be the Business Day immediately preceding such 18th day.

       

      “Servicer
        Report”:
        A
        report (substantially in the form of Schedule 5 hereto) or otherwise in form
        and
        substance acceptable to the Master Servicer and Securities Administrator
        on an
        electronic data file or tape prepared by the Servicer pursuant to
        Section 5.03(a) of this Agreement with such additions, deletions and
        modifications as agreed to by the Master Servicer, the Securities Administrator
        and the Servicer. 

       

      “Service(s)(ing)”:
        Means,
        in accordance with Regulation AB, the act of servicing and administering
        the
        Mortgage Loans or any other assets of the Trust 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 shall have
        the
        meaning commonly understood by participants in the residential mortgage-backed
        securitization market.

       

      “Servicing
        Advances”:
        The
        customary and reasonable “out-of-pocket” costs and expenses incurred prior to or
        on or after the Cut-off Date (the amounts incurred prior to the Cut-off Date
        shall be identified on the Servicing Advance Schedule by (a) the Servicer
        with
        respect to any
        Mortgage Loans that were transferred to the Servicer prior to the Cut-off
        Date
        and/or (b) the Depositor with respect to any Mortgage Loans that were
        transferred to the Servicer after the Cut-off Date) by
        the
        Servicer in connection with a default, delinquency or other unanticipated
        event
        by the Servicer in the performance of its servicing obligations, including,
        but
        not limited to, the cost of (i) the inspection, preservation, restoration
        and
        protection of a Mortgaged Property, (ii) any enforcement or judicial
        proceedings, including but not limited to foreclosures, in respect of a
        particular Mortgage Loan, including any expenses incurred in relation to
        any
        such proceedings that result from the Mortgage Loan being registered on the
        MERS® System, (iii) the management (including reasonable fees in connection
        therewith) and liquidation of any REO Property, (iv) the performance of its
        obligations under Section 3.01, Section 3.07, Section 3.11,
        Section 3.13 and Section 3.21 of this Agreement and (v) obtaining any
        legal documentation required to be included in the Mortgage File and/or
        correcting any outstanding title issues (i.e., any lien or encumbrance on
        the
        Mortgaged Property that prevents the effective enforcement of the intended
        lien
        position) reasonably necessary for the Servicer to perform its obligations
        under
        this Agreement. Servicing Advances also include any reasonable “out-of-pocket”
cost and expenses (including legal fees) incurred by the Servicer in connection
        with executing and recording instruments of satisfaction, deeds of reconveyance
        or Assignments to the extent not recovered from the Mortgagor or otherwise
        payable under this Agreement. The Servicer shall not be required to make
        any
        Nonrecoverable Servicing Advances.

       

      “Servicing
        Advance Schedule”:
        With
        respect to any Servicing Advances incurred prior to the Cut-off Date, the
        schedule or schedules provided by (a) the Servicer with respect to any Mortgage
        Loans that were transferred to the Servicer prior to the Cut-off Date and/or
        (b)
        the Depositor with respect to any Mortgage Loans that were transferred to
        the
        Servicer after the Cut-off Date to the Master Servicer and, if such schedule
        is
        provided by the Depositor, to the Servicer, on the date on which the Servicer
        seeks reimbursement for a Servicing Advance made by the Servicer, which schedule
        or schedules shall contain the information set forth on Schedule 6.

       

      “Servicing
        Criteria”:
        Means
        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 Mortgage Loan and for any calendar month, an amount equal
        to
        one-twelfth of the product of the Servicing Fee Rate multiplied by the Scheduled
        Principal Balance of the Mortgage Loans as of the Due Date in the preceding
        calendar month. The Servicing Fee is payable solely from collections of interest
        on the Mortgage Loans; provided, however, that GMAC shall only be entitled
        to a
        portion of the Servicing Fee calculated on the Mortgage Loans at the GMAC
        Servicing Fee Rate.

       

      “Servicing
        Fee Rate”:
        0.50%
        per annum. 

       

      “Servicing
        Function Participant”:
        Means
        any Sub-Servicer, Subcontractor or any other Person, other than each Servicer,
        the Master Servicer, each Custodian, the Trustee and the Securities
        Administrator, that is determined to be “participating in the servicing
        function” within the meaning of Item 1122 of Regulation AB, without regard to
        any threshold referenced therein..

       

      “Servicing
        Officer”:
        Any
        officer of the Servicer or the Master Servicer involved in, or responsible
        for,
        the administration and servicing of the related Mortgage Loans, whose name
        and
        specimen signature appear on a list of Servicing Officers furnished by the
        Servicer or the Master Servicer to the Trustee, the Master Servicer (in the
        case
        of the Servicer), the Securities Administrator and the Depositor on the Closing
        Date, as such list may from time to time be amended.

       

      “Significant
        Subsequent Recoveries”:
        With
        respect to a defaulted Mortgage Loan, a determination by the Servicer that
        either (A) the potential Subsequent Recoveries are anticipated to be greater
        than or equal to the sum of (i) the total indebtedness of the senior lien
        on the
        related Mortgaged Property and (ii) $10,000 (after anticipated expenses and
        attorneys’ fees) or (B) the related Mortgagor has shown a willingness and
        ability to pay over the previous six months.

       

      “Servicing
        Transfer Date”:
        September 5, 2006.

       

      “Single
        Certificate”:
        With
        respect to any Class of Certificates (other than the Residual Certificates),
        a
        hypothetical Certificate of such Class evidencing a Percentage Interest for
        such
        Class corresponding to an initial Certificate Principal Balance of $1,000.
        With
        respect to the Residual Certificates, a hypothetical Certificate of such
        Class
        evidencing a 100% Percentage Interest in such Class. 

       

      “Special
        Servicing Practices”:
        With
        regard to any Charged Off Loans, the servicing of such Charged Off Loans
        using
        specialized collection procedures (including foreclosure, if appropriate)
        to
        maximize recoveries.

       

      “Sponsor”:
        DB
        Structured Products, Inc. or its successor in interest, in its capacity as
        seller under the Mortgage Loan Purchase Agreement.

       

      “Startup
        Day”:
        With
        respect to each Trust REMIC, the day designated as such pursuant to
        Section 11.01(b) hereof.

       

      “Stated
        Principal Balance”:
        With
        respect to any Mortgage Loan: (a) as of any date of determination up to but
        not
        including the Distribution Date on which the proceeds, if any, of a Liquidation
        Event with respect to such Mortgage Loan would be distributed, the Scheduled
        Principal Balance of such Mortgage Loan as of the Cut-off Date, as shown
        in the
        Mortgage Loan Schedule, minus the sum of (i) the principal portion of each
        Monthly Payment due on a Due Date subsequent to the Cut-off Date, to the
        extent
        received from the Mortgagor or advanced by the Servicer or a successor to
        the
        Servicer (including the Master Servicer) and distributed pursuant to
        Section 5.01 of this Agreement on or before such date of determination,
        (ii) all Principal Prepayments received after the Cut-off Date, to the extent
        distributed pursuant to Section 5.01 of this Agreement on or before such
        date of determination, (iii) all Liquidation Proceeds and Insurance Proceeds
        applied by the Servicer as recoveries of principal in accordance with the
        provisions of Section 3.13 of this Agreement, to the extent distributed
        pursuant to Section 5.01 of this Agreement on or before such date of
        determination, and (iv) any Realized Loss incurred with respect thereto as
        a
        result of a Deficient Valuation made during or prior to the Prepayment Period
        for the most recent Distribution Date coinciding with or preceding such date
        of
        determination; and (b) as of any date of determination coinciding with or
        subsequent to the Distribution Date on which the proceeds, if any, of a
        Liquidation Event with respect to such Mortgage Loan would be distributed,
        zero.
        With respect to any REO Property: (a) as of any date of determination up
        to but
        not including the Distribution Date on which the proceeds, if any, of a
        Liquidation Event with respect to such REO Property would be distributed,
        an
        amount (not less than zero) equal to the Stated Principal Balance of the
        related
        Mortgage Loan as of the date on which such REO Property was acquired on behalf
        of REMIC I, minus the sum of (i) if such REO Property was acquired before
        the
        Distribution Date in any calendar month, the principal portion of the Monthly
        Payment due on the Due Date in the calendar month of acquisition, to the
        extent
        advanced by the Servicer, or a successor to the Servicer (including the Master
        Servicer) and distributed pursuant to Section 5.01 of this Agreement, on or
        before such date of determination and (ii) the aggregate amount of REO Principal
        Amortization in respect of such REO Property for all previously ended calendar
        months, to the extent distributed pursuant to Section 4.01 of this
        Agreement on or before such date of determination; and (b) as of any date
        of
        determination coinciding with or subsequent to the Distribution Date on which
        the proceeds, if any, of a Liquidation Event with respect to such REO Property
        would be distributed, zero.

       

      “Stepdown
        Date”:
        The
        earlier to occur of (i) the later to occur of (x) the Distribution Date
        occurring in September 2009 and (y) the first Distribution Date on which
        the
        Credit Enhancement Percentage (calculated for this purpose only after taking
        into account distributions of principal on the Mortgage Loans, but prior
        to any
        distribution of the Principal Distribution Amount to the Certificates then
        entitled to distributions of principal on such Distribution Date), is greater
        than or equal to approximately 47.00% and (ii) the first Distribution Date
        on
        which the aggregate Certificate Principal Balance of the Class A Certificates
        has been reduced to zero.

       

      “Subcontractor”:
        Means
        any vendor, subcontractor or other Person that is not responsible for the
        overall servicing of Mortgage Loans but performs one or more discrete functions
        identified in Item 1122(d) of Regulation AB (without regard to any threshold
        percentage specified therein) with respect to Mortgage Loans under the direction
        or authority of the Servicer (or a Sub-Servicer of the Servicer), the Master
        Servicer, the Trustee, a Custodian or the Securities Administrator.

       

      “Subordinate
        Certificates”:
        Collectively, the Mezzanine Certificates and the Class CE-1
        Certificates.

       

      “Subsequent
        Recoveries”:
        As of
        any Distribution Date, amounts received during the related Prepayment Period
        by
        the Servicer specifically related to a defaulted Mortgage Loan or disposition
        of
        an REO Property prior to the related Prepayment Period that resulted in a
        Realized Loss (i) with respect to a Charged Off Loan, after such Mortgage
        Loan
        has been charged off by the Servicer or (ii) with respect to a Liquidated
        Mortgage Loan, after the liquidation or disposition of such defaulted Mortgage
        Loan.

       

      “Sub-Servicer”:
        Means
        any Person that (i) is considered to be a Servicing Function Participant,
        (ii)
        services Mortgage Loans on behalf of any Servicer, the Master Servicer, the
        Securities Administrator or the Trustee, and (iii) is responsible for the
        performance (whether directly or through sub-servicers or Subcontractors)
        of
        Servicing functions required to be performed under this Agreement or any
        related
        Sub-Servicing Agreement that is identified in Item 1122(d) of Regulation
        AB.

       

      “Sub-Servicing
        Agreement”:
        The
        written contract between the Servicer and a Sub-Servicer relating to servicing
        and administration of certain Mortgage Loans as provided in Section 3.02 of
        this Agreement.

       

      “Substitution
        Shortfall Amount”:
        As
        defined in Section 2.03 of this Agreement.

       

      “Supplemental
        Interest Trust”:
        The
        corpus of a trust created pursuant to Section 5.07 of this Agreement and
        designated as the “Supplemental Interest Trust,” consisting of the Swap
        Agreement, the Class IO Interest and the right to receive payments in respect
        of
        the Class IO Distribution Amount. For the avoidance of doubt, the Supplemental
        Interest Trust does not constitute a part of the Trust Fund.

       

      “Swap
        Agreement”:
        The
        Interest Rate Swap Agreement, dated as of August 29, 2006, between HSBC Bank
        USA, National Association, as trustee on behalf of the Supplemental Interest
        Trust, and the Swap Provider, which agreement provides for Net Swap Payments
        and
        Swap Termination Payments to be paid, as provided therein, together with
        any
        schedules, confirmations or other agreements relating thereto. A copy of
        the
        Swap Agreement is attached hereto as Exhibit
        I.

       

      “Swap
        LIBOR”:
        LIBOR
        as determined pursuant to the Swap Agreement.

       

      “Swap
        Notional Amount”:
        For
        each calculation period as defined in the Swap Agreement, the amount set
        forth
        below:

       

      
        	
                Distribution
                  

                Date

              	
                Swap
                  Notional Amount

                ($)

              
	
                September
                  2006

              	
                275,692,695

              
	
                October
                  2006

              	
                265,863,567

              
	
                November
                  2006

              	
                256,383,905

              
	
                December
                  2006

              	
                247,241,311

              
	
                January
                  2007

              	
                238,423,824

              
	
                February
                  2007

              	
                229,919,908

              
	
                March
                  2007

              	
                221,718,434

              
	
                April
                  2007

              	
                213,808,669

              
	
                May
                  2007

              	
                206,180,260

              
	
                June
                  2007

              	
                198,823,221

              
	
                July
                  2007

              	
                191,727,919

              
	
                August
                  2007

              	
                184,885,063

              
	
                September
                  2007

              	
                178,285,691

              
	
                October
                  2007

              	
                171,921,160

              
	
                November
                  2007

              	
                165,783,130

              
	
                December
                  2007

              	
                159,863,561

              
	
                January
                  2008

              	
                154,154,694

              
	
                February
                  2008

              	
                148,649,047

              
	
                March
                  2008

              	
                143,339,404

              
	
                April
                  2008

              	
                138,218,803

              
	
                May
                  2008

              	
                133,280,529

              
	
                June
                  2008

              	
                128,518,107

              
	
                July
                  2008

              	
                123,925,290

              
	
                August
                  2008

              	
                119,496,052

              
	
                September
                  2008

              	
                115,224,582

              
	
                October
                  2008

              	
                111,105,274

              
	
                November
                  2008

              	
                107,132,723

              
	
                December
                  2008

              	
                103,301,711

              
	
                January
                  2009

              	
                99,607,211

              
	
                February
                  2009

              	
                96,044,370

              
	
                March
                  2009

              	
                92,608,509

              
	
                April
                  2009

              	
                89,295,114

              
	
                May
                  2009

              	
                86,099,832

              
	
                June
                  2009

              	
                83,018,463

              
	
                July
                  2009

              	
                80,046,959

              
	
                August
                  2009

              	
                77,181,412

              
	
                September
                  2009

              	
                74,418,056

              
	
                October
                  2009

              	
                71,753,255

              
	
                November
                  2009

              	
                69,183,506

              
	
                December
                  2009

              	
                66,705,426

              
	
                January
                  2010

              	
                64,315,757

              
	
                February
                  2010

              	
                62,011,352

              
	
                March
                  2010

              	
                59,789,179

              
	
                April
                  2010

              	
                57,646,312

              
	
                May
                  2010

              	
                55,579,929

              
	
                June
                  2010

              	
                53,587,308

              
	
                July
                  2010

              	
                51,665,825

              
	
                August
                  2010

              	
                49,812,948

              
	
                September
                  2010

              	
                48,026,235

              
	
                October
                  2010

              	
                46,303,331

              
	
                November
                  2010

              	
                44,641,964

              
	
                December
                  2010

              	
                43,039,943

              
	
                January
                  2011

              	
                41,495,155

              
	
                February
                  2011

              	
                40,005,564

              
	
                March
                  2011

              	
                38,569,201

              
	
                April
                  2011

              	
                37,184,173

              
	
                May
                  2011

              	
                35,848,651

              
	
                June
                  2011

              	
                34,560,520

              
	
                July
                  2011

              	
                33,318,410

              
	
                August
                  2011

              	
                32,120,712

              
	
                September
                  2011

              	
                30,965,856

              
	
                October
                  2011

              	
                29,852,314

              
	
                November
                  2011

              	
                28,778,615

              
	
                December
                  2011

              	
                27,743,338

              

      

       

      “Swap
        Provider”:
        The
        swap provider under the Swap Agreement either (a) entitled to receive payments
        from the Supplemental Interest Trust or (b) required to make payments to
        the
        Supplemental Interest Trust, in either case pursuant to the terms of the
        Swap
        Agreement, and any successor in interest or assign. Initially, the Swap Provider
        shall be Deutsche Bank AG New York Branch.

       

      “Swap
        Provider Trigger Event”:
        A Swap
        Provider Trigger Event shall have occurred if any of the following has occurred:
        (i) an Event of Default under the Swap Agreement with respect to which the
        Swap
        Provider is a Defaulting Party (as defined in the Swap Agreement), (ii) a
        Termination Event under the Swap Agreement with respect to which the Swap
        Provider is the sole Affected Party (as defined in the Swap Agreement) or
        (iii)
        an Additional Termination Event under the Swap Agreement with respect to
        which
        the Swap Provider is the sole Affected Party.

       

      “Swap
        Termination Payment”:
        Upon
        the designation of an “Early Termination Date” as defined in the Swap Agreement,
        the payment to be made by the Supplemental Interest Trust to the Swap Provider,
        or by the Swap Provider to the Supplemental Interest Trust, as applicable,
        pursuant to the terms of the Swap Agreement.

       

      “Tax
        Returns”:
        The
        federal income tax return on Internal Revenue Service Form 1066, U.S. Real
        Estate Mortgage Investment Conduit Income Tax Return, including Schedule
        Q
        thereto, Quarterly Notice to Residual Interest Holders of REMIC Taxable Income
        or Net Loss Allocation, or any successor forms, to be filed on behalf of
        the
        Trust REMICs under the REMIC Provisions, together with any and all other
        information reports or returns that may be required to be furnished to the
        Certificateholders or filed with the Internal Revenue Service or any other
        governmental taxing authority under any applicable provisions of federal,
        state
        or local tax laws.

       

      “Telerate
        Page 3750”:
        The
        display designated as page “3750” on the Dow Jones Telerate Capital Markets
        Report (or such other page as may replace page 3750 on that report for the
        purpose of displaying London interbank offered rates of major
        banks).

       

      “Termination
        Price”:
        As
        defined in Section 10.01.

       

      “Transfer”:
        Any
        direct or indirect transfer, sale, pledge, hypothecation, or other form of
        assignment of any Ownership Interest in a Certificate.

       

      “Transferee”:
        Any
        Person who is acquiring by Transfer any Ownership Interest in a
        Certificate.

       

      “Transferor”:
        Any
        Person who is disposing by Transfer of any Ownership Interest in a
        Certificate.

       

      “Trigger
        Event”:
        A
        Trigger Event has occurred with respect to a Distribution Date if either
        (x) the
        Delinquency Percentage exceeds 17.03% of the Credit Enhancement Percentage
        of
        the Class A Certificates with respect to such Distribution Date or (y) the
        aggregate amount of Realized Losses incurred since the Cut-off Date through
        the
        last day of the related Due Period divided by the aggregate principal balance
        of
        the Mortgage Loans as of the Cut-off Date exceeds the applicable percentages
        set
        forth below with respect to such Distribution Date:

       

      
        	
                Distribution
                  Date 

              	 	
                Percentage

              
	
                September
                  2008 to August 2009

              	 	
                1.95%,
                  plus 1/12 of 2.40% for each month thereafter

              
	
                September
                  2009 to August 2010

              	 	
                4.35%,
                  plus 1/12 of 1.65% for each month thereafter

              
	
                September
                  2010 to August 2011

              	 	
                6.00%,
                  plus 1/12 of 1.25% for each month thereafter

              
	
                September
                  2011 to August 2012

              	 	
                7.25%,
                  plus 1/12 of 0.75% for each month thereafter

              
	
                September
                  2012 and thereafter

              	 	
                8.00%

              

      

      

      “Trust”:
        ACE
        Securities Corp., Home Equity Loan Trust, Series 2006-SL4, the trust created
        hereunder.

       

      “Trust
        Fund”:
        Collectively, all of the assets of REMIC I, REMIC II, REMIC III and the Reserve
        Fund and any amounts on deposit therein and any proceeds thereof. For avoidance
        of doubt, the Trust Fund does not include the Supplemental Interest
        Trust.

       

      “Trust
        REMIC”:
        REMIC
        I, REMIC II or REMIC III.

       

      “Trustee”:
        HSBC
        Bank USA, National Association a national banking association, or its successor
        in interest, or any successor trustee appointed as herein provided.

       

      “Uncertificated
        Balance”:
        The
        amount of the REMIC Regular Interests outstanding as of any date of
        determination. As of the Closing Date, the Uncertificated Balance of each
        REMIC
        Regular Interest shall equal the amount set forth in the Preliminary Statement
        hereto as its initial uncertificated balance. On each Distribution Date,
        the
        Uncertificated Balance of the REMIC Regular Interests shall be reduced by
        all
        distributions of principal made on such REMIC Regular Interest on such
        Distribution Date pursuant to Section 5.01 of this Agreement and, if and
        to the
        extent necessary and appropriate, shall be further reduced on such Distribution
        Date by Realized Losses as provided in Section 5.04 of this Agreement and
        the
        Uncertificated Balance of REMIC II Regular Interest ZZ shall be increased
        by
        interest deferrals as provided in Section 5.01 of this Agreement. The
        Uncertificated Balance of each REMIC Regular Interest shall never be less
        than
        zero.

       

      “Uncertificated
        Interest”:
        With
        respect to any REMIC Regular Interest for any Distribution Date, one month’s
        interest at the REMIC Remittance Rate applicable to such REMIC Regular Interest
        for such Distribution Date, accrued on the Uncertificated Balance thereof
        immediately prior to such Distribution Date. Uncertificated Interest in respect
        of the REMIC Regular Interests shall accrue on the basis of a 360-day year
        consisting of twelve 30-day months. Uncertificated Interest with respect
        to each
        Distribution Date, as to any REMIC Regular Interest, shall be reduced by
        an
        amount equal to the sum of (a) the aggregate Prepayment Interest Shortfall,
        if
        any, for such Distribution Date to the extent not covered by payments pursuant
        to Section 3.22 or Section 4.19 of this Agreement and (b) the aggregate amount
        of any Relief Act Interest Shortfall, if any allocated, in each case, to
        such
        REMIC Regular Interest or REMIC Regular Interest pursuant to Section 1.02
        of
        this Agreement. In addition, Uncertificated Interest with respect to each
        Distribution Date, as to any REMIC Regular Interest, shall be reduced by
        Realized Losses, if any, allocated to such REMIC Regular Interest pursuant
        to
        Section 1.02 and Section 5.04 of this Agreement.

       

      “Uninsured
        Cause”:
        Any
        cause of damage to a Mortgaged Property such that the complete restoration
        of
        such property is not fully reimbursable by the hazard insurance policies
        required to be maintained pursuant to Section 3.11 of this
        Agreement.

       

      “United
        States Person”:
        A
        citizen or resident of the United States, a corporation, partnership or other
        entity created or organized in, or under the laws of, the United States or
        any
        political subdivision thereof (except, in the case of a partnership, to the
        extent provided in regulations) provided that, for purposes solely of the
        restrictions on the transfer of any Class R Certificate, no partnership or
        other
        entity treated as a partnership for United States federal income tax purposes
        shall be treated as a United States Person unless all persons that own an
        interest in such partnership either directly or through any entity that is
        not a
        corporation for United States federal income tax purposes are required to
        be
        United States Persons, or an estate whose income is subject to United States
        federal income tax regardless of its source, or 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 United States persons have the authority to control
        all substantial decisions of the trust. To the extent prescribed in regulations
        by the Secretary of the Treasury, a trust which was in existence on August
        20,
        1996 (other than a trust treated as owned by the grantor under subpart E
        of part
        I of subchapter J of chapter I of the Code), and which was treated as a United
        States person on August 20, 1996 may elect to continue to be treated as a
        United
        States person notwithstanding the previous sentence. The term “United States”
shall have the meaning set forth in Section 7701 of the Code.

       

      “Value”:
        With
        respect to any Mortgaged Property, the lesser of (i) the lesser of (a) the
        value
        thereof as determined by an appraisal made for the related originator of
        the
        Mortgage Loan at the time of origination of the Mortgage Loan by an appraiser
        who met the minimum requirements of Fannie Mae and Freddie Mac and (b) the
        value
        thereof as determined by a review appraisal conducted by the related originator
        of the Mortgage Loan in accordance with the related originator’s underwriting
        guidelines, and (ii) the purchase price paid for the related Mortgaged Property
        by the Mortgagor with the proceeds of the Mortgage Loan; provided, however,
        (A)
        in the case of a Refinanced Mortgage Loan, such value of the Mortgaged Property
        is based solely upon the lesser of (1) the value determined by an appraisal
        made
        for the related originator of the Mortgage Loan of such Refinanced Mortgage
        Loan
        at the time of origination of such Refinanced Mortgage Loan by an appraiser
        who
        met the minimum requirements of Fannie Mae and Freddie Mac and (2) the value
        thereof as determined by a review appraisal conducted by the related originator
        of the Mortgage Loan in accordance with the related originator’s underwriting
        guidelines, and (B) in the case of a Mortgage Loan originated in connection
        with
        a “lease-option purchase,” such value of the Mortgaged Property is based on the
        lower of the value determined by an appraisal made for the originator of
        such
        Mortgage Loan at the time of origination or the sale price of such Mortgaged
        Property if the “lease option purchase price” was set less than twelve (12)
        months prior to origination, and is based on the value determined by an
        appraisal made for the related originator of such Mortgage Loan at the time
        of
        origination if the “lease option purchase price” was set twelve (12) months or
        more prior to origination.

       

      “Verification
        Report”:
        As
        defined in Section 4.19. 

       

      “Voting
        Rights”:
        The
        portion of the voting rights of all of the Certificates which is allocated
        to
        any such Certificate. With respect to any date of determination, 98% of all
        Voting Rights will be allocated among the holders of the Class A Certificates,
        the Mezzanine Certificates and the Class CE-1 Certificates in proportion
        to the
        then outstanding Certificate Principal Balances of their respective
        Certificates, 1% of all Voting Rights will be allocated among the holders
        of the
        Class P Certificates and 1% of all Voting Rights will be allocated among
        the
        holders of the Class R Certificates. The Voting Rights allocated to each
        Class
        of Certificate shall be allocated among holders of each such Class in accordance
        with their respective Percentage Interests as of the most recent Record
        Date.

       

      “Wells
        Fargo”:
        Wells
        Fargo Bank, National Association or any successor thereto.

       

      “Wells
        Fargo Custodial Agreement”:
        The
        Custodial Agreement dated as of August 1, 2006, among the Trustee, Wells
        Fargo
        and GMAC, as may be amended or supplemented from time to time.

       

      SECTION
        1.02.  Allocation
        of Certain Interest Shortfalls.

       

      For
        purposes of calculating the amount of Accrued Certificate Interest and the
        amount of the Interest Distribution Amount for the Class A Certificates,
        the
        Mezzanine Certificates and the Class CE-1 Certificates for any Distribution
        Date, (1) the aggregate amount of any Prepayment Interest Shortfalls (to
        the
        extent not covered by payments by the Servicer pursuant to Section 3.22 of
        this Agreement or by the Master Servicer pursuant to Section 4.19 of this
        Agreement) and any Relief Act Interest Shortfalls incurred in respect of
        the
        Mortgage Loans for any Distribution Date shall be allocated first,
        to the
        Class CE-1 Certificates, second,
        to the
        Class M-10 Certificates, third,
        to the
        Class M-9 Certificates, fourth,
        to the
        Class M-8 Certificates, fifth,
        to the
        Class M-7 Certificates, sixth,
        to the
        Class M-6 Certificates, seventh,
        to the
        Class M-5 Certificates, eighth,
        to the
        Class M-4 Certificates, ninth,
        to the
        Class M-3 Certificates, tenth,
        to the
        Class M-2 Certificates, eleventh,
        to the
        Class M-1 Certificates and twelfth,
        to the
        Class A-1 Certificates, Class A-2 Certificates and Class A-3 Certificates,
        on a
        pro rata basis based on their respective Senior Interest Distribution Amounts
        before such reduction, in each case based on, and to the extent of, one month’s
        interest at the then applicable respective Pass-Through Rate on the respective
        Certificate Principal Balance or Notional Amount, as applicable, of each
        such
        Certificate and (2) the aggregate amount of any Realized Losses allocated
        to the
        Mezzanine Certificates and Net WAC Rate Carryover Amounts paid to the Class
        A
        Certificates and the Mezzanine Certificates incurred for any Distribution
        Date
        shall be allocated to the Class CE-1 Certificates on a pro
        rata
        basis
        based on, and to the extent of, one month’s interest at the then applicable
        respective Pass-Through Rate on the respective Certificate Principal Balance
        or
        Notional Amount thereof, as applicable.

       

      For
        purposes of calculating the amount of Uncertificated Interest for the REMIC
        I
        Regular Interests for any Distribution Date, the aggregate amount of any
        Prepayment Interest Shortfalls (to the extent not covered by payments by
        the
        Servicer pursuant to Section 3.22 of this Agreement or the Master Servicer
        pursuant to Section 4.19) and any Relief Act Interest Shortfalls incurred
        in
        respect of Mortgage Loans shall be allocated first, to the REMIC I Regular
        Interest A-I and to the REMIC I Regular Interests ending with the designation
        “B”, pro
        rata
        based
        on, and to the extent of, one month’s interest at the then applicable respective
        REMIC I Remittance Rates on the respective Uncertificated Balances of each
        such
        REMIC I Regular Interest, and then, to REMIC I Regular Interests ending with
        the
        designation “A”, pro rata based on, and to the extent of, one month’s interest
        at the then applicable respective REMIC I Remittance Rates on the respective
        Uncertificated Balances of each such REMIC I Regular Interest.

       

      For
        purposes of calculating the amount of Uncertificated Interest for the REMIC
        II
        Regular Interests for any Distribution Date: the aggregate amount of any
        Prepayment Interest Shortfalls (to the extent not covered by payments by
        the
        Servicer pursuant to Section 3.22 of this Agreement or the Master Servicer
        pursuant to Section 4.19 of this Agreement) and any Relief Act Interest
        Shortfalls incurred in respect of the Mortgage Loans for any Distribution
        Date
        shall be allocated among REMIC II Regular Interest AA, REMIC II Regular Interest
        A-1, REMIC II Regular Interest A-2, REMIC II Regular Interest A-3, REMIC
        II
        Regular Interest M-1, REMIC II Regular Interest M-2, REMIC II Regular Interest
        M-3, REMIC II Regular Interest M-4, REMIC II Regular Interest M-5, REMIC
        II
        Regular Interest M-6, REMIC II Regular Interest M-7, REMIC II Regular Interest
        M-8, REMIC II Regular Interest M-9, REMIC II Regular Interest M-10 and REMIC
        II
        Regular Interest ZZ pro rata based on, and to the extent of, one month’s
        interest at the then applicable respective REMIC II Remittance Rate on the
        respective Uncertificated Balance of each such REMIC II Regular
        Interest.

       

       

       

      ARTICLE
        II

      CONVEYANCE
        OF MORTGAGE LOANS;

      ORIGINAL
        ISSUANCE OF CERTIFICATES

       

      SECTION
        2.01.  Conveyance
        of the Mortgage Loans.

       

      The
        Depositor, concurrently with the execution and delivery hereof, does hereby
        transfer, assign, set over and otherwise convey to the Trustee, on behalf
        of the
        Trust, without recourse, for the benefit of the Certificateholders, all the
        right, title and interest of the Depositor, including any security interest
        therein for the benefit of the Depositor, in and to the Mortgage Loans
        identified on the Mortgage Loan Schedule, the rights of the Depositor under
        the
        Mortgage Loan Purchase Agreement (including, without limitation the right
        to
        enforce the obligations of the other parties thereto thereunder) and the
        Assignment Agreement, the right to any Net Swap Payment and any Swap Termination
        Payment made by the Swap Provider and all other assets included or to be
        included in REMIC I. Such assignment includes all interest and principal
        received by the Depositor and the Servicer on or with respect to the Mortgage
        Loans (other than payments of principal and interest due on such Mortgage
        Loans
        on or before the Cut-off Date). The Depositor herewith delivers to the Trustee
        and the Servicer a copy of the Mortgage Loan Purchase Agreement which is
        attached hereto as Exhibit F.

       

      In
        connection with such transfer and assignment, the Depositor does hereby deliver
        to, and deposit with the applicable Custodian pursuant to the related Custodial
        Agreement the documents with respect to each Mortgage Loan as described under
        Section 2 of the related Custodial Agreement (the “Mortgage Loan
        Documents”). In connection with such delivery and as further described in the
        related Custodial Agreement, the applicable Custodian will be required to
        review
        such Mortgage Loan Documents and deliver to the Trustee, the Depositor, the
        Servicer and the Sponsor certifications (in the forms attached to the related
        Custodial Agreement) with respect to such review with exceptions noted thereon.
        In addition, under the Custodial Agreements the Depositor will be required
        to
        cure certain defects with respect to the Mortgage Loan Documents for the
        related
        Mortgage Loans after the delivery thereof by the Depositor to the applicable
        Custodian as more particularly set forth therein.

       

      Notwithstanding
        anything to the contrary contained herein, the parties hereto acknowledge
        that
        the functions of the Trustee with respect to the custody, acceptance, inspection
        and release of the Mortgage Files, including, but not limited to certain
        insurance policies and documents contemplated by Section 4.11 of this
        Agreement, and preparation and delivery of the certifications shall be performed
        by the Custodians pursuant to the terms and conditions of the Custodial
        Agreements.

       

      The
        Depositor shall deliver or cause the related originator to deliver to the
        Servicer copies of all trailing documents required to be included in the
        related
        Mortgage File at the same time the originals or certified copies thereof
        are
        delivered to the Trustee or Custodians, such documents including the mortgagee
        policy of title insurance and any Mortgage Loan Documents upon return from
        the
        recording office. The Servicer shall not be responsible for the Custodians’ fees
        or other costs incurred in obtaining such documents and the Depositor shall
        cause the Servicer to be reimbursed for any such costs the Servicer may incur
        in
        connection with performing its obligations under this Agreement.

       

      The
        Mortgage Loans permitted by the terms of this Agreement to be included in
        the
        Trust are limited to (i) Mortgage Loans (which the Depositor acquired pursuant
        to the Mortgage Loan Purchase Agreement, which contains, among other
        representations and warranties, a representation and warranty of the Sponsor
        that no Mortgage Loan is a “High-Cost Home Loan” as defined in the New Jersey
        Home Ownership Act effective November 27, 2003 or as defined in the New Mexico
        Home Loan Protection Act effective January 1, 2004, as defined in the
        Massachusetts Predatory Home Loan Practices Act, effective November 7, 2004
        (Mass. Ann. Laws Ch. 183C) or as defined in the Indiana Home Loan Practices
        Act,
        effective January 1, 2005 (Ind. Code Ann. Sections 24-9-1 through 24-9-9))
        and
        (ii) Qualified Substitute Mortgage Loans (which, by definition as set forth
        herein and referred to in the Mortgage Loan Purchase Agreement, are required
        to
        conform to, among other representations and warranties, the representation
        and
        warranty of the Sponsor that no Qualified Substitute Mortgage Loan is a
“High-Cost Home Loan” as defined in the New Jersey Home Ownership Act effective
        November 27, 2003 or as defined in the New Mexico Home Loan Protection Act
        effective January 1, 2004, as defined in the Massachusetts Predatory Home
        Loan
        Practices Act, effective November 7, 2004 (Mass. Ann. Laws Ch. 183C) or as
        defined in the Indiana Home Loan Practices Act, effective January 1, 2005
        (Ind.
        Code Ann. Sections 24-9-1 through 24-9-9). The Depositor and the Trustee
        on
        behalf of the Trust understand and agree that it is not intended that any
        Mortgage Loan be included in the Trust that is a “High-Cost Home Loan” as
        defined in the New Jersey Home Ownership Act effective November 27, 2003,
        as
        defined in the New Mexico Home Loan Protection Act effective January 1, 2004,
        as
        defined in the Massachusetts Predatory Home Loan Practices Act, effective
        November 7, 2004 (Mass. Ann. Laws Ch. 183C) or as defined in the Indiana
        Home
        Loan Practices Act, effective January 1, 2005 (Ind. Code Ann. Sections 24-9-1
        through 24-9-9).

       

      SECTION
        2.02.  Acceptance
        of REMIC I by Trustee.

       

      The
        Trustee acknowledges receipt, subject to the provisions of Section 2.01
        hereof and Section 2 of the related Custodial Agreement, of the Mortgage
        Loan Documents and all other assets included in the definition of “REMIC I”
under clauses (i), (iii), (iv) and (v) (to the extent of amounts deposited
        into
        the Distribution Account) and declares that it holds (or the applicable
        Custodian on its behalf holds) and will hold such documents and the other
        documents delivered to it constituting a Mortgage Loan Document, and that
        it
        holds (or the applicable Custodian on its behalf holds) or will hold all
        such
        assets and such other assets included in the definition of “REMIC I” in trust
        for the exclusive use and benefit of all present and future
        Certificateholders.

       

      SECTION
        2.03.  Repurchase
        or Substitution of Mortgage Loans.

       

      (a)  Upon
        discovery or receipt of notice of any materially defective document in, or
        that
        a document is missing from, a Mortgage File or of a breach by the Sponsor
        of any
        representation, warranty or covenant under the Mortgage Loan Purchase Agreement
        in respect of any Mortgage Loan that materially and adversely affects the
        value
        of such Mortgage Loan or the interest therein of the Certificateholders,
        the
        Trustee shall promptly notify the Sponsor and the Servicer of such defect,
        missing document or breach and request that the Sponsor deliver such missing
        document, cure such defect or breach within sixty (60) days from the date
        the
        Sponsor was notified of such missing document, defect or breach, and if the
        Sponsor does not deliver such missing document or cure such defect or breach
        in
        all material respects during such period, the Trustee shall enforce the
        obligations of the Sponsor under the Mortgage Loan Purchase Agreement to
        repurchase such Mortgage Loan from REMIC I at the Purchase Price within ninety
        (90) days after the date on which the Sponsor was notified of such missing
        document, defect or breach, if and to the extent that the Sponsor is obligated
        to do so under the Mortgage Loan Purchase Agreement. The Purchase Price for
        the
        repurchased Mortgage Loan shall be remitted to the Servicer for deposit in
        the
        Collection Account and the Trustee, upon receipt of written certification
        from
        the Servicer of such deposit, shall release or cause the Custodian (upon
        receipt
        of a request for release in the form attached to the related Custodial
        Agreement) to release to the Sponsor the related Mortgage File and the Trustee
        shall execute and deliver such instruments of transfer or assignment, in
        each
        case without recourse, representation or warranty, as the Sponsor shall furnish
        to it and as shall be necessary to vest in the Sponsor any Mortgage Loan
        released pursuant hereto, and the Trustee shall not have any further
        responsibility with regard to such Mortgage File. In lieu of repurchasing
        any
        such Mortgage Loan as provided above, if so provided in the Mortgage Loan
        Purchase Agreement, the Sponsor may cause such Mortgage Loan to be removed
        from
        REMIC I (in which case it shall become a Deleted Mortgage Loan) and substitute
        one or more Qualified Substitute Mortgage Loans in the manner and subject
        to the
        limitations set forth in Section 2.03(b). It is understood and agreed that
        the obligation of the Sponsor to cure or to repurchase (or to substitute
        for)
        any Mortgage Loan as to which a document is missing, a material defect in
        a
        constituent document exists or as to which such a breach has occurred and
        is
        continuing shall constitute the sole remedy respecting such omission, defect
        or
        breach available to the Trustee and the Certificateholders. Notwithstanding
        anything to the contrary contained herein, any breach of a representation
        or
        warranty contained in clauses (xxxiv), (xl), (xli), (xliv), (xlv) and (xlviii)
        through (lvii), (lx) and/or (lxi) of Section 6 of the Mortgage Loan
        Purchase Agreement shall be automatically deemed to affect materially and
        adversely the interests of the Certificateholders.

       

      In
        addition, promptly upon the earlier of discovery by the Servicer or receipt
        of
        notice by the Servicer of the breach of the representation or covenant of
        the
        Sponsor set forth in Section 5(xii) of the Mortgage Loan Purchase Agreement
        which materially and adversely affects the interests of the Holders of the
        Class
        P Certificates in any Prepayment Charge, the Servicer shall promptly notify
        the
        Sponsor and the Trustee of such breach. The Trustee shall enforce the
        obligations of the Sponsor under the Mortgage Loan Purchase Agreement to
        remedy
        such breach to the extent and in the manner set forth in the Mortgage Loan
        Purchase Agreement.

       

      (b)  Any
        substitution of Qualified Substitute Mortgage Loans for Deleted Mortgage
        Loans
        made pursuant to Section 2.03(a) of this Agreement must be effected prior
        to the date which is two years after the Startup Day for REMIC I.

       

      As
        to any
        Deleted Mortgage Loan for which the Sponsor substitutes a Qualified Substitute
        Mortgage Loan or Loans, such substitution shall be effected by the Sponsor
        delivering to the Trustee or the applicable Custodian on behalf of the Trustee,
        for such Qualified Substitute Mortgage Loan or Loans, the Mortgage Note,
        the
        Mortgage, the Assignment to the Trustee, and such other documents and
        agreements, with all necessary endorsements thereon, as are required by
        Section 2 of the related Custodial Agreement, as applicable, together with
        an Officers’ Certificate providing that each such Qualified Substitute Mortgage
        Loan satisfies the definition thereof and specifying the Substitution Shortfall
        Amount (as described below), if any, in connection with such substitution.
        The
        applicable Custodian on behalf of the Trustee shall acknowledge receipt of
        such
        Qualified Substitute Mortgage Loan or Loans and, within ten (10) Business
        Days
        thereafter, review such documents and deliver to the Depositor, the Trustee
        and
        the Servicer, with respect to such Qualified Substitute Mortgage Loan or
        Loans,
        an initial certification pursuant to the related Custodial Agreement, with
        any
        applicable exceptions noted thereon. Within one year of the date of
        substitution, the applicable Custodian on behalf of the Trustee shall deliver
        to
        the Depositor, the Trustee and the Servicer a final certification pursuant
        to
        the related Custodial Agreement with respect to such Qualified Substitute
        Mortgage Loan or Loans, with any applicable exceptions noted thereon. Monthly
        Payments due with respect to Qualified Substitute Mortgage Loans in the month
        of
        substitution are not part of REMIC I and will be retained by the Sponsor.
        For
        the month of substitution, distributions to Certificateholders will reflect
        the
        Monthly Payment due on such Deleted Mortgage Loan on or before the Due Date
        in
        the month of substitution, and the Sponsor shall thereafter be entitled to
        retain all amounts subsequently received in respect of such Deleted Mortgage
        Loan. The Depositor shall give or cause to be given written notice to the
        Certificateholders that such substitution has taken place, shall amend the
        Mortgage Loan Schedule to reflect the removal of such Deleted Mortgage Loan
        from
        the terms of this Agreement and the substitution of the Qualified Substitute
        Mortgage Loan or Loans and shall deliver a copy of such amended Mortgage
        Loan
        Schedule to the Trustee and the Servicer. Upon such substitution, such Qualified
        Substitute Mortgage Loan or Loans shall constitute part of the Trust Fund
        and
        shall be subject in all respects to the terms of this Agreement and the Mortgage
        Loan Purchase Agreement, including all applicable representations and warranties
        thereof included herein or in the Mortgage Loan Purchase Agreement.

       

      For
        any
        month in which the Sponsor substitutes one or more Qualified Substitute Mortgage
        Loans for one or more Deleted Mortgage Loans, the Servicer will determine
        the
        amount (the “Substitution Shortfall Amount”), if any, by which the aggregate
        Purchase Price of all such Deleted Mortgage Loans exceeds the aggregate of,
        as
        to each such Qualified Substitute Mortgage Loan, the Scheduled Principal
        Balance
        thereof as of the date of substitution, together with one month’s interest on
        such Scheduled Principal Balance at the applicable Net Mortgage Rate, plus
        all
        outstanding P&I Advances and Servicing Advances (including Nonrecoverable
        P&I Advances and Nonrecoverable Servicing Advances) related thereto. On the
        date of such substitution, the Sponsor will deliver or cause to be delivered
        to
        the Servicer for deposit in the Collection Account an amount equal to the
        Substitution Shortfall Amount, if any, and the Trustee or the applicable
        Custodian on behalf of the Trustee, upon receipt of the related Qualified
        Substitute Mortgage Loan or Loans, upon receipt of a request for release
        in the
        form attached to the related Custodial Agreement and certification by the
        Servicer of such deposit, shall release to the Sponsor the related Mortgage
        File
        or Files and the Trustee shall execute and deliver such instruments of transfer
        or assignment, in each case without recourse, representation or warranty,
        as the
        Sponsor shall deliver to it and as shall be necessary to vest therein any
        Deleted Mortgage Loan released pursuant hereto.

       

      In
        addition, the Sponsor shall obtain at its own expense and deliver to the
        Trustee
        an Opinion of Counsel to the effect that such substitution will not cause
        (a)
        any federal tax to be imposed on any Trust REMIC, including without limitation,
        any federal tax imposed on “prohibited transactions” under
        Section 860F(a)(1) of the Code or on “contributions after the startup date”
under Section 860G(d)(1) of the Code, or (b) any Trust REMIC to fail to
        qualify as a REMIC at any time that any Certificate is outstanding.

       

      (c)  Upon
        discovery by the Depositor, the Sponsor, the Servicer or the Trustee that
        any
        Mortgage Loan does not constitute a “qualified mortgage” within the meaning of
        Section 860G(a)(3) of the Code, the party discovering such fact shall
        within two (2) Business Days give written notice thereof to the other parties.
        In connection therewith, the Sponsor shall repurchase or substitute one or
        more
        Qualified Substitute Mortgage Loans for the affected Mortgage Loan within
        ninety
        (90) days of the earlier of discovery or receipt of such notice with respect
        to
        such affected Mortgage Loan. Such repurchase or substitution shall be made
        by
        (i) the Sponsor if the affected Mortgage Loan’s status as a non-qualified
        mortgage is or results from a breach of any representation, warranty or covenant
        made by the Sponsor under the Mortgage Loan Purchase Agreement or (ii) the
        Depositor, if the affected Mortgage Loan’s status as a non-qualified mortgage
        does not result from a breach of a representation or warranty. Any such
        repurchase or substitution shall be made in the same manner as set forth
        in
        Section 2.03(a) of this Agreement. The Trustee shall reconvey to the
        Sponsor the Mortgage Loan to be released pursuant hereto in the same manner,
        and
        on the same terms and conditions, as it would a Mortgage Loan repurchased
        for
        breach of a representation or warranty.

       

      (d)  With
        respect to a breach of the representation made pursuant to Section 5(xii)
        of the Mortgage Loan Purchase Agreement that materially and adversely affects
        the interest of the Certificateholders in any Mortgage Loan or Prepayment
        Charge, the Sponsor shall be required to take the actions set forth in this
        Section 2.03.

       

      (e)  Within
        ninety (90) days of the earlier of discovery by the Servicer or receipt of
        notice by the Servicer of the breach of any representation, warranty or covenant
        of the Servicer set forth in Section 2.05 of this Agreement which
        materially and adversely affects the interests of the Certificateholders
        in any
        Mortgage Loan or Prepayment Charge, the Servicer shall cure such breach in
        all
        material respects.

       

      SECTION
        2.04.  Representations
        and Warranties of the Master Servicer.

       

      The
        Master Servicer hereby represents, warrants and covenants to the Servicer,
        the
        Depositor and the Trustee, for the benefit of each of the Trustee and the
        Certificateholders, that as of the Closing Date or as of such date specifically
        provided herein:

       

      (i)  The
        Master Servicer is a national banking association duly formed, validly existing
        and in good standing under the laws of the United States of America and is
        duly
        authorized and qualified to transact any and all business contemplated by
        this
        Agreement to be conducted by the Master Servicer;

       

      (ii)  The
        Master Servicer has the full power and authority to conduct its business
        as
        presently conducted by it and to execute, deliver and perform, and to enter
        into
        and consummate, all transactions contemplated by this Agreement. The Master
        Servicer has duly authorized the execution, delivery and performance of this
        Agreement, has duly executed and delivered this Agreement, and this Agreement,
        assuming due authorization, execution and delivery by the other parties hereto,
        constitutes a legal, valid and binding obligation of the Master Servicer,
        enforceable against it in accordance with its terms except as the enforceability
        thereof may be limited by bankruptcy, insolvency, reorganization or similar
        laws
        affecting the enforcement of creditors’ rights generally and by general
        principles of equity;

       

      (iii)  The
        execution and delivery of this Agreement by the Master Servicer, the
        consummation by the Master Servicer of any other of the transactions herein
        contemplated, and the fulfillment of or compliance with the terms hereof
        are in
        the ordinary course of business of the Master Servicer and will not (A) result
        in a breach of any term or provision of the charter and by-laws of the Master
        Servicer or (B) conflict with, result in a breach, violation or acceleration
        of,
        or result in a default under, the terms of any other material agreement or
        instrument to which the Master Servicer is a party or by which it may be
        bound,
        or any statute, order or regulation applicable to the Master Servicer of
        any
        court, regulatory body, administrative agency or governmental body having
        jurisdiction over the Master Servicer; and the Master Servicer is not a party
        to, bound by, or in breach or violation of any indenture or other agreement
        or
        instrument, or subject to or in violation of any statute, order or regulation
        of
        any court, regulatory body, administrative agency or governmental body having
        jurisdiction over it, which materially and adversely affects or, to the Master
        Servicer’s knowledge, would in the future materially and adversely affect, (x)
        the ability of the Master Servicer to perform its obligations under this
        Agreement or (y) the business, operations, financial condition, properties
        or
        assets of the Master Servicer taken as a whole;

       

      (iv)  The
        Master Servicer does not believe, nor does it have any reason or cause to
        believe, that it cannot perform each and every covenant made by it and contained
        in this Agreement;

       

      (v)  No
        litigation is pending against the Master Servicer that would materially and
        adversely affect the execution, delivery or enforceability of this Agreement
        or
        the ability of the Master Servicer to perform any of its other obligations
        hereunder in accordance with the terms hereof;

       

      (vi)  There
        are
        no actions or proceedings against, or investigations known to it of, the
        Master
        Servicer before any court, administrative or other tribunal (A) that might
        prohibit its entering into this Agreement, (B) seeking to prevent the
        consummation of the transactions contemplated by this Agreement or (C) that
        might prohibit or materially and adversely affect the performance by the
        Master
        Servicer of its obligations under, or validity or enforceability of, 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 by it of the transactions contemplated by this Agreement, except
        for such consents, approvals, authorizations or orders, if any, that have
        been
        obtained prior to the Closing Date; and

       

      (viii)  There
        are
        no affiliations between Master Servicer and the Servicer, the Trustee, the
        Swap
        Provider, DBNTC, People’s Choice Home Loan, Inc. or American Home Mortgage
        Corp.

       

      It
        is
        understood and agreed that the representations, warranties and covenants
        set
        forth in this Section 2.04 shall survive the resignation or termination of
        the parties hereto and the termination of this Agreement and shall inure
        to the
        benefit of the Trustee, the Depositor and the Certificateholders.

       

      SECTION
        2.05.  Representations,
        Warranties and Covenants of the Servicer.

       

      The
        Servicer hereby represents, warrants and covenants to the Master Servicer,
        the
        Securities Administrator, the Depositor and the Trustee, for the benefit
        of each
        of such Persons and the Certificateholders that as of the Closing Date or
        as of
        such date specifically provided herein:

       

      (i)  The
        Servicer is a corporation duly organized and validly existing under the laws
        of
        the jurisdiction of its formation, and is duly authorized and qualified to
        transact any and all business contemplated by this Agreement to be conducted
        by
        the Servicer in any state in which a Mortgaged Property related to an Mortgage
        Loan is located or is otherwise not required under applicable law to effect
        such
        qualification and, in any event, is in compliance with the doing business
        laws
        of any such State, to the extent necessary to ensure its ability to enforce
        each
        Mortgage Loan and to service the Mortgage Loans in accordance with the terms
        of
        this Agreement;

       

      (ii)  The
        Servicer has the full power and authority to conduct its business as presently
        conducted by it and to execute, deliver and perform, and to enter into and
        consummate, all transactions contemplated by this Agreement. the Servicer
        has
        duly authorized the execution, delivery and performance of this Agreement,
        has
        duly executed and delivered this Agreement, and this Agreement, assuming
        due
        authorization, execution and delivery by the other parties hereto, constitutes
        a
        legal, valid and binding obligation of the Servicer, enforceable against
        it in
        accordance with its terms, except as the enforceability thereof may be limited
        by bankruptcy, insolvency, reorganization or similar laws affecting the
        enforcement of creditors’ rights generally and by general principles of
        equity;

       

      (iii)  The
        execution and delivery of this Agreement by the Servicer, the servicing of
        the
        Mortgage Loans by the Servicer hereunder, the consummation by the Servicer
        of
        any other of the transactions herein contemplated, and the fulfillment of
        or
        compliance with the terms hereof are in the ordinary course of business of
        the
        Servicer and will not (A) result in a breach of any term or provision of
        the
        charter or by-laws of the Servicer or (B) conflict with, result in a breach,
        violation or acceleration of, or result in a default under, the terms of
        any
        other material agreement or instrument to which the Servicer is a party or
        by
        which it may be bound, or any statute, order or regulation applicable to
        the
        Servicer of any court, regulatory body, administrative agency or governmental
        body having jurisdiction over the Servicer; and the Servicer is not a party
        to,
        bound by, or in breach or violation of any indenture or other agreement or
        instrument, or subject to or in violation of any statute, order or regulation
        of
        any court, regulatory body, administrative agency or governmental body having
        jurisdiction over it, which materially and adversely affects or, to the
        Servicer's knowledge, would in the future materially and adversely affect,
        (x)
        the ability of the Servicer to perform its obligations under this Agreement,
        (y)
        the business, operations, financial condition, properties or assets of the
        Servicer taken as a whole or (z) the legality, validity or enforceability
        of
        this Agreement;

       

      (iv)  The
        Servicer does not believe, nor does it have any reason or cause to believe,
        that
        it cannot perform each and every covenant made by it and contained in this
        Agreement;

       

      (v)  No
        litigation is pending against the Servicer that would materially and adversely
        affect the execution, delivery or enforceability of this Agreement or the
        ability of the Servicer to service the Mortgage Loans or to perform any of
        its
        other obligations hereunder in accordance with the terms hereof;

       

      (vi)  There
        are
        no actions or proceedings against, or investigations known to it of, the
        Servicer before any court, administrative or other tribunal (A) that might
        prohibit its entering into this Agreement, (B) seeking to prevent the
        consummation of the transactions contemplated by this Agreement or (C) that
        might prohibit or materially and adversely affect the performance by the
        Servicer of its obligations under, or the validity or enforceability of,
        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 Servicer
        of,
        or compliance by the Servicer with, this Agreement or the consummation by
        it of
        the transactions contemplated by this Agreement, except for such consents,
        approvals, authorizations or orders, if any, that have been obtained prior
        to
        the Closing Date;

       

      (viii)  The
        Servicer has fully furnished and will continue to fully furnish, in accordance
        with the Fair Credit Reporting Act and its implementing regulations, accurate
        and complete information (e.g., favorable and unfavorable) on its borrower
        credit files to Equifax, Experian and Trans Union Credit Information Company
        or
        their successors on a monthly basis; 

       

      (ix)  The
        Servicer is a member of MERS in good standing, and will comply in all material
        respects with the rules and procedures of MERS in connection with the servicing
        of the Mortgage Loans that are registered with MERS; and 

       

      (x)  The
        Servicer will not waive any Prepayment Charge other than in accordance with
        the
        standard set forth in Section 3.01.

       

      Notwithstanding
        anything to the contrary contained in this Agreement, if the covenant of
        the
        Servicer set forth in Section 2.05(x) above is breached, the Servicer will
        pay
        the amount of such waived Prepayment Charge, from its own funds without any
        right of reimbursement, for the benefit of the Holders of the Class P
        Certificates, by depositing such amount into the Collection Account within
        90
        days of the earlier of discovery by the Servicer or receipt of notice by
        the
        Servicer of such breach; provided, however, the Servicer shall not have any
        obligation to pay the amount of any uncollected Prepayment Charge under this
        Section 2.05 if the Servicer did not have a copy of the related Mortgage
        Note,
        the Servicer requested a copy of the same from the applicable Custodian in
        accordance with the terms of the related Custodial Agreement and the applicable
        Custodian failed to provide such a copy within the time frame set forth in
        the
        related Custodial Agreement. Furthermore, notwithstanding any other provisions
        of this Agreement, any payments made by the Servicer in respect of any waived
        Prepayment Charges pursuant to this paragraph shall be deemed to be paid
        outside
        of the Trust Fund. 

       

      It
        is
        understood and agreed that the representations, warranties and covenants
        set
        forth in this Section 2.05 shall survive the resignation or termination of
        the
        parties hereto, the termination of this Agreement and the delivery of the
        Mortgage Files to the applicable Custodian and shall inure to the benefit
        of the
        Trustee, the Master Servicer, the Securities Administrator, the Depositor
        and
        the Certificateholders. Upon discovery by any such Person or the Servicer
        of a
        breach of any of the foregoing representations, warranties and covenants
        which
        materially and adversely affects the value of any Mortgage Loan, Prepayment
        Charge or the interests therein of the Certificateholders, the party discovering
        such breach shall give prompt written notice (but in no event later than
        two
        Business Days following such discovery) to the Trustee. Subject to Section
        8.01,
        unless such breach shall not be susceptible of cure within 90 days, the
        obligation of the Servicer set forth in Section 2.03(e) to cure breaches
        shall
        constitute the sole remedy against the Servicer available to the
        Certificateholders, the Depositor or the Trustee on behalf of the
        Certificateholders respecting a breach of the representations, warranties
        and
        covenants contained in this Section 2.05.

       

      SECTION
        2.06.  Issuance
        of the REMIC I Regular Interests and the Class R-I Interest.

       

      The
        Trustee acknowledges the assignment to it of the Mortgage Loans and the delivery
        to the applicable Custodian on its behalf of the Mortgage Loan Documents,
        subject to the provisions of Section 2.01 and Section 2.02 hereof and
        Section 2 of the related Custodial Agreement, together with the assignment
        to it of all other assets included in REMIC I, the receipt of which is hereby
        acknowledged. The interests evidenced by the Class R-I Interest, together
        with
        the REMIC I Regular Interests, constitute the entire beneficial ownership
        interest in REMIC I. The rights of the Holders of the Class R-I Interest
        and
        REMIC I (as holder of the REMIC I Regular Interests) to receive distributions
        from the proceeds of REMIC I in respect of the Class R-I Interest and the
        REMIC
        I Regular Interests, respectively, and all ownership interests evidenced
        or
        constituted by the Class R-I Interest and the REMIC I Regular Interests,
        shall
        be as set forth in this Agreement.

       

      SECTION
        2.07.  Conveyance
        of the REMIC I Regular Interests and REMIC II Regular Interests; Acceptance
        of
        REMIC I, REMIC II and REMIC III by the Trustee.

       

      The
        Depositor, concurrently with the execution and delivery hereof, does hereby
        transfer, assign, set over and otherwise convey to the Trustee, without recourse
        all the right, title and interest of the Depositor in and to the REMIC I
        Regular
        Interests for the benefit of the Class R-II Interest and REMIC II (as holder
        of
        the REMIC I Regular Interests). The Trustee acknowledges receipt of the REMIC
        I
        Regular Interests and declares that it holds and will hold the same in trust
        for
        the exclusive use and benefit of all present and future holders of the Class
        R-II Interest and REMIC II (as holder of the REMIC I Regular Interests).
        The
        Depositor, concurrently with the execution and delivery hereof, does hereby
        transfer, assign, set over and otherwise convey to the Trustee, without recourse
        all the right, title and interest of the Depositor in and to the REMIC II
        Regular Interests for the benefit of the Class R-III Interest and REMIC III
        (as
        holder of the REMIC II Regular Interests). The Trustee acknowledges receipt
        of
        the REMIC II Regular Interests and declares that it holds and will hold the
        same
        in trust for the exclusive use and benefit of all present and future holders
        of
        the Class R-III Interest and REMIC III (as holder of the REMIC II Regular
        Interests). The rights of the Holder of the Class R-III Interest and REMIC
        III
        (as holder of the REMIC II Regular Interests) to receive distributions from
        the
        proceeds of REMIC III in respect of the Class R-III Interest, the Class IO
        Interest and Regular Certificates, respectively, and all ownership interests
        evidenced or constituted by the Class R-III Interest, the Class IO Interest
        and
        the Regular Certificates, shall be as set forth in this Agreement. The Class
        R-III Interest, the Class IO Interest and the Regular Certificates shall
        constitute the entire beneficial ownership interest in REMIC III.

       

      SECTION
        2.08.  Issuance
        of the Residual Certificates.

       

      The
        Trustee acknowledges the assignment to it of the REMIC I Regular Interests
        and,
        concurrently therewith and in exchange therefor, pursuant to the written
        request
        of the Depositor executed by an officer of the Depositor, the Securities
        Administrator has executed and authenticated and the Trustee has delivered
        to or
        upon the order of the Depositor, the Class R Certificates in authorized
        denominations. The Class R Certificates evidence ownership in the Class R-I
        Interest, the Class R-II Interest and the Class R-III Interest.

       

      SECTION
        2.09.  Establishment
        of the Trust.

       

      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 to be known,
        for convenience, as “ACE Securities Corp. Home Equity Loan Trust, Series
        2006-SL4” and does hereby appoint HSBC Bank USA, National Association as Trustee
        in accordance with the provisions of this Agreement.

       

      SECTION
        2.10.  Purpose
        and Powers of the Trust.

       

      The
        purpose of the common law trust, as created hereunder, is to engage in the
        following activities:

       

      (a)  acquire
        and hold the Mortgage Loans and the other assets of the Trust Fund and the
        proceeds therefrom;

       

      (b)  to
        issue
        the Certificates sold to the Depositor in exchange for the Mortgage
        Loans;

       

      (c)  to
        make
        payments on the Certificates;

       

      (d)  to
        engage
        in those activities that are necessary, suitable or convenient to accomplish
        the
        foregoing or are incidental thereto or connected therewith; and

       

      (e)  subject
        to compliance with this Agreement, to engage in such other activities as
        may be
        required in connection with conservation of the Trust Fund and the making
        of
        distributions to the Certificateholders.

       

      The
        trust
        is hereby authorized to engage in the foregoing activities. The Trustee shall
        not cause the trust to engage in any activity other than in connection with
        the
        foregoing or other than as required or authorized by the terms of this Agreement
        while any Certificate is outstanding, and this Section 2.10 may not be amended,
        without the consent of the Certificateholders evidencing 51% or more of the
        aggregate voting rights of the Certificates.

       

       

       

      ARTICLE
        III

      ADMINISTRATION
        AND SERVICING

      OF
        THE
        MORTGAGE LOANS; ACCOUNTS

       

      SECTION
        3.01.  The
        Servicer to Act as Servicer.

       

      From
        and
        after the Closing Date to the Servicing Transfer Date, the GreenPoint Mortgage
        Loans will be serviced and administered by GreenPoint, pursuant to the terms
        and
        provisions of the GreenPoint Servicing Agreement.

       

      On
        and
        after the Servicing Transfer Date with respect to the GreenPoint Mortgage
        Loans,
        and on and after the Closing Date with respect to all other Mortgage Loans,
        the
        Servicer shall service and administer the Mortgage Loans on behalf of the
        Trust
        Fund and in the best interests of and for the benefit of the Certificateholders
        (as determined by the Servicer in its reasonable judgment) in accordance
        with
        the terms of this Agreement and the respective Mortgage Loans and all applicable
        law and regulations and, to the extent consistent with such terms, in the
        same
        manner in which it services and administers similar mortgage loans for its
        own
        portfolio, giving due consideration to customary and usual standards of practice
        of prudent mortgage lenders and loan servicers administering similar mortgage
        loans but without regard to:

       

      (i)  any
        relationship that the Servicer or any Affiliate of the Servicer may have
        with
        the related Mortgagor;

       

      (ii)  the
        ownership of any Certificate by the Servicer or any Affiliate of the
        Servicer;

       

      (iii)  the
        Servicer’s obligation to make P&I Advances or Servicing Advances;
        or

       

      (iv)  the
        Servicer’s right to receive compensation for its services
        hereunder;

       

      To
        the
        extent consistent with the foregoing, the Servicer shall also seek to maximize
        the timely and complete recovery of principal and interest on the Mortgage
        Notes
        and shall waive (or permit a Sub-Servicer to waive) a Prepayment Charge only
        under the following circumstances: (i) such waiver is standard and customary
        in
        servicing similar Mortgage Loans and such waiver is related to a default
        or
        reasonably foreseeable default and would, in the reasonable judgment of the
        Servicer, maximize recovery of total proceeds taking into account the value
        of
        such Prepayment Charge and the related Mortgage Loan and, if such waiver
        is made
        in connection with a refinancing of the related Mortgage Loan, such refinancing
        is related to a default or a reasonably foreseeable default, (ii) such
        Prepayment Charge is unenforceable in accordance with applicable law or the
        collection of such related Prepayment Charge would otherwise violate applicable
        law or (iii) the collection of such Prepayment Charge would be considered
        “predatory” pursuant to written guidance published or issued by any applicable
        federal, state or local regulatory authority acting in its official capacity
        and
        having jurisdiction over such matters. Notwithstanding any provision in this
        Agreement to the contrary, in the event the Prepayment Charge payable under
        the
        terms of the Mortgage Note is less than the amount of the Prepayment Charge
        set
        forth in the Prepayment Charge Schedule or other information provided to
        the
        Servicer, the Servicer and the Master Servicer shall not have any liability
        or
        obligation with respect to such difference (including any obligation to
        recalculate any Prepayment Charges), and in addition shall not have any
        liability or obligation to pay the amount of any uncollected Prepayment Charge
        if the failure to collect such amount is the direct result of inaccurate
        or
        incomplete information on the Prepayment Charge Schedule.

       

      Subject
        only to the above-described servicing standards (the “Accepted Servicing
        Practices”) and the terms of this Agreement and of the related Mortgage Loans,
        the Servicer shall have full power and authority, to do or cause to be done
        any
        and all things in connection with such servicing and administration which
        it may
        deem necessary or desirable with the goal of maximizing proceeds of the Mortgage
        Loan. Without limiting the generality of the foregoing, the Servicer in its
        own
        name is hereby authorized and empowered by the Trustee when the Servicer
        believes it appropriate in its best judgment, to execute and deliver, on
        behalf
        of the Trust Fund, the Certificateholders and the Trustee or any of them,
        and
        upon written notice to the Trustee, any and all instruments of satisfaction
        or
        cancellation, or of partial or full release or discharge or subordination,
        and
        all other comparable instruments, with respect to the related Mortgage Loans
        and
        the related Mortgaged Properties and to institute foreclosure proceedings
        or
        obtain a deed-in-lieu of foreclosure so as to convert the ownership of such
        properties, and to hold or cause to be held title to such properties, on
        behalf
        of the Trustee, for the benefit of the Trust Fund and the Certificateholders.
        The Servicer shall service and administer the related Mortgage Loans in
        accordance with applicable state and federal law and shall provide to the
        Mortgagors any reports required to be provided to them thereby. The Servicer
        shall also comply in the performance of this Agreement with all reasonable
        rules
        and requirements of each insurer under any standard hazard insurance policy.
        Subject to Section 3.14, the Trustee shall execute, at the written request
        of
        the Servicer, and furnish to the Servicer a power of attorney in the form
        of
Exhibit
        D
        hereto
        and other documents necessary or appropriate to enable the Servicer to carry
        out
        its servicing and administrative duties hereunder and furnished to the Trustee
        by the Servicer, and the Trustee shall not be liable for the actions of the
        Servicer under such powers of attorney and shall be indemnified by the Servicer
        for any cost, liability or expense incurred by the Trustee in connection
        with
        the Servicer’s use or misuse of any such power of attorney.

       

      The
        Servicer further is hereby authorized and empowered in its own name or in
        the
        name of the Sub-Servicer, when the Servicer or the Sub-Servicer, as the case
        may
        be, believes it is appropriate in its best judgment to register any Mortgage
        Loan on the MERS® System, or cause the removal from the registration of any
        Mortgage Loan on the MERS® System, to execute and deliver, on behalf of the
        Trustee and the Certificateholders or any of them, any and all instruments
        of
        assignment and other comparable instruments with respect to such assignment
        or
        re-recording of a Mortgage in the name of MERS, solely as nominee for the
        Trustee and its successors and assigns. Any reasonable expenses incurred
        in
        connection with the actions described in the preceding sentence or as a result
        of MERS discontinuing or becoming unable to continue operations in connection
        with the MERS® System, shall be reimbursable by the Trust Fund to the
        Servicer.

       

      In
        accordance with Accepted Servicing Practices, the Servicer shall make or
        cause
        to be made Servicing Advances as necessary for the purpose of effecting the
        payment of taxes and assessments on the Mortgaged Properties (to the extent
        the
        Servicer has been notified that such taxes or assessments have not been paid
        by
        the related Mortgagor, owner or servicer of the related First Mortgage Loan),
        which Servicing Advances shall be reimbursable in the first instance from
        related collections from the related Mortgagors pursuant to Section 3.07
        of this
        Agreement, and further as provided in Section 3.09 of this Agreement; provided,
        however, the Servicer shall only make such Servicing Advance if the related
        Mortgagor has not made such payment and if the failure to make such Servicing
        Advance would result in the loss of the related Mortgaged Property due to
        a tax
        sale or foreclosure as result of a tax lien; provided, however, that the
        Servicer shall be required to make such Servicing
        Advances only
        to
        the extent that such Servicing Advances, in the good faith judgment of the
        Servicer, will be recoverable by the Servicer out of Insurance Proceeds,
        Liquidation Proceeds, or otherwise out of the proceeds of the related Mortgage
        Loan. Any cost incurred by the Servicer in effecting the payment of taxes
        and
        assessments on a Mortgaged Property shall not, for the purpose of calculating
        the Stated Principal Balance of such Mortgage Loan or distributions to
        Certificateholders, be added to the unpaid principal balance of the related
        Mortgage Loan, notwithstanding that the terms of such Mortgage Loan so permit.
        The parties to this Agreement acknowledge that Servicing Advances shall be
        reimbursable pursuant to Section 3.09 of this Agreement, and agree that no
        Servicing Advance shall be rejected or disallowed by any party unless it
        has
        been shown that such Servicing Advance was not made in accordance with
        the
        terms of this Agreement. Notwithstanding the foregoing, the parties understand
        and agree that, with respect to any Mortgage Loan (1) the Master Servicer
        shall
        not approve the reimbursement of any Servicing Advance made with respect
        to such
        Mortgage Loan prior to the Cut-off Date (each, a “Pre-Cut-off Date Advance”)
        unless and until it has received a Servicing Advance Schedule listing the
        amount
        of Pre-Cut-off Date Advances made in respect of such Mortgage Loan from (a)
        the
        Servicer with respect to any Mortgage Loans that were transferred to the
        Servicer prior to the Cut-off Date and/or (b) the Depositor with respect
        to any
        Mortgage Loans that were transferred to the Servicer after the Cut-off Date,
        (2)
        the aggregate Pre-Cut-off Date Advances reimbursable hereunder with respect
        to
        such Mortgage Loan shall not exceed the amount of Pre-Cut-off Date Advances
        for
        such Mortgage Loan shown on the Servicing Advance Schedule delivered to the
        Master Servicer, (3) the Depositor shall be deemed to have agreed with and
        approved the Pre-Cut-off Date Advances shown on any Servicing Advance Schedule
        furnished to the Master Servicer, and (4) the Master Servicer will have no
        liability to the Depositor, the Servicer or any other Person, including any
        Certificateholder, for approving reimbursement of related Pre-Cut-off Date
        Advances so long as the aggregate amount of such advances reimbursed hereunder
        does not exceed of the amount of Pre-Cut-off Date Advances for such Mortgage
        Loan shown on the Servicing Advance Schedule.

       

      The
        Servicer, in such capacity, may consent to the refinancing of a First Mortgage
        Loan on a Mortgaged Property, provided that the following requirements are
        met:

       

      (i)  the
        resulting Combined Loan-to-Value Ratio of such Mortgage Loan is no higher
        than
        the Combined Loan-to-Value Ratio prior to such refinancing; 

       

      (ii)  the
        interest rate for the loan evidencing the refinanced First Mortgage Loan
        is no
        more than 2.0% higher than the interest rate on the loan evidencing the existing
        First Mortgage Loan immediately prior to the date of such refinancing;
        and

       

      (iii)  the
        mortgage loan evidencing the refinanced First Mortgage Loan is not subject
        to
        negative amortization.

       

      The
        Servicer shall inspect the Mortgaged Properties related to Mortgage Loans
        serviced by the Servicer as often as deemed necessary by the Servicer in
        the
        Servicer’s sole discretion, to assure itself that the value of such Mortgaged
        Property is being preserved. In addition, if any Mortgage Loan is more than
        60
        days delinquent, the Servicer shall conduct subsequent inspections in accordance
        with Accepted Servicing Practices. The Servicer shall keep a written or
        electronic report of each such inspection.

       

      Notwithstanding
        anything in this Agreement to the contrary, no Servicer may make any future
        advances with respect to a Mortgage Loan and no Servicer shall permit any
        modification with respect to any related Mortgage Loan that would change
        the
        Mortgage Rate, reduce or increase the principal balance (except for reductions
        resulting from actual payments of principal) or change the final maturity
        date
        on such related Mortgage Loan (unless, as provided in Section 3.06 of this
        Agreement, the related Mortgagor is in default with respect to the related
        Mortgage Loan or such default is, in the judgment of the Servicer, reasonably
        foreseeable) or any modification, waiver or amendment of any term of any
        related
        Mortgage Loan that would both (A) effect an exchange or reissuance of such
        Mortgage Loan under Section 1001 of the Code (or final, temporary or
        proposed Treasury regulations promulgated thereunder) and (B) cause any Trust
        REMIC created hereunder to fail to qualify as a REMIC under the Code or the
        imposition of any tax on “prohibited transactions” or “contributions after the
        startup date” under the REMIC Provisions.

       

      In
        the
        event that the Mortgage Loan Documents relating to a Mortgage Loan contain
        provisions requiring the related Mortgagor to arbitrate disputes (at the
        option
        of the Trustee, on behalf of the Trust), the Trustee hereby authorizes the
        Servicer to waive the Trustee’s right or option to arbitrate disputes and to
        send written notice of such waiver to the Mortgagor, although the Mortgagor
        may
        still require arbitration at its option.

       

      The
        Servicer will fully furnish, in accordance with the Fair Credit Reporting
        Act
        and its implementing regulations, accurate and complete information (e.g.,
        favorable and unfavorable) on its borrower credit files to Equifax, Experian
        and
        Trans Union Credit Information Company or their successors on a monthly
        basis.

       

      SECTION
        3.02.  Sub-Servicing
        Agreements Between the Servicer and Sub-Servicers.

       

      (a)  The
        Servicer may arrange for the subservicing of any Mortgage Loan by a Sub-
        Servicer pursuant to a Sub-Servicing Agreement; provided that such sub-servicing
        arrangement and the terms of the related Sub-Servicing Agreement must provide
        for the servicing of such Mortgage Loans in a manner consistent with the
        servicing arrangements contemplated hereunder and the Servicer shall cause
        any
        Sub-Servicer to comply with the provisions of this Agreement (including,
        without
        limitation, to provide the information required to be delivered under Sections
        3.17, 3.18 and 3.19 hereof), to the same extent as if such Sub-Servicer were
        the
        Servicer. The Servicer shall be responsible for obtaining from each Sub-Servicer
        and delivering to the Master Servicer any annual statement of compliance,
        assessment of compliance, attestation report and Sarbanes-Oxley related
        certification as and when required to be delivered. Each Sub-Servicer shall
        be
        (i) authorized to transact business in the state or states where the related
        Mortgaged Properties it is to service are situated, if and to the extent
        required by applicable law to enable the Sub-Servicer to perform its obligations
        hereunder and under the Sub-Servicing Agreement and (ii) a Freddie Mac or
        Fannie
        Mae approved mortgage servicer. Notwithstanding the provisions of any
        Sub-Servicing Agreement, any of the provisions of this Agreement relating
        to
        agreements or arrangements between the Servicer or a Sub-Servicer or reference
        to actions taken through the Servicer or otherwise, the Servicer shall remain
        obligated and liable to the Depositor, the Trustee and the Certificateholders
        for the servicing and administration of the Mortgage Loans in accordance
        with
        the provisions of this Agreement without diminution of such obligation or
        liability by virtue of such Sub-Servicing Agreements or arrangements or by
        virtue of indemnification from the Sub-Servicer and to the same extent and
        under
        the same terms and conditions as if the Servicer alone were servicing and
        administering the Mortgage Loans. Every Sub-Servicing Agreement entered into
        by
        the Servicer shall contain a provision giving the successor Servicer the
        option
        to terminate such agreement in the event a successor Servicer is appointed.
        All
        actions of each Sub-Servicer performed pursuant to the related Sub-Servicing
        Agreement shall be performed as an agent of the Servicer with the same force
        and
        effect as if performed directly by the Servicer.

       

      (b)  Notwithstanding
        the foregoing, the Servicer shall be entitled to outsource one or more separate
        servicing functions to a Subcontractor that does not meet the eligibility
        requirements for a Sub-Servicer, so long as such outsourcing does not constitute
        the delegation of the Servicer’s obligation to perform all or substantially all
        of the servicing of the related Mortgage Loans to such Subcontractor. The
        Servicer shall promptly, upon request, provide to the Master Servicer, the
        Trustee and the Depositor a written description (in form and substance
        reasonably satisfactory to the Master Servicer, the Trustee and the Depositor)
        of the role and function of each Subcontractor utilized by the Servicer,
        specifying (i) the identity of each such Subcontractor “participating in the
        servicing function” within the meaning of Item 1122 of Regulation AB, and (ii)
        which elements of the Servicing Criteria will be addressed in assessments
        of
        compliance provided by each Subcontractor identified pursuant to clause (i)
        of
        this subsection; provided, however, that the Servicer shall not be required
        to
        provide the information in clauses (i) or (ii) of this subsection until such
        time that the applicable assessment of compliance is due pursuant to Section
        3.18 of this Agreement. The use by the Servicer of any such Subcontractor
        shall
        not release the Servicer from any of its obligations hereunder and the Servicer
        shall remain responsible hereunder for all acts and omissions of such
        Subcontractor as fully as if such acts and omissions were those of the Servicer,
        and the Servicer shall pay all fees and expenses of the Subcontractor from
        the
        Servicer’s own funds.

       

      (c)  As
        a
        condition to the utilization of any Subcontractor determined to be
“participating in the servicing function” within the meaning of Item 1122 of
        Regulation AB, the Servicer shall cause any such Subcontractor used by the
        Servicer for the benefit of the Master Servicer, the Trustee and the Depositor
        to comply with the provisions of Sections 3.18 and 3.19 of this Agreement
        to the
        same extent as if such Subcontractor were the Servicer. The Servicer shall
        be
        responsible for obtaining from each Subcontractor and delivering to the Master
        Servicer, the Trustee and any Depositor any assessment of compliance,
        attestation report and Sarbanes-Oxley related certification required to be
        delivered by such Subcontractor under Section 3.18 and 3.19, in each case
        as and
        when required to be delivered.

       

      (d)  For
        purposes of this Agreement, the Servicer shall be deemed to have received
        any
        collections, recoveries or payments with respect to the Mortgage Loans that
        are
        received by a Sub-Servicer or a Subcontractor regardless of whether such
        payments are remitted by the Sub-Servicer or a Subcontractor to the Servicer.
        

       

      SECTION
        3.03.  Successor
        Sub-Servicers.

       

      Any
        Sub-Servicing Agreement shall provide that the Servicer shall be entitled
        to
        terminate any Sub-Servicing Agreement and to either itself directly service
        the
        related Mortgage Loans or enter into a Sub-Servicing Agreement with a successor
        Sub-Servicer which qualifies under Section 3.02. Any Sub-Servicing Agreement
        shall include the provision that such agreement may be terminated as soon
        as is
        reasonably possible by any successor to the Servicer (which may be the Trustee
        or the Master Servicer) without the payment of a fee or, in the event a
        termination fee exists, such fee shall be payable by the Servicer from its
        own
        funds without reimbursement therefor, in accordance with the terms of this
        Agreement, in the event that the Servicer (or any successor to the Servicer)
        shall, for any reason, no longer be the Servicer of the related Mortgage
        Loans
        (including termination due to the Servicer Event of Default). The Servicer
        shall
        be entitled to enter into an agreement with its Sub-Servicer and Subcontractor
        for indemnification of the Servicer or Subcontractor, as applicable, by such
        Sub-Servicer and nothing contained in this Agreement shall be deemed to limit
        or
        modify such indemnification.

       

      SECTION
        3.04.  No
        Contractual Relationship Between Sub-Servicer, Subcontractor, Trustee or
        the
        Certificateholders.

       

      Any
        Sub-Servicing Agreement and any other transactions or services relating to
        the
        Mortgage Loans involving a Sub-Servicer or an Subcontractor shall be deemed
        to
        be between the Sub-Servicer or Subcontractor, as applicable, and the Servicer
        alone and the Master Servicer, Trustee and the Certificateholders shall not
        be
        deemed parties thereto and shall have no claims, rights, obligations, duties
        or
        liabilities with respect to any Sub-Servicer or Subcontractor except as set
        forth in Section 3.05 of this Agreement.

       

      SECTION
        3.05.  Assumption
        or Termination of Sub-Servicing Agreement by Successor Servicer.

       

      In
        connection with the assumption of the responsibilities, duties and liabilities
        and of the authority, power and rights of the Servicer hereunder by a successor
        Servicer (which may be the Trustee or the Master Servicer) pursuant to Section
        8.02 of this Agreement, it is understood and agreed that the Servicer’s rights
        and obligations under any Sub-Servicing Agreement then in force between the
        Servicer and a Sub-Servicer shall be assumed simultaneously by such successor
        Servicer without act or deed on the part of such successor Servicer; provided,
        however, that any successor Servicer may terminate the
        Sub-Servicer.

       

      The
        Servicer shall, upon the reasonable request of the Master Servicer, but at
        its
        own expense, deliver to the assuming party documents and records relating
        to
        each Sub-Servicing Agreement and an accounting of amounts collected and held
        by
        it and otherwise use its best efforts to effect the orderly and efficient
        transfer of the Sub-Servicing Agreements to the assuming party.

       

      The
        Servicing Fee payable to any such successor servicer shall be payable from
        payments received on the Mortgage Loans in the amount and in the manner set
        forth in this Agreement.

       

      SECTION
        3.06.  Collection
        of Certain Mortgage Loan Payments.

       

      The
        Servicer shall make reasonable efforts to collect all payments called for
        under
        the terms and provisions of the related Mortgage Loans, and shall, to the
        extent
        such procedures shall be consistent with this Agreement and Accepted Servicing
        Practices, follow such collection procedures as it would follow with respect
        to
        mortgage loans comparable to the Mortgage Loans and held for its own account.
        Consistent with the foregoing, the Servicer may in its discretion (i) waive
        any
        late payment charge or, if applicable, penalty interest or (ii) extend the
        due
        dates for the Monthly Payments due on a Mortgage Note related to a Mortgage
        Loan
        for a period of not greater than 180 days; provided that any extension pursuant
        to this clause shall not affect the amortization schedule of any Mortgage
        Loan
        for purposes of any computation hereunder and provided, further, that any
        such
        waiver, modification, postponement or indulgence granted to a Mortgagor by
        the
        Servicer in connection with its servicing of the related First Mortgage Loan
        shall not be considered relevant to a determination of whether the Servicer
        has
        acted consistently with the terms and standards of this Agreement, so long
        as in
        the Servicer’s determination such action is not materially adverse to the
        interests of the Certificateholders. Notwithstanding the foregoing, in the
        event
        that any Mortgage Loan is in default or, in the judgment of the Servicer,
        such
        default is reasonably foreseeable, the Servicer, consistent with Accepted
        Servicing Practices may waive, modify or vary any term of such Mortgage Loan
        (including modifications that change the Mortgage Rate, forgive the payment
        of
        principal or interest or extend the final maturity date of such Mortgage
        Loan),
        accept payment from the related Mortgagor of an amount less than the Stated
        Principal Balance in final satisfaction of such Mortgage Loan, or consent
        to the
        postponement of strict compliance with any such term or otherwise grant
        indulgence to any Mortgagor if in the Servicer’s determination such waiver,
        modification, postponement or indulgence is not materially adverse to the
        interests of the Certificateholders (taking into account any estimated Realized
        Loss that might result absent such action). The Servicer shall not be required
        to institute or join in litigation with respect to collection of any payment
        (whether under a Mortgage, Mortgage Note or otherwise or against any public
        or
        governmental authority with respect to a taking or condemnation) if it
        reasonably believes that enforcing the provision of the Mortgage or other
        instrument pursuant to which such payment is required is prohibited by
        applicable law.

       

      SECTION
        3.07.  Collection
        of Taxes, Assessments and Similar Items; Servicing Accounts.

       

      In
        connection with an Escrow Mortgage Loan or a Mortgage Loan that in accordance
        with Accepted Servicing Practices becomes an Escrow Mortgage Loan, the Servicer
        shall establish and maintain one or more accounts (the “Servicing Accounts”),
        into which all collections from the Mortgagors (or related advances from
        Sub-Servicers) for the payment of taxes, assessments, fire, flood, and hazard
        insurance premiums, and comparable items for the account of the Mortgagors
        (“Escrow Payments”) shall be deposited and retained. Servicing Accounts shall be
        Eligible Accounts. The Servicer shall deposit in the clearing account in
        which
        it customarily deposits payments and collections on mortgage loans in connection
        with its mortgage loan servicing activities on a daily basis all Escrow Payments
        collected on account of the Mortgage Loans and shall thereafter deposit such
        Escrow Payments in the Servicing Accounts, in no event later than the second
        Business Day after the deposit of good funds into the clearing account, and
        retain therein, all Escrow Payments collected on account of the Mortgage
        Loans,
        for the purpose of effecting the timely payment of any such items as required
        under the terms of this Agreement. Withdrawals of amounts from a Servicing
        Account may be made by the Servicer only to (i) effect timely payment of
        taxes,
        assessments, fire, flood, and hazard insurance premiums, and comparable items;
        (ii) reimburse itself out of related collections for any Servicing Advances
        made
        pursuant to Section 3.01 (with respect to taxes and assessments) and Section
        3.11 (with respect to fire, flood and hazard insurance); (iii) refund to
        Mortgagors any sums as may be determined to be overages; (iv) for application
        to
        restore or repair the related Mortgaged Property in accordance with Section
        3.11; (v) pay interest, if required and as described below, to Mortgagors
        on
        balances in the Servicing Account or, only to the extent not required to
        be paid
        to the related Mortgagors, to pay itself interest on balances in the Servicing
        Account; or (vi) clear and terminate the Servicing Account at the termination
        of
        the Servicer’s obligations and responsibilities in respect of the Mortgage Loans
        under this Agreement in accordance with Article X. As part of its servicing
        duties, the Servicer shall pay to the Mortgagors interest on funds in Servicing
        Accounts, to the extent required by law and, to the extent that interest
        earned
        on funds in the Servicing Accounts is insufficient, to pay such interest
        from
        its or their own funds, without any reimbursement therefor. Notwithstanding
        the
        foregoing, no Servicer shall be obligated to collect Escrow Payments if the
        related Mortgage Loan does not require such payments but the Servicer shall
        nevertheless be obligated to make Servicing Advances as provided in Section
        3.01
        and Section 3.11. In the event the Servicer shall deposit in the Servicing
        Accounts any amount not required to be deposited therein, it may at any time
        withdraw such amount from the Servicing Accounts, any provision to the contrary
        notwithstanding.

       

      With
        respect to Escrow Mortgage Loans, the Servicer shall ascertain and estimate
        Escrow Payments and all other charges that will become due and payable with
        respect to the related Mortgage Loans and the Mortgaged Properties, to the
        end
        that the installments payable by the Mortgagors will be sufficient to pay
        such
        charges as and when they become due and payable. To the extent that a Mortgage
        does not provide for Escrow Payments, the Servicer (i) shall determine whether
        any such payments are made by the Mortgagor in a manner and at a time that
        is
        necessary to avoid the loss of the Mortgaged Property due to a tax sale or
        the
        foreclosure as a result of a tax lien and (ii) shall ensure that all insurance
        required to be maintained on the Mortgaged Property pursuant to this Agreement
        is maintained. If any such payment has not been made and the Servicer receives
        notice of a tax lien with respect to the Mortgage Loan being imposed, the
        Servicer shall, promptly and to the extent required to avoid loss of the
        Mortgaged Property, advance or cause to be advanced funds necessary to discharge
        such lien on the Mortgaged Property unless the Servicer determines the advance
        to be nonrecoverable. The Servicer assumes full responsibility for the payment
        of all such bills and shall effect payments of all such bills irrespective
        of
        the Mortgagor’s faithful performance in the payment of same or the making of the
        Escrow Payments and shall make Servicing Advances to effect such payments
        subject to its determination of recoverability.

       

      SECTION
        3.08.  Collection
        Account and Distribution Account.

       

      (a)  On
        behalf
        of the Trust Fund, the Servicer shall establish and maintain one or more
        “Collection Accounts”, held in trust for the benefit of the Trustee and the
        Certificateholders. On behalf of the Trust Fund, the Servicer shall deposit
        or
        cause to be deposited in the clearing account in which it customarily deposits
        payments and collections on mortgage loans in connection with its mortgage
        loan
        servicing activities on a daily basis, and in no event more than one Business
        Day after the Servicer’s receipt thereof, and shall thereafter deposit in the
        Collection Account, in no event later than two Business Days after the deposit
        of good funds into the clearing account, as and when received or as otherwise
        required hereunder, the following payments and collections received or made
        by
        it on or subsequent to the Cut-off Date other than amounts attributable to
        a Due
        Date on or prior to the Cut-off Date:

       

      (i)  all
        payments on account of principal, including Principal Prepayments, on the
        related Mortgage Loans;

       

      (ii)  all
        payments on account of interest (net of the Servicing Fee payable to the
        Servicer and any Prepayment Interest Excess) on each related Mortgage
        Loan;

       

      (iii)  all
        Insurance Proceeds and Liquidation Proceeds (other than proceeds collected
        in
        respect of any particular REO Property) and all Subsequent Recoveries with
        respect to the related Mortgage Loans;

       

      (iv)  any
        amounts required to be deposited by the Servicer pursuant to Section 3.10
        of this Agreement in connection with any losses realized on Permitted
        Investments with respect to funds held in the Collection Account;

       

      (v)  any
        amounts required to be deposited by the Servicer pursuant to the second
        paragraph of Section 3.11(a) of this Agreement in respect of any blanket
        policy deductibles;

       

      (vi)  any
        Purchase Price or Substitution Shortfall Amount delivered to the Servicer
        and
        all proceeds (net of amounts payable or reimbursable to the Servicer, the
        Master
        Servicer, the Trustee, the Custodians or the Securities Administrator) of
        Mortgage Loans purchased in accordance with Section 2.03, Section 3.13
        or Section 10.01; and

       

      (vii)  any
        Prepayment Charges collected by the Servicer in connection with the Principal
        Prepayment of any of the Mortgage Loans or amounts required to be deposited
        by
        the Servicer in connection with a breach of its obligations under
        Section 2.05.

       

      The
        foregoing requirements for deposit in the Collection Account shall be exclusive,
        it being understood and agreed that, without limiting the generality of the
        foregoing, Prepayment Interest Excess and Ancillary Income need not be deposited
        by the Servicer in the Collection Account and may be retained by the Servicer
        as
        additional compensation. In the event the Servicer shall deposit in the
        Collection Account any amount not required to be deposited therein, it may
        at
        any time withdraw such amount from the Collection Account, any provision
        herein
        to the contrary notwithstanding.

       

      (b)  On
        behalf
        of the Trust Fund, the Securities Administrator shall establish and maintain
        one
        or more accounts (such account or accounts, the “Distribution Account”), held in
        trust for the benefit of the Trustee, the Trust Fund and the Certificateholders.
        On behalf of the Trust Fund, the Servicer shall deliver to the Securities
        Administrator in immediately available funds for deposit in the Distribution
        Account on or before 12:00 noon New York time on the Servicer Remittance
        Date,
        that portion of the Available Distribution Amount (calculated without regard
        to
        the references in clause (2) of the definition thereof to amounts that may
        be
        withdrawn from the Distribution Account) for the related Distribution Date
        then
        on deposit in the Collection Account and the amount of all Prepayment Charges
        collected by the Servicer in connection with the Principal Prepayment of
        any of
        the Mortgage Loans then on deposit in the Collection Account and the amount
        of
        any funds reimbursable to an Advance Financing Person pursuant to Section
        3.25
        of this Agreement. If the balance on deposit in a Collection Account exceeds
        $100,000 as of the commencement of business on any Business Day and the
        Collection Account constitutes an Eligible Account solely pursuant to clause
        (ii) of the definition of “Eligible Account,” the Servicer shall, on or before
        5:00 p.m. New York time on such Business Day, withdraw from the Collection
        Account any and all amounts payable or reimbursable to the Depositor, the
        Servicer, the Trustee, the Master Servicer, the Securities Administrator
        or the
        Sponsor pursuant to Section 3.09 and shall pay such amounts to the Persons
        entitled thereto or shall establish a separate Collection Account (which
        shall
        also be an Eligible Account) and withdraw from the existing Collection Account
        the amount on deposit therein in excess of $100,000 and deposit such excess
        in
        the newly created Collection Account.

       

      With
        respect to any remittance received by the Securities Administrator on or
        after
        the first Business Day following the Servicer Remittance Date on which such
        payment was due, the Securities Administrator shall send written notice thereof
        to the Servicer. The Servicer shall pay to the Securities Administrator interest
        on any such late payment by the Servicer at an annual rate equal to Prime
        Rate
        (as defined in The
        Wall Street Journal)
        plus
        one percentage point, but in no event greater than the maximum amount permitted
        by applicable law. Such interest shall be paid by the Servicer to the Securities
        Administrator on the date such late payment is made and shall cover the period
        commencing with the day following the Servicer Remittance Date and ending
        with
        the Business Day on which such payment is made, both inclusive. The payment
        by
        the Servicer of any such interest, or the failure of the Securities
        Administrator to notify the Servicer of such interest, shall not be deemed
        an
        extension of time for payment or a waiver of any Event of Default by the
        Servicer.

       

      (c)  Funds
        in
        the Collection Account and funds in the Distribution Account may be invested
        in
        Permitted Investments in accordance with the provisions set forth in Section
        3.10. The Servicer shall give notice to the Trustee, the Securities
        Administrator and the Master Servicer of the location of the Collection Account
        maintained by it when established and prior to any change thereof. The
        Securities Administrator shall give notice to the Servicer and the Depositor
        of
        the location of the Distribution Account when established and prior to any
        change thereof.

       

      (d)  Funds
        held in the Collection Account at any time may be delivered by the Servicer
        in
        immediately available funds to the Securities Administrator for deposit in
        the
        Distribution Account. In the event the Servicer shall deliver to the Securities
        Administrator for deposit in the Distribution Account any amount not required
        to
        be deposited therein, it may at any time request that the Securities
        Administrator withdraw such amount from the Distribution Account and remit
        to it
        any such amount, any provision herein to the contrary notwithstanding. In
        no
        event shall the Securities Administrator incur liability as a result of
        withdrawals from the Distribution Account at the direction of the Servicer
        in
        accordance with the immediately preceding sentence. In addition, the Servicer
        shall deliver to the Securities Administrator no later than the Servicer
        Remittance Date the amounts set forth in clauses (i) through (iv)
        below:

       

      (i)  any
        P&I Advances, as required pursuant to Section 5.03 of this
        Agreement;

       

      (ii)  any
        amounts required to be deposited pursuant to Section 3.21(d) or 3.21(f) of
        this
        Agreement in connection with any related REO Property;

       

      (iii)  any
        amounts to be paid in connection with a purchase of Mortgage Loans and REO
        Properties pursuant to Section 10.01 of this Agreement; and

       

      (iv)  any
        amounts required to be deposited pursuant to Section 3.22 of this Agreement
        in
        connection with any Prepayment Interest Shortfalls.

       

      SECTION
        3.09.  Withdrawals
        from the Collection Account and Distribution Account.

       

      (a)  The
        Servicer shall, from time to time, make withdrawals from the Collection Account
        for any of the following purposes or as described in Section 5.03 of this
        Agreement:

       

      (i)  to
        remit
        to the Securities Administrator for deposit in the Distribution Account the
        amounts required to be so remitted pursuant to Section 3.08(b) of this
        Agreement or permitted to be so remitted pursuant to the first sentence of
        Section 3.08(d) of this Agreement;

       

      (ii)  subject
        to Section 3.13(c) of this Agreement, to reimburse itself (including any
        successor Servicer) for P&I Advances made by it, but only to the extent of
        amounts received which represent Late Collections (net of the related Servicing
        Fees payable to the Servicer) of Monthly Payments or rental and other income
        from the related REO Property on related Mortgage Loans with respect to which
        such P&I Advances were made in accordance with the provisions of
        Section 5.03;

       

      (iii)  subject
        to Section 3.13(c) of this Agreement, to pay itself any unpaid Servicing
        Fees payable to the Servicer and reimburse itself any unreimbursed Servicing
        Advances with respect to each related Mortgage Loan, but only to the extent
        of
        any Liquidation Proceeds and Insurance Proceeds received with respect to
        such
        related Mortgage Loan or rental and other income from the related REO
        Property;

       

      (iv)  to
        pay to
        itself as servicing compensation (in addition to the Servicing Fee payable
        to
        the Servicer) on the Servicer Remittance Date any interest or investment
        income
        earned on funds deposited in the Collection Account;

       

      (v)  to
        pay to
        itself or the Sponsor, as the case may be, with respect to each Mortgage
        Loan
        that has previously been purchased or replaced pursuant to Section 2.03 of
        this Agreement all amounts received thereon not included in the Purchase
        Price
        or the Substitution Shortfall Amount;

       

      (vi)  to
        reimburse itself (including any successor to the Servicer) for

       

      (A) any
        P&I Advance or Servicing Advance previously made by it which the Servicer
        has determined to be a Nonrecoverable P&I Advance or a Nonrecoverable
        Servicing Advance in accordance with the provisions of Section 5.03; provided
        however, that no Servicer shall be entitled to reimbursement for any Servicing
        Advance made prior to the Cut-off Date if the Servicer determines that such
        Servicing Advance constitutes a Nonrecoverable Servicing Advance of this
        Agreement; 

       

      (B) any
        unpaid Servicing Fees payable to the Servicer to the extent not recoverable
        from
        Liquidation Proceeds, Insurance Proceeds or other amounts received with respect
        to the related Mortgage Loan under Section 3.08(a)(iii) of this Agreement;
        or

       

      (C) any
        P&I Advance or Servicing Advance made with respect to a delinquent Mortgage
        Loan which Mortgage Loan has been modified by the Servicer in accordance
        with
        the terms of this Agreement; provided that the Servicer shall only reimburse
        itself for such P&I Advances and Servicing Advances at the time of such
        modification or as otherwise provided in this Section 3.09;

       

      (vii)  to
        reimburse itself or the Depositor for expenses incurred by or reimbursable
        to
        itself or the Depositor, as the case may be, pursuant to Section 3.01 or
        Section
        7.03 of this Agreement;

       

      (viii)  to
        reimburse itself or the Trustee, as the case may be, for expenses reasonably
        incurred in respect of the breach or defect giving rise to the purchase
        obligation under Section 2.03 of this Agreement that were included in the
        Purchase Price of the related Mortgage Loan, including any expenses arising
        out
        of the enforcement of the purchase obligation;

       

      (ix)  to
        pay,
        or to reimburse itself for advances in respect of, expenses incurred in
        connection with any related Mortgage Loan pursuant to Section 3.13(b) of
        this
        Agreement; 

       

      (x)  to
        pay to
        itself any Prepayment Interest Excess on the related Mortgage Loans to the
        extent not retained pursuant to Section 3.08(a)(ii)) of this Agreement;
        and

       

      (xi)  to
        clear
        and terminate the Collection Account pursuant to Section 10.01 of this
        Agreement.

       

      The
        Servicer shall keep and maintain separate accounting, on a Mortgage Loan
        by
        Mortgage Loan basis, for the purpose of justifying any withdrawal from the
        Collection Account, to the extent held by or on behalf of it, pursuant to
        subclauses (ii), (iii), (v), (vi), (vii), (viii), (ix) and (x)
        above.

       

      (b)  The
        Securities Administrator shall, from time to time, make withdrawals from
        the
        Distribution Account, for any of the following purposes, without
        priority:

       

      (i)  to
        make
        distributions to Certificateholders in accordance with Section 5.01 of this
        Agreement;

       

      (ii)  to
        pay to
        itself, the Custodians and the Master Servicer amounts to which it is entitled
        pursuant to Section 9.05 of this Agreement or any other provision of this
        Agreement and any Extraordinary Trust Fund Expenses;

       

      (iii)  to
        reimburse itself or the Master Servicer pursuant to Section 8.02 of this
        Agreement;

       

      (iv)  to
        pay
        any Net Swap Payment or Swap Termination Payment payable to the Supplemental
        Interest Trust (unless the Swap Provider is the sole Defaulting Party or
        the
        sole Affected Party (as defined in the Swap Agreement)) owed to the Swap
        Provider;

       

      (v)  to
        pay
        any amounts in respect of taxes pursuant to Section 11.01(g)(v) of this
        Agreement;

       

      (vi)  to
        pay
        the Master Servicing Fee to the Master Servicer;

       

      (vii)  to
        pay
        the Credit Risk Management Fee to the Credit Risk Manager; 

       

      (viii)  to
        pay
        the Excess Servicing Fee, if any, to the Class CE-2 Certificateholder pursuant
        to Section 5.01(b); and

       

      (ix)  to
        clear
        and terminate the Distribution Account pursuant to Section 10.01 of this
        Agreement.

       

      SECTION
        3.10.  Investment
        of Funds in the Investment Accounts.

       

      (a)  The
        Servicer may direct, by means of written directions (which may be standing
        directions), any depository institution maintaining the Collection Account
        to
        invest the funds in the Collection Account (for purposes of this Section
        3.10,
        an “Investment Account”) in one or more Permitted Investments bearing interest
        or sold at a discount, and maturing, unless payable on demand, (i) 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, if a Person
        other
        than the Securities Administrator is the obligor thereon, and (ii) no later
        than
        the date on which such funds are required to be withdrawn from such account
        pursuant to this Agreement, if the Securities Administrator is the obligor
        on
        such Permitted Investment. Amounts in the Distribution Account may be invested
        in Permitted Investments as directed in writing by the Master Servicer and
        maturing, unless payable on demand, (i) 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, if a Person other than the
        Securities Administrator is the obligor thereon, and (ii) no later than the
        date
        on which such funds are required to be withdrawn from such account pursuant
        to
        this Agreement, if the Securities Administrator is the obligor thereon. All
        such
        Permitted Investments shall be held to maturity, unless payable on demand.
        Any
        investment of funds shall be made in the name of the Trustee (in its capacity
        as
        such) or in the name of a nominee of the Trustee. The Securities Administrator
        shall be entitled to sole possession over each such investment in the
        Distribution Account and, subject to subsection (b) below, the income thereon,
        and any certificate or other instrument evidencing any such investment shall
        be
        delivered directly to the Securities Administrator or its agent, together
        with
        any document of transfer necessary to transfer title to such investment to
        the
        Trustee or its nominee. In the event amounts on deposit in a Collection Account
        are at any time invested in a Permitted Investment payable on demand, the
        party
        with investment discretion over such Investment Account shall:

       

      (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 promptly upon receipt by such party
        of
        written notice from the Servicer that such Permitted Investment would not
        constitute a Permitted Investment in respect of funds thereafter on deposit
        in
        the Investment Account.

       

      (b)  All
        income and gain realized from the investment of funds deposited in a Collection
        Account, shall be for the benefit of the Servicer and shall be subject to
        its
        withdrawal in accordance with Section 3.09. The Servicer shall deposit in
        the
        Collection Account maintained by it the amount of any loss incurred in respect
        of any such Permitted Investment made with funds in such account immediately
        upon realization of such loss. All earnings and gain realized from the
        investment of funds deposited in the Distribution Account shall be for the
        benefit of the Master Servicer. The Master Servicer shall remit from its
        own
        funds for deposit into the Distribution Account the amount of any loss incurred
        on Permitted Investments in the Distribution Account.

       

      (c)  Except
        as
        otherwise expressly provided in this Agreement, if any default occurs in
        the
        making of a payment due under any Permitted Investment, or if a default occurs
        in any other performance required under any Permitted Investment, the Trustee
        may and, subject to Section 9.01 and Section 9.02(a)(v), shall, at the written
        direction of the Servicer, take such action as may be appropriate to enforce
        such payment or performance, including the institution and prosecution of
        appropriate proceedings.

       

      (d)  The
        Trustee, the Master Servicer or their respective Affiliates are permitted
        to
        receive additional compensation that could be deemed to be in the Trustee’s or
        the Master Servicer’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 or payable to the Trustee or the
        Master Servicer pursuant to Section 3.09 or 3.10 or otherwise payable in
        respect
        of Extraordinary Trust Fund Expenses. Such additional compensation shall
        not be
        an expense of the Trust Fund.

       

      SECTION
        3.11.  Maintenance
        of Hazard Insurance, Errors and Omissions and Fidelity Coverage and Primary
        Mortgage Insurance.

       

      (a)  The
        terms
        of each Mortgage Note require the related Mortgagor to maintain fire, flood
        and
        hazard insurance policies. To the extent such policies are not maintained,
        the
        Servicer shall cause to be maintained for each Mortgaged Property fire and
        hazard insurance with extended coverage as is customary in the area where
        the
        Mortgaged Property is located in an amount which is at least equal to the
        lesser
        of the current principal balance of the related Mortgage Loan and the amount
        necessary to compensate fully for any damage or loss to the improvements
        which
        are a part of such property on a replacement cost basis, in each case in
        an
        amount not less than such amount as is necessary to avoid the application
        of any
        coinsurance clause contained in the related hazard insurance policy. The
        Servicer shall also cause to be maintained fire and hazard insurance on each
        REO
        Property with extended coverage as is customary in the area where the Mortgaged
        Property is located in an amount which is at least equal to the lesser of
        (i)
        the maximum insurable value of the improvements which are a part of such
        property and (ii) the sum of the outstanding principal balance of the related
        Mortgage Loan and the related First Mortgage Loan at the time it became an
        REO
        Property, in each case in an amount not less than such amount as is necessary
        to
        avoid the application of any coinsurance clause contained in the related
        hazard
        insurance policy. The Servicer will comply in the performance of this Agreement
        with all reasonable rules and requirements of each insurer under any such
        hazard
        policies. Any amounts to be collected by the Servicer under any such policies
        remaining after application of any such amounts to any related First Mortgage
        Loan and application of amounts to the restoration or repair of the property
        subject to the related Mortgage or amounts to be released to the Mortgagor
        in
        accordance with Accepted Servicing Practices, subject to the terms and
        conditions of the related Mortgage and Mortgage Note shall be deposited in
        the
        Collection Account, subject to withdrawal pursuant to Section 3.09, if received
        in respect of a Mortgage Loan, or in the REO Account, subject to withdrawal
        pursuant to Section 3.21, if received in respect of an REO Property. Any
        cost
        incurred by the Servicer in maintaining any such insurance shall not, for
        the
        purpose of calculating distributions to Certificateholders, be added to the
        unpaid principal balance of the related Mortgage Loan, notwithstanding that
        the
        terms of such Mortgage Loan so permit. It is understood and agreed that no
        earthquake or other additional insurance is to be required of any Mortgagor
        other than pursuant to such applicable laws and regulations as shall at any
        time
        be in force and as shall require such additional insurance. If the Mortgaged
        Property or REO Property is at any time in an area identified in the Federal
        Register by the Federal Emergency Management Agency as having special flood
        hazards, the Servicer will cause to be maintained a flood insurance policy
        in
        respect thereof. Such flood insurance shall be in an amount equal to the
        lesser
        of (i) the unpaid principal balance of the related Mortgage Loan and (ii)
        the
        maximum amount of such insurance available for the related Mortgaged Property
        under the national flood insurance program (assuming that the area in which
        such
        Mortgaged Property is located is participating in such program), in each
        case in
        an amount not less than such amount as is necessary to avoid the application
        of
        any coinsurance clause contained in the related hazard insurance
        policy.

       

      In
        the
        event that the Servicer shall obtain and maintain a blanket policy with an
        insurer having a General Policy Rating of B:VI or better in Best’s Key Rating
        Guide or otherwise acceptable to Fannie Mae or Freddie Mac insuring against
        hazard losses on all of the related Mortgage Loans, it shall conclusively
        be
        deemed to have satisfied its obligations to cause fire and hazard insurance
        to
        be maintained on the Mortgaged Properties, it being understood and agreed
        that
        such policy may contain a deductible clause, in which case the Servicer shall,
        in the event that there shall not have been maintained on the related Mortgaged
        Property or REO Property a policy complying with this Section 3.11, and there
        shall have been one or more losses which would have been covered by such
        policy,
        deposit to the Collection Account from its own funds the amount not otherwise
        payable under the blanket policy because of such deductible clause. In
        connection with its activities as administrator and servicer of the related
        Mortgage Loans, the Servicer agrees to prepare and present, on behalf of
        itself,
        the Trustee, the Trust Fund, the Certificateholders, claims under any such
        blanket policy in a timely fashion in accordance with the terms of such
        policy.

       

      (b)  The
        Servicer shall keep in force during the term of this Agreement a policy or
        policies of insurance covering errors and omissions for failure in the
        performance of its respective obligations under this Agreement, which policy
        or
        policies shall be in such form and amount that would meet the requirements
        of
        Fannie Mae or Freddie Mac if it were the purchaser of the related Mortgage
        Loans. The Servicer shall also maintain a fidelity bond in the form and amount
        that would meet the requirements of Fannie Mae or Freddie Mac. The Servicer
        shall be deemed to have complied with this provision if an Affiliate of the
        Servicer has such errors and omissions and fidelity bond coverage and, by
        the
        terms of such insurance policy or fidelity bond, the coverage afforded
        thereunder extends to the Servicer. Any such errors and omissions policy
        and
        fidelity bond shall by its terms not be cancelable without thirty days’ prior
        written notice to the Trustee.

       

      (c)  The
        Servicer need not obtain the approval of the Master Servicer prior to releasing
        any Insurance Proceeds to the Mortgagor to be applied to the restoration
        or
        repair of the Mortgaged Property if such release is in accordance with Accepted
        Servicing Practices. At a minimum, the Servicer shall comply with the following
        conditions in connection with any such release of Insurance Proceeds in excess
        of $10,000:

       

      (i)  the
        Servicer shall receive satisfactory independent verification of completion
        of
        repairs and issuance of any required approvals with respect
        thereto;

       

      (ii)  the
        Servicer shall take all steps necessary to preserve the priority of the lien
        of
        the Mortgage, including, but not limited to requiring waivers with respect
        to
        mechanics’ and materialmen’s liens; and

       

      (iii)  pending
        repairs or restoration, the Servicer shall place the Insurance Proceeds in
        the
        related Escrow Account, if any.

       

      If
        the
        Trustee is named as an additional loss payee, the Servicer is hereby empowered
        to endorse any loss draft issued in respect of such a claim in the name of
        the
        Trustee.

       

      SECTION
        3.12.  Enforcement
        of Due-on-Sale Clauses; Assumption Agreements.

       

      The
        Servicer shall, to the extent it has knowledge of any conveyance of any related
        Mortgaged Property by any related Mortgagor (whether by absolute conveyance
        or
        by contract of sale, and whether or not the Mortgagor remains or is to remain
        liable under the Mortgage Note and/or the Mortgage), exercise its rights
        to
        accelerate the maturity of such Mortgage Loan under the “due-on-sale” clause, if
        any, applicable thereto; provided, however, that no Servicer shall exercise
        any
        such rights if prohibited by law from doing so. If the Servicer reasonably
        believes that it is unable under applicable law to enforce such “due-on-sale”
clause, or if any of the other conditions set forth in the proviso to the
        preceding sentence apply, the Servicer shall enter into an assumption and
        modification agreement from or with the person to whom such property has
        been
        conveyed or is proposed to be conveyed, pursuant to which such person becomes
        liable under the Mortgage Note and, to the extent permitted by applicable
        state
        law, the Mortgagor remains liable thereon. The Servicer is also authorized
        to
        enter into a substitution of liability agreement with such person, pursuant
        to
        which the original Mortgagor is released from liability and such person is
        substituted as the Mortgagor and becomes liable under the Mortgage Note,
        provided that no such substitution shall be effective unless such person
        satisfies the then current underwriting criteria of the Servicer for mortgage
        loans similar to the related Mortgage Loans. In connection with any assumption
        or substitution, the Servicer shall apply such underwriting standards and
        follow
        such practices and procedures as shall be normal and usual in its general
        mortgage servicing activities and as it applies to other mortgage loans owned
        solely by it. No Servicer shall take or enter into any assumption and
        modification agreement, however, unless (to the extent practicable in the
        circumstances) it shall have received confirmation, in writing, of the continued
        effectiveness of any applicable hazard insurance policy. Any fee collected
        by
        the Servicer in respect of an assumption or substitution of liability agreement
        will be retained by the Servicer as additional servicing compensation. In
        connection with any such assumption, no material term of the Mortgage Note
        (including but not limited to the related Mortgage Rate and the amount of
        the
        Monthly Payment) may be amended or modified, except as otherwise required
        pursuant to the terms thereof. The Servicer shall notify the Trustee (or
        the
        applicable Custodian) that any such substitution or assumption agreement
        has
        been completed by forwarding to the Trustee (or the applicable Custodian)
        the
        executed original of such substitution or assumption agreement, which document
        shall be added to the related Mortgage File and shall, for all purposes,
        be
        considered a part of such Mortgage File to the same extent as all other
        documents and instruments constituting a part thereof.

       

      Notwithstanding
        the foregoing paragraph or any other provision of this Agreement, no Servicer
        shall be deemed to be in default, breach or any other violation of its
        obligations hereunder by reason of any assumption of a Mortgage Loan by
        operation of law or by the terms of the Mortgage Note or any assumption which
        the Servicer may be restricted by law from preventing, for any reason whatever.
        For purposes of this Section 3.12, the term “assumption” is deemed to also
        include a sale (of the Mortgaged Property) subject to the Mortgage that is
        not
        accompanied by an assumption or substitution of liability
        agreement.

       

      SECTION
        3.13.  Realization
        Upon Defaulted Mortgage Loans.

       

      (a)  (i)
        The
        Servicer shall use its commercially reasonable efforts, consistent with Accepted
        Servicing Practices, to foreclose upon or otherwise comparably convert the
        ownership of properties securing such of the Mortgage Loans as come into
        and
        continue in default and as to which no satisfactory arrangements can be made
        for
        collection of delinquent payments pursuant to Section 3.06. With respect
        to such
        of the Mortgage Loans as come into and continue in default, the Servicer
        will
        decide whether to (i) foreclose upon the Mortgaged Properties securing such
        Mortgage Loans, (ii) write off the unpaid principal balance of the Mortgage
        Loans as bad debt, (iii) take a deed in lieu of foreclosure, (iv) accept
        a short
        sale (a payoff of the Mortgage Loan for an amount less than the total amount
        contractually owed in order to facilitate a sale of the Mortgaged Property
        by
        the Mortgagor) or permit a short refinancing (a payoff of the Mortgage Loan
        for
        an amount less than the total amount contractually owed in order to facilitate
        refinancing transactions by the Mortgagor not involving a sale of the Mortgaged
        Property), (v) arrange for a repayment plan, or (vi) agree to a modification
        in
        accordance with this Agreement. In connection with such decision, the Servicer
        shall take such action as (i) the Servicer would take under similar
        circumstances with respect to a similar mortgage loan held for its own account
        for investment, (ii) shall be consistent with Accepted Servicing Practices,
        (iii) the Servicer shall determine consistently with Accepted Servicing
        Practices to be in the best interest of the Trustee and Certificateholders,
        provided, that actions taken by the Servicer in connection with its servicing
        of
        the related First Mortgage Loan shall not be considered relevant to a
        determination of whether the Servicer has met the standard set forth in this
        clause (iii) so long as in the Servicer’s determination such action is not
        materially adverse to the interests of the Certificateholders and (iv) is
        consistent with the requirements of the insurer under any insurance policy
        required to be maintained under this Agreement; provided, however, that the
        Servicer shall not be required to expend its own funds in connection with
        any
        foreclosure or towards the restoration of any property unless it shall determine
        in its sole discretion (i) that such restoration and/or foreclosure will
        increase the proceeds of liquidation of the related Mortgage Loan after
        reimbursement to itself of such expenses and (ii) that such expenses will
        be
        recoverable to it through Liquidation Proceeds (respecting which it shall
        have
        priority for purposes of withdrawals from the Collection Account). The Servicer
        shall be responsible for all costs and expenses incurred by it in any such
        proceedings; provided, however, that such costs and expenses will be recoverable
        as Servicing Advances by the Servicer as contemplated in Sections 3.09 and
        3.21.
        The foregoing is subject to the provision that, in any case in which a Mortgaged
        Property shall have suffered damage from an Uninsured Cause, the Servicer
        shall
        not be required to expend its own funds toward the restoration of such property
        unless it shall determine in its discretion that such restoration will increase
        the proceeds of liquidation of the related Mortgage Loan after reimbursement
        to
        itself for such expenses. 

       

      (ii) Notwithstanding
        anything to the contrary contained in this Agreement, with respect to any
        Mortgage Loan that is one hundred twenty (120) days delinquent, the Servicer
        shall obtain a broker’s price opinion with respect to the related Mortgaged
        Property and shall use all reasonable efforts to obtain a total indebtedness
        balance (including, but not limited to, unpaid principal, interest, escrows,
        taxes and expenses) for any related First Lien. The cost of obtaining any
        such
        broker’s price opinion shall be reimbursable to the Servicer as a Servicing
        Advance pursuant to Section 3.09. After obtaining the related broker’s price
        opinion, the Servicer will determine whether any Significant Subsequent Recovery
        is possible through foreclosure proceedings or other liquidation of the related
        Mortgaged Property. If the Servicer determines that (x) no Significant
        Subsequent Recovery is possible or (y) the potential Subsequent Recoveries
        are
        anticipated to be an amount, determined by the Servicer in its good faith
        judgment and in light of other mitigating circumstances, that is insufficient
        to
        warrant proceeding through foreclosure or other liquidation of the related
        Mortgaged Property, it may, at its discretion, charge off such delinquent
        Mortgage Loan in accordance with subsections (a)(iii) and (a)(iv) below (any
        such Mortgage Loan, a “Charged Off Loan”).

       

      (iii) With
        respect to any Mortgage Loan, if the Servicer determines based on the broker’s
        price opinion obtained under paragraph (a)(ii) above and other relevant
        considerations that (x) no Significant Subsequent Recovery is possible through
        foreclosure proceedings or other liquidation of the related Mortgaged Property
        or (y) the potential Subsequent Recoveries are anticipated to be an amount,
        determined by the Servicer in its good faith judgment and in light of other
        mitigating circumstances, that is insufficient to warrant proceeding through
        foreclosure or other liquidation of the related Mortgaged Property, it will
        be
        obligated to charge off the related Mortgage Loan at the time such Mortgage
        Loan
        becomes 180 days delinquent. Once a Mortgage Loan has been charged off, the
        Servicer will discontinue making P&I Advances, the Servicer will not be
        entitled to any additional servicing compensation (except as described in
        paragraph (a)(iv) of this Section 3.13), the Charged Off Loan will give rise
        to
        a Realized Loss, and the Servicer will follow the procedures described in
        paragraph (a)(iv) below. If the Servicer determines that (x) a Significant
        Subsequent Recovery is possible through foreclosure proceedings or other
        liquidation of the Mortgaged Property and (y) the potential Subsequent
        Recoveries are anticipated to be an amount, determined by the Servicer in
        its
        good faith judgment and in light of other mitigating circumstances, that
        is
        sufficient to warrant proceeding through foreclosure or other liquidation
        of the
        related Mortgaged Property, the Servicer may continue to make P&I Advances
        or Servicing Advances on the related Mortgage Loan that has become 180 days
        delinquent and will notify the Credit Risk Manager of that
        decision.

       

      (iv) Any
        Mortgage Loan that becomes a Charged Off Loan may continue to be serviced
        by the
        Servicer for the Certificateholders using Special Servicing Practices. The
        Servicer will accrue, but not be entitled to, any Servicing Fees and
        reimbursement of expenses in connection with such Charged Off Loans, except
        to
        the extent of funds available from the aggregate amount of recoveries on
        all
        Charged Off Loans. Such aggregate recovery amounts on Charged Off Loans shall
        be
        paid to the Servicer first, as reimbursement of any outstanding and unpaid
        expenses, and second, as any accrued and unpaid Servicing Fees. The Servicer
        will only be entitled to previously accrued Servicing Fees and expenses on
        any
        such Charged Off Loans. The Servicer will not be entitled to receive any
        future
        unaccrued Servicing Fees or expenses from collections on such Charged Off
        Loans.
        Any Charged Off Loan serviced using Special Servicing Practices shall be
        so
        serviced until the Mortgage Loan Release Date described below. Any amounts
        received on such Charged Off Loans received prior to the Mortgage Loan Release
        Date will be treated as Subsequent Recoveries and included in the Available
        Distribution Amount.

       

      On
        the
        date (the “Mortgage Loan Release Date”) which is no more than six months after
        the date on which the Servicer begins servicing any Charged Off Loans using
        Special Servicing Practices, unless Subsequent Recoveries are anticipated
        by the
        Servicer on a particular Charged Off Loan (in which case the Mortgage Loan
        Release Date will be delayed until all such anticipated Subsequent Recoveries
        are received), such Charged Off Loan will be released from the Trust Fund,
        will
        no longer be an asset of any REMIC, and will be transferred to the Class
        CE-2
        Certificateholders, without recourse, and thereafter (i) the Class CE-2
        Certificateholders will be entitled to any amounts subsequently received
        in
        respect of any such Released Loans, (ii) the Holders of a majority in Percentage
        Interest in the Class CE-2 Certificates may designate any servicer to service
        any such Released Loan and (iii) the Holders of a majority in Percentage
        Interest in the Class CE-2 Certificates may sell any such Released Loan to
        a
        third party. Notwithstanding the previous sentence, if at any time after
        a
        Mortgage Loan has been Charged Off and prior to six months after the date
        on
        which the Servicer begins servicing such Charged Off Loan using Special
        Servicing Practices, the Servicer determines that there will not be any
        Subsequent Recoveries on such Charged Off Loan under any circumstances, the
        Servicer may release such Charged Off Loan to the Holders of a majority in
        Percentage Interest in the Class CE-2 Certificates in accordance with the
        provisions set forth in the previous sentence. The Servicer shall notify
        the
        Master Servicer and Securities Administrator on each Mortgage Loan Release
        Date
        of each Charged Off Loan being released from the Trust Fund, and shall
        thereafter remit any amounts collected on such Charged Off Loan to the Class
        CE-2 Certificateholder net of any fees and expenses pursuant to the terms
        of a
        receivable collections agreement to be entered into between the Class CE-2
        Certificateholder and the Servicer. The Master Servicer shall not be responsible
        for collecting any payments on a Charged Off Loan after such Charged Off
        Loan is
        released from the Trust Fund on the related Mortgage Loan Release
        Date.

       

      Notwithstanding
        the foregoing, the procedures described above in this clause (iv) relating
        to
        the treatment of Charged Off Loans may be modified at any time at the discretion
        of the Holders of a majority in Percentage Interest in the Class CE-1
        Certificates, with the consent of the Servicer, which consent shall not be
        unreasonably withheld; provided, however, that in no event shall the Holders
        of
        a majority in Percentage Interest in the Class CE-1 Certificates change the
        fee
        structure relating to Charged Off Loans in a manner that would cause fees
        to be
        paid to the Servicer other than from recoveries on Charged Off
        Loans.

       

      The
        Master Servicer shall track collections received by the Servicer on any Charged
        Off Loans based upon loan level data provided to the Master Servicer by the
        Servicer on the date on which the Servicer provides its Servicer Report pursuant
        to Section 5.03(a), identifying the Charged Off Loans as of the related Due
        Period that the Servicer will continue to service until the related Mortgage
        Loan Release Date using Special Servicing Practices. On each Distribution
        Date,
        the Master Servicer shall verify, based on the recovery and expense information
        provided by the Servicer (i) the aggregate amount of accrued and unpaid
        Servicing Fees to be paid to the Servicer and expenses to be reimbursed to
        the
        related on such Charged Off Loans as of the related Due Period and (ii) the
        amount of Subsequent Recoveries on such Charged Off Loans for such Distribution
        Date. The Master Servicer shall be entitled to rely, without independent
        verification, on the loan level data provided by the Servicer that identifies
        the recovery amounts and the outstanding and unpaid expenses on any Charged
        Off
        Loan in order to verify the amount in clause (ii) of the previous sentence.
        The
        Master Servicer will be responsible for independently verifying the aggregate
        amount of accrued and unpaid Servicing Fees described in clause (i) of the
        second preceding sentence to be paid to the Servicer. 

       

      (b)  Notwithstanding
        the foregoing provisions of this Section 3.13 or any other provision of this
        Agreement, with respect to any Mortgage Loan as to which the Servicer has
        received actual notice of, or has actual knowledge of, the presence of any
        toxic
        or hazardous substance on the related Mortgaged Property, the Servicer shall
        not, on behalf of the Trust Fund, either (i) obtain title to such Mortgaged
        Property as a result of or in lieu of foreclosure or otherwise, or (ii)
        otherwise acquire possession of, or take any other action with respect to,
        such
        Mortgaged Property, if, as a result of any such action, the Trust Fund, the
        Trustee or the Certificateholders would be considered to hold title to, to
        be a
“mortgagee-in-possession” of, or to be an “owner” or “operator” of such
        Mortgaged Property within the meaning of the Comprehensive Environmental
        Response, Compensation and Liability Act of 1980, as amended from time to
        time,
        or any comparable law, unless the Servicer has also previously determined,
        based
        on its reasonable judgment and a prudent report prepared by an Independent
        Person who regularly conducts environmental audits using customary industry
        standards, that:

       

      (1) such
        Mortgaged Property is in compliance with applicable environmental laws or,
        if
        not, that it would be in the best economic interest of the Trust Fund to
        take
        such actions as are necessary to bring the Mortgaged Property into compliance
        therewith; and

       

      (2) there
        are
        no circumstances present at such Mortgaged Property relating to the use,
        management or disposal of any hazardous substances, hazardous materials,
        hazardous wastes or petroleum-based materials for which investigation, testing,
        monitoring, containment, clean-up or remediation could be required under
        any
        federal, state or local law or regulation, or that if any such materials
        are
        present for which such action could be required, that it would be in the
        best
        economic interest of the Trust Fund to take such actions with respect to
        the
        affected Mortgaged Property.

       

      The
        cost
        of the environmental audit report contemplated by this Section 3.13 shall
        be
        advanced by the Servicer, subject to the Servicer’s right to be reimbursed
        therefor from the Collection Account as provided in Section 3.09(a)(ix),
        such
        right of reimbursement being prior to the rights of Certificateholders to
        receive any amount in the Collection Account received in respect of the affected
        Mortgage Loan or other Mortgage Loans.

       

      If
        the
        Servicer determines, as described above, that it is in the best economic
        interest of the Trust Fund to take such actions as are necessary to bring
        any
        such Mortgaged Property into compliance with applicable environmental laws,
        or
        to take such action with respect to the containment, clean-up or remediation
        of
        hazardous substances, hazardous materials, hazardous wastes, or petroleum-based
        materials affecting any such Mortgaged Property, then the Servicer shall
        take
        such action as it deems to be in the best economic interest of the Trust
        Fund.
        The cost of any such compliance, containment, cleanup or remediation shall
        be
        advanced by the Servicer, subject to the Servicer’s right to be reimbursed
        therefor from the Collection Account as provided in Sections 3.09(a)(iii)
        or
        3.09(a)(ix), such right of reimbursement being prior to the rights of
        Certificateholders to receive any amount in the Collection Account received
        in
        respect of the affected Mortgage Loan or other Mortgage Loans.

       

      (c)  Proceeds
        received in connection with any Final Recovery Determination, as well as
        any
        recovery resulting from a partial collection of Insurance Proceeds or
        Liquidation Proceeds, in respect of any Mortgage Loan, will be applied in
        the
        following order of priority: first, to reimburse the Servicer for any related
        unreimbursed P&I Advances and Servicing Advances, pursuant to Section
        3.09(a)(ii) or 3.09(a)(iii); second, to accrued and unpaid interest on the
        Mortgage Loan, to the date of the Final Recovery Determination, or to the
        Due
        Date prior to the Distribution Date on which such amounts are to be distributed
        if not in connection with a Final Recovery Determination; and third, as a
        recovery of principal of the Mortgage Loan. If the amount of the recovery
        so
        allocated to interest is less than the full amount of accrued and unpaid
        interest due on such Mortgage Loan, the amount of such recovery will be
        allocated by the Servicer as follows: first, to unpaid Servicing Fees; and
        second, to the balance of the interest then due and owing. The portion of
        the
        recovery so allocated to unpaid Servicing Fees shall be reimbursed to the
        Servicer pursuant to Section 3.09(a)(iii). The portion of the recovery allocated
        to interest (net of unpaid Servicing Fees) and the portion of the recovery
        allocated to principal of the Mortgage Loan shall be applied as follows:
        first,
        to reimburse the Servicer for any related unreimbursed Servicing Advances
        or
        P&I Advances in accordance with Section 3.09(a)(ii) and any other amounts
        reimbursable to the Servicer pursuant to Section 3.09, and second, as part
        of
        the amounts to be transferred to the Distribution Account in accordance with
        Section 3.08(b). Excess proceeds, if any, from the liquidation of a Liquidated
        Mortgage Loan will be retained by the Servicer as additional servicing
        compensation pursuant to Section 3.15.

       

      SECTION
        3.14.  Trustee
        to Cooperate; Release of Mortgage Files.

       

      (a)  Upon
        becoming aware of the payment in full of any Mortgage Loan, or the receipt
        by
        the Servicer of a notification that payment in full has been escrowed in
        a
        manner customary for such purposes for payment to Certificateholders on the
        next
        Distribution Date, the Servicer will promptly furnish to the applicable
        Custodian, on behalf of the Trustee, two copies of a request for release
        substantially in the form attached to the respective Custodial Agreement
        signed
        by a Servicing Officer or in a mutually agreeable electronic format which
        will,
        in lieu of a signature on its face, originate from a Servicing Officer (which
        certification shall include a statement to the effect that all amounts received
        in connection with such payment that are required to be deposited in the
        Collection Account have been or will be so deposited) and shall request that
        the
        applicable Custodian, on behalf of the Trustee, deliver to the Servicer the
        related Mortgage File. Upon receipt of such certification and request, the
        applicable Custodian, on behalf of the Trustee, shall within five (5) Business
        Days release the related Mortgage File to the Servicer and the applicable
        Custodian shall have no further responsibility with regard to such Mortgage
        File. Upon any such payment in full, the Servicer is authorized to give,
        as
        agent for the Trustee, as the mortgagee under the Mortgage that secured the
        Mortgage Loan, an instrument of satisfaction (or assignment of mortgage without
        recourse) regarding the Mortgaged Property subject to the Mortgage, which
        instrument of satisfaction or assignment, as the case may be, shall be delivered
        to the Person or Persons entitled thereto against receipt therefor of such
        payment, it being understood and agreed that no expenses incurred in connection
        with such instrument of satisfaction or assignment, as the case may be, shall
        be
        chargeable to the Collection Account, unless it shall represent a Servicing
        Advance.

       

      (b)  From
        time
        to time and as appropriate for the servicing or foreclosure of any Mortgage
        Loan, the Trustee shall execute such documents as shall be prepared and
        furnished to the Trustee by the Servicer (in form reasonably acceptable to
        the
        Trustee) and as are necessary to the prosecution of any such proceedings.
        The
        applicable Custodian, on behalf of the Trustee, shall, upon the request of
        the
        Servicer, and delivery to the applicable Custodian, on behalf of the Trustee,
        of
        two copies of a request for release signed by a Servicing Officer substantially
        in the form attached to the respective Custodial Agreement (or in a mutually
        agreeable electronic format which will, in lieu of a signature on its face,
        originate from a Servicing Officer), release within five (5) Business Days
        the
        related Mortgage File held in its possession or control to the Servicer.
        Such
        trust receipt shall obligate the Servicer to return the Mortgage File to
        the
        applicable Custodian on behalf of the Trustee, when the need therefor by
        the
        Servicer no longer exists unless the Mortgage Loan shall be liquidated, in
        which
        case, upon receipt of a certificate of a Servicing Officer similar to that
        hereinabove specified, the Mortgage File shall be released by the applicable
        Custodian, on behalf of the Trustee, to the Servicer.

       

      Notwithstanding
        the foregoing, in connection with a Principal Prepayment in full of any Mortgage
        Loan, the Master Servicer may request release of the related Mortgage File
        from
        the applicable Custodian, in accordance with the provisions of the respective
        Custodial Agreement, in the event the Servicer fails to do so.

       

      Upon
        written certification of a Servicing Officer, the Trustee shall execute and
        deliver to the Servicer, any court pleadings, requests for trustee’s sale or
        other documents prepared and delivered to the Trustee and reasonably acceptable
        to it and necessary to the foreclosure or trustee’s sale in respect of a
        Mortgaged Property or to any legal action brought to obtain judgment against
        any
        Mortgagor on the Mortgage Note or Mortgage or to obtain a deficiency judgment,
        or to enforce any other remedies or rights provided by the Mortgage Note
        or
        Mortgage or otherwise available at law or in equity. Each such certification
        shall include a request that such pleadings or documents be executed by the
        Trustee and a statement as to the reason such documents or pleadings are
        required and that the execution and delivery thereof by the Trustee will
        not
        invalidate or otherwise affect the lien of the Mortgage, except for the
        termination of such a lien upon completion of the foreclosure or trustee’s sale.
        So long as no Servicer Event of Default shall have occurred and be continuing,
        the Servicer shall have the right to execute any and all such court pleadings,
        requests and other documents as attorney-in-fact for, and on behalf of the
        Trustee.

       

      SECTION
        3.15.  Servicing
        Compensation.

       

      As
        compensation for its activities hereunder, the Servicer shall be entitled
        to the
        Servicing Fee (or, for as long as GMAC is the Servicer, the Servicing Fee
        calculated using the GMAC Servicing Fee Rate) payable solely from payments
        of
        interest in respect of the Mortgage Loans, subject to Section 3.22. In
        addition, the Servicer shall be entitled to recover unpaid Servicing Fees
        out of
        Insurance Proceeds or Liquidation Proceeds to the extent permitted by
        Section 3.09(a)(iii), Section 3.09(a)(vi) and out of amounts derived from
        the operation and sale of an REO Property to the extent permitted by
        Section 3.21. The right to receive the Servicing Fee (or, with respect to
        GMAC, the Servicing Fee calculated using the GMAC Servicing Fee Rate) may
        not be
        transferred in whole or in part except as set forth in Section 3.25 (for
        so long
        as GMAC is the Servicer) or in connection with the transfer of all of the
        Servicer’s responsibilities and obligations under this Agreement to the extent
        permitted herein.

       

      Additional
        servicing compensation in the form of Ancillary Income (other than Prepayment
        Charges) shall be retained by the Servicer only to the extent such fees or
        charges are received by the Servicer. The Servicer shall also be entitled
        pursuant to Section 3.09(a)(iv) to withdraw from the Collection Account and
        pursuant to Section 3.21(b) to withdraw from any REO Account, as additional
        servicing compensation, interest or other income earned on deposits therein,
        subject to Section 3.10. In addition, the Servicer shall be entitled to
        retain or withdraw from the Collection Account, pursuant to
        Section 3.09(a)(x), any Prepayment Interest Excess with respect to the
        Mortgage Loans serviced by it as additional servicing compensation. The Servicer
        shall be required to pay all expenses incurred by it in connection with its
        servicing activities hereunder and shall not be entitled to reimbursement
        therefor except as specifically provided herein.

       

      SECTION
        3.16.  Collection
        Account Statements.

       

      Upon
        request, not later than fifteen (15) days after each Distribution Date, the
        Servicer shall forward to the Master Servicer, the Securities Administrator,
        the
        Trustee and the Depositor a statement prepared by the institution at which
        the
        Collection Account is maintained setting forth the status of the Collection
        Account as of the close of business on such Distribution Date and showing,
        for
        the period covered by such statement, the aggregate amount of deposits into
        and
        withdrawals from the Collection Account. Copies of such statement and any
        similar statements provided by the Servicer shall be provided by the Securities
        Administrator to any Certificateholder and to any Person identified to the
        Securities Administrator as a prospective transferee of a Certificate, upon
        request at the expense of the requesting party, provided such statement is
        delivered by the Servicer to the Securities Administrator.

       

      SECTION
        3.17.  Annual
        Statement as to Compliance.

       

      (a)  The
        Servicer shall deliver (and shall cause any Additional Servicer engaged by
        it to
        deliver) to the Master Servicer and the Depositor on or before March 15 of
        each
        year, commencing in March 2007, an Officer’s Certificate 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 the Servicer’s performance
        under this Agreement, or such other applicable agreement in the case of an
        Additional Servicer, 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 an Additional Servicer, 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. Promptly
        after
        receipt of each such Officer’s Certificate from the Servicer or any Additional
        Servicer engaged by the Servicer, the Depositor shall review such Officer’s
        Certificate and, if applicable, consult with each such party, as applicable,
        as
        to the nature of any failures by such party, in the fulfillment of any of
        the
        Servicer’s obligations hereunder or, in the case of an Additional Servicer,
        under such other applicable agreement. 

       

      (b)  Failure
        of the Servicer to comply timely with this Section 3.17 shall be deemed the
        Servicer Event of Default as to the Servicer, automatically, without notice
        and
        without any cure period, and the Master Servicer may, in addition to whatever
        rights the Master Servicer may have under this Agreement and at law or in
        equity
        or to damages, including injunctive relief and specific performance, terminate
        all the rights and obligations of the Servicer under this Agreement and in
        and
        to the Mortgage Loans and the proceeds thereof without compensating the Servicer
        for the same (other than the Servicer’s right to reimbursement of unreimbursed
        P&I Advances and Servicing Advances and accrued and unpaid Servicing Fees in
        the manner provided in this Agreement). This paragraph shall supersede any
        other
        provision in this Agreement or any other agreement to the contrary.

       

      SECTION
        3.18.  Assessments
        of Compliance and Attestation Reports.

       

      (a)  By
        March
        15 of each year, commencing in March 2007, the Servicer, at its own expense,
        shall furnish, and shall cause any Servicing Function Participant engaged
        by it
        to furnish, each at its own expense, to the Master Servicer, a report on
        an
        assessment of compliance with the Relevant Servicing Criteria 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 5.06(d), 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. Notwithstanding the foregoing, neither the Servicer nor
        any
        Servicing Function Participant engaged by the Servicer shall be required
        to
        deliver any assessments until March 31st in any given year so long as it
        has not
        received written confirmation from the Depositor that a Form 10-K is required
        to
        be filed in respect of the Trust for the preceding calendar year, however,
        notwithstanding anything herein to the contrary, no Subcontractor will be
        required to deliver any assessments in any such given year in which the Form
        10-K is not required to be filed. 

       

      (b)  By
        March
        15 of each year, commencing in March 2007, the Servicer, at its own expense,
        shall cause, and the Servicer 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 Servicer or such other
        Servicing Function Participants, as the case may be) and that is a member
        of the
        American Institute of Certified Public Accountants to furnish a report to
        the
        Master Servicer, 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 PCAOB, 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. Notwithstanding
        the foregoing, neither the Servicer nor any Servicing Function Participant
        engaged by the Servicer shall be required to deliver or cause the delivery
        of
        such reports until March 31st in any given year so long as the Servicer has
        not
        received written confirmation from the Depositor that a Form 10-K is required
        to
        be filed in respect of the Trust for the preceding fiscal year, however,
        notwithstanding anything herein to the contrary, no Subcontractor will be
        required to deliver any report in any such given year in which the Form 10-K
        is
        not required to be filed.

       

      (c)  Failure
        of the Servicer to comply timely with this Section 3.18 shall be deemed the
        Servicer Event of Default as to the Servicer, automatically, without notice
        and
        without any cure period, and the Master Servicer may, in addition to whatever
        rights the Master Servicer may have under this Agreement and at law or in
        equity
        or to damages, including injunctive relief and specific performance, terminate
        all the rights and obligations of the Servicer under this Agreement and in
        and
        to the Mortgage Loans and the proceeds thereof without compensating the Servicer
        for the same (other than the Servicer’s right to reimbursement of unreimbursed
        P&I Advances and Servicing Advances and accrued and unpaid Servicing Fees in
        the manner provided for in this Agreement). This paragraph shall supersede
        any
        other provision in this Agreement or any other agreement to the
        contrary.

       

      SECTION
        3.19.  Annual
        Certification; Additional Information.

       

      (a)  The
        Servicer 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 15 of each year in which the Trust is subject to the reporting
        requirements of the Exchange Act a certification (each, a “Back-Up
        Certification”),
        in
        the form attached hereto as Exhibit
        C,
        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 officer of the Master Servicer in charge of the master
        servicing function shall serve as the Certifying Person on behalf of the
        Trust.
        In the event the Servicer or any Servicing Function Participant engaged by
        it 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 3.19 with
        respect to the period of time it was subject to this Agreement or any applicable
        Sub-Servicing Agreement, as the case may be.

       

      (b)  The
        Servicer shall indemnify and hold harmless the Master Servicer, the Securities
        Administrator, the Trustee, the Depositor and their respective officers,
        directors, agents and affiliates from and against any losses, damages,
        penalties, fines, forfeitures, reasonable legal fees and related costs,
        judgments and other costs and expenses arising out of or based upon a breach
        by
        the Servicer or any of its officers, directors, agents or affiliates of its
        obligations under this Section 3.19 or the Servicer’s negligence, bad faith or
        willful misconduct in connection therewith. Such indemnity shall survive
        the
        termination or resignation of the parties hereto or the termination of this
        Agreement. If the indemnification provided for herein is unavailable or
        insufficient to hold harmless the Master Servicer, the Securities Administrator,
        the Trustee and the Depositor, then the Servicer agrees that it shall contribute
        to the amount paid or payable by the Master Servicer, the Securities
        Administrator, the Trustee and the Depositor as a result of the losses, claims,
        damages or liabilities of the Master Servicer, the Securities Administrator,
        the
        Trustee and the Depositor in such proportion as is appropriate to reflect
        the
        relative fault of the Master Servicer, the Securities Administrator, the
        Trustee
        and the Depositor on the one hand and the Servicer on the other in connection
        with a breach of the Servicer’s obligations under this Section
        3.19.

       

      (c)  The
        Servicer shall provide to the Master Servicer prompt notice of the occurrence
        of
        any of the following: 

       

      (i)  any
        Servicer Event of Default under the terms of this Agreement, any merger,
        consolidation or sale of substantially all of the assets of the Servicer,
        the
        Servicer’s engagement of any Sub-Servicer to perform or assist in the
        performance of any of the Servicer’s obligations under this Agreement, any
        material litigation involving the Servicer that is material to the
        Certificateholders, and to the extent disclosure is required under Regulation
        AB, any affiliation or other significant relationship between the Servicer
        and
        the Sponsor, the Depositor, the Master Servicer, the Securities Administrator,
        the Issuer, the Trustee, the Custodians, the Swap Provider, American Home
        Mortgage Corp. or Chapel Mortgage Corporation (d/b/a Chapel Funding Corp.).
        

       

      (ii)  If
        the
        Servicer has knowledge of the occurrence of any of the events described in
        this
        clause (ii), then no later than ten days prior to the deadline for the filing
        of
        any Distribution Report on Form 10-D in respect of the Trust, the Servicer
        shall
        provide to the Master Servicer notice of the occurrence of any of the following
        events along with all information, data, and materials related thereto as
        may be
        required to be included in the related Distribution Report on Form 10-D (as
        specified in the provisions of Regulation AB referenced below): 

       

      (A) any
        material modifications, extensions or waivers of pool asset terms, fees,
        penalties or payments relating to the Mortgage Loans serviced by the Servicer
        during the distribution period or that have cumulatively become material
        over
        time (Item 1121(a)(11) of Regulation AB);

       

      (B) material
        breaches of pool asset representations or warranties or servicer transaction
        covenants relating to the Mortgage Loans serviced by the Servicer (Item
        1121(a)(12) of Regulation AB); and

       

      (C) any
        material pool asset changes (such as, additions, substitutions or repurchases)
        relating to the Mortgage Loans serviced by the Servicer (Item 1121(a)(14)
        of
        Regulation AB).

       

      (d)  The
        Servicer shall provide to the Securities Administrator and the Master Servicer
        such additional information as the Securities Administrator and the Master
        Servicer may reasonably request, including evidence of the authorization
        of the
        person signing any certification or statement, financial information and
        reports
        and of the fidelity bond and errors and omissions insurance policy required
        to
        be maintained by the Servicer pursuant to this Agreement, and such other
        information related to the Servicer or its performance hereunder.

       

      SECTION
        3.20.  Access
        to Certain Documentation.

       

      The
        Servicer shall provide to the Office of Thrift Supervision, the FDIC, and
        any
        other federal or state banking or insurance regulatory authority that may
        exercise authority over any Certificate Owner, access to the documentation
        regarding the related Mortgage Loans required by applicable laws and
        regulations. Such access shall be afforded without charge, but only upon
        reasonable and prior written request and during normal business hours at
        the
        offices of the Servicer designated by it. Nothing in this Section 3.20 shall
        limit the obligation of the Servicer to comply with any applicable law
        prohibiting disclosure of information regarding the Mortgagors and the failure
        of the Servicer to provide access as provided in this Section as a result
        of
        such obligation shall not constitute a breach of this Section. Nothing in
        this
        Section 3.20 shall require the Servicer to collect, create, collate or otherwise
        generate any information that it does not generate in its usual course of
        business. The Servicer shall not be required to make copies of or ship documents
        to any Person unless provisions have been made for the reimbursement of the
        costs thereof. 

       

      SECTION
        3.21.  Title,
        Management and Disposition of REO Property.

       

      (a)  The
        deed
        or certificate of sale of any REO Property related to a Mortgage Loan shall
        be
        taken in the name of the Trustee, or its nominee, on behalf of the Trust
        Fund
        and for the benefit of the Certificateholders. The Servicer, on behalf of
        REMIC
        I, shall either sell any REO Property by the close of the third calendar
        year
        following the calendar year in which REMIC I acquires ownership of such REO
        Property for purposes of Section 860(a)(8) of the Code or request from the
        Internal Revenue Service, no later than sixty (60) days before the day on
        which
        the three-year grace period would otherwise expire an extension of the
        three-year grace period, unless the Servicer had delivered to the Trustee
        an
        Opinion of Counsel, addressed to the Trustee and the Depositor, to the effect
        that the holding by REMIC I of such REO Property subsequent to three (3)
        years
        after its acquisition will not result in the imposition on any Trust REMIC
        created hereunder of taxes on “prohibited transactions” thereof, as defined in
        Section 860F of the Code, or cause any Trust REMIC hereunder to fail to qualify
        as a REMIC under Federal law at any time that any Certificates are outstanding.
        The Servicer shall manage, conserve, protect and operate each REO Property
        for
        the Certificateholders solely for the purpose of its prompt disposition and
        sale
        in a manner which does not cause such REO Property to fail to qualify as
        “foreclosure property” within the meaning of Section 860G(a)(8) of the Code or
        result in the receipt by any Trust REMIC created hereunder of any “income from
        non-permitted assets” within the meaning of Section 860F(a)(2)(B) of the Code,
        or any “net income from foreclosure property” which is subject to taxation under
        the REMIC Provisions.

       

      (b)  The
        Servicer shall segregate and hold all funds collected and received in connection
        with the operation of any REO Property separate and apart from its own funds
        and
        general assets and shall establish and maintain with respect to REO Properties
        an account held in trust for the Trustee, on behalf of the Trust Fund and
        for
        the benefit of the Certificateholders (the “REO Account”), which shall be an
        Eligible Account. The Servicer shall be permitted to allow the Collection
        Account to serve as the REO Account, subject to the maintenance of separate
        ledgers for each REO Property. The Servicer shall be entitled to retain or
        withdraw any interest income paid on funds deposited in the related REO
        Account.

       

      (c)  The
        Servicer shall have full power and authority, subject only to the specific
        requirements and prohibitions of this Agreement, to do any and all things
        in
        connection with any REO Property related to a Mortgage Loan serviced by it
        as
        are consistent with the manner in which the Servicer manages and operates
        similar property owned by it or any of its Affiliates, all on such terms
        and for
        such period as the Servicer deems to be in the best interests of
        Certificateholders. In connection therewith, the Servicer shall deposit,
        or
        cause to be deposited in the clearing account in which it customarily deposits
        payments and collections on mortgage loans in connection with its mortgage
        loan
        servicing activities on a daily basis, and in no event more than one (1)
        Business Day after the Servicer’s receipt thereof, and shall thereafter deposit
        in the REO Account, in no event more than two (2) Business Days after the
        deposit of good funds into the clearing account, all revenues received by
        it
        with respect to an REO Property related to a Mortgage Loan serviced by it
        and
        shall withdraw therefrom funds necessary for the proper operation, management
        and maintenance of such REO Property including, without limitation:

       

      (i)  all
        insurance premiums due and payable in respect of such REO Property;

       

      (ii)  all
        real
        estate taxes and assessments in respect of such REO Property that may result
        in
        the imposition of a lien thereon; and

       

      (iii)  all
        costs
        and expenses necessary to maintain such REO Property.

       

      To
        the
        extent that amounts on deposit in the REO Account with respect to an REO
        Property are insufficient for the purposes set forth in clauses (i) through
        (iii) above with respect to such REO Property, the Servicer shall advance
        from
        its own funds such amount as is necessary for such purposes if, but only
        if, the
        Servicer would make such advances if the Servicer owned the REO Property
        and if
        in the Servicer’s judgment, the payment of such amounts will be recoverable from
        the rental or sale of the REO Property.

       

      Subject
        to compliance with applicable laws and regulations as shall at any time be
        in
        force, and notwithstanding the foregoing, the Servicer, on behalf of the
        Trust
        Fund, shall not:

       

      (i)  enter
        into, renew or extend any New Lease with respect to any REO Property, if
        the New
        Lease by its terms will give rise to any income that does not constitute
        Rents
        from Real Property;

       

      (ii)  permit
        any amount to be received or accrued under any New Lease other than amounts
        that
        will constitute Rents from Real Property;

       

      (iii)  authorize
        or permit any construction on any REO Property, other than the completion
        of a
        building or other improvement thereon, and then only if more than ten percent
        of
        the construction of such building or other improvement was completed before
        default on the related Mortgage Loan became imminent, all within the meaning
        of
        Section 856(e)(4)(B) of the Code; or

       

      (iv)  allow
        any
        Person to Directly Operate any REO Property on any date more than ninety
        (90)
        days after its date of acquisition by the Trust Fund;

       

      unless,
        in any such case, the Servicer has obtained an Opinion of Counsel, provided
        to
        the Servicer and the Trustee, to the effect that such action will not cause
        such
        REO Property to fail to qualify as “foreclosure property” within the meaning of
        Section 860G(a)(8) of the Code at any time that it is held by REMIC I, in
        which
        case the Servicer may take such actions as are specified in such Opinion
        of
        Counsel.

       

      The
        Servicer may contract with any Independent Contractor for the operation and
        management of any REO Property, provided that:

       

      (i)  the
        terms
        and conditions of any such contract shall not be inconsistent
        herewith;

       

      (ii)  any
        such
        contract shall require, or shall be administered to require, that the
        Independent Contractor pay all costs and expenses incurred in connection
        with
        the operation and management of such REO Property, including those listed
        above
        and remit all related revenues (net of such costs and expenses) to the Servicer
        as soon as practicable, but in no event later than thirty (30) days following
        the receipt thereof by such Independent Contractor;

       

      (iii)  none
        of
        the provisions of this Section 3.21(c) relating to any such contract or to
        actions taken through any such Independent Contractor shall be deemed to
        relieve
        the Servicer of any of its duties and obligations to the Trustee on behalf
        of
        the Trust Fund and for the benefit of the Certificateholders with respect
        to the
        operation and management of any such REO Property; and

       

      (iv)  the
        Servicer shall be obligated with respect thereto to the same extent as if
        it
        alone were performing all duties and obligations in connection with the
        operation and management of such REO Property.

       

      The
        Servicer shall be entitled to enter into any agreement with any Independent
        Contractor performing services for it related to its duties and obligations
        hereunder for indemnification of the Servicer by such Independent Contractor,
        and nothing in this Agreement shall be deemed to limit or modify such
        indemnification. The Servicer shall be solely liable for all fees owed by
        it to
        any such Independent Contractor, irrespective of whether the Servicer’s
        compensation pursuant to Section 3.15 is sufficient to pay such fees. Any
        such
        agreement shall include a provision that such agreement may be immediately
        terminated by any successor servicer (including the Master Servicer) without
        fee, in the event the related shall for any reason, no longer be the Servicer
        of
        the related Mortgage Loans (including termination due to the Servicer Event
        of
        Default).

       

      (d)  In
        addition to the withdrawals permitted under Section 3.21(c), the Servicer
        may
        from time to time make withdrawals from the REO Account for any REO Property:
        (i) to pay itself unpaid Servicing Fees in respect of the related Mortgage
        Loan;
        and (ii) to reimburse itself or any Sub-Servicer for unreimbursed Servicing
        Advances and Advances made in respect of such REO Property or the related
        Mortgage Loan. On the Servicer Remittance Date, the Servicer shall withdraw
        from
        each REO Account maintained by it and deposit into the Distribution Account
        in
        accordance with Section 3.08(d)(ii), for distribution on the related
        Distribution Date in accordance with Section 5.01, the income from the related
        REO Property received during the prior calendar month, net of any withdrawals
        made pursuant to Section 3.21(c) or this Section 3.21(d).

       

      (e)  Subject
        to the time constraints set forth in Section 3.21(a), each REO Disposition
        shall
        be carried out by the Servicer at such price and upon such terms and conditions
        as the Servicer shall deem necessary or advisable, as shall be normal and
        usual
        in accordance with Accepted Servicing Practices.

       

      (f)  The
        proceeds from the REO Disposition, net of any amount required by law to be
        remitted to the Mortgagor under the related Mortgage Loan and net of any
        payment
        or reimbursement to the Servicer as provided above, shall be deposited in
        the
        Distribution Account in accordance with Section 3.08(d)(ii) on the Servicer
        Remittance Date in the month following the receipt thereof for distribution
        on
        the related Distribution Date in accordance with Section 5.01. Any REO
        Disposition shall be for cash only (unless changes in the REMIC Provisions
        made
        subsequent to the Startup Day allow a sale for other
        consideration).

       

      (g)  The
        Servicer shall file information returns (and shall provide a certification
        of a
        Servicing Officer to the Master Servicer that such filings have been made)
        with
        respect to the receipt of mortgage interest received in a trade or business,
        reports of foreclosures and abandonments of any Mortgaged Property and
        cancellation of indebtedness income with respect to any Mortgaged Property
        as
        required by Sections 6050H, 6050J and 6050P of the Code, respectively. Such
        reports shall be in form and substance sufficient to meet the reporting
        requirements imposed by such Sections 6050H, 6050J and 6050P of the
        Code.

       

      SECTION
        3.22.  Obligations
        of the Servicer in Respect of Prepayment Interest Shortfalls; Relief Act
        Interest Shortfalls.

       

      The
        Servicer shall deliver to the Securities Administrator for deposit into the
        Distribution Account on or before 12:00 noon New York time on the Servicer
        Remittance Date from its own funds an amount equal to the lesser of (i) the
        aggregate amount of the Prepayment Interest Shortfalls attributable to
        prepayments in full on the related Mortgage Loans for the related Distribution
        Date resulting solely from voluntary Principal Prepayments received by the
        Servicer during the portion of the Prepayment Period occurring between the
        sixteenth day of the month preceding the month in which the related Distribution
        Date occurs and ending on the last day of such month and (ii) the aggregate
        amount of the related Servicing Fees payable to the Servicer on such
        Distribution Date with respect to the related Mortgage Loans. The Servicer
        shall
        not have the right to reimbursement for any amounts remitted to the Securities
        Administrator in respect of this Section 3.22. The Servicer shall not be
        obligated to pay the amounts set forth in this Section 3.22 with respect to
        shortfalls resulting from the application of the Relief Act.

       

      SECTION
        3.23.  Reserved.

       

      SECTION
        3.24.  Reserve
        Fund.

       

      (a)  No
        later
        than the Closing Date, the Securities Administrator shall establish and maintain
        a separate, segregated trust account entitled, “Reserve Fund, Wells Fargo Bank,
        National Association, in trust for the registered holders of ACE Securities
        Corp. Home Equity Loan Trust, Series 2006-SL4, Asset Backed Pass-Through
        Certificates.” On the Closing Date, the Depositor will deposit, or cause to be
        deposited, into the Reserve Fund $1,000. 

       

      (b)  On
        each
        Distribution Date, the Securities Administrator shall deposit into the Reserve
        Fund the amounts described in clause sixth
        of
        Section 5.01(a)(6), rather than distributing such amounts to the Class CE-1
        Certificateholders. On each such Distribution Date, the Securities Administrator
        shall hold all such amounts for the benefit of the Holders of the Class A
        Certificates and the Mezzanine Certificates and will distribute such amounts
        to
        the Holders of the Class A Certificates and the Mezzanine Certificates, in
        the
        amounts and priorities set forth in Section 5.01(a). If no Net WAC Rate
        Carryover Amounts are payable on a Distribution Date, the Securities
        Administrator shall deposit, into the Reserve Fund on behalf of the Class
        CE-1
        Certificateholders, from amounts otherwise distributable to the Class CE-1
        Certificateholders, an amount such that when added to other amounts already
        on
        deposit in the Reserve Fund, the aggregate amount on deposit therein is equal
        to
        $1,000.

       

      (c)  It
        is the
        intention of the parties hereto that, for federal and state income and state
        and
        local franchise tax purposes, the Reserve Fund be disregarded as an entity
        separate from the Holder of the Class CE-1 Certificates unless and until
        the
        date when either (a) there is more than one Class CE-1 Certificateholder
        or (b)
        any Class of Certificates in addition to the Class CE-1 Certificates is
        recharacterized as an equity interest in the Reserve Fund for federal income
        tax
        purposes, in which case it is the intention of the parties hereto that, for
        federal and state income and state and local franchise tax purposes, the
        Reserve
        Fund be treated as a partnership. All amounts deposited into the Reserve
        Fund
        (other than the initial deposit therein of $1,000) shall be treated as amounts
        distributed by REMIC III to the Holders of the Class CE-1 Certificates. Upon
        the
        termination of the Trust Fund, or the payment in full of the Class A
        Certificates and the Mezzanine Certificates, all amounts remaining on deposit
        in
        the Reserve Fund will be released by the Trust Fund and distributed to the
        Class
        CE-1 Certificateholders or their designees. The Reserve Fund constitutes
        an
“outside reserve fund” within the meaning of Treasury Regulation § 1.860G-2(h).
        The Reserve Fund will be part of the Trust Fund but not part of any REMIC
        and
        any payments to the Holders of the Class A Certificates or the Mezzanine
        Certificates of Net WAC Rate Carryover Amounts will not be payments with
        respect
        to a “regular interest” in a REMIC within the meaning of Code
        Section 860(G)(a)(1).

       

      (d)  By
        accepting a Class CE-1 Certificate, each Class CE-1 Certificateholder hereby
        agrees that the Securities Administrator will deposit into the Reserve Fund
        the
        amounts described above on each Distribution Date rather than distributing
        such
        amounts to the Class CE-1 Certificateholders. By accepting a Class CE-1
        Certificate, each Class CE-1 Certificateholder further agrees that its agreement
        to such action by the Securities Administrator is given for good and valuable
        consideration, the receipt and sufficiency of which is acknowledged by such
        acceptance.

       

      (e)  At
        the
        direction of the Holders of a majority in Percentage Interest in the Class
        CE-1
        Certificates, the Securities Administrator shall direct any Depository
        Institution maintaining the Reserve Fund to invest the funds in such account
        in
        one or more Permitted Investments bearing interest or sold at a discount,
        and
        maturing, unless payable on demand, (i) 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, if a Person other than the
        Securities Administrator or an Affiliate manages or advises such investment,
        and
        (ii) no later than the date on which such funds are required to be withdrawn
        from such account pursuant to this Agreement, if the Securities Administrator
        or
        an Affiliate manages or advises such investment. All income and gain earned
        upon
        such investment shall be deposited into the Reserve Fund. In no event shall
        the
        Securities Administrator be liable for any investments made pursuant to this
        clause (e). If the Holders of a majority in Percentage Interest in the Class
        CE-1 Certificates fail to provide investment instructions, funds on deposit
        in
        the Reserve Fund shall be held uninvested by the Securities Administrator
        without liability for interest or compensation.

       

      (f)  For
        federal tax return and information reporting, the right of the holders of
        the
        Floating Rate Certificates and the Fixed Rate Certificates to receive payments
        from the Reserve Fund and the Supplemental Interest Trust in respect of any
        Net
        WAC Rate Carryover Amount shall be assigned a value of $1,000.00.

       

      SECTION
        3.25.  Advance
        Facility.

       

      (a)  Notwithstanding
        anything to the contrary contained herein, (i) the Servicer is hereby authorized
        to enter into an advance facility (“Advance Facility”) but no more than two
        Advance Facilities without the prior written consent of the Trustee, which
        consent shall not be unreasonably withheld, under which (A) the Servicer
        sells,
        assigns or pledges to an advancing person (an “Advance Financing Person”) its
        rights under this Agreement to be reimbursed for any P&I Advances or
        Servicing Advances and/or (B) an Advance Financing Person agrees to finance
        some
        or all P&I Advances or Servicing Advances required to be made by the
        Servicer pursuant to this Agreement and (ii) GMAC is hereby authorized to
        assign
        its rights to the Servicing Fee (which rights shall terminate upon the
        resignation, termination or removal of GMAC pursuant to the terms of this
        Agreement); it being understood that neither the Trust Fund nor any party
        hereto
        shall have a right or claim (including without limitation any right of offset)
        to any amounts for reimbursement of P&I Advances or Servicing Advances so
        assigned or to the portion of the Servicing Fee so assigned. Subject to the
        provisions of the first sentence of this Section 3.25(a), no consent of the
        Depositor, Trustee, Master Servicer, Certificateholders or any other party
        is
        required before the Servicer may enter into an Advance Facility, but the
        Servicer shall provide notice to the Depositor, Master Servicer and the Trustee
        of the existence of any such Advance Facility promptly upon the consummation
        thereof stating (a) the identity of the Advance Financing Person and (b)
        the
        identity of any Person (“Servicer’s Assignee”) who has the right to receive
        amounts in reimbursement of previously unreimbursed P&I Advances or
        Servicing Advances. Notwithstanding the existence of any Advance Facility
        under
        which an advancing person agrees to finance P&I Advances and/or Servicing
        Advances on the Servicer’s behalf, the Servicer shall remain obligated pursuant
        to this Agreement to make P&I Advances and Servicing Advances pursuant to
        and as required by this Agreement, and shall not be relieved of such obligations
        by virtue of such Advance Facility.

       

      (b)  Reimbursement
        amounts (“Advance Reimbursement Amounts”) shall consist solely of amounts in
        respect of P&I Advances and/or Servicing Advances made with respect to the
        related Mortgage Loans for which the Servicer would be permitted to reimburse
        itself in accordance with this Agreement, assuming the Servicer had made
        the
        related P&I Advance(s) and/or Servicing Advance(s).

       

      (c)  The
        Servicer shall maintain and provide to any successor Servicer (with, upon
        request, a copy to the Trustee) a detailed accounting on a loan-by-loan basis
        as
        to amounts advanced by, pledged or assigned to, and reimbursed to any Advance
        Financing Person. The successor Servicer shall be entitled to rely on any
        such
        information provided by the predecessor Servicer, and the successor Servicer
        shall not be liable for any errors in such information.

       

      (d)  Reimbursement
        amounts distributed with respect to each Mortgage Loan shall be allocated
        to
        outstanding unreimbursed P&I Advances or Servicing Advances (as the case may
        be) made with respect to that Mortgage Loan on a “first-in, first out” (FIFO)
        basis. The documentation establishing any Advance Facility shall require
        the
        Servicer to provide to the related Advance Financing Person or its designee
        loan-by-loan information with respect to each such reimbursement amount
        distributed to such Advance Financing Person or Advance Facility trustee
        on each
        Distribution Date, to enable the Advance Financing Person or Advance Facility
        trustee to make the FIFO allocation of each such reimbursement amount with
        respect to each Mortgage Loan. The Servicer shall remain entitled to be
        reimbursed by the Advance Financing Person or Advance Facility trustee for
        all
        P&I Advances and Servicing Advances funded by the Servicer to the extent the
        related rights to be reimbursed therefor have not been sold, assigned or
        pledged
        to an Advance Financing Person.

       

      (e)  Any
        amendment to this Section 3.25 or to any other provision of this Agreement
        that
        may be necessary or appropriate to effect the terms of an Advance Facility
        as
        described generally in this Section 3.25, including amendments to add provisions
        relating to a successor Servicer, may be entered into by the Trustee, the
        Depositor, and the Servicer without the consent of any Certificateholder,
        notwithstanding anything to the contrary in this Agreement, provided, that
        the
        Trustee has been provided an Opinion of Counsel that such amendment is
        authorized hereunder and has no material adverse effect on the
        Certificateholders, 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; provided, further, that the amendment 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
        (instead of obtaining an Opinion of Counsel to such effect) 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 rating 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. Prior to entering into an
        Advance Facility, the Servicer shall notify the lender under such facility
        in
        writing that: (a) the P&I Advances and/or Servicing Advances financed by
        and/or pledged to the lender are obligations owed to the Servicer on a
        non-recourse basis payable only from the cash flows and proceeds received
        under
        this Agreement for reimbursement of P&I Advances and/or Servicing Advances
        only to the extent provided herein, and neither the Master Servicer, the
        Securities Administrator, the Trustee nor the Trust are otherwise obligated
        or
        liable to repay any P&I Advances and/or Servicing Advances financed by the
        lender; (b) the Servicer will be responsible for remitting to the lender
        the
        applicable amounts collected by it as Servicing Fees and as reimbursement
        for
        P&I Advances and/or Servicing Advances funded by the lender, as applicable,
        subject to the restrictions and priorities created in this Agreement; and
        (c)
        neither the Master Servicer, the Securities Administrator nor the Trustee
        shall
        have any responsibility to calculate any amount payable under an Advance
        Facility or to track or monitor the administration of the financing arrangement
        between the Servicer and the lender or the payment of any amount under an
        Advance Facility.

       

      (f)  The
        Servicer shall indemnify the Master Servicer, the Securities Administrator,
        the
        Trustee and the Trust Fund for any cost, liability or expense relating to
        the
        Advance Facility including, without limitation, a claim, pending or threatened,
        by an Advance Financing Person.

       

      SECTION
        3.26.  Indemnification.

       

      The
        Servicer agrees to indemnify the Trustee, Master Servicer and the Securities
        Administrator, from, and hold the Trustee, Master Servicer and the Securities
        Administrator harmless against, any loss, liability or expense (including
        reasonable attorney’s fees and expenses) incurred by any such Person by reason
        of the Servicer’s willful misfeasance, bad faith or gross negligence in the
        performance of its duties under this Agreement or by reason of the Servicer’s
        reckless disregard of its obligations and duties under this Agreement. Such
        indemnity shall survive the termination or discharge of this Agreement and
        the
        resignation or removal of Servicer, the Trustee, the Master Servicer and
        the
        Securities Administrator. Any payment hereunder made by the Servicer to any
        such
        Person shall be from the Servicer’s own funds, without reimbursement from REMIC
        I therefor.

       

       

       

      ARTICLE
        IV

      ADMINISTRATION
        AND MASTER SERVICING

      OF
        THE
        MORTGAGE LOANS BY THE MASTER SERVICER

       

      SECTION
        4.01.  Master
        Servicer.

       

      The
        Master Servicer shall, from and after the Closing Date supervise, monitor
        and
        oversee the obligations of the Servicer under this Agreement to service and
        administer the related Mortgage Loans in accordance with the terms of this
        Agreement and shall have full power and authority to do any and all things
        which
        it may deem necessary or desirable in connection with such master servicing
        and
        administration. In performing its obligations hereunder, the Master Servicer
        shall act in a manner consistent with Accepted Master Servicing Practices.
        Furthermore, the Master Servicer shall oversee and consult with the Servicer
        as
        necessary from time-to-time to carry out the Master Servicer’s obligations
        hereunder, shall receive, review and evaluate all reports, information and
        other
        data provided to the Master Servicer by the Servicer and shall cause the
        Servicer to perform and observe the covenants, obligations and conditions
        to be
        performed or observed by the Servicer under this Agreement. The Master Servicer
        shall independently and separately monitor the Servicer’s servicing activities
        with respect to each related Mortgage Loan, reconcile the results of such
        monitoring with such information provided in the previous sentence on a monthly
        basis and coordinate corrective adjustments to the Servicer’s and Master
        Servicer’s records, and based on such reconciled and corrected information,
        prepare the statements specified in Section 5.03 and any other information
        and
        statements required to be provided by the Master Servicer hereunder. The
        Master
        Servicer shall reconcile the results of its Mortgage Loan monitoring with
        the
        actual remittances of the Servicer to the Distribution Account pursuant to
        the
        terms hereof based on information provided to the Master Servicer by the
        Servicer.

       

      The
        Trustee shall furnish the Servicer and the Master Servicer with any limited
        powers of attorney and other documents in form acceptable to it necessary
        or
        appropriate to enable the Servicer and the Master Servicer to service and
        administer the related Mortgage Loans and REO Property. The Trustee shall
        have
        no responsibility for any action of the Master Servicer, the Servicer pursuant
        to any such limited power of attorney and shall be indemnified by the Master
        Servicer or the Servicer, as applicable, for any cost, liability or expense
        incurred by the Trustee in connection with such Person’s misuse of any such
        power of attorney.

       

      The
        Trustee, the Custodians and the Securities Administrator shall provide access
        to
        the records and documentation in possession of the Trustee, the Custodians
        or
        the Securities Administrator regarding the related Mortgage Loans and REO
        Property and the servicing thereof to the Certificateholders, the FDIC, and
        the
        supervisory agents and examiners of the FDIC, such access being afforded
        only
        upon reasonable prior written request and during normal business hours at
        the
        office of the Trustee, the Custodians or the Securities Administrator; provided,
        however, that, unless otherwise required by law, none of the Trustee, the
        Custodians or the Securities Administrator shall be required to provide access
        to such records and documentation if the provision thereof would violate
        the
        legal right to privacy of any Mortgagor. The Trustee, the Custodians and
        the
        Securities Administrator shall allow representatives of the above entities
        to
        photocopy any of the records and documentation and shall provide equipment
        for
        that purpose at a charge that covers the Trustee’s, the applicable Custodian’s
        or the Securities Administrator’s actual costs.

       

      The
        Trustee shall execute and deliver to the Servicer or the Master Servicer
        upon
        request any court pleadings, requests for trustee’s sale or other documents
        necessary or desirable to (i) the foreclosure or trustee’s sale with respect to
        a Mortgaged Property; (ii) any legal action brought to obtain judgment against
        any Mortgagor on the Mortgage Note or any other Mortgage Loan Document; (iii)
        obtain a deficiency judgment against the Mortgagor; or (iv) enforce any other
        rights or remedies provided by the Mortgage Note or any other Mortgage Loan
        Document or otherwise available at law or equity.

       

      SECTION
        4.02.  REMIC-Related
        Covenants.

       

      For
        as
        long as each REMIC shall exist, the Trustee and the Securities Administrator
        shall act in accordance herewith to treat such REMIC as a REMIC, and the
        Trustee
        and the Securities Administrator shall comply with any directions of the
        Sponsor, the Servicer or the Master Servicer to assure such continuing
        treatment. In particular, the Trustee shall not (a) sell or permit the sale
        of
        all or any portion of the Mortgage Loans or of any investment of deposits
        in an
        Account unless such sale is as a result of a repurchase of the Mortgage Loans
        pursuant to this Agreement or the Trustee has received a REMIC Opinion prepared
        at the expense of the Trust Fund; and (b) other than with respect to a
        substitution pursuant to the Mortgage Loan Purchase Agreement or
        Section 2.03 of this Agreement, as applicable, accept any contribution to
        any REMIC after the Startup Day without receipt of an Opinion of Counsel
        stating
        that such contribution will not result in an Adverse REMIC Event as defined
        in
        Section 11.01(f).

       

      SECTION
        4.03.  Monitoring
        of Servicer.

       

      (a)  The
        Master Servicer shall be responsible for monitoring the compliance by the
        Servicer with its duties under this Agreement. In the review of the Servicer’s
        activities, the Master Servicer may rely upon an officer’s certificate of the
        Servicer with regard to the Servicer’s compliance with the terms of this
        Agreement. In the event that the Master Servicer, in its judgment, determines
        that the Servicer should be terminated in accordance with the terms hereof
        or
        that a notice should be sent pursuant to the terms hereof with respect to
        the
        occurrence of an event that, unless cured, would constitute the Servicer
        Event
        of Default, or an event of default, the Master Servicer shall notify the
        Servicer, the Sponsor and the Trustee thereof and the Master Servicer shall
        issue such notice or take such other action as it deems
        appropriate.

       

      (b)  The
        Master Servicer, for the benefit of the Trustee and the Certificateholders,
        shall enforce the obligations of the Servicer under this Agreement and shall,
        in
        the event that the Servicer fails to perform its obligations in accordance
        with
        this Agreement, subject to this Section and Article VIII, notify the Trustee
        and
        the Trustee shall terminate the rights and obligations of the Servicer hereunder
        in accordance with the provisions of Article VIII. In the event the rights
        and
        obligations of the Servicer (or any successor thereto) are terminated, the
        Master Servicer shall act as servicer of the Mortgage Loans or a successor
        servicer shall be appointed in accordance with the provisions of Article
        VIII.
        Such enforcement, including, without limitation, the legal prosecution of
        claims
        and the pursuit of other appropriate remedies, shall be in such form and
        carried
        out to such an extent and at such time as the Master Servicer, in its good
        faith
        business judgment, would require were it the owner of the related Mortgage
        Loans. The Master Servicer shall pay the costs of such enforcement at its
        own
        expense, provided that the Master Servicer shall not be required to prosecute
        or
        defend any legal action except to the extent that the Master Servicer shall
        have
        received reasonable indemnity for its costs and expenses in pursuing such
        action.

       

      (c)  The
        Master Servicer shall be entitled to be reimbursed by the Servicer (or from
        amounts on deposit in the Distribution Account if the Servicer is unable
        to
        fulfill its obligations hereunder) for all reasonable out-of-pocket or third
        party costs associated with the transfer of servicing from the predecessor
        Servicer (or if the predecessor Servicer is the Master Servicer, from the
        Servicer immediately preceding the Master Servicer), including without
        limitation, any reasonable out-of-pocket or third party 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 to correct any errors or insufficiencies in the servicing
        data
        or otherwise to enable the Master Servicer to service the related Mortgage
        Loans
        properly and effectively, upon presentation of reasonable documentation of
        such
        costs and expenses.

       

      (d)  The
        Master Servicer shall require the Servicer to comply with the remittance
        requirements and other obligations set forth in this Agreement.

       

      (e)  If
        the
        Master Servicer acts as successor to the Servicer, it will not assume liability
        for the representations and warranties of the terminated Servicer.

       

      SECTION
        4.04.  Fidelity
        Bond.

       

      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, 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
        4.05.  Power
        to Act; Procedures.

       

      The
        Master Servicer shall master service the Mortgage Loans and shall have full
        power and authority, subject to the REMIC Provisions and the provisions of
        Article XI, to do any and all things that it may deem necessary or desirable
        in
        connection with the master servicing and administration of the Mortgage Loans,
        including but not limited to the power and authority (i) to execute and deliver,
        on behalf of the Certificateholders and the Trustee, customary consents or
        waivers and other instruments and documents, (ii) to consent to transfers
        of any
        Mortgaged Property and assumptions of the Mortgage Notes and related Mortgages,
        (iii) to collect any Insurance Proceeds and Liquidation Proceeds, and (iv)
        to
        effectuate foreclosure or other conversion of the ownership of the Mortgaged
        Property securing any Mortgage Loan, in each case, in accordance with the
        provisions of this Agreement; provided, however, that the Master Servicer
        shall
        not (and, consistent with its responsibilities under Section 4.03, shall
        not
        permit the Servicer to) knowingly or intentionally 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, would cause REMIC
        I,
        REMIC II or REMIC III to fail to qualify as a REMIC or result in the imposition
        of a tax upon 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) unless
        the
        Master Servicer has received an Opinion of Counsel (but not at the expense
        of
        the Master Servicer) to the effect that the contemplated action will not
        cause
        REMIC I, REMIC II or REMIC III to fail to qualify as a REMIC or result in
        the
        imposition of a tax upon REMIC I, REMIC II or REMIC III, as the case may
        be. The
        Trustee shall furnish the Master Servicer, upon written request from a Servicing
        Officer, with any powers of attorney prepared and delivered to it and reasonably
        acceptable to it by empowering the Master Servicer or the Servicer to execute
        and deliver instruments of satisfaction or cancellation, or of partial or
        full
        release or discharge, and to foreclose upon or otherwise liquidate Mortgaged
        Property, and to appeal, prosecute or defend in any court action relating
        to the
        Mortgage Loans or the Mortgaged Property, in accordance with this Agreement,
        and
        the Trustee shall execute and deliver such other documents prepared and
        delivered to it and reasonably acceptable to it, as the Master Servicer or
        the
        Servicer may request, to enable the Master Servicer to master service and
        administer the related Mortgage Loans and carry out its duties hereunder,
        in
        each case in accordance with Accepted Master Servicing Practices (and the
        Trustee shall have no liability for misuse of any such powers of attorney
        by the
        Master Servicer or the Servicer and shall be indemnified by the Master Servicer
        or the Servicer, as applicable, for any cost, liability or expense incurred
        by
        the Trustee in connection with such Person’s use or misuse of any such power of
        attorney). If the Master Servicer or the Trustee has been advised that it
        is
        likely that the laws of the state in which action is to be taken prohibit
        such
        action if taken in the name of the Trustee or that the Trustee would be
        adversely affected under the “doing business” or tax laws of such state if such
        action is taken in its name, the Master Servicer shall join with the Trustee
        in
        the appointment of a co-trustee pursuant to Section 9.10. In the performance
        of
        its duties hereunder, the Master Servicer shall be an independent contractor
        and
        shall not, except in those instances where it is taking action in the name
        of
        the Trustee, be deemed to be the agent of the Trustee.

       

      SECTION
        4.06.  Due-on-Sale
        Clauses; Assumption Agreements.

       

      To
        the
        extent Mortgage Loans contain enforceable due-on-sale clauses, the Master
        Servicer shall cause the Servicer to enforce such clauses in accordance with
        this Agreement. If applicable law prohibits the enforcement of a due-on-sale
        clause or such clause is otherwise not enforced in accordance with this
        Agreement and, as a consequence, a Mortgage Loan is assumed, the original
        Mortgagor may be released from liability in accordance with this
        Agreement.

       

      SECTION
        4.07.  Documents,
        Records and Funds in Possession of Master Servicer To Be Held for
        Trustee.

       

      (a)  The
        Master Servicer shall transmit to the Trustee or the Custodians such documents
        and instruments coming into the possession of the Master Servicer from time
        to
        time as are required by the terms hereof to be delivered to the Trustee or
        the
        Custodians. Any funds received by the Master Servicer in respect of any Mortgage
        Loan or which otherwise are collected by the Master Servicer as Liquidation
        Proceeds or Insurance Proceeds in respect of any Mortgage Loan shall be remitted
        to the Securities Administrator for deposit in the Distribution Account.
        The
        Master Servicer shall, and, subject to Section 3.20 of this Agreement shall
        cause the Servicer to provide access to information and documentation regarding
        the Mortgage Loans to the Trustee, its agents and accountants at any time
        upon
        reasonable request and during normal business hours, and to Certificateholders
        that are savings and loan associations, banks or insurance companies, the
        Office
        of Thrift Supervision, the FDIC and the supervisory agents and examiners
        of such
        Office and Corporation or examiners of any other federal or state banking
        or
        insurance regulatory authority if so required by applicable regulations of
        the
        Office of Thrift Supervision or other regulatory authority, such access to
        be
        afforded without charge but only upon reasonable request in writing and during
        normal business hours at the offices of the Master Servicer designated by
        it. In
        fulfilling such a request the Master Servicer shall not be responsible for
        determining the sufficiency of such information.

       

      (b)  All
        Mortgage Files and funds collected or held by, or under the control of, the
        Master Servicer, in respect of any Mortgage Loans, whether from the collection
        of principal and interest payments or from Liquidation Proceeds or Insurance
        Proceeds, shall be remitted to the Securities Administrator for deposit in
        the
        Distribution Account.

       

      SECTION
        4.08.  Standard
        Hazard Insurance and Flood Insurance Policies.

       

      For
        each
        Mortgage Loan, the Master Servicer shall enforce the obligation of the Servicer
        under this Agreement to maintain or cause to be maintained standard fire
        and
        casualty insurance and, where applicable, flood insurance, all in accordance
        with the provisions of this Agreement. It is understood and agreed that such
        insurance shall be with insurers meeting the eligibility requirements set
        forth
        in Section 3.11 of the Agreement and that no earthquake or other additional
        insurance is to be required of any Mortgagor or to be maintained on property
        acquired in respect of a defaulted loan, other than pursuant to such applicable
        laws and regulations as shall at any time be in force and as shall require
        such
        additional insurance.

       

      SECTION
        4.09.  Presentment
        of Claims and Collection of Proceeds.

       

      The
        Master Servicer shall enforce the Servicer’s obligations under this Agreement to
        prepare and present on behalf of the Trustee and the Certificateholders all
        claims under any insurance policies and take such actions (including the
        negotiation, settlement, compromise or enforcement of the insured’s claim) as
        shall be necessary to realize recovery under such policies. Any proceeds
        disbursed to the Master Servicer in respect of such policies, bonds or contracts
        shall be promptly remitted to the Securities Administrator for deposit in
        the
        Distribution Account upon receipt, except that any amounts realized that
        are to
        be applied to the repair or restoration of the Mortgaged Property as a condition
        precedent to the presentation of claims on the related Mortgage Loan to the
        insurer under any applicable insurance policy need not be so or
        remitted.

       

      SECTION
        4.10.  Reserved.

       

      SECTION
        4.11.  Trustee
        to Retain Possession of Certain Insurance Policies and
        Documents.

       

      The
        Trustee or the Custodians, shall retain possession and custody of the originals
        (to the extent available) of any primary mortgage insurance policies, or
        certificate of insurance if applicable, and any certificates of renewal as
        to
        the foregoing as may be issued from time to time as contemplated by this
        Agreement. Until all amounts distributable in respect of the Certificates
        have
        been distributed in full and the Master Servicer and the Servicer have otherwise
        fulfilled their respective obligations under this Agreement, the Trustee
        or the
        Custodians shall also retain possession and custody of each Mortgage File
        in
        accordance with and subject to the terms and conditions of this Agreement
        and
        the related Custodial Agreement. The Master Servicer shall promptly deliver
        or
        cause to be delivered to the Trustee or the applicable Custodian, upon the
        execution or receipt thereof the originals of any primary mortgage insurance
        policies, any certificates of renewal, and such other documents or instruments
        that constitute Mortgage Loan Documents that come into the possession of
        the
        Master Servicer from time to time.

       

      SECTION
        4.12.  Realization
        Upon Defaulted Mortgage Loans.

       

      The
        Master Servicer shall cause the Servicer to foreclose upon, repossess or
        otherwise comparably convert the ownership of Mortgaged Properties securing
        such
        of the Mortgage Loans as come into and continue in default and as to which
        no
        satisfactory arrangements can be made for collection of delinquent payments,
        all
        in accordance with this Agreement.

       

      SECTION
        4.13.  Compensation
        for the Master Servicer.

       

      As
        compensation for the activities of the Master Servicer hereunder, the Master
        Servicer shall be entitled to the Master Servicing Fee and the income from
        investment of or earnings on the funds from time to time in the Distribution
        Account, as provided in Section 3.10. The compensation payable to the
        Master Servicer in respect of any Distribution Date shall be reduced in
        accordance with Section 4.19. The Master Servicer 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
        4.14.  REO
        Property.

       

      (a)  In
        the
        event the Trust Fund acquires ownership of any REO Property in respect of
        any
        related Mortgage Loan, the deed or certificate of sale shall be issued to
        the
        Trustee, or to its nominee, on behalf of the related Certificateholders.
        The
        Master Servicer shall cause the Servicer to sell, any REO Property as
        expeditiously as possible and in accordance with the provisions of this
        Agreement. Further, the Master Servicer shall cause the Servicer to sell
        any REO
        Property prior to three years after the end of the calendar year of its
        acquisition by REMIC I unless (i) the Trustee shall have been supplied by
        the
        Servicer with an Opinion of Counsel to the effect that the holding by the
        Trust
        Fund of such REO Property subsequent to such three-year period will not result
        in the imposition of taxes on “prohibited transactions” of any REMIC hereunder
        as defined in section 860F of the Code or cause any REMIC hereunder to fail
        to
        qualify as a REMIC at any time that any Certificates are outstanding, in
        which
        case the Trust Fund may continue to hold such Mortgaged Property (subject
        to any
        conditions contained in such Opinion of Counsel) or (ii) the Servicer shall
        have
        applied for, prior to the expiration of such three-year period, an extension
        of
        such three-year period in the manner contemplated by Section 856(e)(3) of
        the
        Code, in which case the three-year period shall be extended by the applicable
        extension period. The Master Servicer shall cause the Servicer to protect
        and
        conserve, such REO Property in the manner and to the extent required by this
        Agreement in accordance with the REMIC Provisions and in a manner that does
        not
        result in a tax on “net income from foreclosure property” or cause such REO
        Property to fail to qualify as “foreclosure property” within the meaning of
        Section 860G(a)(8) of the Code.

       

      (b)  The
        Master Servicer shall cause the Servicer to deposit all funds collected and
        received in connection with the operation of any REO Property in the REO
        Account.

       

      SECTION
        4.15.  Master
        Servicer Annual Statement of Compliance.

       

      (a)  The
        Master Servicer and the Securities Administrator shall deliver (or otherwise
        make available) (and the Master Servicer and Securities Administrator shall
        cause any Additional Servicer or Servicing Function Participant (other than
        any
        Subcontractors) engaged by it to deliver) to the Depositor and the Securities
        Administrator and in the case of the Master Servicer, the Trustee, on or
        before
        March 15 of each year, commencing in March 2007, an Officer’s Certificate
        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 an Additional Servicer or 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 an Additional
        Servicer or 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.

       

      (b)  The
        Master Servicer shall include all annual statements of compliance received
        by it
        with its own annual statement of compliance to be submitted to the Securities
        Administrator pursuant to this Section 4.15. In the event the Master Servicer,
        the Securities Administrator or any Servicing Function Participant engaged
        by
        the parties is terminated, assigns its rights and obligations under, 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 4.15 or to such
        applicable agreement, as the case may be, notwithstanding any such termination,
        assignment or resignation.

       

      (c)  Failure
        of the Master Servicer to comply timely with this Section 4.15 shall be deemed
        a
        Master Servicer Event of Default, automatically, without notice and without
        any
        cure period, and the Trustee may, in addition to whatever rights the Trustee
        may
        have under this Agreement and at law or in equity or to damages, including
        injunctive relief and specific performance, terminate all the rights and
        obligations of the Master Servicer under this Agreement and in and to the
        Mortgage Loans and the proceeds thereof without compensating the Master Servicer
        for the same. This paragraph shall supersede any other provision in this
        Agreement or any other agreement to the contrary.

       

      (d)  Copies
        of
        such Master Servicer annual statements of compliance shall be provided to
        any
        Certificateholder upon request, by the Master Servicer or by the Trustee
        at the
        Master Servicer’s expense if the Master Servicer failed to provide such copies
        (unless (i) the Master Servicer shall have failed to provide the Trustee
        with
        such statement or (ii) the Trustee shall be unaware of the Master Servicer’s
        failure to provide such statement).

       

      SECTION
        4.16.  Master
        Servicer Assessments of Compliance. 

       

      (a)  By
        March
        15 of each year, commencing in March 2007, the Master Servicer and the
        Securities Administrator, 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 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
        5.06(d), 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.
        

       

      (b)  No
        later
        than the end of each fiscal year for the Trust for which a 10-K is required
        to
        be filed, the Master Servicer shall forward to the Securities Administrator
        and
        the Depositor the name of each Servicing Function Participant engaged by
        it and
        what Relevant Servicing Criteria will be addressed in the report on assessment
        of compliance prepared by such Servicing Function Participant (provided,
        however,
        that
        the Master Servicer need not provide such information to the Securities
        Administrator so long as the Master Servicer and the Securities Administrator
        are the same Person). When the Master Servicer and the Securities Administrator
        (or any Servicing Function Participant engaged by them) submit their assessments
        to the Securities Administrator, such parties will also at such time include
        the
        assessment (and attestation pursuant to Section 4.17) of each Servicing Function
        Participant engaged by it. 

       

      (c)  Promptly
        after receipt of each such report on assessment of compliance, (i) the Depositor
        shall review each such report and, if applicable, consult with the Master
        Servicer, the Securities Administrator and any Servicing Function Participant
        engaged by such parties 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
        E
        and
        notify the Depositor of any exceptions. None of such parties shall be required
        to deliver any such assessments until March 30th in any given year so long
        as it
        has not received written confirmation from the Depositor that a Form 10-K
        is
        required to be filed in respect of the Trust for the preceding calendar
        year.

       

      (d)  The
        Master Servicer shall include all annual reports on assessment of compliance
        received by it from the Servicer with its own assessment of compliance to
        be
        submitted to the Securities Administrator pursuant to this Section
        4.16.

       

      (e)  In
        the
        event the Master Servicer, the Securities Administrator or any Servicing
        Function Participant engaged by the parties 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 4.16 or to such
        other applicable agreement, notwithstanding any such termination, assignment
        or
        resignation.

       

      (f)  Failure
        of the Master Servicer to comply timely with this Section 4.16 shall be deemed
        a
        Master Servicer Event of Default, automatically, without notice and without
        any
        cure period, and the Trustee may, in addition to whatever rights the Trustee
        may
        have under this Agreement and at law or in equity or to damages, including
        injunctive relief and specific performance, terminate all the rights and
        obligations of the Master Servicer under this Agreement and in and to the
        Mortgage Loans and the proceeds thereof without compensating the Master Servicer
        for the same. This paragraph shall supersede any other provision in this
        Agreement or any other agreement to the contrary.

       

      (g)  Delivery
        under this Section 4.16 of such reports, information and documents to the
        Trustee is for informational purposes only, and the Trustee’s receipt of such
        shall not constitute constructive notice of any information contained therein
        or
        determinable from information contained therein, including the Master Servicer’s
        compliance with any of its covenants hereunder (as to which the Trustee is
        entitled to conclusively rely exclusively on an Officer’s
        Certificate).

       

      SECTION
        4.17.  Master
        Servicer Attestation Reports.

       

      (a)  By
        March
        15 of each year, commencing in March 2007, the Master Servicer and the
        Securities Administrator, 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,
        or
        such other Servicing Function Participants, as the case may be) and 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 PCAOB, 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. 

       

      (b)  Promptly
        after receipt of each such assessment of compliance and attestation report
        from
        the Master Servicer, the Securities Administrator or any Servicing Function
        Participant engaged by such parties, the Securities Administrator shall confirm
        that each assessment submitted pursuant to Section 4.16 is coupled with an
        attestation meeting the requirements of this Section and notify the Depositor
        of
        any exceptions.

       

      (c)  The
        Master Servicer shall include each attestation furnished to it with its own
        attestation report to be submitted to the Securities Administrator pursuant
        to
        this Section 4.17.

       

      (d)  In
        the
        event the Master Servicer, the Securities Administrator or any Servicing
        Function Participant engaged by the parties is terminated assigns its rights
        and
        under, 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 cause a registered public accounting firm to provide an
        attestation pursuant to this Section 4.17 or such other applicable agreement,
        notwithstanding any such termination, assignment or resignation.

       

      (e)  Failure
        of the Master Servicer to comply timely with this Section 4.17 shall be deemed
        a
        Master Servicer Event of Default, automatically, without notice and without
        any
        cure period, and the Trustee may, in addition to whatever rights the Trustee
        may
        have under this Agreement and at law or in equity or to damages, including
        injunctive relief and specific performance, terminate all the rights and
        obligations of the Master Servicer under this Agreement and in and to the
        Mortgage Loans and the proceeds thereof without compensating the Master Servicer
        for the same. This paragraph shall supersede any other provision in this
        Agreement or any other agreement to the contrary.

       

      SECTION
        4.18.  Annual
        Certification.

       

      Each
        Form
        10-K required to be filed for the Trust pursuant to Section 5.06 shall include
        a
        certification (the “Sarbanes-Oxley
        Certification”)
        required to be included therewith pursuant to the Sarbanes-Oxley Act. Each
        of
        the Master Servicer and the Securities Administrator shall provide, 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 15 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 attached hereto as Exhibit
        C,
        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 the Master Servicer, the Securities Administrator or any Servicing
        Function Participant engaged by parties is terminated, assigns its rights
        or
        duties hereunder 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
        4.18
        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.

       

      SECTION
        4.19.  Obligation
        of the Master Servicer in Respect of Prepayment Interest
        Shortfalls.

       

      In
        the
        event of any Prepayment Interest Shortfalls, the Master Servicer shall deposit
        into the Distribution Account not later than the related Distribution Date
        an
        amount equal to the lesser of (i) the aggregate amounts required to be paid
        by
        the Servicer with respect to Prepayment Interest Shortfalls attributable
        to
        Principal Prepayments in full on the Mortgage Loans for the related Distribution
        Date, and not so paid by the Servicer and (ii) the aggregate amount of the
        compensation payable to the Master Servicer for such Distribution Date in
        accordance with Section 4.13, without reimbursement therefor.

       

      SECTION
        4.20.  Prepayment
        Penalty Verification.

       

      On
        or
        prior to the Servicer Remittance Date, the Servicer shall provide in an
        electronic format acceptable to the Master Servicer the data necessary for
        the
        Master Servicer to perform its verification duties set forth in this Section
        4.19. The Master Servicer or a third party reasonably acceptable to the Master
        Servicer and the Depositor (the “Verification Agent”) will perform such
        verification duties and will use its best efforts to issue its findings in
        a
        report (the “Verification Report”) delivered to the Master Servicer and the
        Depositor within ten (10) Business Days following the related Distribution
        Date;
        provided, however, that if the Verification Agent is unable to issue the
        Verification Report within ten (10) Business Days following the Distribution
        Date, the Verification Agent may issue and deliver to the Master Servicer
        and
        the Depositor the Verification Report upon the completion of its verification
        duties. The Master Servicer shall forward the Verification Report to the
        Servicer and shall notify the Servicer if the Master Servicer has determined
        that the Servicer did not deliver the appropriate Prepayment Charge to the
        Securities Administrator in accordance with this Agreement. Such written
        notification from the Master Servicer shall include the loan number, prepayment
        penalty code and prepayment penalty amount as calculated by the Master Servicer
        or the Verification Agent, as applicable, of each Mortgage Loan for which
        there
        is a discrepancy. If the Servicer agrees with the verified amounts, the Servicer
        shall adjust the immediately succeeding Servicer Report and the amount remitted
        to the Securities Administrator with respect to prepayments accordingly.
        If the
        Servicer disagrees with the determination of the Master Servicer, the Servicer
        shall, within five (5) Business Days of its receipt of the Verification Report,
        notify the Master Servicer of such disagreement and provide the Master Servicer
        with detailed information to support its position. The Servicer and the Master
        Servicer shall cooperate to resolve any discrepancy on or prior to the
        immediately succeeding Servicer Remittance Date, and the Servicer will indicate
        the effect of such resolution on the Servicer Report and shall adjust the
        amount
        remitted with respect to prepayments on the Servicer Remittance Date
        accordingly.

       

      During
        such time as the Servicer and the Master Servicer are resolving discrepancies
        with respect to the Prepayment Charges, no payments in respect of any disputed
        Prepayment Charges will be remitted to the Securities Administrator for deposit
        in the Distribution Account and the Master Servicer shall not be obligated
        to
        deposit such payments, unless otherwise required pursuant to Section 8.01
        hereof. In connection with such duties, the Master Servicer shall be able
        to
        rely solely on the information provided to it by the Servicer in accordance
        with
        this Section. The Master Servicer shall not be responsible for verifying
        the
        accuracy of any of the information provided to it by the Servicer.

       

       

       

      ARTICLE
        V

      PAYMENTS
        TO CERTIFICATEHOLDERS

       

      SECTION
        5.01.  Distributions.

       

      (a)  (1)
        On
        each Distribution Date, the following amounts, in the following order of
        priority, shall be distributed by REMIC I to REMIC II on account of the REMIC
        I
        Regular Interests and distributed to the holders of the Class R Certificates
        (in
        respect of the Class R-I Interest), as the case may be: 

       

      (i)  to
        Holders of REMIC I Regular Interest A-I, REMIC I Regular Interest I-CE-2
        and
        REMIC I Regular Interest I-1-A through REMIC I Regular Interest I-64-B,
pro
        rata,
        in an
        amount equal to (A) Uncertificated Interest for such REMIC I Regular Interests
        for such Distribution Date, plus (B) any amounts payable in respect thereof
        remaining unpaid from previous Distribution Dates; and

       

      (ii)  to
        the
        extent of amounts remaining after the distributions made pursuant to clause
        (i)
        above, payments of principal shall be allocated, first, to REMIC I Regular
        Interest A-I and, second, to REMIC I Regular Interest I-1-A through REMIC
        I
        Regular Interest I-64-B starting with the lowest numerical denomination until
        the Uncertificated Balance of each such REMIC I Regular Interest is reduced
        to
        zero, provided that, for REMIC I Regular Interests with the same numerical
        denomination, such payments of principal shall be allocated pro
        rata
        between
        such REMIC I Regular Interests.

       

      (iii)  to
        the
        holders of REMIC I Regular Interest I-64-B, all Prepayment Charges;

       

      (2)
        On
        each Distribution Date, the following amounts, in the following order of
        priority, shall be distributed by REMIC II to REMIC III on account of the
        REMIC
        II Regular Interests or withdrawn from the Distribution Account and distributed
        to the Holders of the Class R Certificates, in respect of the Class R-II
        Interest, as the case may be:

       

      (i)  to
        Holders of REMIC II Regular Interest AA, REMIC II Regular Interest A-1, REMIC
        II
        Regular Interest A-2, REMIC II Regular Interest A-3, REMIC II Regular Interest
        M-1, REMIC II Regular Interest M-2, REMIC II Regular Interest M-3, REMIC
        II
        Regular Interest M-4, REMIC II Regular Interest M-5, REMIC II Regular Interest
        M-6, REMIC II Regular Interest M-7, REMIC II Regular Interest M-8, REMIC
        II
        Regular Interest M-9, REMIC II Regular Interest M-10, REMIC II Regular Interest
        ZZ and REMIC II Regular Interest CE-2, pro rata, in an amount equal to (A)
        the
        Uncertificated Interest for such Distribution Date, plus (B) any amounts
        in
        respect thereof remaining unpaid from previous Distribution Dates. Amounts
        payable as Uncertificated Interest in respect of REMIC II Regular Interest
        ZZ
        shall be reduced when the REMIC II Overcollateralization Amount is less than
        the
        REMIC II Required Overcollateralization Amount, by the lesser of (x) the
        amount
        of such difference and (y) the Maximum II-ZZ Uncertificated Interest Deferral
        Amount and such amount will be payable to the Holders of Regular II Regular
        Interest A-1, REMIC II Regular Interest A-2, REMIC II Regular Interest A-3,
        REMIC II Regular Interest M-1, REMIC II Regular Interest M-2, REMIC II Regular
        Interest M-3, REMIC II Regular Interest M-4, REMIC II Regular Interest M-5,
        REMIC II Regular Interest M-6, REMIC II Regular Interest M-7, REMIC II Regular
        Interest M-8, REMIC II Regular Interest M-9 and REMIC II Regular Interest
        M-10
        in the same proportion as the Overcollateralization Increase Amount is allocated
        to the Corresponding Certificates and the Uncertificated Balance of REMIC
        II
        Regular Interest ZZ shall be increased by such amount;

       

      (ii)  to
        the
        Holders of REMIC II Regular Interests, in an amount equal to the remainder
        of
        the available funds for such Distribution Date after the distributions made
        pursuant to clause (i) above, allocated as follows:

       

      (A) 98.00%
        of
        such remainder to the Holders of REMIC II Regular Interest AA, until the
        Uncertificated Balance of such REMIC II Regular Interest is reduced to
        zero;

       

      (B) 2.00%
        of
        such remainder, first, to the Holders of REMIC II Regular Interest A-1, REMIC
        II
        Regular Interest A-2, REMIC II Regular Interest A-3, REMIC II Regular Interest
        M-1, REMIC II Regular Interest M-2, REMIC II Regular Interest M-3, REMIC
        II
        Regular Interest M-4, REMIC II Regular Interest M-5, REMIC II Regular Interest
        M-6, REMIC II Regular Interest M-7, REMIC II Regular Interest M-8, REMIC
        II
        Regular Interest M-9 and REMIC II Regular Interest M-10, 1.00% of and in
        the
        same proportion as principal payments are allocated to the Corresponding
        Certificates, until the Uncertificated Balances of such REMIC II Regular
        Interests are reduced to zero and second to the Holders of REMIC II Regular
        Interest ZZ until the Uncertificated Balance of such REMIC II Regular Interest
        is reduced to zero;

       

      (C) to
        the
        Holders of REMIC II Regular Interest P, 100% of all Prepayment Charges
        distributed to REMIC I Regular Interest I-64-B on each Distribution Date
        and on
        the Distribution Date immediately following the expiration of the latest
        Prepayment Charge Schedule or any Distribution Date thereafter until $100
        has
        been distributed pursuant to this clause; then

       

      (D) any
        remaining amount to the Holders of the Class R Certificates (in respect of
        the
        Class R-II Interest);

       

      provided,
        however, that 98.00% and 2.00% of any principal payments that are attributable
        to an Overcollateralization Reduction Amount shall be allocated to Holders
        of
        REMIC II Regular Interest AA and REMIC II Regular Interest ZZ,
        respectively.

       

      (iii)  Notwithstanding
        the distributions described in Section 5.01(a)(1) and (2), distributions
        of
        funds shall be made to Certificateholders only in accordance with Section
        5.01(a)(3) through (6) and Section 5.01(b), (c), (d) and (e).

       

      (3) On
        each
        Distribution Date, the Securities Administrator shall withdraw from the
        Distribution Account to the extent on deposit therein an amount equal to
        the
        Interest Remittance Amount and make the following disbursements and transfers
        in
        the order of priority described below, in each case to the extent of the
        Interest Remittance Amount remaining for such Distribution Date:

       

      first,
        to the
        Supplemental Interest Trust, an amount equal to the sum of any Net Swap Payment
        owed to the Swap Provider and any Swap Termination Payment owed to the Swap
        Provider not due to a Swap Provider Trigger Event; 

       

      second,
        concurrently to the Holders of the Class A-1 Certificates, Class A-2
        Certificates and Class A-3 Certificates, the Senior Interest Distribution
        Amount
        allocable to the Class
        A-1
        Certificates,
        Class
        A-2 Certificates and Class A-3 Certificates on a pro rata basis based on
        the
        entitlement of each such Class; 

       

      third,
        sequentially, to the Holders of 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
        Certificates, in that order, the Interest Distribution Amount distributable
        to
        each such Class; and

       

      fourth,
        any
        such Interest Remittance Amount remaining after application pursuant to clauses
        first,
        second
        and
third
        above
        will be applied as part of Net Monthly Excess Cashflow for such Distribution
        Date pursuant to Section 5.01(a)(6).

       

      (4) On
        each
        Distribution Date (a) prior to the Stepdown Date or (b) on which a Trigger
        Event
        is in effect, the Securities Administrator shall withdraw from the Distribution
        Account to the extent on deposit therein an amount equal to the Principal
        Distribution Amount and distribute to the Certificateholders the following
        amounts, in the following order of priority:

       

      first,
        to the
        Supplemental Interest Trust, an amount equal to the sum of any Net Swap Payment
        owed to the Swap Provider and any Swap Termination Payment owed to the Swap
        Provider not due to a Swap Provider Trigger Event to the extent not paid
        from
        the Interest Remittance Amount on such Distribution Date;

       

      second,
        sequentially, to the Holders of the Class A-1 Certificates, Class A-2
        Certificates and Class A-3 Certificates, in that order, until the Certificate
        Principal Balance of each such Class has been reduced to zero; and

       

      third,
        sequentially, to the Holders of 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
        Certificates, in that order, until the Certificate Principal Balance of each
        such Class has been reduced to zero.

       

      Notwithstanding
        the priority of distributions described in this Section with respect to the
        Class A-1 Certificates, Class A-2 Certificates and Class A-3 Certificates,
        on
        any Distribution Date which occurs after the Certificate Principal Balances
        of
        the Mezzanine Certificates have been reduced to zero, distributions in respect
        of principal to the Class A-1 Certificates, Class A-2 Certificates and Class
        A-3
        Certificates will be made on a pro rata basis, based on the Certificate
        Principal Balance of each such Class, until the Certificate Principal Balance
        of
        each such Class has been reduced to zero.

       

      (5) On
        each
        Distribution Date (a) on or after the Stepdown Date and (b) on which a Trigger
        Event is not in effect, the Securities Administrator shall withdraw from
        the
        Distribution Account to the extent on deposit therein an amount equal to
        the
        Principal Distribution Amount and distribute to the Certificateholders the
        following amounts, in the following order of priority:

       

      first,
        to the
        Supplemental Interest Trust, an amount equal to the sum of any Net Swap Payment
        owed to the Swap Provider and any Swap Termination Payment owed to the Swap
        Provider not due to a Swap Provider Trigger Event to the extent not paid
        from
        the Interest Remittance Amount on such Distribution Date;

       

      second,
        sequentially, to the Holders of the Class A-1 Certificates, Class A-2
        Certificates and Class A-3 Certificates, in that order, the lesser of (x)
        the
        excess of (i) the Principal Distribution Amount over (ii) the amount distributed
        to the Supplemental Interest Trust under clause first
        above,
        and (y) the Class A Principal Distribution Amount, until the Certificate
        Principal Balance of each such Class has been reduced to zero;

       

      third,
        to the
        Holders of the Class M-1 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the amount distributed to the
        Supplemental Interest Trust under clause first
        above
        and to the Holders of the Class A Certificates under clause second
        above,
        and (y) the Class M-1 Principal Distribution Amount until the Certificate
        Principal Balance of the Class M-1 Certificates has been reduced to
        zero;

       

      fourth,
        to the
        Holders of the Class M-2 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the sum of the amounts distributed
        to
        the Supplemental Interest Trust under clause first
        above,
        to the Holders of the Class A Certificates under clause second
        above
        and to the Holders of the Class M-1 Certificates under clause third
        above,
        and (y) the Class M-2 Principal Distribution Amount, until the Certificate
        Principal Balance of the Class M-2 Certificates has been reduced to
        zero;

       

      fifth,
        to the
        Holders of the Class M-3 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the sum of the amounts distributed
        to
        the Supplemental Interest Trust under clause first
        above,
        to the Holders of the Class A Certificates under clause second
        above,
        to the Holders of the Class M-1 Certificates under clause third
        above
        and to the Holders of the Class M-2 Certificates under clause fourth
        above,
        and (y) the Class M-3 Principal Distribution Amount, until the Certificate
        Principal Balance of the Class M-3 Certificates has been reduced to
        zero;

       

      sixth,
        to the
        Holders of the Class M-4 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the sum of the amounts distributed
        to
        the Supplemental Interest Trust under clause first
        above,
        to the Holders of the Class A Certificates under clause second
        above,
        to the Holders of the Class M-1 Certificates under clause third
        above,
        to the Holders of the Class M-2 Certificates under clause fourth
        above
        and to the Holders of the Class M-3 Certificates under clause fifth
        above,
        and (y) the Class M-4 Principal Distribution Amount, until the Certificate
        Principal Balance of the Class M-4 Certificates has been reduced to
        zero;

       

      seventh,
        to the
        Holders of the Class M-5 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the sum of the amounts distributed
        to
        the Supplemental Interest Trust under clause first
        above,
        to the Holders of the Class A Certificates under clause second
        above,
        to the Holders of the Class M-1 Certificates under clause third
        above,
        to the Holders of the Class M-2 Certificates under clause fourth
        above,
        to the Holders of the Class M-3 Certificates under clause fifth
        above
        and to the Holders of the Class M-4 Certificates under clause sixth
        above,
        and (y) the Class M-5 Principal Distribution Amount, until the Certificate
        Principal Balance of the Class M-5 Certificates has been reduced to
        zero;

       

      eighth,
        to the
        Holders of the Class M-6 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the sum of the amounts distributed
        to
        the Supplemental Interest Trust under clause first
        above,
        to the Holders of the Class A Certificates under clause second
        above,
        to the Holders of the Class M-1 Certificates under clause third
        above,
        to the Holders of the Class M-2 Certificates under clause fourth
        above,
        to the Holders of the Class M-3 Certificates under clause fifth
        above,
        to the Holders of the Class M-4 Certificates under clause sixth
        above
        and to the Holders of the Class M-5 Certificates under clause seventh
        above,
        and (y) the Class M-6 Principal Distribution Amount, until the Certificate
        Principal Balance of the Class M-6 Certificates has been reduced to zero;
        

       

      ninth,
        the
        Holders of the Class M-7 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the sum of the amounts distributed
        to
        the Supplemental Interest Trust under clause first
        above,
        to the Holders of the Class A Certificates under clause second
        above,
        to the Holders of the Class M-1 Certificates under clause third
        above,
        to the Holders of the Class M-2 Certificates under clause fourth
        above,
        to the Holders of the Class M-3 Certificates under clause fifth
        above,
        to the Holders of the Class M-4 Certificates under clause sixth
        above,
        to the Holders of the Class M-5 Certificates under clause seventh
        above
        and to the Holders of the Class M-6 Certificates under clause eighth
        above,
        and (y) the Class M-7 Principal Distribution Amount, until the Certificate
        Principal Balance of the Class M-7 Certificates has been reduced to
        zero;

       

      tenth,
        to the
        Holders of the Class M-8 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the sum of the amounts distributed
        to
        the Supplemental Interest Trust under clause first
        above,
        to the Holders of the Class A Certificates under clause second
        above,
        to the Holders of the Class M-1 Certificates under clause third
        above,
        to the Holders of the Class M-2 Certificates under clause fourth
        above,
        to the Holders of the Class M-3 Certificates under clause fifth
        above,
        to the Holders of the Class M-4 Certificates under clause sixth
        above,
        to the Holders of the Class M-5 Certificates under clause seventh
        above,
        to the Holders of the Class M-6 Certificates under clause eighth
        above
        and to the Holders of the Class M-7 Certificates under clause ninth
        above,
        and (y) the Class M-8 Principal Distribution Amount, until the Certificate
        Principal Balance of the Class M-8 Certificates has been reduced to zero;
        

       

      eleventh,
        to the
        Holders of the Class M-9 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the sum of the amounts distributed
        to
        the Supplemental Interest Trust under clause first
        above,
        to the Holders of the Class A Certificates under clause second
        above,
        to the Holders of the Class M-1 Certificates under clause third
        above,
        to the Holders of the Class M-2 Certificates under clause fourth
        above,
        to the Holders of the Class M-3 Certificates under clause fifth
        above,
        to the Holders of the Class M-4 Certificates under clause sixth
        above,
        to the Holders of the Class M-5 Certificates under clause seventh
        above,
        to the Holders of the Class M-6 Certificates under clause eighth
        above,
        to the Holders of the Class M-7 Certificates under clause ninth
        above
        and to the Holders of the Class M-8 Certificates under clause tenth
        above,
        and (y) the Class M-9 Principal Distribution Amount, until the Certificate
        Principal Balance of the Class M-9 Certificates has been reduced to zero;
        

       

      twelfth,
        to the
        Holders of the Class M-10 Certificates, the lesser of (x) the excess of (i)
        the
        Principal Distribution Amount over (ii) the sum of the amounts distributed
        to
        the Supplemental Interest Trust under clause first
        above,
        to the Holders of the Class A Certificates under clause second
        above,
        to the Holders of the Class M-1 Certificates under clause third
        above,
        to the Holders of the Class M-2 Certificates under clause fourth
        above,
        to the Holders of the Class M-3 Certificates under clause fifth
        above,
        to the Holders of the Class M-4 Certificates under clause sixth
        above,
        to the Holders of the Class M-5 Certificates under clause seventh
        above,
        to the Holders of the Class M-6 Certificates under clause eighth
        above,
        to the Holders of the Class M-7 Certificates under clause ninth
        above,
        to the Holders of the Class M-8 Certificates under clause tenth
        above
        and to the Holders of the Class M-9 Certificates under clause eleventh
        above,
        and (y) the Class M-10 Principal Distribution Amount, until the Certificate
        Principal Balance of the Class M-10 Certificates has been reduced to zero;
        and

       

      thirteenth,
        any
        such Principal Distribution Amount remaining after application pursuant to
        clauses first
        through
twelfth
        above,
        will be applied as part of Net Monthly Excess Cashflow for such Distribution
        Date pursuant to Section 5.01(a)(6).

       

      Notwithstanding
        the priority of distributions described in this Section with respect to the
        Class A-1 Certificates and Class A-2 Certificates, on any Distribution Date
        which occurs after the Certificate Principal Balances of the Mezzanine
        Certificates have been reduced to zero, distributions in respect of principal
        to
        the Class A-1 Certificates, Class A-2 Certificates and Class A-3 Certificates
        will be made on a pro rata basis, based on the Certificate Principal Balance
        of
        each such Class, until the Certificate Principal Balance of each such Class
        has
        been reduced to zero.

       

      (6) On
        each
        Distribution Date, the Net Monthly Excess Cashflow (or, in the case of clause
        first
        below,
        the Net Monthly Excess Cashflow exclusive of any Overcollateralization Reduction
        Amount) shall be distributed as follows:

       

      first,
        to the
        Holders of the Class or Classes of Certificates then entitled to receive
        distributions in respect of principal, in an amount equal to any
        Overcollateralization Increase Amount, payable to such Holders in accordance
        with the priorities set forth under Section 5.01(a)(4) above;

       

      second,
        concurrently, to the Holders of the Class A-1, Class A-2 and Class A-3
        Certificates, on a pro rata basis, based on the entitlement of each such
        Class,
        in an amount equal to the Senior Interest Distribution Amount remaining
        undistributed; 

       

      third,
        sequentially, to the Holders of 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
        Certificates, in that order, in an amount equal to the Interest Distribution
        Amount and Interest Carry Forward Amount allocable to each such Class;

       

      fourth,
        sequentially, to the Holders of 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
        Certificates, in that order, in an amount equal to the Allocated Realized
        Loss
        Amount allocable to each such Class

       

      fifth,
        concurrently, to the Holders of the Class A Certificates, in an amount equal
        to
        each such Certificate’s allocated share of any Prepayment Interest Shortfalls on
        the Mortgage Loans to the extent not covered by Compensating Interest paid
        by
        the Master Servicer or the Servicer and any shortfalls resulting from the
        application of the Relief Act or similar state or local law or the bankruptcy
        code with respect to the Mortgage Loans;

       

      sixth,
        sequentially, to the Holders of 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
        Certificates, in that order, in an amount equal to each such Certificate’s
        allocated share of any Prepayment Interest Shortfalls on the Mortgage Loans
        to
        the extent not covered by Compensating Interest paid by the Master Servicer
        or
        the Servicer and any shortfalls resulting from the application of the Relief
        Act
        or similar state or local law or the bankruptcy code with respect to the
        Mortgage Loans;

       

      seventh,
        to
        the
        Reserve Fund, the amount by which the sum of the Net WAC Rate Carryover Amounts,
        if any, with respect to the Offered Certificates exceeds any amounts in the
        Reserve Fund that were not distributed on prior Distribution Dates;

       

      eighth,
        to the
        Supplemental Interest Trust, an amount equal to any Swap Termination Payment
        owed to the Swap Provider, due to a Swap Provider Trigger Event pursuant
        to the
        Interest Rate Swap Agreement; 

       

      ninth,
        to the
        Holders of the Class CE-1 Certificates, the Interest Distribution Amount
        and any
        Overcollateralization Reduction Amount for such Distribution Date;
        and

       

      tenth,
        to the
        Holders of the Class R Certificates, in respect of the Class R-III Interest,
        any
        remaining amounts; provided that if such Distribution Date is the Distribution
        Date immediately following the expiration of the latest Prepayment Charge
        term
        as identified on the Mortgage Loan Schedule or any Distribution Date thereafter,
        then any such remaining amounts will be distributed first, to the Holders
        of the
        Class P Certificates, until the Certificate Principal Balance thereof has
        been
        reduced to zero; and second, to the Holders of the Class R
        Certificates.

       

      The
        Class
        CE-1 Certificates are intended to receive all principal and interest received
        by
        the Trust on the Mortgage Loans that is not otherwise distributable to any
        other
        Class of Regular Certificates or REMIC Regular Interests. If the Securities
        Administrator determines that the Residual Certificates are entitled to any
        distributions on any Distribution Date other than the final Distribution
        Date,
        the Securities Administrator, prior to any such distribution to any Residual
        Certificate, shall notify the Depositor of such impending distribution. Upon
        such notification, the Depositor will prepare and request that the other
        parties
        hereto enter into an amendment to the Pooling and Servicing Agreement pursuant
        to Section 12.01, to revise such mistake in the distribution
        provisions.

       

      On
        each
        Distribution Date, after making the distributions of the Available Distribution
        Amount as set forth above, the Securities Administrator will first, withdraw
        from the Reserve Fund all income from the investment of funds in the Reserve
        Fund and distribute such amount to the Holders of the Class CE-1 Certificates,
        and second, withdraw from the Reserve Fund, to the extent of amounts remaining
        on deposit therein, the amount of any Net WAC Rate Carryover Amount for such
        Distribution Date and distribute such amount first,
        concurrently to the Class A-1 Certificates, Class A-2 Certificates and Class
        A-3
        Certificates on a pro rata basis based on the entitlement of each such Class;
        second,
        to the
        Class M-1 Certificates, third,
        to the
        Class M-2 Certificates, fourth,
        to the
        Class M-3 Certificates, fifth,
        to the
        Class M-4 Certificates, sixth,
        to the
        Class M-5 Certificates, seventh,
        to the
        Class M-6 Certificates, eighth,
        to the
        Class M-7 Certificates, ninth,
        to the
        Class M-8 Certificates, tenth,
        to the
        Class M-9 Certificates and eleventh,
        to the
        Class M-10 Certificates, in each case to the extent to the extent any Net
        WAC
        Rate Carryover Amount is allocable to each such Class.

       

      (b)  On
        each
        Distribution Date, for so long as GMAC is the Servicer of the Mortgage Loans,
        the Securities Administrator shall distribute to the Holders of the Class
        CE-2
        Certificates, with respect to each such Mortgage Loan, one-twelfth of the
        product of (i) the excess of the Servicing Fee Rate over the GMAC Servicing
        Fee
        Rate, if any, multiplied by (ii) the Scheduled Principal Balance of the related
        Mortgage Loan as of the Due Date in the preceding calendar month (the “Excess
        Servicing Fee”).

       

      (c)  As
        described in Section 5.01(a)(3), (4), (5) and (6) above, Net Swap Payments
        and Swap Termination Payments (other than Swap Termination Payments resulting
        from a Swap Provider Trigger Event) payable by the Supplemental Interest
        Trust
        to the Swap Provider pursuant to the Swap Agreement shall be deducted from
        the
        Interest Remittance Amount, and to the extent of any such remaining amounts
        due,
        from the Principal Remittance Amount, prior to any distributions to the
        Certificateholders. On each Distribution Date, such amounts will be remitted
        to
        the Supplemental Interest Trust, first to make any Net Swap Payment owed
        to the
        Swap Provider pursuant to the Swap Agreement for such Distribution Date,
        and
        second to make any Swap Termination Payment (not due to a Swap Provider Trigger
        Event) owed to the Swap Provider pursuant to the Swap Agreement for such
        Distribution Date. Any Swap Termination Payment triggered by a Swap Provider
        Trigger Event owed to the Swap Provider pursuant to the Swap Agreement will
        be
        subordinated to distributions to the Holders of the Offered Certificates
        and
        shall be paid pursuant to clause seventh
        of
        Section 5.01(a)(6).

       

      (d)  On
        each
        Distribution Date, to the extent required, following the distribution of
        the Net
        Monthly Excess Cashflow and withdrawals from the Reserve Fund, the Securities
        Administrator will withdraw any amounts in the Supplemental Interest Trust
        and
        distribute such amounts in the following order of priority: 

       

      first,
        to the
        Swap Provider, any Net Swap Payment owed to the Swap Provider pursuant to
        the
        Swap Agreement for such Distribution Date;

       

      second,
        to the
        Swap Provider, any Swap Termination Payment owed to the Swap Provider not
        due to
        a Swap Provider Trigger Event pursuant to the Swap Agreement;

       

      third,
        concurrently, to the Class A-1 Certificates, Class A-2 Certificates and Class
        A-3 Certificates, on a pro rata basis based on the entitlement of each such
        Class, the Senior Interest Distribution Amount remaining
        undistributed;

       

      fourth,
        sequentially, to 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 Certificates, in
        that
        order, the related Interest Distribution Amount and Interest Carry Forward
        Amount, to the extent remaining undistributed;

       

      fifth,
        to the
        holders of the Offered Certificates then entitled to receive distributions
        in
        respect of principal, in an amount necessary to maintain the Required
        Overcollateralization Amount after taking into account distributions made
        pursuant to clause first
        of
        Section 5.01(a)(6) above;

       

      sixth,
        sequentially to 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 Certificates, in that
        order,
        in each case up to the related Allocated Realized Loss Amount related to
        such
        Certificates for such Distribution Date remaining undistributed; 

       

      seventh,
        concurrently, to the Class A-1 Certificates, Class A-2 Certificates and Class
        A-3 Certificates, on a pro rata basis based on the entitlement of each such
        Class, the Net WAC Rate Carryover Amount, to the extent remaining
        undistributed;

       

      eighth,
        sequentially to 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 Certificates, in that
        order,
        the related Net WAC Rate Carryover Amount, to the extent remaining
        undistributed;

       

      ninth,
        to
        the
        Swap Provider, an amount equal to any Swap Termination Payment owed to the
        Swap
        Provider due to a Swap Provider Trigger Event pursuant to the Swap Agreement;
        and

       

      tenth,
        to the
        Class CE-1 Certificates, any remaining amounts

       

      (e)  On
        each
        Distribution Date, the Securities Administrator shall withdraw any amounts
        then
        on deposit in the Distribution Account that represent Prepayment Charges
        and
        shall distribute such amounts to the Class P Certificateholders as described
        above.

       

      (f)  All
        distributions made with respect to each Class of Certificates on each
        Distribution Date shall be allocated pro
        rata
        among
        the outstanding Certificates in such Class based on their respective Percentage
        Interests. Payments in respect of each Class of Certificates on each
        Distribution Date will be made to the Holders of the respective Class of
        record
        on the related Record Date (except as otherwise provided in Section 5.01(h)
        or Section 10.01 respecting the final distribution on such Class), based on
        the aggregate Percentage Interest represented by their respective Certificates,
        and shall be made by wire transfer of immediately available funds to the
        account
        of any such Holder at a bank or other entity having appropriate facilities
        therefor, if such Holder shall have so notified the Securities Administrator
        in
        writing at least five (5) Business Days prior to the Record Date immediately
        prior to such Distribution Date and is the registered owner of Certificates
        having an initial aggregate Certificate Principal Balance that is in excess
        of
        the lesser of (i) $5,000,000 or (ii) two-thirds of the initial Certificate
        Principal Balance of such Class of Certificates, or otherwise by check mailed
        by
        first class mail to the address of such Holder 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
        Corporate Trust Office of the Securities Administrator or such other location
        specified in the notice to Certificateholders of such final
        distribution.

       

      Each
        distribution with respect to a Book-Entry Certificate shall be paid to the
        Depository, as Holder thereof, and the Depository shall be responsible for
        crediting the amount of such distribution to the accounts of its Depository
        Participants in accordance with its normal procedures. Each Depository
        Participant shall be responsible for disbursing such distribution to the
        Certificate Owners that it represents and to each indirect participating
        brokerage firm (a “brokerage firm” or “indirect participating firm”) for which
        it acts as agent. Each brokerage firm shall be responsible for disbursing
        funds
        to the Certificate Owners that it represents. None of the Trustee, the
        Depositor, the Servicer, the Securities Administrator or the Master Servicer
        shall have any responsibility therefor except as otherwise provided by this
        Agreement or applicable law.

       

      (g)  The
        rights of the Certificateholders to receive distributions in respect of the
        Certificates, and all interests of the Certificateholders in such distributions,
        shall be as set forth in this Agreement. None of the Holders of any Class
        of
        Certificates, the Trustee, the Servicer, the Securities Administrator or
        the
        Master Servicer shall in any way be responsible or liable to the Holders
        of any
        other Class of Certificates in respect of amounts properly previously
        distributed on the Certificates.

       

      (h)  Except
        as
        otherwise provided in Section 10.01, whenever the Securities Administrator
        expects that the final distribution with respect to any Class of Certificates
        will be made on the next Distribution Date, the Securities Administrator
        shall,
        no later than three (3) days before the related Distribution Date, mail to
        each
        Holder on such date of such Class of Certificates a notice to the effect
        that:

       

      (i)  the
        Securities Administrator expects that the final distribution with respect
        to
        such Class of Certificates will be made on such Distribution Date but only
        upon
        presentation and surrender of such Certificates at the office of the Securities
        Administrator therein specified, and

       

      (ii)  no
        interest shall accrue on such Certificates from and after the end of the
        related
        Interest Accrual Period.

       

      Any
        funds
        not distributed to any Holder or Holders of Certificates of such Class on
        such
        Distribution Date because of the failure of such Holder or Holders to tender
        their Certificates shall, on such date, be set aside and held in trust by
        the
        Securities Administrator and credited to the account of the appropriate
        non-tendering Holder or Holders. If any Certificates as to which notice has
        been
        given pursuant to this Section 5.01(h) shall not have been surrendered for
        cancellation within six (6) months after the time specified in such notice,
        the
        Securities Administrator shall mail a second notice to the remaining
        non-tendering Certificateholders to surrender their Certificates for
        cancellation in order to receive the final distribution with respect thereto.
        If
        within one year after the second notice all such Certificates shall not have
        been surrendered for cancellation, the Securities Administrator shall, directly
        or through an agent, mail a final notice to the remaining non-tendering
        Certificateholders concerning surrender of their Certificates but shall continue
        to hold any remaining funds for the benefit of non-tendering Certificateholders.
        The costs and expenses of maintaining the funds in trust and of contacting
        such
        Certificateholders shall be paid out of the assets remaining in such trust
        fund.
        If within one year after the final notice any such Certificates shall not
        have
        been surrendered for cancellation, the Securities Administrator shall pay
        to the
        Depositor all such amounts, and all rights of non-tendering Certificateholders
        in or to such amounts shall thereupon cease. No interest shall accrue or
        be
        payable to any Certificateholder on any amount held in trust by the Securities
        Administrator as a result of such Certificateholder’s failure to surrender its
        Certificate(s) on the final Distribution Date for final payment thereof in
        accordance with this Section 5.01(h). Any such amounts held in trust by the
        Securities Administrator shall be held uninvested in an Eligible
        Account.

       

      (i)  Notwithstanding
        anything to the contrary herein, (i) in no event shall the Certificate Principal
        Balance of a Class A Certificate or a Mezzanine Certificate be reduced more
        than
        once in respect of any particular amount both (a) allocated to such Certificate
        in respect of Realized Losses pursuant to Section 5.04 and (b) distributed
        to the Holder of such Certificate in reduction of the Certificate Principal
        Balance thereof pursuant to this Section 5.01 from Net Monthly Excess
        Cashflow and (ii) in no event shall the Uncertificated Balance of a REMIC
        Regular Interest be reduced more than once in respect of any particular amount
        both (a) allocated to such REMIC Regular Interest in respect of Realized
        Losses
        pursuant to Section 5.04 and (b) distributed on such REMIC Regular Interest
        in reduction of the Uncertificated Balance thereof pursuant to this
        Section 5.01.

       

      SECTION
        5.02.  Statements
        to Certificateholders.

       

      On
        each
        Distribution Date, the Securities Administrator (based in part on the
        information set forth in the Servicer Reports for such Distribution Date
        and
        information provided by the Swap Provider under the Swap Agreement with respect
        to payments made pursuant to the Swap Agreement) shall make available to
        each
        Holder of the Certificates, a statement as to the distributions made on such
        Distribution Date setting forth:

       

      (i)  the
        applicable Interest Accrual Periods and general Distribution Dates;

       

      (ii)  the
        total
        cash flows received and the general sources thereof; 

       

      (iii)  the
        aggregate applicable Servicing Fee received by the Servicer, the Master
        Servicing Fee received by the Master Servicer and the Credit Risk Management
        Fee
        received by the Credit Risk Manager during the related Due Period;

       

      (iv)  the
        aggregate amount, if any, of fees or expenses accrued and paid, with an
        identification of the payee and the general purpose of such fees; 

       

      (v)  the
        amount of the distribution made on such Distribution Date to the Holders
        of the
        Certificates of each Class allocable to principal, separately identifying
        (A)
        the aggregate amount of any principal prepayments included therein, (B) the
        aggregate of all scheduled payments of principal included therein, (C) any
        Overcollateralization Increase Amount included therein, (D) the amount of
        the
        distribution made on such Distribution Date to the Holders of the Class P
        Certificates allocable to Prepayment Charges and (E) the amount of the
        distribution to the Class CE-1 Certificates and Class CE-2
        Certificates;

       

      (vi)  the
        amount of the distribution made on such Distribution Date to the Holders
        of the
        Certificates of each Class allocable to interest, and the portion thereof,
        if
        any, provided by the Interest Rate Swap Agreement;

       

      (vii)  the
        aggregate amount of P&I Advances and Servicing Advances for such
        Distribution Date (including the general purpose of such P&I
        Advances);

       

      (viii)  the
        number and aggregate principal balance of the Mortgage Loans that were
        delinquent (not including any Liquidated Mortgage Loans as of the end of
        the
        related Prepayment Period)) using the “OTS” method in respect of which (A) one
        scheduled payment is delinquent, (B) two scheduled payments are delinquent,
        (C)
        three or more scheduled payments are delinquent and (D) (1) foreclosure
        proceedings have been initiated, and (2) the number and aggregate principal
        balance of Mortgaged Properties acquired through foreclosure, deed in lieu
        of
        foreclosure or other exercise of rights respecting the Trustee’s security
        interest in the Mortgage Loans, in each case as of the close of business
        on the
        last day of the calendar month preceding such Distribution Date;

       

      (ix)  the
        number, aggregate principal balance, weighted average remaining term to maturity
        and weighted average Mortgage Rate of the Mortgage Loans as of the related
        Due
        Date;

       

      (x)  with
        respect to any Mortgage Loan that was liquidated during the preceding calendar
        month, the loan number of such Mortgage Loan, the unpaid principal balance
        and
        the Scheduled Principal Balance of and Realized Loss on, such Mortgage Loan
        as
        of the end of the related Prepayment Period;

       

      (xi)  the
        total
        number and principal balance of any real estate owned, or REO, properties as of
        the end of the related Prepayment Period and, if available, the book value
        of
        any REO Property as of the close of business on the last Business Day of
        the
        calendar month preceding the Distribution Date;

       

      (xii)  whether
        the Stepdown Date or a Trigger Event is in effect;

       

      (xiii)  the
        aggregate amount of Realized Losses incurred during the related Prepayment
        Period and the aggregate amount of Realized Losses incurred since the Closing
        Date;

       

      (xiv)  the
        aggregate amount of Extraordinary Trust Fund Expenses withdrawn from the
        Distribution Account for such Distribution Date;

       

      (xv)  the
        aggregate Certificate Principal Balance of each Class of Certificates, before
        and after giving effect to the distributions, and allocations of Realized
        Losses, made on such Distribution Date, separately identifying any reduction
        thereof due to allocations of Realized Losses;

       

      (xvi)  the
        number and Scheduled Principal Balance of all the Mortgage Loans for the
        following Distribution Date, together with updated pool composition
        information;

       

      (xvii)  the
        three-month rolling average of the percent equivalent of a fraction, the
        numerator of which is the aggregate Scheduled Principal Balance of the Mortgage
        Loans that are 60 days or more delinquent or are in bankruptcy or foreclosure
        or
        are REO properties, and the denominator of which is the Scheduled Principal
        Balances of all of the Mortgage Loans;

       

      (xviii)  the
        Certificate Factor for each such Class of Certificates applicable to such
        Distribution Date;

       

      (xix)  the
        Interest Distribution Amount in respect of the Class A Certificates, the
        Mezzanine Certificates and the Class CE-1 Certificates for such Distribution
        Date and the Interest Carry Forward Amount, if any, with respect to the Class
        A
        Certificates and the Mezzanine Certificates on such Distribution Date, and
        in
        the case of the Class A Certificates and the Mezzanine Certificates, separately
        identifying any reduction thereof due to allocations of Prepayment Interest
        Shortfalls and interest shortfalls including the following: Realized Losses,
        Relief Act Interest Shortfalls and Net WAC Rate Carryover Amounts;

       

      (xx)  the
        aggregate amount of any Prepayment Interest Shortfall for such Distribution
        Date, to the extent not covered by payments by the Servicer pursuant to
        Section 3.22 of this Agreement or the Master Servicer pursuant to Section
        4.19 of this Agreement; 

       

      (xxi)  the
        aggregate amount of Relief Act Interest Shortfalls for such Distribution
        Date;

       

      (xxii)  the
        Net
        Monthly Excess Cashflow, if any, for such Distribution Date and the application
        of such Net Monthly Excess Cashflow;

       

      (xxiii)  the
        Required Overcollateralization Amount and the Credit Enhancement Percentage
        for
        such Distribution Date;

       

      (xxiv)  the
        Overcollateralization Increase Amount, if any, for such Distribution
        Date;

       

      (xxv)  the
        Overcollateralization Reduction Amount, if any, for such Distribution
        Date;

       

      (xxvi)  the
        Net
        WAC Rate Carryover Amount, if any, for such Distribution Date;

       

      (xxvii)  the
        Net
        WAC Rate Carryover Amount, if any, outstanding after reimbursements therefor
        on
        such Distribution Date;

       

      (xxviii)  
        the
        respective Pass-Through Rates applicable to the Class A Certificates, the
        Mezzanine Certificates and the Class CE-1 Certificates for such Distribution
        Date (and whether such Pass-Through Rate was limited by the Net WAC Pass-Through
        Rate);

       

      (xxix)  the
        amount of any deposit to the Reserve Fund contemplated by
        Section 3.24(b);

       

      (xxx)  the
        balance of the Reserve Fund prior to the deposit or withdrawal of any amounts
        on
        such Distribution Date;

       

      (xxxi)  the
        amount of any deposit to the Reserve Fund pursuant to
        Section 5.01(a)(6);

       

      (xxxii)  the
        balance of the Reserve Fund after all deposits and withdrawals on such
        Distribution Date;

       

      (xxxiii)  the
        Loss
        Severity Percentage with respect to each Mortgage Loan; and

       

      (xxxiv)  the
        Aggregate Loss Severity Percentage; 

       

      (xxxv)  the
        aggregate amount of Principal Prepayments made during the related Prepayment
        Period and the aggregate amount of any Prepayment Charges remitted by the
        Servicer in respect thereof; and

       

      (xxxvi)  the
        amount of any Net Swap Payment payable by the Swap Provider to the Supplemental
        Interest Trust, any Net Swap Payment payable to the Swap Provider, any Swap
        Termination Payment payable by the Swap Provider to the Supplemental Interest
        Trust and any Swap Termination Payment payable to the Swap Provider.

       

      The
        Securities Administrator will make such statement (and, at its option, any
        additional files containing the same information in an alternative format)
        available each month to the Certificateholders and the Rating Agencies via
        the
        Securities Administrator’s internet website. The Securities Administrator’s
        internet website shall initially be located at http:\\www.ctslink.com and
        assistance in using the website can be obtained by calling the Securities
        Administrator’s customer service desk at 1-301-815-6600. Parties that are unable
        to use the above distribution options 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 way
        such
        statements are distributed in order to make such distribution more convenient
        and/or more accessible to the above parties and the Securities Administrator
        shall provide timely and adequate notification to all above parties regarding
        any such changes.

       

      In
        the
        case of information furnished pursuant to subclauses (i) and (ii) above,
        the
        amounts shall be expressed as a dollar amount per Single Certificate of the
        relevant Class.

       

      Within
        a
        reasonable period of time after the end of each calendar year, the Securities
        Administrator shall furnish upon request to each Person who at any time during
        the calendar year was a Holder of a Regular Certificate a statement containing
        the information set forth in subclauses (i) through (iii) above, 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 be provided by the Securities Administrator pursuant to
        any
        requirements of the Code as from time to time are in force.

       

      Within
        a
        reasonable period of time after the end of each calendar year, the Securities
        Administrator shall furnish upon request to each Person who at any time during
        the calendar year was a Holder of a Residual Certificate a statement setting
        forth the amount, if any, actually distributed with respect to the Residual
        Certificates, as appropriate, aggregated for such calendar year or applicable
        portion thereof during which such Person was a Certificateholder.

       

      The
        Securities Administrator shall, upon request, furnish to each Certificateholder
        during the term of this Agreement, such periodic, special, or other reports
        or
        information, whether or not provided for herein, as shall be reasonable with
        respect to the Certificateholder, as applicable, or otherwise with respect
        to
        the purposes of this Agreement, all such reports or information to be provided
        at the expense of the Certificateholder, in accordance with such reasonable
        and
        explicit instructions and directions as the Certificateholder may
        provide.

       

      On
        each
        Distribution Date the Securities Administrator shall provide Bloomberg Financial
        Markets, L.P. (“Bloomberg”) CUSIP level factors for each Class of Certificates
        as of such Distribution Date, using a format and media mutually acceptable
        to
        the Securities Administrator and Bloomberg.

       

      SECTION
        5.03.  Servicer
        Reports; P&I Advances.

       

      (a)  On
        or
        before 12:00 noon New York time on the 18th
        calendar
        day of each month, and if the calendar day is not a Business Day, the
        immediately following Business Day, the Servicer shall, deliver to the Master
        Servicer and the Securities Administrator by telecopy or electronic mail
        (or by
        such other means as the Servicer, the Master Servicer and the Securities
        Administrator may agree from time to time) a remittance report containing
        such
        information with respect to the related Mortgage Loans and the related
        Distribution Date as is reasonably available to the Servicer as the Master
        Servicer or the Securities Administrator may reasonably require so as to
        enable
        the Master Servicer to master service the related Mortgage Loans and oversee
        the
        servicing by the Servicer and the Securities Administrator to fulfill its
        obligations hereunder with respect to securities and tax reporting.

       

      (b)  The
        amount of P&I Advances to be made by the Servicer on any Distribution Date
        shall equal, subject to Section 5.03(d), (i) the aggregate amount of Monthly
        Payments (net of the related Servicing Fees), due during the related Due
        Period
        in respect of the Mortgage Loans serviced by the Servicer, which Monthly
        Payments were delinquent as of the close of business on the related
        Determination Date and (ii) with respect to each REO Property which was acquired
        during or prior to the related Prepayment Period and as to which an REO
        Disposition did not occur during the related Prepayment Period, an amount
        equal
        to the excess, if any, of the REO Imputed Interest on such REO Property for
        the
        most recently ended calendar month, over the net income from such REO Property
        deposited in the Collection Account pursuant to Section 3.21 of this Agreement
        for distribution on such Distribution Date; provided, however, the Servicer
        shall not be required to make P&I Advances with respect to Relief Act
        Interest Shortfalls, shortfalls due to bankruptcy proceedings or with respect
        to
        Prepayment Interest Shortfalls in excess of its obligations under Section
        3.22.
        For purposes of the preceding sentence, the Monthly Payment on each Balloon
        Mortgage Loan with a delinquent Balloon Payment is equal to the assumed monthly
        payment that would have been due on the related Due Date based on the original
        principal amortization schedule for such Balloon Mortgage Loan.

       

      By
        12:00
        noon New York time, on the Servicer Remittance Date, the Servicer shall remit
        in
        immediately available funds to the Securities Administrator for deposit in
        the
        Distribution Account an amount equal to the aggregate amount of P&I
        Advances, if any, to be made in respect of the related Mortgage Loans for
        the
        related Distribution Date either (i) from its own funds or (ii) from the
        Collection Account, to the extent of any Amounts Held For Future Distribution
        on
        deposit therein (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 5.03, used by the Servicer 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 Servicer
        with respect to the related Mortgage Loans. In addition, the Servicer shall
        have
        the right to reimburse itself for any outstanding P&I Advance made from its
        own funds from Amounts Held for Future Distribution. Any Amounts Held For
        Future
        Distribution used by the Servicer to make P&I Advances or to reimburse
        itself for outstanding P&I Advances shall be appropriately reflected in the
        Servicer’s records and replaced by the Servicer by deposit in the Collection
        Account no later than the close of business on the Servicer Remittance Date
        immediately following the Due Period or Prepayment Period for which such
        amounts
        relate. The Securities Administrator will notify the Servicer and the Master
        Servicer by the close of business on the Business Day prior to the Distribution
        Date in the event that the amount remitted by the Servicer to the Securities
        Administrator on such date is less than the P&I Advances required to be made
        by the Servicer for the related Distribution Date.

       

      (c)  The
        obligation of the 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 related Mortgage Loan or REO Property, shall continue
        until a Final Recovery Determination in connection therewith or the removal
        thereof from the Trust Fund pursuant to any applicable provision of this
        Agreement, except as otherwise provided in this Section. 

       

      (d)  Notwithstanding
        anything herein to the contrary, no P&I Advance or Servicing Advance shall
        be required to be made hereunder by the Servicer if such P&I Advance or
        Servicing Advance would, if made, constitute a Nonrecoverable P&I Advance or
        Nonrecoverable Servicing Advance, respectively. In addition, the Servicer
        shall
        not be required to make a P&I Advance with respect to any Mortgage Loan that
        is 120 days delinquent. The determination by the 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 Nonrecoverable Servicing Advance,
        respectively, shall be evidenced by a certification of a Servicing Officer
        delivered to the Master Servicer.

       

      (e)  Subject
        to and in accordance with the provisions of Article VIII, in the event the
        Servicer fails to make any required P&I Advance, then the Master Servicer
        (in its capacity as successor servicer) or any other successor Servicer shall
        be
        required to make such P&I Advance on the Distribution Date on which the
        Servicer was required to make such Advance, subject to its determination
        of
        recoverability. 

       

      SECTION
        5.04.  Allocation
        of Realized Losses.

       

      (a)  Prior
        to
        the Determination Date, the Servicer shall determine as to each Mortgage
        Loan
        serviced by the Servicer and any related REO Property and include in the
        monthly
        remittance report provided to the Master Servicer and the Securities
        Administrator (substantially in the form of Schedule 4 hereto) such information
        as is reasonably available to the Servicer as the Master Servicer or the
        Securities Administrator may reasonably require so as to enable the Master
        Servicer to master service the Mortgage Loans and oversee the servicing by
        the
        Servicer and the Securities Administrator to fulfill its obligations hereunder
        with respect to securities and tax reporting, which shall include, but not
        be
        limited to: (i) the total amount of Realized Losses, if any, incurred in
        connection with any Final Recovery Determinations made during the related
        Prepayment Period; and (ii) the respective portions of such Realized Losses
        allocable to interest and allocable to principal. Prior to each Determination
        Date, the Servicer shall also determine as to each Mortgage Loan: (i) the
        total
        amount of Realized Losses, if any, incurred in connection with any Deficient
        Valuations made during the related Prepayment Period; and (ii) the total
        amount
        of Realized Losses, if any, incurred in connection with Debt Service Reductions
        in respect of Monthly Payments due during the related Due Period.

       

      (b)  All
        Realized Losses on the Mortgage Loans allocated to any REMIC I Regular Interest
        pursuant to Section 5.04(c) on the Mortgage Loans shall be allocated by the
        Securities Administrator on each Distribution Date as follows: first,
        to Net
        Monthly Excess Cashflow and Net Swap Payments received from the Swap Provider
        under the Swap Agreement for that purpose, second,
        to the
        Class CE-1 Certificates, third,
        to the
        Class M-10 Certificates until the Certificate Principal Balance of the Class
        M-10 Certificates has been reduced to zero, fourth,
        to the
        Class M-9 Certificates, until the Certificate Principal Balance of the Class
        M-9
        Certificates has been reduced to zero, fifth,
        to the
        Class M-8 Certificates until the Certificate Principal Balance of the Class
        M-8
        Certificates has been reduced to zero; sixth,
        to the
        Class M-7 Certificates until the Certificate Principal Balance of the Class
        M-7
        Certificates has been reduced to zero, seventh,
        to the
        Class M-6 Certificates, until the Certificate Principal Balance of the Class
        M-6
        Certificates has been reduced to zero, eighth,
        to the
        Class M-5 Certificates until the Certificate Principal Balance of the Class
        M-5
        Certificates has been reduced to zero, ninth,
        to the
        Class M-4 Certificates until the Certificate Principal Balance of the Class
        M-4
        Certificates has been reduced to zero, tenth,
        to the
        Class M-3 Certificates until the Certificate Principal Balance of the Class
        M-3
        Certificates has been reduced to zero, eleventh,
        to the
        Class M-2 Certificates until the Certificate Principal Balance of the Class
        M-2
        Certificates has been reduced to zero and twelfth,
        to the
        Class M-1 Certificates until the Certificate Principal Balance of the Class
        M-1
        Certificates has been reduced to zero. All Realized Losses to be allocated
        to
        the Certificate Principal Balances of all Classes on any Distribution Date
        shall
        be so allocated after the actual distributions to be made on such date as
        provided above. All references above to the Certificate Principal Balance
        of any
        Class of Certificates shall be to the Certificate Principal Balance of such
        Class immediately prior to the relevant Distribution Date, before reduction
        thereof by any Realized Losses, in each case to be allocated to such Class
        of
        Certificates, on such Distribution Date. 

       

      Any
        allocation of Realized Losses to a Mezzanine Certificate on any Distribution
        Date shall be made by reducing the Certificate Principal Balance thereof
        by the
        amount so allocated; any allocation of Realized Losses to a Class CE-1
        Certificates shall be made by reducing the amount otherwise payable in respect
        thereof pursuant to Section 5.01(a)(6). No allocations of any Realized
        Losses shall be made to the Certificate Principal Balances of the Class A
        Certificates or Class P Certificates.

       

      As
        used
        herein, an allocation of a Realized Loss on a “pro
        rata
        basis”
among two or more specified Classes of Certificates means an allocation on
        a
pro
        rata
        basis,
        among the various Classes so specified, to each such Class of Certificates
        on
        the basis of their then outstanding Certificate Principal Balances prior
        to
        giving effect to distributions to be made on such Distribution Date. All
        Realized Losses and all other losses allocated to a Class of Certificates
        hereunder will be allocated among the, Certificates of such Class in proportion
        to the Percentage Interests evidenced thereby.

       

      In
        addition, in the event that the Servicer receives any Subsequent Recoveries
        with
        respect to a Mortgage Loan serviced by it, the Servicer shall deposit such
        funds
        into the Collection Account pursuant to Section 3.08. If, after taking into
        account such Subsequent Recoveries, the amount of a Realized Loss is reduced,
        the amount of such Subsequent Recoveries will be applied to increase the
        Certificate Principal Balance of the Class of Subordinate Certificates with
        the
        highest payment priority to which Realized Losses have been allocated, but
        not
        by more than the amount of Realized Losses previously allocated to that Class
        of
        Subordinate Certificates pursuant to this Section 5.04 and not previously
        reimbursed to such Class of Subordinate Certificates with Net Monthly Excess
        Cashflow pursuant to Section 5.01(a)(6). The amount of any remaining
        Subsequent Recoveries will be applied to sequentially increase the Certificate
        Principal Balance of the Mezzanine Certificates, beginning with the Class
        of
        Subordinate Certificates with the next highest payment priority, up to the
        amount of such Realized Losses previously allocated to such Class of Subordinate
        Certificates pursuant to this Section 5.04 and not previously reimbursed to
        such Class of Subordinate Certificates with Net Monthly Excess Cashflow pursuant
        to Section 5.01(a)(6). Holders of such Certificates will not be entitled to
        any payment in respect of current interest on the amount of such increases
        for
        any Interest Accrual Period preceding the Distribution Date on which such
        increase occurs. Any such increases shall be applied to the Certificate
        Principal Balance of each Subordinate Certificate of such Class in accordance
        with its respective Percentage Interest.

       

      (c)  (i)
        All
        Realized Losses on the Mortgage Loans shall be allocated on each Distribution
        Date, first to REMIC I Regular Interest A-I and, second, to REMIC I Regular
        Interest I-1-A through REMIC I Regular Interest I-64-B, starting with the
        lowest
        numerical denomination until such REMIC I Regular Interest has been reduced
        to
        zero, provided that, for REMIC I Regular Interests with the same numerical
        denomination, such Realized Losses shall be allocated pro
        rata
        between
        such REMIC I Regular Interests. 

       

      (ii) All
        Realized Losses on the Mortgage Loans shall be allocated by the Securities
        Administrator, on each Distribution Date to the following REMIC II Regular
        Interests in the specified percentages, as follows: first, to Uncertificated
        Interest payable to the REMIC II Regular Interest AA and REMIC II Regular
        Interest ZZ up to an aggregate amount equal to the REMIC II Interest Loss
        Allocation Amount, 98.00% and 2.00%, respectively; second, to the Uncertificated
        Balances of the REMIC II Regular Interest AA and REMIC II Regular Interest
        ZZ up
        to an aggregate amount equal to the REMIC II Principal Loss Allocation Amount,
        98.00% and 2.00%, respectively; third, to the Uncertificated Balances of
        REMIC
        II Regular Interest AA, REMIC II Regular Interest M-10 and REMIC II Regular
        Interest ZZ, 98.00%, 1.00% and 1.00%, respectively, until the Uncertificated
        Balance of REMIC II Regular Interest M-10 has been reduced to zero; fourth,
        to
        the Uncertificated Balances of REMIC II Regular Interest AA, 98.00% REMIC
        II
        Regular Interest M-9, 1.00% and REMIC II Regular Interest ZZ 1.00%, until
        the
        Uncertificated Balance of REMIC II Regular Interest M-9 has been reduced
        to
        zero; fifth, to the Uncertificated Balances of REMIC II Regular Interest
        AA,
        REMIC II Regular Interest M-8 and REMIC II Regular Interest ZZ, 98.00%, 1.00%
        and 1.00%, respectively, until the Uncertificated Balance of REMIC II Regular
        Interest M-8 has been reduced to zero; sixth, to the Uncertificated Balances
        of
        REMIC II Regular Interest AA, REMIC II Regular Interest M-7 and REMIC II
        Regular
        Interest ZZ, 98.00%, 1.00% and 1.00%, respectively, until the Uncertificated
        Balance of REMIC II Regular Interest M-7 has been reduced to zero; seventh,
        to
        the Uncertificated Balances of REMIC II Regular Interest AA, 98.00% REMIC
        II
        Regular Interest M-6, 1.00% and REMIC II Regular Interest ZZ 1.00%, until
        the
        Uncertificated Balance of REMIC II Regular Interest M-6 has been reduced
        to
        zero; eighth, to the Uncertificated Balances of REMIC II Regular Interest
        AA,
        REMIC II Regular Interest M-5 and REMIC II Regular Interest ZZ, 98.00%, 1.00%
        and 1.00%, respectively, until the Uncertificated Balance of REMIC II Regular
        Interest M-5 has been reduced to zero; ninth, to the Uncertificated Balances
        of
        REMIC II Regular Interest AA, REMIC II Regular Interest M-4 and REMIC II
        Regular
        Interest ZZ, 98.00%, 1.00% and 1.00%, respectively, until the Uncertificated
        Balance of REMIC II Regular Interest M-4 has been reduced to zero; tenth,
        to the
        Uncertificated Balances of REMIC II Regular Interest AA, REMIC II Regular
        Interest M-3 and REMIC II Regular Interest ZZ, 98.00%, 1.00% and 1.00%,
        respectively, until the Uncertificated Balance of REMIC II Regular Interest
        M-3
        has been reduced to zero; eleventh, to the Uncertificated Balances of REMIC
        II
        Regular Interest AA, 98.00% REMIC II Regular Interest M-2, 1.00% and REMIC
        II
        Regular Interest ZZ 1.00%, until the Uncertificated Balance of REMIC II Regular
        Interest M-2 has been reduced to zero; and twelfth, to the Uncertificated
        Balances of REMIC II Regular Interest AA, REMIC II Regular Interest M-1 and
        REMIC II Regular Interest ZZ, 98.00%, 1.00% and 1.00%, respectively, until
        the
        Uncertificated Balance of REMIC II Regular Interest M-1 has been reduced
        to
        zero.

       

      SECTION
        5.05.  Compliance
        with Withholding Requirements.

       

      Notwithstanding
        any other provision of this Agreement, the Trustee and the Securities
        Administrator shall comply with all federal withholding requirements respecting
        payments to Certificateholders of interest or original issue discount that
        the
        Trustee or Securities Administrator reasonably believes are applicable under
        the
        Code. The consent of Certificateholders shall not be required for such
        withholding. In the event the Securities Administrator does withhold any
        amount
        from interest or original issue discount payments or advances thereof to
        any
        Certificateholder pursuant to federal withholding requirements, the Securities
        Administrator shall indicate the amount withheld to such
        Certificateholders.

       

      SECTION
        5.06.  Reports
        Filed with Securities and Exchange Commission.

       

      (a)  (i)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 on Exhibit G 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
        as
        set forth in the next paragraph. 

       

      (ii) As
        set
        forth on Exhibit G hereto, within 5 calendar days after the related Distribution
        Date, (A) the parties to the ACE Securities Corp., Home Equity Loan Trust,
        Series 2006-SL4 transaction shall be required to provide to the Securities
        Administrator and Depositor, to the extent known by a responsible officer
        thereof, in EDGAR-compatible form, or in such other form as otherwise 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 in the form of Exhibit  H hereto (an “Additional
        Disclosure Notification”) and (B) 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 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-D Disclosure
        on Form 10-D pursuant to this paragraph. 

       

      (iii) 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
        (2)
        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 by the due date specified herein, 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 execution and filing of the Form 10-D.
        A duly
        authorized representative of the Master Servicer shall sign the 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
        Section 5.06(c)(ii). Promptly (but no later than 1 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-D filed by the Securities
        Administrator. Each party to this Agreement acknowledges that the performance
        by
        the Securities Administrator and the Master Servicer of their duties under
        this
        Section 5.06(a) 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 as set forth in this 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 needed
        to prepare, arrange for execution or file such Form 10-D, not resulting from
        its
        own negligence, bad faith or willful misconduct.

       

      (b)  (i)Within
        four (4) Business Days after the occurrence of an event requiring disclosure
        on
        Form 8-K (each such event, a “Reportable Event”), and if requested by the
        Depositor, the Securities Administrator shall prepare and file on behalf
        of the
        Trust a 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 other than the initial
        Form 8-K (“Form 8-K Disclosure Information”) shall be reported by the parties
        set forth on Exhibit G 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 as set forth in the next paragraph. 

       

      (ii) As
        set
        forth on Exhibit G 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 to the ACE Securities Corp., Home Equity Loan Trust, Series 2006-SL4
        transaction shall be required to provide to the Securities Administrator
        and
        Depositor, to the extent known by a responsible officer thereof, in
        EDGAR-compatible form, or in such other form as otherwise 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. 

       

      (iii) 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 by the third Business
        Day,
        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 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 Section 5.06(c)(ii). Promptly (but no later than
        1
        Business Day) after filing with the Commission, the Securities Administrator
        will, make available on its internet website a final executed copy of each
        Form
        8-K that has been prepared and filed by the Securities Administrator. The
        parties to this Agreement acknowledge that the performance by the Master
        Servicer and the Securities Administrator of their duties under this Section
        5.06(b) 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 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 8-K, 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 needed to prepare, execute or
        arrange for execution or file such Form 8-K, not resulting from its own
        negligence, bad faith or willful misconduct.

       

      (c)  (i)On
        or
        prior to January 30th 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 suspension notification 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 for the
        purpose of restating any Monthly Report), any Additional Form 10-K Disclosure
        or
        any Form 8-K Disclosure Information or any amendment to such disclosure,
        the
        Securities Administrator will notify electronically the Depositor only if
        the
        amendment pertains to an additional reporting item being revised and/or amended
        on such form, but not if an amendment is being filed as a result of a Remittance
        Report revision, and the Depositor will cooperate with the Securities
        Administrator in preparing 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 the Securities Administrator and the Master Servicer
        of
        their duties under this Section 5.06(c) 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
        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 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
        receive, on a timely basis, any information from any other party hereto needed
        to prepare, execute or 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.

       

      (d)  (i)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 and the Custodial
        Agreements, (i) an annual compliance statement for the Servicer, each Additional
        Servicer, the Master Servicer and the Securities Administrator and any Servicing
        Function Participant (other than any Subcontractors) engaged by such parties
        (each, a “Reporting Servicer”) as described under Section 3.17 and Section 4.15,
        (ii)(A) the annual reports on assessment of compliance with servicing criteria
        for each Reporting Servicer, as described under Section 3.18 and Section
        4.16
        and in such other agreements, and (B) if each Reporting Servicer’s report on
        assessment of compliance with servicing criteria described under Section
        3.18
        and Section 4.16 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 3.18 and Section 4.16 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, (iii)(A) the registered public accounting firm attestation
        report for each Reporting Servicer, as described under Section 3.18 and Section
        4.17, or in such other agreement and (B) if any registered public accounting
        firm attestation report described under Section 3.18 and Section 4.17 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 3.20 and Section
        4.18 (provided, however, that the Securities Administrator, at its discretion,
        may omit from the Form 10-K any annual compliance statement, assessment of
        compliance or attestation report that is not required to be filed with such
        Form
        10-K pursuant to Regulation AB). 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 G
        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 as set forth
        in
        the next paragraph.

       

      (ii) As
        set
        forth on Exhibit G hereto, no later than March 15 of each year that the Trust
        is
        subject to the Exchange Act reporting requirements, commencing in 2007, (i)
        parties to the ACE Securities Corp., Home Equity Loan Trust, Series 2006-SL4
        transaction shall be required to provide to the Securities Administrator
        and
        Depositor, to the extent known, by a responsible officer thereof, in
        EDGAR-compatible form, or in such other form as otherwise 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 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 paragraph.

       

      (iii) 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
        (3) Business Days after receipt of such copy, but in no event later than
        March
        25th
        of each
        year that the Trust is subject to the Exchange Act reporting requirements,
        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 by March 25th,
        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 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 Section 5.06(c)(ii).
        Promptly (but no later than 1 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 filed by the Securities Administrator. The
        parties to this Agreement acknowledge that the performance by the Master
        Servicer and the Securities Administrator of their respective duties under
        this
        Section 5.06(d) related to the timely preparation, execution and filing of
        Form
        10-K is contingent upon such parties (and any Additional Servicer or Servicing
        Function Participant) strictly observing all applicable deadlines in the
        performance of their duties under this Section 5.06(d), Section 3.17, Section
        3.18, Section 3.19, Section 4.16, Section 4.17 and Section 4.18. Neither
        the
        Master Servicer nor the Securities Administrator shall have any liability
        for
        any loss, expense, damage or 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
        receive, on a timely basis, any information from any other party hereto needed
        to prepare, arrange for execution or file such Form 10-K, not resulting from
        its
        own negligence, bad faith or willful misconduct.

       

      (e)  Each
        of
        Form 10-D and 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 requirements for the past 90 days.” The Depositor hereby
        represents to the Securities Administrator that the Depositor has filed all
        such
        required reports during the preceding 12 months and that it has been subject
        to
        such filing requirement for the past 90 days. 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 and no later than March 15th
        with
        respect to the filing of a report on Form 10-K, if the answer to the question
        should be “no” as a result of filings that relate to other securitization
        transactions of the Depositor for which the Securities Administrator does
        not
        have the obligation to prepare and file Exchange Act reports.

       

      (f)  The
        Securities Administrator shall indemnify and hold harmless the Depositor,
        the
        Trustee and their respective officers, directors and Affiliates from and
        against
        any losses, damages, penalties, fines, forfeitures, reasonable and necessary
        legal fees and related costs, judgments and other costs and expenses arising
        out
        of or based upon a breach of the Master Servicer’s obligations under this
        Section 5.06 or the Master Servicer’s negligence, bad faith or willful
        misconduct in connection therewith. 

       

      (g)  Notwithstanding
        the provisions of Section 12.01, this Section 5.06 may be amended without
        the
        consent of the Certificateholders.

       

      SECTION
        5.07.  Supplemental
        Interest Trust.

       

      (a)  On
        the
        Closing Date, the Securities Administrator shall establish and maintain in
        the
        name of the Trustee a separate account for the benefit of the holders of
        the
        Offered Certificates (the “Supplemental Interest Trust”). The Supplemental
        Interest Trust 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 Trustee or of
        the
        Securities Administrator held pursuant to this Agreement. 

       

      (b)  On
        each
        Distribution Date, the Securities Administrator shall withdraw all amounts
        which
        were deposited in the Supplemental Interest Trust as specifically described
        in
        this Agreement and the Swap Agreement and distribute such amounts in accordance
        with the provisions of Section 5.01 of this Agreement. On each Distribution
        Date, the Securities Administrator shall distribute any such amounts to the
        Swap
        Provider pursuant to the Swap Agreement, first to pay any Net Swap Payment
        owed
        to the Swap Provider for such Distribution Date, and second to pay any Swap
        Termination Payment owed to the Swap Provider.

       

      (c)  The
        Supplemental Interest Trust constitutes an “outside reserve fund” within the
        meaning of Treasury Regulation § 1.860G-2(h) and is not an asset of any REMIC.
        The Holders of the Class CE-1 Certificates shall be the beneficial owner
        of the
        Supplemental Interest Trust, subject to the power of the Securities
        Administrator to transfer amounts under this Agreement. The Securities
        Administrator shall keep records that accurately reflect the funds on deposit
        in
        the Supplemental Interest Trust. The Securities Administrator shall, at the
        written direction of the majority of the Class CE-1 Certificateholders, invest
        amounts on deposit in the Supplemental Interest Trust in Permitted Investments.
        In the absence of written direction to the Securities Administrator from
        the
        majority of the Class CE-1 Certificateholders, all funds in the Supplemental
        Interest Trust shall remain uninvested. On each Distribution Date, the
        Securities Administrator shall distribute, not in respect of any REMIC, any
        interest earned on the Supplemental Interest Trust to the Holders of the
        Class
        CE-1 Certificates.

       

      (d)  For
        federal income tax purposes, amounts paid to the Supplemental Interest Trust
        on
        each Distribution Date pursuant to Section 5.01(a)(3), (4), (5) and (6)
        shall first be deemed paid to the Supplemental Interest Trust in respect
        of the
        Class IO Interest to the extent of the amount distributable on such Class
        IO
        Interest on such Distribution Date, and any remaining amount shall be deemed
        paid to the Supplemental Interest Trust in respect of a Class IO Distribution
        Amount. 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 CE-1
        Certificates unless and until the date when either (a) there is more than
        one
        Class CE-1 Certificateholder or (b) any Class of Certificates in addition
        to the
        Class CE-1 Certificates is recharacterized as an equity interest in the
        Supplemental Interest Trust for federal income tax purposes, in which case
        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 treated
        as
        a partnership.

       

      (e)  The
        Securities Administrator shall treat the Holders of Certificates (other than
        the
        Class P, Class CE-1, Class CE-2 and Residual Certificates) as having entered
        into a notional principal contract with respect to the Holders of the Class
        CE-1
        Certificates. Pursuant to each such notional principal contract, all Holders
        of
        Certificates (other than the Class P, Class CE-1, Class CE-2 and Residual
        Certificates) shall be treated as having agreed to pay, on each Distribution
        Date, to the Holder of the Class CE-1 Certificates an aggregate amount equal
        to
        the excess, if any, of (i) the amount payable on such Distribution Date on
        the
        Regular Interest ownership of which is represented by such Class of Certificates
        over (ii) the amount payable on such Class of Certificates on such Distribution
        Date (such excess, a “Class IO Distribution Amount”). A Class IO Distribution
        Amount payable from interest collections shall be allocated pro rata among
        such
        Certificates based on the amount of interest otherwise payable to such
        Certificates, and a Class IO Distribution Amount payable from principal
        collections shall be allocated to the most subordinate Class of such
        Certificates with an outstanding principal balance to the extent of such
        balance. In addition, pursuant to such notional principal contract, the Holder
        of the Class CE-1 Certificates shall be treated as having agreed to pay Net
        WAC
        Rate Carryover Amounts to the Holders of the Certificates (other than the
        Class
        CE-1, Class CE-2, Class P and Residual Certificates) in accordance with the
        terms of this Agreement. Any payments to such Certificates from amounts deemed
        received in respect of this notional principal contract 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 (other than the Class
        CE-1, Class CE-2, Class P and Residual Certificates) of a Class IO Distribution
        Amount shall be treated for tax purposes as having been received by the Holders
        of such Certificates in respect of the Regular Interest ownership of which
        is
        represented by such Certificates, and as having been paid by such Holders
        to the
        Supplemental Interest Trust pursuant to the notional principal contract.
        Thus,
        each Certificate (other than the Class P Certificates and Residual Certificates)
        shall be treated as representing not only ownership of a Regular Interest
        in
        REMIC III, but also ownership of an interest in, and obligations with respect
        to, a notional principal contract.

       

      (f)  For
        federal tax return and information reporting, the right of the holders of
        the
        Floating Rate Certificates and the Fixed Rate Certificates to receive payments
        from the Supplemental Interest Trust and the Reserve Fund in respect of any
        Net
        WAC Rate Carryover Amount shall be assigned a value of $[________].

       

      (g)  In
        the
        event that the Swap Agreement is terminated prior to the Distribution Date
        in
        December 2011, the Trustee on behalf of the Supplemental Interest Trust,
        at the
        direction of the Depositor, shall use reasonable efforts to appoint a successor
        swap provider using any Swap Termination Payments paid by the Swap Provider.
        To
        the extent the Supplemental Interest Trust is required to pay a Swap Termination
        Payment to the Swap Provider, all or a portion of such amount received from
        a
        replacement swap provider upon entering into a replacement interest rate
        swap
        agreement or similar agreement will be applied to the Swap Termination Payment
        owing to the Swap Provider. If the Trustee on behalf of the Supplemental
        Interest Trust is unable to locate a qualified successor swap provider, any
        such
        Swap Termination Payments will be deposited in the Supplemental Interest
        Trust
        and the Securities Administrator, on each subsequent Distribution Date (until
        the termination date of the Swap Agreement or the appointment of a successor
        swap provider), will withdraw the amount of any Net Swap Payment due to the
        Supplemental Interest Trust (calculated in accordance with the terms of the
        Swap
        Agreement) and distribute such Net Swap Payment to the holders of the
        Certificates in accordance with Section 5.01.

       

      SECTION
        5.08.  Tax
        Treatment of Swap Payments and Swap Termination Payments.

       

      For
        federal income tax purposes, each holder of an Offered Certificate is deemed
        to
        own an undivided beneficial ownership interest in a REMIC regular interest
        and
        the right to receive payments from either the Reserve Fund or the Supplemental
        Interest Trust in respect of any Net WAC Rate Carryover Amounts or the
        obligation to make payments to the Supplemental Interest Trust. For federal
        income tax purposes, the Securities Administrator will account for payments
        to
        each Offered Certificate as follows: each Offered Certificate will be treated
        as
        receiving their entire payment from REMIC III (regardless of any Swap
        Termination Payment or obligation under the Swap Agreement) and subsequently
        paying their portion of any Swap Termination Payment in respect of each such
        Class’s obligation under the Swap Agreement. In the event that any such Class is
        resecuritized in a REMIC, the obligation under the Swap Agreement to pay
        any
        such Swap Termination Payment (or any shortfall in Net Swap Payment), will
        be
        made by one or more of the REMIC Regular Interests issued by the
        resecuritization REMIC subsequent to such REMIC Regular Interest receiving
        its
        full payment from any such Offered Certificate.

       

      The
        REMIC
        Regular Interest corresponding to an Offered Certificate will be entitled
        to
        receive interest and principal payments at the times and in the amounts equal
        to
        those made on the certificate to which it corresponds, except that (i) the
        maximum interest rate of that REMIC regular interest will equal the Net WAC
        Pass-Through Rate computed for this purpose by limiting the Swap Notional
        Amount
        of the Swap Agreement to the aggregate Stated Principal Balance of the Mortgage
        Loans and (ii) any Swap Termination Payment will be treated as being payable
        solely from amounts otherwise payable to the Class CE-1 Certificates. As
        a
        result of the foregoing, the amount of distributions and taxable income on
        the
        REMIC Regular Interest corresponding to an Offered Certificate may exceed
        the
        actual amount of distributions on the Offered Certificate.

       

       

       

      ARTICLE
        VI

      THE
        CERTIFICATES

       

      SECTION
        6.01.  The
        Certificates.

       

      (a)  The
        Certificates in the aggregate will represent the entire beneficial ownership
        interest in the Mortgage Loans and all other assets included in REMIC I,
        REMIC
        II and REMIC III.

       

      The
        Certificates will be substantially in the forms annexed hereto as Exhibits
        A-1
        through A-6. The Certificates of each Class will be issuable in registered
        form
        only, in denominations of authorized Percentage Interests as described in
        the
        definition thereof. Each Certificate will share ratably in all rights of
        the
        related Class.

       

      Upon
        original issue, the Certificates shall be executed and authenticated by the
        Securities Administrator and delivered by the Trustee to and upon the written
        order of the Depositor. The Certificates shall be executed by manual or
        facsimile signature on behalf of the Trust by the Securities Administrator
        by an
        authorized signatory. Certificates bearing the manual or facsimile signatures
        of
        individuals who were at any time the proper officers of the Securities
        Administrator shall bind the Trust, notwithstanding that such individuals
        or any
        of them have ceased to hold such offices prior to the authentication and
        delivery of such Certificates or did not hold such offices at the date of
        such
        Certificates. No Certificate shall be entitled to any benefit under this
        Agreement or be valid for any purpose, unless there appears on such Certificate
        a certificate of authentication substantially in the form provided herein
        executed by the Securities Administrator by manual signature, and such
        certificate of authentication shall be conclusive evidence, and the only
        evidence, that such Certificate has been duly authenticated and delivered
        hereunder. All Certificates shall be dated the date of their
        authentication.

       

      (b)  The
        Class
        A Certificates and the Mezzanine Certificates shall initially be issued as
        one
        or more Certificates held by the Book-Entry Custodian or, if appointed to
        hold
        such Certificates as provided below, the Depository and registered in the
        name
        of the Depository or its nominee and, except as provided below, registration
        of
        such Certificates may not be transferred by the Securities Administrator
        except
        to another Depository that agrees to hold such Certificates for the respective
        Certificate Owners with Ownership Interests therein. The Certificate Owners
        shall hold their respective Ownership Interests in and to such Certificates
        through the book-entry facilities of the Depository and, except as provided
        below, shall not be entitled to definitive, fully registered Certificates
        (“Definitive Certificates”) in respect of such Ownership Interests. All
        transfers by Certificate Owners of their respective Ownership Interests in
        the
        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 the Ownership
        Interests in the 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. The Securities Administrator is hereby initially
        appointed as the Book-Entry Custodian and hereby agrees to act as such in
        accordance herewith and in accordance with the agreement that it has with
        the
        Depository authorizing it to act as such. The Book-Entry Custodian may, and,
        if
        it is no longer qualified to act as such, the Book-Entry Custodian shall,
        appoint, by a written instrument delivered to the Depositor, the Servicer
        and,
        if the Trustee is not the Book-Entry Custodian, the Trustee, any other transfer
        agent (including the Depository or any successor Depository) to act as
        Book-Entry Custodian under such conditions as the predecessor Book-Entry
        Custodian and the Depository or any successor Depository may prescribe, provided
        that the predecessor Book-Entry Custodian shall not be relieved of any of
        its
        duties or responsibilities by reason of any such appointment of other than
        the
        Depository. If the Securities Administrator resigns or is removed in accordance
        with the terms hereof, the successor Securities Administrator or, if it so
        elects, the Depository shall immediately succeed to its predecessor’s duties as
        Book-Entry Custodian. The Depositor shall have the right to inspect, and
        to
        obtain copies of, any Certificates held as Book-Entry Certificates by the
        Book-Entry Custodian.

       

      (c)  The
        Class
        CE-1 and Class CE-2 Certificates initially offered and sold in offshore
        transactions in reliance on Regulation S shall be issued in the form of a
        temporary global certificate in definitive, fully registered form (each,
        a
“Regulation S Temporary Global Certificate”), which shall be deposited with the
        Securities Administrator or an agent of the Securities Administrator as
        custodian for the Depository and registered in the name of Cede & Co. as
        nominee of the Depository for the account of designated agents holding on
        behalf
        of Euroclear or Clearstream. Beneficial interests in each Regulation S Temporary
        Global Certificate may be held only through Euroclear or Clearstream; provided,
        however, that such interests may be exchanged for interests in a Definitive
        Certificate in accordance with the requirements described in Section 6.02.
        After the expiration of the Release Date, a beneficial interest in a Regulation
        S Temporary Global Certificate may be exchanged for a beneficial interest
        in the
        related permanent global certificate of the same Class (each, a “Regulation S
        Permanent Global Certificate”), in accordance with the procedures set forth in
        Section 6.02. Each Regulation S Permanent Global Certificate shall be
        deposited with the Securities Administrator or an agent of the Securities
        Administrator as custodian for the Depository and registered in the name
        of Cede
& Co. as nominee of the Depository.

       

      (d)  The
        Class
        CE-1 Certificates, Class CE-2 Certificates and Class P Certificates offered
        and
        sold to Qualified Institutional Buyers (“QIBs”) in reliance on Rule 144A under
        the Securities Act (“Rule 144A”) will be issued in the form of Definitive
        Certificates.

       

      (e)  The
        Trustee, the Servicer, the Securities Administrator, the Master Servicer
        and the
        Depositor may for all purposes (including the making of payments due on the
        Book-Entry Certificates and Global Certificates) deal with the Depository
        as the
        authorized representative of the Certificate Owners with respect to the
        Book-Entry Certificates and Global Certificates for the purposes of exercising
        the rights of Certificateholders hereunder. The rights of Certificate Owners
        with respect to the Book-Entry Certificates and Global Certificates shall
        be
        limited to those established by law and agreements between such Certificate
        Owners and the Depository Participants and brokerage firms representing such
        Certificate Owners. Multiple requests and directions from, and votes of,
        the
        Depository as Holder of the Book-Entry Certificates and Global Certificates
        with
        respect to any particular matter shall not be deemed inconsistent if they
        are
        made with respect to different Certificate Owners. The Securities Administrator
        may establish a reasonable record date in connection with solicitations of
        consents from or voting by Certificateholders and shall give notice to the
        Depository of such record date.

       

      If
        (i)(A)
        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 (B) the Depositor is unable to locate
        a
        qualified successor, (ii) the Depositor at its option advises the Securities
        Administrator in writing that it elects to terminate the book-entry system
        through the Depository or (iii) after the occurrence of the Servicer Event
        of
        Default, Certificate Owners representing in the aggregate not less than 51%
        of
        the Ownership Interests of the Book-Entry Certificates advise the Securities
        Administrator through the Depository, in writing, that the continuation of
        a
        book-entry system through the Depository is no longer in the best interests
        of
        the Certificate Owners, the Securities Administrator shall notify all
        Certificate Owners, through the Depository, of the occurrence of any such
        event
        and of the availability of Definitive Certificates to Certificate Owners
        requesting the same. With respect to a Global Certificate, the related
        Certificate Owner (other than a Holder of a Regulation S Temporary Global
        Certificate) may request that its interest in a Global Certificate be exchanged
        for a Definitive Certificate. Upon surrender to the Securities Administrator
        of
        the Book-Entry Certificates by the Book-Entry Custodian or the Depository,
        as
        applicable, or the Global Certificates by the Depository accompanied by
        registration instructions from the Depository for registration of transfer,
        the
        Securities Administrator shall cause the Definitive Certificates to be issued.
        Such Definitive Certificates will be issued in minimum denominations of $10,000
        except that any beneficial ownership that was represented by a Book-Entry
        Certificate, or a Global Certificate, as applicable in an amount less than
        $10,000 immediately prior to the issuance of a Definitive Certificate shall
        be
        issued in a minimum denomination equal to the amount represented by such
        Book-Entry Certificate or a Global Certificate, as applicable. None of the
        Depositor, the Servicer, the Master Servicer, the Securities Administrator
        or
        the Trustee shall be liable for any delay in the delivery of such instructions
        and may conclusively rely on, and shall be protected in relying on, such
        instructions. 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.

       

      SECTION
        6.02.  Registration
        of Transfer and Exchange of Certificates.

       

      (a)  The
        Securities Administrator shall cause to be kept at one of the offices or
        agencies to be appointed by the Securities Administrator in accordance with
        the
        provisions of Section 9.11, a Certificate Register for the Certificates in
        which, subject 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.

       

      (b)  No
        transfer of any Class CE-1 Certificate, Class CE-2 Certificate, Class P
        Certificate or Residual Certificate shall be made unless that transfer is
        made
        pursuant to an effective registration statement under the Securities Act,
        and
        effective registration or qualification under applicable state securities
        laws,
        or is made in a transaction that does not require such registration or
        qualification. In the event that such a transfer of a Class CE-1 Certificate,
        Class CE-2 Certificate, Class P Certificate or Residual Certificate is to
        be
        made without registration or qualification (other than in connection with
        the
        initial transfer of any such Certificate by the Depositor), the Securities
        Administrator shall require receipt of: (i) if such transfer is purportedly
        being made in reliance upon Rule 144A under the Securities Act, written
        certifications from the Certificateholder desiring to effect the transfer
        and
        from such Certificateholder’s prospective transferee, substantially in the form
        attached hereto as Exhibit B-1; (ii) if such transfer is purportedly being
        made
        in reliance upon Rule 501(a) under the Securities Act, written certifications
        from the Certificateholder desiring to effect the transfer and from such
        Certificateholder’s prospective transferee, substantially in the form attached
        hereto as Exhibit B-2; (iii) if such transfer is purportedly being made in
        reliance on Regulation S, a written certification from the prospective
        transferee, substantially in the form attached hereto as Exhibit B-1 and
        (iv) in
        all other cases, an Opinion of Counsel satisfactory to the Securities
        Administrator that such transfer may be made without such registration or
        qualification (which Opinion of Counsel shall not be an expense of the Trust
        Fund or of the Depositor, the Trustee, the Master Servicer, the Securities
        Administrator or the Servicer), together with copies of the written
        certification(s) of the Certificateholder desiring to effect the transfer
        and/or
        such Certificateholder’s prospective transferee upon which such Opinion of
        Counsel is based, if any. Neither of the Depositor nor the Securities
        Administrator is obligated to register or qualify any such Certificates under
        the Securities Act or any other securities laws or to take any action not
        otherwise required under this Agreement to permit the transfer of such
        Certificates without registration or qualification. Any Certificateholder
        desiring to effect the transfer of any such Certificate shall, and does hereby
        agree to, indemnify the Trustee, the Depositor, the Master Servicer, the
        Securities Administrator and the Servicer 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.

       

      A
        holder
        of a beneficial interest in a Regulation S Temporary Global Certificate must
        provide Euroclear or Clearstream, as the case may be, with a certificate
        in the
        form of Annex A to Exhibit B-1 hereto certifying that the beneficial owner
        of
        the interest in such Global Certificate is not a U.S. Person (as defined
        in
        Regulation S), and Euroclear or Clearstream, as the case may be, must provide
        to
        the Trustee and Securities Administrator a certificate in the form of Exhibit
        B-1 hereto prior to (i) the payment of interest or principal with respect
        to
        such holder’s beneficial interest in the Regulation S Temporary Global
        Certificate and (ii) any exchange of such beneficial interest for a beneficial
        interest in a Regulation S Permanent Global Certificate.

       

      (c)  No
        transfer of a Class CE-1 Certificate, Class CE-2 Certificate, Class P
        Certificate or a Residual Certificate or any interest therein shall be made
        to
        any Plan, any Person acting, directly or indirectly, on behalf of any such
        Plan
        or any Person acquiring such Certificates with “Plan Assets” of a Plan within
        the meaning of the Department of Labor regulation promulgated at 29 C.F.R.
§
2510.3-101 (“Plan Assets”) unless the Securities Administrator is provided with
        an Opinion of Counsel on which the Depositor, the Master Servicer, the
        Securities Administrator, the Trustee and the Servicer may rely, which
        establishes to the satisfaction of the Securities Administrator that the
        purchase of such Certificates is permissible under applicable law, will not
        constitute or result in any prohibited transaction under ERISA or
        Section 4975 of the Code and will not subject the Depositor, the Servicer,
        the Trustee, the Master Servicer, the Securities Administrator or the Trust
        Fund
        to any obligation or liability (including obligations or liabilities under
        ERISA
        or Section 4975 of the Code) in addition to those undertaken in this
        Agreement, which Opinion of Counsel shall not be an expense of the Depositor,
        the Servicer, the Trustee, the Master Servicer, the Securities Administrator
        or
        the Trust Fund. An Opinion of Counsel will not be required in connection
        with
        the initial transfer of any such Certificate by the Depositor to an affiliate
        of
        the Depositor (in which case, the Depositor or any affiliate thereof shall
        have
        deemed to have represented that such affiliate is not a Plan or a Person
        investing Plan Assets) and the Securities Administrator shall be entitled
        to
        conclusively rely upon a representation (which, upon the request of the
        Securities Administrator, shall be a written representation) from the Depositor
        of the status of such transferee as an affiliate of the Depositor.

       

      For
        so
        long as the Supplemental Interest Trust is in existence, each beneficial
        owner
        of a Offered Certificate or any interest therein, shall be deemed to have
        represented, by virtue of its acquisition or holding of the Offered Certificate,
        or interest therein, that either (i) it is not a Plan or (ii)(A) it is an
        accredited investor within the meaning of Prohibited Transaction Exemption
        2002-41, as amended from time to time (the “Exemption”) and (B) the acquisition
        and holding of such Certificate and the separate right to receive payments
        from
        the Supplemental Interest Trust are eligible for the exemptive relief available
        under Prohibited Transaction Class Exemption (“PTCE”) 84-14 (for transactions by
        independent “qualified professional asset managers”), 91-38 (for transactions by
        bank collective investment funds), 90-1 (for transactions by insurance company
        pooled separate accounts), 95-60 (for transactions by insurance company general
        accounts) or 96-23 (for transactions effected by “in-house asset managers”) in
        the case of an Offered Certificate. 

       

      Each
        Transferee of a Mezzanine Certificate or any interest therein that is acquired
        after the termination of the Supplemental Interest Trust will be deemed to
        have
        represented by virtue of its purchase or holding of such Certificate (or
        interest therein) that either (a) such Transferee is not a Plan or purchasing
        such Certificate with Plan Assets, (b) it has acquired and is holding such
        Certificate in reliance on the Exemption, and that it understands that there
        are
        certain conditions to the availability of the Exemption including that such
        Certificate must be rated, at the time of purchase, not lower than “BBB-” (or
        its equivalent) by a Rating Agency or (c) the following conditions are
        satisfied: (i) such Transferee is an insurance company, (ii) the source of
        funds
        used to purchase or hold such Certificate (or interest therein) is an “insurance
        company general account” (as defined in PTCE 95-60), and (iii) the conditions
        set forth in Sections I and III of PTCE 95-60 have been satisfied.

       

      If
        any
        Certificate or any interest therein is acquired or held in violation of the
        conditions described in this Section 6.02(c), 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 any certificate
        or
        interest therein was effected in violation of the conditions described in
        this
        Section 6.02(c) shall indemnify and hold harmless the Depositor, the
        Trustee, the Servicer, the Master Servicer, the Securities Administrator
        and the
        Trust Fund from and against any and all liabilities, claims, costs or expenses
        incurred by those parties as a result of that acquisition or
        holding.

       

      (d)  (i)
        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 to have irrevocably
        authorized the Securities Administrator or its designee under clause (iii)(A)
        below to deliver payments to a Person other than such Person and to negotiate
        the terms of any mandatory sale under clause (iii)(B) below and to execute
        all
        instruments of Transfer and to do all other things necessary in connection
        with
        any such sale. The rights of each Person acquiring any Ownership Interest
        in a
        Residual Certificate are expressly subject to the following
        provisions:

       

      (A)  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.

       

      (B)  In
        connection with any proposed Transfer of any Ownership Interest in a Residual
        Certificate, the Securities Administrator shall require delivery to it, and
        shall not register the Transfer of any Residual Certificate until its receipt
        of, an affidavit and agreement (a “Transfer Affidavit and Agreement,” in the
        form attached hereto as Exhibit B-3) from the proposed Transferee, in form
        and
        substance satisfactory to the Securities Administrator, representing and
        warranting, among other things, that such Transferee is a Permitted Transferee,
        that it is not acquiring its Ownership Interest in the Residual Certificate
        that
        is the subject of the proposed Transfer as a nominee, trustee or agent for
        any
        Person that is not a Permitted Transferee, that for so long as it retains
        its
        Ownership Interest in a Residual Certificate, it will endeavor to remain
        a
        Permitted Transferee, and that it has reviewed the provisions of this
        Section 6.02(d) and agrees to be bound by them.

       

      (C)  Notwithstanding
        the delivery of a Transfer Affidavit and Agreement by a proposed Transferee
        under clause (B) above, if an authorized officer of the Securities Administrator
        who is assigned to this transaction has actual knowledge that the proposed
        Transferee is not a Permitted Transferee, no Transfer of an Ownership Interest
        in a Residual Certificate to such proposed Transferee shall be
        effected.

       

      (D)  Each
        Person holding or acquiring any Ownership Interest in a Residual Certificate
        shall agree (x) to require a Transfer Affidavit and Agreement from any other
        Person to whom such Person attempts to transfer its Ownership Interest in
        a
        Residual Certificate and (y) not to transfer its Ownership Interest unless
        it
        provides a Transferor Affidavit (in the form attached hereto as Exhibit B-2)
        to
        the Securities Administrator stating that, among other things, it has no
        actual
        knowledge that such other Person is not a Permitted Transferee.

       

      (E)  Each
        Person holding or acquiring an Ownership Interest in a Residual Certificate,
        by
        purchasing an Ownership Interest in such Certificate, agrees to give the
        Securities Administrator written notice that it is a “pass-through interest
        holder” within the meaning of temporary Treasury regulation
        Section 1.67-3T(a)(2)(i)(A) immediately upon acquiring an Ownership
        Interest in a Residual Certificate, if it is, or is holding an Ownership
        Interest in a Residual Certificate on behalf of, a “pass-through interest
        holder.”

       

      (ii)  The
        Securities Administrator will register the Transfer of any Residual Certificate
        only if it shall have received the Transfer Affidavit and Agreement and all
        of
        such other documents as shall have been reasonably required by the Securities
        Administrator as a condition to such registration. In addition, no Transfer
        of a
        Residual Certificate shall be made unless the Securities Administrator shall
        have received a representation letter from the Transferee of such Certificate
        to
        the effect that such Transferee is a Permitted Transferee.

       

      (iii)  (A)If
        any
        purported Transferee shall become a Holder of a Residual Certificate in
        violation of the provisions of this Section 6.02(d), then the last
        preceding Permitted Transferee shall be restored, to the extent permitted
        by
        law, to all rights as holder thereof retroactive to the date of registration
        of
        such 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 this Section 6.02(d)
        or for making any payments due on such Certificate to the holder thereof
        or for
        taking any other action with respect to such holder under the provisions
        of this
        Agreement.

       

      (B)  If
        any
        purported Transferee shall become a holder of a Residual Certificate in
        violation of the restrictions in this Section 6.02(d) and to the extent
        that the retroactive restoration of the rights of the holder of such Residual
        Certificate as described in clause (iii)(A) above shall be invalid, illegal
        or
        unenforceable, then the Securities Administrator shall have the right, without
        notice to the holder or any prior holder of such Residual Certificate, to
        sell
        such Residual Certificate to a purchaser selected by the Securities
        Administrator on such terms as the Securities Administrator may choose. Such
        purported Transferee shall promptly endorse and deliver each Residual
        Certificate in accordance with the instructions of the Securities Administrator.
        Such purchaser may be the Securities Administrator itself or any Affiliate
        of
        the Securities Administrator. The proceeds of such sale, net of the commissions
        (which may include commissions payable to the Securities Administrator or
        its
        Affiliates), expenses and taxes due, if any, will be remitted by the Securities
        Administrator to such purported Transferee. The terms and conditions of any
        sale
        under this clause (iii)(B) shall be determined in the sole discretion of
        the
        Securities Administrator, and the Securities Administrator shall not be liable
        to any Person having an Ownership Interest in a Residual Certificate as a
        result
        of its exercise of such discretion.

       

      (iv)  The
        Securities Administrator shall make available to the Internal Revenue Service
        and those Persons specified by the REMIC Provisions all information necessary
        to
        compute any tax imposed (A) as a result of the Transfer of an Ownership Interest
        in a Residual Certificate to any Person who is a Disqualified Organization,
        including the information described in Treasury regulations sections
        1.860D-1(b)(5) and 1.860E-2(a)(5) with respect to the “excess inclusions” of
        such Residual Certificate and (B) as a result of any regulated investment
        company, real estate investment trust, common trust fund, partnership, trust,
        estate or organization described in Section 1381 of the Code that holds an
        Ownership Interest in a Residual Certificate having as among its record holders
        at any time any Person which is a Disqualified Organization. Reasonable
        compensation for providing such information may be charged or collected by
        the
        Securities Administrator.

       

      (v)  The
        provisions of this Section 6.02(d) set forth prior to this subsection (v)
        may be modified, added to or eliminated, provided that there shall have been
        delivered to the Securities Administrator at the expense of the party seeking
        to
        modify, add to or eliminate any such provision the following:

       

      (A)  written
        notification from each Rating Agency to the effect that the modification,
        addition to or elimination of such provisions will not cause such Rating
        Agency
        to downgrade its then-current ratings of any Class of Certificates;
        and

       

      (B)  an
        Opinion of Counsel, in form and substance satisfactory to the Securities
        Administrator, to the effect that such modification of, addition to or
        elimination of such provisions will not cause any Trust REMIC to cease to
        qualify as a REMIC and will not cause any Trust REMIC, as the case may be,
        to be
        subject to an entity-level tax caused by the Transfer of any Residual
        Certificate to a Person that is not a Permitted Transferee or a Person other
        than the prospective transferee to be subject to a REMIC-tax caused by the
        Transfer of a Residual Certificate to a Person that is not a Permitted
        Transferee.

       

      (e)  Subject
        to the preceding subsections, upon surrender for registration of transfer
        of any
        Certificate at any office or agency of the Securities Administrator maintained
        for such purpose pursuant to Section 9.11, the Securities Administrator
        shall execute, authenticate and deliver, in the name of the designated
        Transferee or Transferees, one or more new Certificates of the same Class
        of a
        like aggregate Percentage Interest.

       

      (f)  At
        the
        option of the Holder thereof, any Certificate may be exchanged for other
        Certificates of the same Class with authorized denominations and a like
        aggregate Percentage Interest, upon surrender of such Certificate to be
        exchanged at any office or agency of the Securities Administrator maintained
        for
        such purpose pursuant to Section 9.11. 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 transfer or exchange shall (if so required by the Securities Administrator)
        be duly endorsed by, or be accompanied by a written instrument of transfer
        in
        the form satisfactory to the Securities Administrator duly executed by, the
        Holder thereof or his attorney duly authorized in writing. In addition, with
        respect to each Class R Certificate, the holder thereof may exchange, in
        the
        manner described above, such Class R Certificate for two separate certificates,
        each representing such holder's respective Percentage Interest in the Class
        R-I
        Interest and the Class R-II Interest, respectively, in each case that was
        evidenced by the Class R Certificate being exchanged.

       

      (g)  No
        service charge to the Certificateholders shall be made for any transfer or
        exchange of 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 Certificates.

       

      (h)  All
        Certificates surrendered for transfer and exchange shall be canceled and
        destroyed by the Securities Administrator in accordance with its customary
        procedures.

       

      SECTION
        6.03.  Mutilated,
        Destroyed, Lost or Stolen Certificates.

       

      If
        (i)
        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 of the ownership thereof,
        and
        (ii) there is delivered to Securities Administrator such security or indemnity
        as may be required by it to save it harmless, then, in the absence of actual
        knowledge by the Securities Administrator that such Certificate has been
        acquired by a protected 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 the same Class
        and
        of like denomination and Percentage Interest. Upon the issuance of any new
        Certificate under this Section, 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 shall constitute
        complete and indefeasible evidence of ownership in the applicable REMIC created
        hereunder, as if originally issued, whether or not the lost, stolen or destroyed
        Certificate shall be found at any time.

       

      SECTION
        6.04.  Persons
        Deemed Owners.

       

      The
        Depositor, the Servicer, the Trustee, the Master Servicer, the Securities
        Administrator and any agent of any of them may treat the Person in whose
        name
        any Certificate is registered as the owner of such Certificate for the purpose
        of receiving distributions pursuant to Section 4.01 and for all other
        purposes whatsoever, and none of the Depositor, the Servicer, the Trustee,
        the
        Master Servicer, the Securities Administrator or any agent of any of them
        shall
        be affected by notice to the contrary.

       

      SECTION
        6.05.  Certain
        Available Information.

       

      On
        or
        prior to the date of the first sale of any Class CE-1 Certificate, Class
        CE-2
        Certificate, Class P Certificate or Residual Certificate to an Independent
        third
        party, the Depositor shall provide to the Securities Administrator ten copies
        of
        any private placement memorandum or other disclosure document used by the
        Depositor in connection with the offer and sale of such Certificate. In
        addition, if any such private placement memorandum or disclosure document
        is
        revised, amended or supplemented at any time following the delivery thereof
        to
        the Securities Administrator, the Depositor promptly shall inform the Securities
        Administrator of such event and shall deliver to the Securities Administrator
        ten copies of the private placement memorandum or disclosure document, as
        revised, amended or supplemented. The Securities Administrator shall maintain
        at
        its office as set forth in Section 12.05 hereof and shall make available
        free of charge during normal business hours for review by any Holder of a
        Certificate or any Person identified to the Securities Administrator as a
        prospective transferee of a Certificate, originals or copies of the following
        items: (i) in the case of a Holder or prospective transferee of a Class CE-1
        Certificate, Class CE-2 Certificate, Class P Certificate or Residual
        Certificate, the related private placement memorandum or other disclosure
        document relating to such Class of Certificates, in the form most recently
        provided to the Securities Administrator; and (ii) in all cases, (A) this
        Agreement and any amendments hereof entered into pursuant to Section 11.01,
        (B) all monthly statements required to be delivered to Certificateholders
        of the
        relevant Class pursuant to Section 5.02 since the Closing Date, and all
        other notices, reports, statements and written communications delivered to
        the
        Certificateholders of the relevant Class pursuant to this Agreement since
        the
        Closing Date and (C) any copies of all Officers’ Certificates of the Servicer
        since the Closing Date delivered to the Master Servicer to evidence such
        Person’s determination that any P&I Advance or Servicing Advance was, or if
        made, would be a Nonrecoverable P&I Advance or Nonrecoverable Servicing
        Advance. Copies and mailing of any and all of the foregoing items will be
        available from the Securities Administrator upon request at the expense of
        the
        Person requesting the same.

       

       

       

      ARTICLE
        VII

      THE
        DEPOSITOR, THE SERVICER AND THE MASTER SERVICER

       

      SECTION
        7.01.  Liability
        of the Depositor, the Servicer and the Master Servicer.

       

      The
        Depositor, the Servicer and the Master Servicer each shall be liable in
        accordance herewith only to the extent of the obligations specifically imposed
        by this Agreement upon them in their respective capacities as Depositor,
        the
        Servicer and Master Servicer and undertaken hereunder by the Depositor, the
        Servicer and the Master Servicer herein.

       

      SECTION
        7.02.  Merger
        or Consolidation of the Depositor, the Servicer or the Master
        Servicer. 

       

      Subject
        to the following paragraph, the Depositor will keep in full effect its
        existence, rights and franchises as a corporation under the laws of the
        jurisdiction of its incorporation. Subject to the following paragraph, the
        Servicer will keep in full effect its existence, rights and franchises as
        a
        corporation. Subject to the following paragraph, the Master Servicer will
        keep
        in full effect its existence, rights and franchises as a national banking
        association. The Depositor, the Servicer and the Master Servicer each will
        obtain and preserve its qualification to do business as a foreign entity
        in each
        jurisdiction in which such qualification is or shall be necessary to protect
        the
        validity and enforceability of this Agreement, the Certificates or any of
        the
        Mortgage Loans and to perform its respective duties under this
        Agreement.

       

      The
        Depositor, any Servicer or the Master Servicer may be merged or consolidated
        with or into any Person, or convert from one entity form to another, or transfer
        all or substantially all of its assets to any Person, in which case any Person
        resulting from any merger, consolidation or conversion to which the Depositor,
        the Servicer or the Master Servicer shall be a party, or any Person succeeding
        to the business of the Depositor, the Servicer or the Master Servicer, shall
        be
        the successor of the Depositor, the Servicer or the Master Servicer, as the
        case
        may be, 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 any successor to the Servicer or
        the
        Master Servicer shall meet the eligibility requirements set forth in clauses
        (i)
        and (iii) of the last paragraph of Section 8.02(a) or Section 7.06, as
        applicable. 

       

      SECTION
        7.03.  Limitation
        on Liability of the Depositor, the Servicer, the Master Servicer and
        Others.

       

      None
        of
        the Depositor, the Servicer, the Securities Administrator, the Master Servicer
        or any of the directors, officers, employees or agents of the Depositor,
        the
        Servicer or the Master Servicer shall be under any liability to the Trust
        Fund
        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
        Depositor, the Servicer, the Securities Administrator, the Master Servicer
        or
        any such person against any breach of warranties, representations or covenants
        made herein or against any specific liability imposed on any such Person
        pursuant hereto or against any liability which would otherwise be imposed
        by
        reason of gross negligence or by reason of reckless disregard of obligations
        and
        duties hereunder. The Depositor, the Servicer, the Securities Administrator,
        the
        Master Servicer and any director, officer, employee or agent of the Depositor,
        the Servicer, the Securities Administrator and the Master Servicer may rely
        in
        good faith on any document of any kind which, prima facie, is properly executed
        and submitted by any Person respecting any matters arising hereunder. The
        Depositor, the Servicer, the Securities Administrator, the Master Servicer
        and
        any director, officer, employee or agent of the Depositor, the Servicer,
        the
        Securities Administrator or the Master Servicer shall be indemnified and
        held
        harmless by the Trust Fund against any loss, liability or expense incurred
        in
        connection with any legal action relating to this Agreement, the Certificates
        or
        any Credit Risk Management Agreement or any loss, liability or expense incurred
        other than 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. None of the Depositor, any Servicer, the
        Securities Administrator or the Master Servicer shall be under any obligation
        to
        appear in, prosecute or defend any legal action unless such action is related
        to
        its respective duties under this Agreement and, in its opinion, does not
        involve
        it in any expense or liability; provided, however, that each of the Depositor,
        the Servicer, the Securities Administrator and the Master Servicer may in
        its
        discretion undertake any such action which it may deem necessary or desirable
        with 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 (except
        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) shall be expenses,
        costs
        and liabilities of the Trust Fund, and the Depositor, the Servicer, the
        Securities Administrator and the Master Servicer shall be entitled to be
        reimbursed therefor from the Collection Account or the Distribution Account
        as
        and to the extent provided in Article III and Article IV, any such right
        of
        reimbursement being prior to the rights of the Certificateholders to receive
        any
        amount in the Collection Account and the Distribution Account.

       

      Notwithstanding
        anything to the contrary contained herein, no Servicer shall be liable for
        any
        actions or inactions prior to the Cut-off Date of any prior servicer of the
        related Mortgage Loans and the Master Servicer shall not be liable for any
        action or inaction of any Servicer, except to the extent expressly provided
        herein, or the Credit Risk Management Agreement.

       

      SECTION
        7.04.  Limitation
        on Resignation of the Servicer.

       

      (a)  Except
        as
        expressly provided herein, the Servicer shall not assign all or substantially
        all of its rights under this Agreement or the servicing hereunder or delegate
        all or substantially all of its duties hereunder or sell or otherwise dispose
        of
        all or substantially all of its property or assets without, in each case,
        the
        prior written consent of the Master Servicer, which consent shall not be
        unreasonably withheld; provided, that in each case, there must be delivered
        to
        the Trustee and the Master Servicer a letter from each Rating Agency to the
        effect that such transfer of servicing or sale or disposition of assets will
        not
        result in a qualification, withdrawal or downgrade of the then-current rating
        of
        any of the Certificates. Notwithstanding the foregoing, the Servicer, without
        the consent of the Trustee or the Master Servicer, may retain third-party
        contractors to perform certain servicing and loan administration functions,
        including without limitation hazard insurance administration, tax payment
        and
        administration, flood certification and administration, collection services
        and
        similar functions, provided, however, that the retention of such contractors
        by
        the Servicer shall not limit the obligation of the Servicer to service the
        related Mortgage Loans pursuant to the terms and conditions of this Agreement.
        The Servicer shall not resign from the obligations and duties hereby imposed
        on
        it except (i) upon determination that its duties hereunder are no longer
        permissible under applicable law, or (ii) upon the Servicer’s written proposal
        of a successor servicer reasonably acceptable to each of the Sponsor, the
        Depositor and the Master Servicer. No such resignation under clause (i) above
        shall become effective unless evidenced by an Opinion of Counsel to such
        effect
        obtained at the expense of the Servicer and delivered to the Trustee and
        the
        Rating Agencies. No such resignation of the Servicer under clause (ii) shall
        be
        effective unless:

       

      (i)  the
        proposed successor Servicer is (1) an affiliate of the Master Servicer that
        services mortgage loans similar to the Mortgage Loans in the jurisdictions
        in
        which the related Mortgaged Properties are located or (2) the proposed successor
        Servicer has a rating of at least “Above Average” by S&P and either a rating
        of at least “RPS2” by Fitch or a rating of at least “SQ2” by
        Moody’s;

       

      (ii)  the
        Rating Agencies have confirmed to the Trustee that the appointment of the
        proposed successor servicer as the servicer under this Agreement will not
        result
        in the reduction or withdrawal of the then current ratings of any of the
        Certificates; and

       

      (iii)  the
        proposed successor Servicer has a net worth of at least
        $25,000,000.

       

      Notwithstanding
        anything to the contrary, no resignation of the Servicer shall become effective
        until the Master Servicer or a successor Servicer shall have assumed the
        Servicer’s responsibilities, duties, liabilities (other than those liabilities
        arising prior to the appointment of such successor) and obligations under
        this
        Agreement.

       

      (b)  Except
        as
        expressly provided herein, the 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 Servicer hereunder.
        The
        foregoing prohibition on assignment shall not prohibit the Servicer from
        designating a Sub-Servicer as payee of any indemnification amount payable
        to the
        Servicer hereunder; provided, however, that as provided in Section 3.02,
        no
        Sub-Servicer shall be a third-party beneficiary hereunder and the parties
        hereto
        shall not be required to recognize any Sub-Servicer as an indemnitee under
        this
        Agreement.

       

      SECTION
        7.05.  Limitation
        on Resignation of the Master Servicer.

       

      The
        Master Servicer shall not resign from the obligations and duties hereby imposed
        on it except upon determination that its duties hereunder are no longer
        permissible under applicable law. Any such determination pursuant to the
        preceding sentence permitting the resignation of the Master Servicer shall
        be
        evidenced by an Opinion of Counsel to such effect obtained at the expense
        of the
        Master Servicer and delivered to the Trustee and the Rating Agencies. No
        resignation of the Master Servicer shall become effective until the Trustee
        or a
        successor Master Servicer meeting the criteria specified in Section 7.06
        shall have assumed the Master Servicer’s responsibilities, duties, liabilities
        (other than those liabilities arising prior to the appointment of such
        successor) and obligations under this Agreement.

       

      SECTION
        7.06.  Assignment
        of Master Servicing.

       

      The
        Master Servicer may sell and assign its rights and delegate its duties and
        obligations in its entirety as Master Servicer under this Agreement; provided,
        however, that: (i) the purchaser or transferee accept in writing such assignment
        and delegation and assume the obligations of the Master Servicer hereunder
        (a)
        shall have a net worth of not less than $25,000,000 (unless otherwise approved
        by each Rating Agency pursuant to clause (ii) below); (b) shall be reasonably
        satisfactory to the Trustee (as evidenced in a writing signed by the Trustee);
        and (c) shall execute and deliver to the Trustee an agreement, in form and
        substance reasonably satisfactory to the Trustee, which contains an assumption
        by such Person of the due and punctual performance and observance of each
        covenant and condition to be performed or observed by it as master servicer
        under this Agreement, any custodial agreement from and after the effective
        date
        of such agreement; (ii) each Rating Agency shall be given prior written notice
        of the identity of the proposed successor to the Master Servicer and each
        Rating
        Agency’s rating of the Certificates in effect immediately prior to such
        assignment, sale and delegation will not be downgraded, qualified or withdrawn
        as a result of such assignment, sale and delegation, as evidenced by a letter
        to
        such effect delivered to the Master Servicer and the Trustee; and (iii) the
        Master Servicer assigning and selling the master servicing shall deliver
        to the
        Trustee an Officer’s Certificate and an Opinion of Independent counsel, each
        stating that all conditions precedent to such action under this Agreement
        have
        been completed and such action is permitted by and complies with the terms
        of
        this Agreement. No such assignment or delegation shall affect any liability
        of
        the Master Servicer arising out of acts or omissions prior to the effective
        date
        thereof.

       

      SECTION
        7.07.  Rights
        of the Depositor in Respect of the Servicer and the Master
        Servicer.

       

      Each
        of
        the Master Servicer and the Servicer shall afford (and any Sub-Servicing
        or
        Subcontracting Agreement shall provide that each Sub-Servicer or Subcontractor,
        as applicable shall afford) the Depositor and the Trustee, upon reasonable
        notice, during normal business hours, access to all records maintained by
        the
        Master Servicer or the Servicer (and any such Sub-Servicer or Subcontractor,
        as
        applicable) in respect of the Servicer’s rights and obligations hereunder and
        access to officers of the Master Servicer or the Servicer (and those of any
        such
        Sub-Servicer or Subcontractor, as applicable) responsible for such obligations,
        and the Master Servicer shall have access to all such records maintained
        by the
        Servicer and any Sub-Servicers or Subcontractors. Upon request, each of the
        Master Servicer and the Servicer shall furnish to the Depositor and the Trustee
        its (and any such Sub-Servicer’s or Subcontractor’s) most recent financial
        statements and such other information relating to the Master Servicer’s or the
        Servicer’s capacity to perform its obligations under this Agreement as it
        possesses (and that any such Sub-Servicer or Subcontractor possesses). To
        the
        extent the Depositor and the Trustee are made aware by the Master Servicer
        or
        the Servicer that such information is not otherwise available to the public,
        the
        Depositor and the Trustee shall not disseminate any information obtained
        pursuant to the preceding two sentences without the Master Servicer’s or the
        Servicer’s written consent, except as required pursuant to this Agreement or to
        the extent that it is appropriate to do so (i) to its legal counsel, auditors,
        taxing authorities or other governmental agencies and the Certificateholders,
        (ii) pursuant to any law, rule, regulation, order, judgment, writ, injunction
        or
        decree of any court or governmental authority having jurisdiction over the
        Depositor and the Trustee or the Trust Fund, and in any case, the Depositor
        or
        the Trustee, (iii) disclosure of any and all information that is or becomes
        publicly known, or information obtained by the Trustee from sources other
        than
        the Depositor, the Servicer or the Master Servicer, (iv) disclosure as required
        pursuant to this Agreement or (v) disclosure of any and all information (A)
        in
        any preliminary or final offering circular, registration statement or contract
        or other document pertaining to the transactions contemplated by the Agreement
        approved in advance by the Depositor, the Servicer or the Master Servicer
        or (B)
        to any affiliate, independent or internal auditor, agent, employee or attorney
        of the Trustee having a need to know the same, provided that the Trustee
        advises
        such recipient of the confidential nature of the information being disclosed,
        shall use its best efforts to assure the confidentiality of any such
        disseminated non-public information. Nothing in this Section 7.07 shall
        limit the obligation of the Servicer to comply with any applicable law
        prohibiting disclosure of information regarding the Mortgagors and the failure
        of the Servicer to provide access as provided in this Section 7.07 as a
        result of such obligation shall not constitute a breach of this Section.
        Nothing
        in this Section 7.07 shall require the Servicer to collect, create, collate
        or otherwise generate any information that it does not generate in its usual
        course of business. No Servicer shall be required to make copies of or ship
        documents to any party unless provisions have been made for the reimbursement
        of
        the costs thereof. The Depositor may, but is not obligated to, enforce the
        obligations of the Master Servicer and the Servicer under this Agreement
        and
        may, but is not obligated to, perform, or cause a designee to perform, any
        defaulted obligation of the Master Servicer or any Servicer under this Agreement
        or exercise the rights of the Master Servicer or any Servicer under this
        Agreement; provided that neither the Master Servicer nor the Servicer shall
        be
        relieved of any of its obligations under this Agreement by virtue of such
        performance by the Depositor or its designee. The Depositor shall not have
        any
        responsibility or liability for any action or failure to act by the Master
        Servicer or the Servicer and is not obligated to supervise the performance
        of
        the Master Servicer or any Servicer under this Agreement or
        otherwise.

       

      SECTION
        7.08.  Duties
        of the Credit Risk Manager. 

       

      For
        and
        on behalf of the Depositor, 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
        to the Credit Risk Manager pursuant to the Credit Risk Management Agreements,
        and the Credit Risk Manager shall look solely to the Servicer and/or Master
        Servicer for all information and data (including loss and delinquency
        information and data) relating to the servicing of the related Mortgage Loans.
        Upon any termination of the Credit Risk Manager or the appointment of a
        successor Credit Risk Manager, the Depositor shall give written notice thereof
        to the Servicer, the Master Servicer, the Securities Administrator, the Trustee,
        and each Rating Agency. Notwithstanding the foregoing, the termination of
        the
        Credit Risk Manager pursuant to this Section shall not become effective
        until the appointment of a successor Credit Risk Manager. The Trustee is
        hereby
        authorized to enter into any Credit Risk Management Agreement necessary to
        effect the foregoing.

       

      SECTION
        7.09.  Limitation
        Upon Liability of the Credit Risk Manager. 

       

      Neither
        the Credit Risk Manager, nor any of its directors, officers, employees, or
        agents shall be under any liability to the Trustee, the Certificateholders,
        or
        the Depositor for any action taken or for refraining from the taking of any
        action made in good faith pursuant to this Agreement, in reliance upon
        information provided by the Servicer under the related Credit Risk Management
        Agreement, 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 or bad faith
        in
        its performance of its duties. 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 by the Servicer pursuant to the related
        Credit Risk Management Agreement in the performance of its duties thereunder
        and
        hereunder.

       

      SECTION
        7.10.  Removal
        of the 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 in the Trust Fund, in
        the
        exercise of its or their sole discretion. The Certificateholders shall provide
        written notice of the Credit Risk Manager’s removal to the Trustee. Upon receipt
        of such notice, the Trustee shall provide written notice to the Credit Risk
        Manager of its removal, which shall be effective upon receipt of such notice
        by
        the Credit Risk Manager, with a copy to the Securities Administrator and
        the
        Master Servicer.

       

      SECTION
        7.11.  Transfer
        of Servicing by Sponsor.

       

      The
        Sponsor may, at its option, transfer the servicing responsibilities of GMAC
        as
        the Servicer with respect to the Mortgage Loans at any time without cause.
        No
        such transfer shall become effective unless and until a successor to GMAC
        shall
        have been appointed to service and administer the related Mortgage Loans
        pursuant to the terms and conditions of this Agreement. No appointment shall
        be
        effective unless (i) such successor meets the eligibility criteria set forth
        in
        Section 7.04 and (ii) all amounts reimbursable to GMAC under this Agreement
        shall have been paid by the successor appointed pursuant to the terms of
        this
        Section 7.11 or by the Sponsor including without limitation, all unreimbursed
        P&I Advances and Servicing Advances made by GMAC, accrued and unpaid
        Servicing Fees and all out-of-pocket expenses of GMAC incurred in connection
        with the transfer of servicing to such successor. The Sponsor shall provide
        a
        copy of the written confirmation of the Rating Agencies to the Trustee, the
        Securities Administrator and the Master Servicer. In connection with such
        appointment and assumption described herein, the Sponsor 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 no such
        compensation shall be in excess of that permitted by GMAC hereunder. The
        Sponsor
        shall take such action, consistent with this Agreement, as shall be necessary
        to
        effectuate any such succession.

       

       

       

      ARTICLE
        VIII

      DEFAULT

       

      SECTION
        8.01.  Servicer
        Events of Default.

       

      (a)  “Servicer
        Event of Default,” wherever used herein, means any one of the following
        events:

       

      (i)  any
        failure by the Servicer to remit to the Securities Administrator for
        distribution to the Certificateholders any payment (other than a P&I Advance
        required to be made from its own funds on any Servicer Remittance Date pursuant
        to Section 5.03 of the Agreement) required to be made by the Servicer under
        the
        terms of the Certificates and this Agreement which continues unremedied for
        a
        period of one Business Day after the date upon which written notice of such
        failure, requiring the same to be remedied, shall have been given to the
        Servicer by the Depositor or the Trustee (in which case notice shall be provided
        by telecopy), or to the Servicer, the Depositor, the Trustee and by the Holders
        of Certificates entitled to at least 25% of the Voting Rights; or

       

      (ii)  any
        failure on the part of the Servicer duly to observe or perform in any material
        respect any other of the covenants or agreements on the part of the Servicer
        contained in this Agreement, or the material breach by the Servicer of any
        representation and warranty contained in Section 2.05 of the Agreement, which
        continues unremedied for a period of thirty (30) days after the date on which
        written notice of such failure, or as otherwise set forth in this Agreement,
        requiring the same to be remedied, shall have been given to the Servicer
        by the
        Depositor or the Trustee or to the Servicer, the Depositor and the Trustee
        by
        the Holders of Certificates entitled to at least 25% of the Voting Rights;
        provided, however, that in the case of a failure that cannot be cured within
        thirty (30) days, the cure period may be extended for an additional thirty
        (30)
        days if the Servicer can demonstrate to the reasonable satisfaction of the
        Trustee that the Servicer is diligently pursuing remedial action;
        or

       

      (iii)  a
        decree
        or order of a court or agency or supervisory authority having jurisdiction
        in
        the premises in an involuntary case under any present or future federal or
        state
        bankruptcy, insolvency or similar law or the appointment of a conservator
        or
        receiver or liquidator in any insolvency, readjustment of debt, marshalling
        of
        assets and liabilities or similar proceeding, or for the winding-up or
        liquidation of its affairs, shall have been entered against the Servicer
        and
        such decree or order shall have remained in force undischarged or unstayed
        for a
        period of ninety (90) days; or

       

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

       

      (v)  the
        Servicer shall admit in writing its inability to pay its debts generally
        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;

       

      (vi)  failure
        by the Servicer to duly perform, within the required time period, its
        obligations under Sections 3.17, 3.18 or 3.19; or

       

      (vii)  any
        failure of the Servicer to make any P&I Advance on any Servicer Remittance
        Date required to be made from its own funds pursuant to Section 5.03 which
        continues unremedied until 3:00 p.m. New York time on the Business Day
        immediately following the Servicer Remittance Date; or

       

      (viii)  failure
        of the Servicer to maintain at least an “average” rating from the Rating
        Agencies.

       

      If
        the
        Servicer Event of Default described in clauses (i) through (vi) or (viii)
        of
        this Section shall occur, then, and in each and every such case, so long as
        the Servicer Event of Default shall not have been remedied, the Depositor
        or the
        Trustee may, and at the written direction of the Holders of Certificates
        entitled to at least 51% of Voting Rights, the Trustee shall, by notice in
        writing to the defaulting Servicer (and to the Depositor if given by the
        Trustee
        or to the Trustee if given by the Depositor) with a copy to the Master Servicer
        and each Rating Agency, terminate all of the rights and obligations of the
        defaulting Servicer in its capacity as the Servicer under this Agreement,
        to the
        extent permitted by law, and in and to the related Mortgage Loans and the
        proceeds thereof. If the Servicer Event of Default described in clause (vii)
        hereof shall occur, the Trustee shall, by notice in writing to the defaulting
        Servicer, the Depositor and the Master Servicer, terminate all of the rights
        and
        obligations of the defaulting Servicer in its capacity as the Servicer under
        this Agreement and in and to the related Mortgage Loans and the proceeds
        thereof. Subject to Section 8.02 of this Agreement, on or after the receipt
        by the defaulting Servicer of such written notice, all authority and power
        of
        the defaulting Servicer under this Agreement, whether with respect to the
        Certificates (other than as a Holder of any Certificate) or the related Mortgage
        Loans or otherwise, shall pass to and be vested in the Master Servicer pursuant
        to and under this Section, and, without limitation, the Master Servicer is
        hereby authorized and empowered, as attorney-in-fact or otherwise, to execute
        and deliver, on behalf of and at the expense of the defaulting Servicer,
        any and
        all documents and other instruments and to do or accomplish all other acts
        or
        things necessary or appropriate to effect the purposes of such notice of
        termination, whether to complete the transfer and endorsement or assignment
        of
        the related Mortgage Loans and related documents, or otherwise. The defaulting
        Servicer agrees promptly (and in any event no later than ten (10) Business
        Days
        subsequent to such notice) to provide the Master Servicer with all documents
        and
        records requested by it to enable it to assume the defaulting Servicer’s
        functions under this Agreement, and to cooperate with the Master Servicer
        in
        effecting the termination of the defaulting Servicer’s responsibilities and
        rights under this Agreement, including, without limitation, the transfer
        within
        one (1) Business Day to the Master Servicer for administration by it of all
        cash
        amounts which at the time shall be or should have been credited by the
        defaulting Servicer to the Collection Account held by or on behalf of the
        defaulting Servicer or thereafter be received with respect to the related
        Mortgage Loans or any related REO Property (provided, however, that the
        defaulting Servicer shall continue to be entitled to receive all amounts
        accrued
        or owing to it under this Agreement on or prior to the date of such termination,
        whether in respect of P&I Advances, Servicing Advances, accrued and unpaid
        Servicing Fees or otherwise, and shall continue to be entitled to the benefits
        of Section 7.03 of this Agreement, notwithstanding any such termination,
        with respect to events occurring prior to such termination). Reimbursement
        of
        unreimbursed P&I Advances, Servicing Advances and accrued and unpaid
        Servicing Fees shall be made on a first in, first out (“FIFO”) basis no later
        than the Servicer Remittance Date. For purposes of this Section 8.01(a),
        the Trustee shall not be deemed to have knowledge of the Servicer Event of
        Default unless a Responsible Officer of the Trustee assigned to and working
        in
        the Trustee’s Corporate Trust Office has actual knowledge thereof or unless
        written notice of any event which is in fact such the Servicer Event of Default
        is received by the Trustee at its Corporate Trust Office and such notice
        references the Certificates, the Trust or this Agreement. The Trustee shall
        promptly notify the Master Servicer and the Rating Agencies of the occurrence
        of
        the Servicer Event of Default of which it has knowledge as provided
        above.

       

      The
        Master Servicer shall be entitled to be reimbursed by the defaulting Servicer
        (or from amounts on deposit in the Distribution Account if the defaulting
        Servicer is unable to fulfill its obligations hereunder) for all reasonable
        out-of-pocket or third party costs associated with the transfer of servicing
        from the defaulting Servicer, including without limitation, any reasonable
        out-of-pocket or third party 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 to correct
        any
        errors or insufficiencies in the servicing data or otherwise to enable the
        Master Servicer to service the related Mortgage Loans properly and effectively,
        upon presentation of reasonable documentation of such costs and
        expenses.

       

      (b)  “Master
        Servicer Event of Default,” wherever used herein, means any one of the following
        events:

       

      (i)  any
        failure on the part of the Master Servicer duly to observe or perform in
        any
        material respect any other of the covenants or agreements on the part of
        the
        Master Servicer contained in this Agreement, or the breach by the Master
        Servicer of any representation and warranty contained in Section 2.04,
        which continues unremedied for a period of 30 days after the date on which
        written notice of such failure, or as otherwise set forth in this Agreement,
        requiring the same to be remedied, shall have been given to the Master Servicer
        by the Depositor or the Trustee or to the Master Servicer, the Depositor
        and the
        Trustee by the Holders of Certificates entitled to at least 25% of the Voting
        Rights; or

       

      (ii)  a
        decree
        or order of a court or agency or supervisory authority having jurisdiction
        in
        the premises in an involuntary case under any present or future federal or
        state
        bankruptcy, insolvency or similar law or the appointment of a conservator
        or
        receiver or liquidator in any insolvency, readjustment of debt, marshalling
        of
        assets and liabilities or similar proceeding, 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 90 days; or

       

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

       

      (iv)  the
        Master Servicer shall admit in writing its inability to pay its debts generally
        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; or

       

      (v)  failure
        by the Master Servicer to duly perform, within the required time period,
        its
        obligations under Sections 4.15, 4.16, 4.17 and 4.18.

       

      If
        a
        Master Servicer Event of Default shall occur, then, and in each and every
        such
        case, so long as such Master Servicer Event of Default shall not have been
        remedied, the Depositor or the Trustee may, and at the written direction
        of the
        Holders of Certificates entitled to at least 51% of Voting Rights, the Trustee
        shall, by notice in writing to the Master Servicer (and to the Depositor
        if
        given by the Trustee or to the Trustee if given by the Depositor) with a
        copy to
        each Rating Agency, terminate all of the rights and obligations of the Master
        Servicer in its capacity as Master Servicer under this Agreement, to the
        extent
        permitted by law, and in and to the Mortgage Loans and the proceeds thereof.
        On
        or after the receipt by the Master Servicer of such written notice, all
        authority and power of the Master Servicer under this Agreement, whether
        with
        respect to the Certificates (other than as a Holder of any Certificate) or
        the
        Mortgage Loans or otherwise including, without limitation, the compensation
        payable to the Master Servicer under this Agreement, shall pass to and be
        vested
        in the Trustee pursuant to and under this Section, and, without limitation,
        the
        Trustee is hereby authorized and empowered, as attorney-in-fact or otherwise,
        to
        execute and deliver, on behalf of and at the expense of the Master Servicer,
        any
        and all documents and other instruments and to do or accomplish all other
        acts
        or things necessary or appropriate to effect the purposes of such notice
        of
        termination, whether to complete the transfer and endorsement or assignment
        of
        the Mortgage Loans and related documents, or otherwise. The Master Servicer
        agrees promptly (and in any event no later than ten Business Days subsequent
        to
        such notice) to provide the Trustee with all documents and records requested
        by
        it to enable it to assume the Master Servicer’s functions under this Agreement,
        and to cooperate with the Trustee in effecting the termination of the Master
        Servicer’s responsibilities and rights under this Agreement (provided, however,
        that the Master Servicer shall continue to be entitled to receive all amounts
        accrued or owing to it under this Agreement on or prior to the date of such
        termination and shall continue to be entitled to the benefits of
        Section 7.03, notwithstanding any such termination, with respect to events
        occurring prior to such termination). For purposes of this Section 8.01(b),
        the Trustee shall not be deemed to have knowledge of a Master Servicer Event
        of
        Default unless a Responsible Officer of the Trustee assigned to and working
        in
        the Trustee’s Corporate Trust Office has actual knowledge thereof or unless
        written notice of any event which is in fact such a Master Servicer Event
        of
        Default is received by the Trustee and such notice references the Certificates,
        the Trust or this Agreement. The Trustee shall promptly notify the Rating
        Agencies of the occurrence of a Master Servicer Event of Default of which
        it has
        knowledge as provided above.

       

      On
        and
        after the time the Master Servicer receives a notice of termination, the
        Trustee
        shall be the successor in all respects to the Master Servicer (and, if
        applicable, the Securities Administrator) in its capacity as Master Servicer
        (and, if applicable, the Securities Administrator) under this Agreement and
        the
        transactions set forth or provided for herein, and all the responsibilities,
        duties and liabilities relating thereto and arising thereafter shall be assumed
        by the Trustee (except for any representations or warranties of the Master
        Servicer under this Agreement, the responsibilities, duties and liabilities
        contained in Section 2.03 and the obligation to deposit amounts in respect
        of
        losses pursuant to Section 3.10) by the terms and provisions hereof including,
        without limitation, the Master Servicer’s obligations to make P&I Advances
        no later than each Distribution Date pursuant to Section 5.03; provided,
        however, that if the Trustee is prohibited by law or regulation from obligating
        itself to make advances regarding delinquent mortgage loans, then the Trustee
        shall not be obligated to make P&I Advances pursuant to Section 5.03; and
        provided further, that any failure to perform such duties or responsibilities
        caused by the Master Servicer’s failure to provide information required by
        Section 8.01 shall not be considered a default by the Trustee as successor
        to
        the Master Servicer hereunder and neither the Trustee nor any other successor
        master servicer shall be liable for any acts or omissions of the terminated
        servicer. As compensation therefor, the Trustee shall be entitled to the
        Master
        Servicing Fee and all funds relating to the Loans, investment earnings on
        the
        Distribution Account and all other remuneration to which the Master Servicer
        would have been entitled if it had continued to act hereunder.

       

      Notwithstanding
        the foregoing, the Trustee may, if it shall be unwilling to continue to act,
        or
        shall, if it is unable to so act, petition a court of competent jurisdiction
        to
        appoint, or appoint on its own behalf, any established housing and home finance
        institution servicer, master servicer, servicing or mortgage servicing
        institution having a net worth of not less than $25,000,000 and meeting such
        other standards for a successor master servicer as are set forth in this
        Agreement, as the successor to such Master Servicer in the assumption of
        all of
        the responsibilities, duties or liabilities of a master servicer.

       

      To
        the
        extent that the costs and expenses of the Trustee related to the termination
        of
        the Master Servicer, appointment of a successor Master Servicer or the transfer
        and assumption of the master servicing by the Trustee (including, without
        limitation, (i) all legal costs and expenses and all due diligence costs
        and
        expenses associated with an evaluation of the potential termination of the
        Master Servicer as a result of a Master Servicer Event of Default and (ii)
        all
        costs and expenses associated with the complete transfer of the master
        servicing, including all servicing files and all servicing data and the
        completion, correction or manipulation of such servicing data as may be required
        by the successor Master Servicer to correct any errors or insufficiencies
        in the
        servicing data or otherwise to enable the successor Master Servicer to master
        service the Mortgage Loans in accordance with this Agreement) are not fully
        and
        timely reimbursed by the terminated Master Servicer, the Trustee shall be
        entitled to reimbursement of such costs and expenses from the Distribution
        Account.

       

      Neither
        the Trustee nor any other 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 the Master Servicer to deliver or provide, or any
        delay
        in delivering or providing, any cash, information, documents or records to
        it.

       

      SECTION
        8.02.  Master
        Servicer to Act; Appointment of Successor.

       

      (a)  On
        and
        after the time the Servicer receives a notice of termination, the Master
        Servicer shall be the successor in all respects to the Servicer in its capacity
        as the Servicer under this Agreement and the transactions set forth or provided
        for herein, and all the responsibilities, duties and liabilities relating
        thereto and arising thereafter shall be assumed by the Master Servicer (except
        for any representations or warranties of the Servicer under this Agreement,
        the
        responsibilities, duties and liabilities contained in Section 2.03 of this
        Agreement and the obligation to deposit amounts in respect of losses pursuant
        to
        Section 3.10(b) of this Agreement) by the terms and provisions hereof including,
        without limitation, the Servicer’s obligations to make P&I Advances pursuant
        to Section 5.03 of this Agreement; provided, however, that if the Master
        Servicer is prohibited by law or regulation from obligating itself to make
        advances regarding delinquent mortgage loans, then the Master Servicer shall
        not
        be obligated to make P&I Advances pursuant to Section 5.03 of this
        Agreement; and provided further, that any failure to perform such duties
        or
        responsibilities caused by the Servicer’s failure to provide information
        required by Section 8.01 shall not be considered a default by the Master
        Servicer as successor to the Servicer hereunder; provided, however, that
        (1) it
        is understood and acknowledged by the parties hereto that there will be a
        period
        of transition (not to exceed ninety (90) days) before the actual servicing
        functions can be fully transferred to the Master Servicer or any successor
        Servicer appointed in accordance with the following provisions and (2) any
        failure to perform such duties or responsibilities caused by the Servicer’s
        failure to provide information required by Section 8.01 of this Agreement
        shall
        not be considered a default by the Master Servicer as successor to the Servicer.
        As compensation therefor, the Master Servicer shall be entitled to the Servicing
        Fee and all funds relating to the related Mortgage Loans to which the terminated
        Servicer would have been entitled if it had continued to act hereunder.
        Notwithstanding the above, the Master Servicer may, if it shall be unwilling
        to
        so act, or shall, if it is unable to so act promptly appoint or petition
        a court
        of competent jurisdiction to appoint, a Person that satisfies the eligibility
        criteria set forth below as the successor to the terminated Servicer under
        this
        Agreement in the assumption of all or any part of the responsibilities, duties
        or liabilities of the terminated Servicer under this Agreement.

       

      Notwithstanding
        anything herein to the contrary, in no event shall the Trustee or the Master
        Servicer be liable for any Servicing Fee or for any differential in the amount
        of the Servicing Fee paid hereunder and the amount necessary to induce any
        successor Servicer to act as successor Servicer under this Agreement and
        the
        transactions set forth or provided for herein.

       

      Any
        successor Servicer appointed under this Agreement must (i) be an established
        mortgage loan servicing institution that is a Fannie Mae and Freddie Mac
        approved seller/servicer, (ii) be approved by each Rating Agency by a written
        confirmation from each Rating Agency that the appointment of such successor
        Servicer would not result in the reduction or withdrawal of the then current
        ratings of any outstanding Class of Certificates, (iii) have a net worth
        of not
        less than $25,000,000 and (iv) assume all the responsibilities, duties or
        liabilities of the Servicer (other than liabilities of the Servicer hereunder
        incurred prior to termination of the Servicer under Section 8.01 herein)
        under this Agreement as if originally named as a party to this
        Agreement.

       

      (b)  (1)
        All
        servicing transfer costs (including, without limitation, servicing transfer
        costs of the type described in Section 8.02(a) of this Agreement and
        incurred by the Trustee, the Master Servicer and any successor Servicer under
        paragraph (b)(2) below) in connection with the termination of the Servicer
        shall
        be paid by the terminated Servicer upon presentation of reasonable documentation
        of such costs, and if such predecessor or initial Servicer, as applicable,
        defaults in its obligation to pay such costs, the successor Servicer, the
        Master
        Servicer and the Trustee shall be entitled to reimbursement therefor from
        the
        assets of the Trust Fund.

       

      (2) No
        appointment of a successor to the Servicer under this Agreement shall be
        effective until the assumption by the successor of all of the Servicer’s
        responsibilities, duties and liabilities hereunder. In connection with such
        appointment and assumption described herein, the Trustee may make such
        arrangements for the compensation of such successor out of payments on the
        related Mortgage Loans as it and such successor shall agree; provided, however,
        that no such compensation shall be in excess of that permitted the Servicer
        as
        such hereunder. The Depositor, the Trustee and such successor shall take
        such
        action, consistent with this Agreement, as shall be necessary to effectuate
        any
        such succession. Pending appointment of a successor to the Servicer under
        this
        Agreement, the Master Servicer shall act in such capacity as hereinabove
        provided.

       

      SECTION
        8.03.  Notification
        to Certificateholders.

       

      (a)  Upon
        any
        termination of the Servicer or the Master Servicer pursuant to
        Section 8.01(a) or (b) or any appointment of a successor to the Servicer or
        the Master Servicer pursuant to Section 8.02 of this Agreement, the Trustee
        shall give prompt written notice thereof to the Certificateholders at their
        respective addresses appearing in the Certificate Register.

       

      (b)  Not
        later
        than the later of sixty (60) days after the occurrence of any event, which
        constitutes or which, with notice or lapse of time or both, would constitute
        the
        Servicer Event of Default or a Master Servicer Event of Default or five (5)
        days
        after a Responsible Officer of the Trustee becomes aware of the occurrence
        of
        such an event, the Trustee shall transmit by mail to all Holders of Certificates
        notice of each such occurrence, unless such default or Servicer Event of
        Default
        or Master Servicer Event of Default shall have been cured or
        waived.

       

      SECTION
        8.04.  Waiver
        of Servicer Events of Default.

       

      The
        Holders representing at least 66% of the Voting Rights evidenced by all Classes
        of Certificates affected by any default, Servicer Event of Default or Master
        Servicer Event of Default hereunder may waive such default, Servicer Event
        of
        Default or Master Servicer Event of Default; provided, however, that the
        Servicer Event of Default under clause (i) or (vii) of Section 8.01(a) of
        this Agreement may be waived only by all of the Holders of the Regular
        Certificates. Upon any such waiver of a default, Servicer Event of Default
        or
        Master Servicer Event of Default, such default, Servicer Event of Default
        or
        Master Servicer Event of Default shall cease to exist and shall be deemed
        to
        have been remedied for every purpose hereunder. No such waiver shall extend
        to
        any subsequent or other default, Servicer Event of Default or Master Servicer
        Event of Default or impair any right consequent thereon except to the extent
        expressly so waived.

       

       

       

      ARTICLE
        IX

      CONCERNING
        THE TRUSTEE AND THE SECURITIES ADMINISTRATOR

       

      SECTION
        9.01.  Duties
        of Trustee and Securities Administrator.

       

      The
        Trustee, prior to the occurrence of a Master Servicer Event of Default and
        after
        the curing or waiver of all Master Servicer Events of Default which may have
        occurred, and the Securities Administrator each undertake to perform such
        duties
        and only such duties as are specifically set forth in this Agreement as duties
        of the Trustee and the Securities Administrator, respectively. During the
        continuance of a Master Servicer Event of Default, 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 its exercise as a prudent person would exercise
        or
        use under the circumstances in the conduct of such person’s own affairs. Any
        permissive right of the Trustee enumerated in this Agreement shall not be
        construed as a duty.

       

      Each
        of
        the Trustee and the Securities Administrator, upon receipt of all resolutions,
        certificates, statements, opinions, reports, documents, orders or other
        instruments furnished to it, which are specifically required to be furnished
        pursuant to any provision of this Agreement, shall examine them to determine
        whether they conform to the requirements of this Agreement. If any such
        instrument is found not to conform to the requirements of this Agreement
        in a
        material manner, the Trustee or the Securities Administrator, as the case
        may
        be, shall take such action as it deems appropriate to have the instrument
        corrected, and if the instrument is not corrected to its satisfaction, the
        Securities Administrator will provide notice to the Trustee thereof and the
        Trustee will provide notice to the Certificateholders.

       

      The
        Trustee shall promptly remit to the Servicer any complaint, claim, demand,
        notice or other document (collectively, the “Notices”) delivered to the Trustee
        as a consequence of the assignment of any Mortgage Loan hereunder and relating
        to the servicing of the Mortgage Loans; provided than any such notice (i)
        is
        delivered to the Trustee at its Corporate Trust Office, (ii) contains
        information sufficient to permit the Trustee to make a determination that
        the
        real property to which such document relates is a Mortgaged Property. The
        Trustee shall have no duty hereunder with respect to any Notice it may receive
        or which may be alleged to have been delivered to or served upon it unless
        such
        Notice is delivered to it or served upon it at its Corporate Trust Office
        and
        such Notice contains the information required pursuant to clause (ii) of
        the
        preceding sentence.

       

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

       

      (i)  Prior
        to
        the occurrence of a Master Servicer Event of Default, and after the curing
        or
        waiver of all such Master Servicer Events of Default which may have occurred
        with respect to the Trustee and at all times with respect to the Securities
        Administrator, the duties and obligations of the Trustee shall be determined
        solely by the express provisions of this Agreement, neither the Trustee nor
        the
        Securities Administrator shall 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
        Trustee or the Securities Administrator and, in the absence of bad faith
        on the
        part of the Trustee or the Securities Administrator, respectively, the Trustee
        or the Securities Administrator, respectively, 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 or the Securities
        Administrator, respectively, that conform to the requirements of this
        Agreement;

       

      (ii)  Neither
        the Trustee nor the Securities Administrator shall be liable for an error
        of
        judgment made in good faith by a Responsible Officer or Responsible Officers
        of
        the Trustee or an officer or officers of the Securities Administrator,
        respectively, unless it shall be proved that the Trustee or the Securities
        Administrator, respectively, was negligent in ascertaining the pertinent
        facts;
        and

       

      (iii)  Neither
        the Trustee nor the Securities Administrator shall 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 entitled to at least 25%
        of
        the Voting Rights relating to the time, method and place of conducting any
        proceeding for any remedy available to the Trustee or the Securities
        Administrator or exercising any trust or power conferred upon the Trustee
        or the
        Securities Administrator under this Agreement.

       

      SECTION
        9.02.  Certain
        Matters Affecting Trustee and Securities Administrator.

       

      (a)  Except
        as
        otherwise provided in Section 9.01 of this Agreement:

       

      (i)  Before
        taking any action hereunder, the Trustee and the Securities Administrator
        may
        request and rely upon and shall be protected in acting or refraining from
        acting
        upon any resolution, Officers’ Certificate, certificate of auditors or any other
        certificate, statement, instrument, opinion, report, notice, request, consent,
        order, appraisal, bond or other paper or document reasonably believed by
        it to
        be genuine and to have been signed or presented by the proper party or
        parties;

       

      (ii)  The
        Trustee and the Securities Administrator may consult with counsel of its
        selection and any advice of such counsel or 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;

       

      (iii)  Neither
        the Trustee nor the Securities Administrator shall be under any obligation
        to
        exercise any of the trusts 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 Trustee or the Securities Administrator, as the case may be,
        reasonable security or indemnity satisfactory to it against the costs, expenses
        and liabilities which may be incurred therein or thereby; nothing contained
        herein shall, however, relieve the Trustee of the obligation, upon the
        occurrence of a Master Servicer Event of Default (which has not been cured
        or
        waived), to exercise such of the rights and powers vested in it by this
        Agreement, and to 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;

       

      (iv)  Neither
        the Trustee nor the Securities Administrator shall 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;

       

      (v)  Prior
        to
        the occurrence of a Master Servicer Event of Default hereunder and after
        the
        curing or waiver of all Master Servicer Events of Default which may have
        occurred with respect to the Trustee and at all times with respect to the
        Securities Administrator, neither the Trustee nor the Securities Administrator
        shall 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 entitled to
        at
        least 25% of the Voting Rights; provided, however, that if the payment within
        a
        reasonable time to the Trustee or 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 Trustee or the Securities Administrator,
        as applicable, not reasonably assured to the Trustee or the Securities
        Administrator by such Certificateholders, the Trustee or the Securities
        Administrator, as applicable, may require reasonable indemnity satisfactory
        to
        it against such expense, or liability from such Certificateholders as a
        condition to taking any such action;

       

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

       

      (vii)  The
        Trustee shall not be liable for any loss resulting from the investment of
        funds
        held in the Collection Account, for any loss resulting from the investment
        of
        funds held in the Reserve Fund or for any loss resulting from the redemption
        or
        sale of any such investment as therein authorized;

       

      (viii)  The
        Trustee shall not be deemed to have notice of any default, Master Servicer
        Event
        of Default or Servicer Event of Default unless a Responsible Officer of the
        Trustee has actual knowledge thereof or unless written notice of any event
        which
        is in fact such a default is received by a Responsible Officer of the Trustee
        at
        the Corporate Trust Office of the Trustee, and such notice references the
        Certificates and this Agreement; and

       

      (ix)  The
        rights, privileges, protections, immunities and benefits given to the Trustee,
        including, without limitation, its right to be indemnified, are extended
        to, and
        shall be enforceable by, each agent, custodian and other Person employed
        to act
        hereunder.

       

      (b)  All
        rights of action under this Agreement or under any of the Certificates,
        enforceable by the Trustee, may be enforced by it without the possession
        of any
        of the Certificates, or the production thereof at the trial or other proceeding
        relating thereto, and any such suit, action or proceeding instituted by the
        Trustee shall be brought in its name for the benefit of all the Holders of
        such
        Certificates, subject to the provisions of this Agreement.

       

      (c)  The
        Trustee is hereby directed by the Depositor to execute the Swap Agreement
        on
        behalf of the Supplemental Interest Trust in the form presented to it by
        the
        Depositor and shall have no responsibility for the contents of the Swap
        Agreement, including, without limitation, the representations and warranties
        contained therein. Any funds payable by the Trustee on behalf of the
        Supplemental Interest Trust under the Swap Agreement shall be paid from funds
        of
        the Supplemental Interest Trust in accordance with the terms and provisions
        of
        the Swap Agreement. Notwithstanding anything to the contrary contained herein
        or
        in the Swap Agreement, the Trustee shall not be required to make any payments
        to
        the counterparty under the Swap Agreement.

       

      (d)  None
        of
        the Securities Administrator, the Master Servicer, the Servicer, the Sponsor,
        the Depositor, the Custodians or the Trustee shall be responsible for the
        acts
        or omissions of the others or the Swap Provider, it being understood that
        this
        Agreement shall not be construed to render those partners joint venturers
        or
        agents of one another.

       

      (e)  Should
        the Trustee deem the nature of any action required on its part to be unclear,
        the Trustee may require prior to such action that it be provided by the
        Depositor with reasonable further instructions.

       

      SECTION
        9.03.  Trustee
        and Securities Administrator not Liable for Certificates or Mortgage
        Loans.

       

      The
        recitals contained herein and in the Certificates (other than the signature
        of
        the Securities Administrator, the authentication of the Securities Administrator
        on the Certificates, the acknowledgments of the Trustee contained in Article
        II
        and the representations and warranties of the Trustee in Section 9.12 of
        this Agreement) shall be taken as the statements of the Depositor and neither
        the Trustee nor the Securities Administrator assumes any responsibility for
        their correctness. Neither the Trustee nor the Securities Administrator makes
        any representations or warranties as to the validity or sufficiency of this
        Agreement (other than as specifically set forth in Section 9.12) of this
        Agreement, the Swap Agreement or of the Certificates (other than the signature
        of the Securities Administrator and authentication of the Securities
        Administrator on the Certificates) or of any Mortgage Loan or related document.
        The Trustee and the Securities Administrator shall not be accountable for
        the
        use or application by the Depositor of any of the Certificates or of the
        proceeds of such Certificates, or for the use or application of any funds
        paid
        to the Depositor or the Master Servicer in respect of the Mortgage Loans
        or
        deposited in or withdrawn from any Collection Account by the Servicer, other
        than with respect to the Securities Administrator any funds held by it or
        on
        behalf of the Trustee in accordance with Section 3.24 of this
        Agreement.

       

      SECTION
        9.04.  Trustee
        and Securities Administrator May Own Certificates.

       

      Each
        of
        the Trustee and the Securities Administrator in its individual capacity or
        any
        other capacity may become the owner or pledgee of Certificates and may transact
        business with other interested parties and their Affiliates with the same
        rights
        it would have if it were not Trustee or the Securities
        Administrator.

       

      SECTION
        9.05.  Fees
        and Expenses of Trustee, Custodians and Securities Administrator.

       

      The
        fees
        of the Trustee and the Securities Administrator hereunder and of Wells Fargo
        Bank, National Association as the Custodian under the Wells Fargo Custodial
        Agreement and of DBNTC as the Custodian under the DBNTC Custodial Agreement
        shall be paid in accordance with a side letter agreement with the Master
        Servicer and at the sole expense of the Master Servicer. In addition, the
        Trustee, the Securities Administrator, the Custodians and any director, officer,
        employee or agent of the Trustee, the Securities Administrator and the
        Custodians shall be indemnified by the Trust and held harmless against any
        loss,
        liability or expense (including reasonable attorney’s fees and expenses)
        incurred by the Trustee, the Custodians or the Securities Administrator in
        connection with any claim or legal action or any pending or threatened claim
        or
        legal action arising out of or in connection with the acceptance or
        administration of its respective obligations and duties under this Agreement,
        including any and all other agreements related hereto, other than any loss,
        liability or expense, as applicable (i) solely with respect to the Trustee,
        for
        which the Trustee is indemnified by the Master Servicer or any Servicer,
        (ii)
        that constitutes a specific liability of the Trustee or the Securities
        Administrator, as applicable, pursuant to Section 11.01(g) of this
        Agreement or (iii) any loss, liability or expense incurred by reason of willful
        misfeasance, bad faith or negligence in the performance of duties hereunder
        by
        the Trustee or the Securities Administrator, as applicable, or by reason
        of
        reckless disregard of its obligations and duties hereunder. In no event shall
        the Trustee, the Custodians, the Master Servicer or the Securities Administrator
        be liable for special, indirect or consequential loss or damage of any kind
        whatsoever (including but not limited to lost profits), even if it has been
        advised of the likelihood of such loss or damage and regardless of the form
        of
        action. The Master Servicer agrees to indemnify the Trustee, from, and hold
        the
        Trustee harmless against, any loss, liability or expense (including reasonable
        attorney’s fees and expenses) incurred by the Trustee by reason of the Master
        Servicer’s willful misfeasance, bad faith or gross negligence in the performance
        of its duties under this Agreement or by reason of the Master Servicer’s
        reckless disregard of its obligations and duties under this Agreement. In
        addition, the Sponsor agrees to indemnify the Trustee for, and to hold the
        Trustee harmless against, any loss, liability or expense arising out of,
        or in
        connection with, the provisions set forth in the last paragraph of
        Section 2.01 of this Agreement, including, without limitation, all costs,
        liabilities and expenses (including reasonable legal fees and expenses) of
        investigating and defending itself against any claim, action or proceeding,
        pending or threatened, relating to the provisions of such paragraph. The
        indemnities in this Section 9.05 shall survive the termination or discharge
        of this Agreement and the resignation or removal of the Master Servicer,
        the
        Trustee, the Securities Administrator or the Custodians. Any payment under
        this
        Section 9.05 made by the Master Servicer to the Trustee in respect of the
        Trustee’s fees or the Master Servicer’s indemnification obligation to the
        Trustee shall be from the Master Servicer’s own funds, without reimbursement
        from REMIC I therefor.

       

      SECTION
        9.06.  Eligibility
        Requirements for Trustee and Securities Administrator.

       

      The
        Trustee and the Securities Administrator shall at all times be a corporation
        or
        an association (other than the Depositor, the Sponsor, the Master Servicer
        or
        any Affiliate of the foregoing) organized and doing business under the laws
        of
        any 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 (or a member of a bank holding company whose capital and
        surplus is at least $50,000,000) and subject to supervision or examination
        by
        federal or state authority. If such corporation or association publishes
        reports
        of conditions at least annually, pursuant to law or to the requirements of
        the
        aforesaid supervising or examining authority, then for the purposes of this
        Section 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 conditions so published. In case at any time the Trustee
        or the
        Securities Administrator, as applicable, shall cease to be eligible in
        accordance with the provisions of this Section, the Trustee or the Securities
        Administrator, as applicable, shall resign immediately in the manner and
        with
        the effect specified in Section 9.07 of this Agreement.

       

      SECTION
        9.07.  Resignation
        and Removal of Trustee and Securities Administrator.

       

      The
        Trustee and the Securities Administrator may at any time resign and be
        discharged from the trust hereby created by giving written notice thereof
        to the
        Depositor, to the Master Servicer, to the Securities Administrator (or the
        Trustee, if the Securities Administrator resigns) and to the Certificateholders.
        Upon receiving such notice of resignation, the Depositor shall promptly appoint
        a successor trustee or successor securities administrator by written instrument,
        in duplicate, which instrument shall be delivered to the resigning Trustee
        or
        Securities Administrator, as applicable, and to the successor trustee or
        successor securities administrator, as applicable. A copy of such instrument
        shall be delivered to the Certificateholders, the Trustee, the Securities
        Administrator and the Master Servicer by the Depositor. If no successor trustee
        or successor securities administrator shall have been so appointed and have
        accepted appointment within thirty (30) days after the giving of such notice
        of
        resignation, the resigning Trustee or Securities Administrator, as the case
        may
        be, may, at the expense of the Trust Fund, petition any court of competent
        jurisdiction for the appointment of a successor trustee, successor securities
        administrator, Trustee or Securities Administrator, as applicable.

       

      If
        at any
        time the Trustee or the Securities Administrator shall cease to be eligible
        in
        accordance with the provisions of Section 9.06 of this Agreement and shall
        fail to resign after written request therefor by the Depositor, or if at
        any
        time the Trustee or the Securities Administrator shall become incapable of
        acting, or shall be adjudged bankrupt or insolvent, or a receiver of the
        Trustee
        or the Securities Administrator or of its property shall be appointed, or
        any
        public officer shall take charge or control of the Trustee or the Securities
        Administrator or of its property or affairs for the purpose of rehabilitation,
        conservation or liquidation, then the Depositor may remove the Trustee or
        the
        Securities Administrator, as applicable and appoint a successor trustee or
        successor securities administrator, as applicable, by written instrument,
        in
        duplicate, which instrument shall be delivered to the Trustee or the Securities
        Administrator so removed and to the successor trustee or successor securities
        administrator. A copy of such instrument shall be delivered to the
        Certificateholders, the Trustee, the Securities Administrator and the Master
        Servicer by the Depositor.

       

      The
        Holders of Certificates entitled to at least 51% of the Voting Rights may
        at any
        time remove the Trustee or the Securities Administrator and appoint a successor
        trustee or 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
        to the
        Depositor, one complete set to the Trustee or the Securities Administrator
        so
        removed and one complete set to the successor so appointed. A copy of such
        instrument shall be delivered to the Certificateholders, the Trustee (in
        the
        case of the removal of the Securities Administrator), the Securities
        Administrator (in the case of the removal of the Trustee) and the Master
        Servicer by the Depositor.

       

      Any
        resignation or removal of the Trustee or the Securities Administrator and
        appointment of a successor trustee or successor securities administrator
        pursuant to any of the provisions of this Section shall not become
        effective until acceptance of appointment by the successor trustee or successor
        securities administrator, as applicable, as provided in
        Section 9.08.

       

      Notwithstanding
        anything to the contrary contained herein, the Master Servicer and the
        Securities Administrator shall at all times be the same Person.

       

      SECTION
        9.08.  Successor
        Trustee or Securities Administrator.

       

      Any
        successor trustee or successor securities administrator appointed as provided
        in
        Section 9.07 of this Agreement shall execute, acknowledge and deliver to
        the Depositor and its predecessor trustee or predecessor securities
        administrator an instrument accepting such appointment hereunder, and thereupon
        the resignation or removal of the predecessor trustee or predecessor securities
        administrator shall become effective and such successor trustee or 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 trustee
        or
        securities administrator herein. The predecessor trustee or predecessor
        securities administrator shall deliver to the successor trustee or successor
        securities administrator all Mortgage Loan Documents and related documents
        and
        statements to the extent held by it hereunder, as well as all monies, held
        by it
        hereunder, and the Depositor and the predecessor trustee or 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 trustee or successor securities administrator
        all such rights, powers, duties and obligations.

       

      No
        successor trustee or successor securities administrator shall accept appointment
        as provided in this Section unless at the time of such acceptance such
        successor trustee or successor securities administrator shall be eligible
        under
        the provisions of Section 9.06 and the appointment of such successor
        trustee or successor securities administrator shall not result in a downgrading
        of any Class of Certificates by any Rating Agency, as evidenced by a letter
        from
        each Rating Agency.

       

      Upon
        acceptance of appointment by a successor trustee or successor securities
        administrator as provided in this Section, the Depositor shall mail notice
        of
        the succession of such trustee hereunder to all Holders of Certificates at
        their
        addresses as shown in the Certificate Register. If the Depositor fails to
        mail
        such notice within ten (10) days after acceptance of appointment by the
        successor trustee or successor securities administrator, the successor trustee
        or successor securities administrator shall cause such notice to be mailed
        at
        the expense of the Depositor.

       

      SECTION
        9.09.  Merger
        or Consolidation of Trustee or Securities Administrator.

       

      Any
        corporation or association into which the Trustee or the Securities
        Administrator may be merged or converted or with which it may be consolidated
        or
        any corporation or association resulting from any merger, conversion or
        consolidation to which the Trustee or the Securities Administrator shall
        be a
        party, or any corporation or association succeeding to the business of the
        Trustee or the Securities Administrator shall be the successor of the Trustee
        or
        the Securities Administrator hereunder, provided such corporation or association
        shall be eligible under the provisions of Section 9.06 of this Agreement,
        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
        9.10.  Appointment
        of Co-Trustee or Separate Trustee.

       

      Notwithstanding
        any other provisions hereof, at any time, for the purpose of meeting any
        legal
        requirements of any jurisdiction in which any part of the REMIC I or property
        securing the same 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
        REMIC
        I, and to vest in such Person or Persons, in such capacity, and for the benefit
        of the Holders of the Certificates, such title to REMIC I, or any part thereof,
        and, subject to the other provisions of this Section 9.10, such powers,
        duties, obligations, rights and trusts as the Trustee may consider necessary
        or
        desirable. No co-trustee or separate trustee hereunder shall be required
        to meet
        the terms of eligibility as a successor trustee under Section 9.06
        hereunder and no notice to Holders of Certificates of the appointment of
        co-trustee(s) or separate trustee(s) shall be required under Section 9.08
        hereof.

       

      In
        the
        case of any appointment of a co-trustee or separate trustee pursuant to this
        Section 9.10 all rights, powers, duties and obligations conferred or
        imposed upon the Trustee shall be conferred or imposed upon and exercised
        or
        performed by the Trustee and such separate trustee or co-trustee jointly,
        except
        to the extent that under any law of any jurisdiction in which any particular
        act
        or acts are to be performed by the Trustee (whether as Trustee hereunder
        or as
        successor to a defaulting 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
        REMIC
        I or any portion thereof in any such jurisdiction) shall be exercised and
        performed by such separate trustee or co-trustee at the direction of the
        Trustee.

       

      Any
        notice, request or other writing given to the Trustee shall be deemed to
        have
        been given to each of the then separate trustees and co-trustees, 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
        IX.
        Each separate trustee and co-trustee, upon its acceptance of the trust
        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 to, the Trustee.
        Every
        such instrument shall be filed with the Trustee.

       

      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 or co-trustee.

       

      SECTION
        9.11.  Appointment
        of Office or Agency.

       

      The
        Certificates may be surrendered for registration of transfer or exchange
        at the
        Securities Administrator’s office located at Sixth Street and Marquette Avenue,
        Minneapolis, Minnesota 55479, and presented for final distribution at the
        Corporate Trust Office of the Securities Administrator where notices and
        demands
        to or upon the Securities Administrator in respect of the Certificates and
        this
        Agreement may be served.

       

      SECTION
        9.12.  Representations
        and Warranties.

       

      The
        Trustee hereby represents and warrants to the Master Servicer, the Securities
        Administrator, the Servicer and the Depositor as applicable, as of the Closing
        Date, that:

       

      (i)  It
        is a
        national banking association duly organized, validly existing and in good
        standing under the laws of the United States of America.

       

      (ii)  The
        execution and delivery of this Agreement by it, and the performance and
        compliance with the terms of this Agreement by it, will not violate its articles
        of association or bylaws or 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 agreement or other instrument to which it is a party
        or
        which is applicable to it or any of its assets.

       

      (iii)  It
        has
        the full power and authority to enter into and consummate all transactions
        contemplated by this Agreement, has duly authorized the execution, delivery
        and
        performance of this Agreement, and has duly executed and delivered this
        Agreement.

       

      (iv)  This
        Agreement, assuming due authorization, execution and delivery by the other
        parties hereto, constitutes a valid, legal and binding obligation of it,
        enforceable against it in accordance with the terms hereof, subject to (A)
        applicable bankruptcy, insolvency, receivership, reorganization, moratorium
        and
        other laws affecting the enforcement of creditors’ rights generally, and (B)
        general principles of equity, regardless of whether such enforcement is
        considered in a proceeding in equity or at law.

       

      (v)  It
        is not
        in violation of, and its execution and delivery of this Agreement and its
        performance and compliance with the terms of this Agreement will not constitute
        a violation of, any law, any order or decree of any court or arbiter, or
        any
        order, regulation or demand of any federal, state or local governmental or
        regulatory authority, which violation, in its good faith and reasonable
        judgment, is likely to affect materially and adversely either the ability
        of it
        to perform its obligations under this Agreement or its financial
        condition.

       

      (vi)  No
        litigation is pending or, to the best of its knowledge, threatened against
        it,
        which would prohibit it from entering into this Agreement or, in its good
        faith
        reasonable judgment, is likely to materially and adversely affect either
        the
        ability of it to perform its obligations under this Agreement or its financial
        condition.

       

      (vii)  There
        are
        no affiliations between the Trustee and the Servicer, the Master Servicer,
        the
        Securities Administrator, People’s Choice Home Loan, Inc., DBNTC, the Swap
        Provider, or American Home Mortgage Corp.

       

      

       

      ARTICLE
        X

      TERMINATION

       

      SECTION
        10.01.  Termination
        Upon Repurchase or Liquidation of All Mortgage Loans.

       

      (a)  Subject
        to Section 10.02 of this Agreement, the respective obligations and
        responsibilities under this Agreement of the Depositor, the Master Servicer,
        the
        Securities Administrator, the Servicer and the Trustee (other than the
        obligations of the Master Servicer to the Trustee pursuant to Section 9.05
        of this Agreement and of the Servicer to make remittances to the Securities
        Administrator and the Securities Administrator to make payments in respect
        of
        the REMIC I Regular Interests, or the Classes of Certificates as hereinafter
        set
        forth) shall terminate upon payment to the Certificateholders and the deposit
        of
        all amounts held by or on behalf of the Trustee and required hereunder to
        be so
        paid or deposited on the Distribution Date coinciding with or following the
        earlier to occur of (i) the purchase by the Master Servicer of all Mortgage
        Loans and each REO Property remaining in REMIC I and (ii) the final payment
        or
        other liquidation (or any advance with respect thereto) of the last Mortgage
        Loan or REO Property remaining in REMIC I; provided, however, that in no
        event
        shall the trust created hereby continue beyond the earlier of (i) the expiration
        of 21 years from the death of the last survivor of the descendants of Joseph
        P.
        Kennedy, the late ambassador of the United States to the Court of St. James,
        living on the date hereof and (ii) the Last Scheduled Distribution Date.
        The
        purchase by the Master Servicer of all Mortgage Loans and each REO Property
        remaining in REMIC I shall be at a price (the “Termination Price”) equal to the
        sum of (i) the greater of (A) the aggregate Purchase Price of all the Mortgage
        Loans included in REMIC I, plus the appraised value of each REO Property,
        if
        any, included in REMIC I, such appraisal to be conducted by an appraiser
        mutually agreed upon by the Master Servicer and the Trustee in their reasonable
        discretion and (B) the aggregate fair market value of all of the assets of
        REMIC
        I (as determined by the Master Servicer and the Securities Administrator,
        as of
        the close of business on the third Business Day next preceding the date upon
        which notice of any such termination is furnished to Certificateholders pursuant
        to the third paragraph of this Section 10.01), (ii) any amounts due and
        owing to the Swap Provider under the Swap Agreement as of the termination
        date
        plus (iii) any amounts due the Servicer and the Master Servicer in respect
        of
        unpaid Servicing Fees, Master Servicing Fees and outstanding P&I Advances
        and Servicing Advances. 

       

      (b)  The
        Master Servicer shall have the right to purchase all of the Mortgage Loans
        and
        each REO Property remaining in REMIC I pursuant to clause (i) of the preceding
        paragraph no later than the Determination Date in the month immediately
        preceding the Distribution Date on which the Certificates will be retired;
        provided, however, that the Master Servicer may elect to purchase all of
        the
        Mortgage Loans and each REO Property remaining in REMIC I pursuant to clause
        (i)
        above only if the aggregate Scheduled Principal Balance of the Mortgage Loans
        and each REO Property remaining in the Trust Fund at the time of such election
        is reduced to less than or equal to 10% of the aggregate Scheduled Principal
        Balance of the Mortgage Loans as of the Cut-off Date. By acceptance of the
        Residual Certificates, the Holder of the Residual Certificates agrees, in
        connection with any termination hereunder, to assign and transfer any portion
        of
        the Termination Price in excess of par, and to the extent received in respect
        of
        such termination, to pay any such amounts to the Holders of the Class CE-1
        Certificates.

       

      (c)  Notice
        of
        the liquidation of the Certificates shall be given promptly by the Securities
        Administrator by letter to the Certificateholders mailed (a) in the event
        such
        notice is given in connection with the purchase of the Mortgage Loans and
        each
        REO Property by the Master Servicer, not earlier than the 15th day and not
        later
        than the 25th day of the month next preceding the month of the final
        distribution on the Certificates or (b) otherwise during the month of such
        final
        distribution on or before the Determination Date in such month, in each case
        specifying (i) the Distribution Date upon which the Trust Fund will terminate
        and the final payment in respect of the REMIC I Regular Interests or the
        Certificates will be made upon presentation and surrender of the related
        Certificates at the office of the Securities Administrator therein designated,
        (ii) the amount of any such final payment, (iii) that no interest shall accrue
        in respect of the REMIC I Regular Interests or Certificates from and after
        the
        Interest Accrual Period relating to the final Distribution Date therefor
        and
        (iv) that the Record Date otherwise applicable to such Distribution Date
        is not
        applicable, payments being made only upon presentation and surrender of the
        Certificates at the office of the Securities Administrator. In the event
        such
        notice is given in connection with the purchase of all of the Mortgage Loans
        and
        each REO Property remaining in REMIC I by the Master Servicer, the Master
        Servicer shall deliver to the Securities Administrator for deposit in the
        Distribution Account not later than the Business Day prior to the Distribution
        Date on which the final distribution on the Certificates an amount in
        immediately available funds equal to the above-described Termination Price.
        The
        Securities Administrator shall remit to the Servicer, the Master Servicer,
        the
        Trustee and the Custodians from such funds deposited in the Distribution
        Account
        (i) any amounts which the Servicer and Master Servicer would be permitted
        to
        withdraw and retain from the Collection Account or Distribution Account pursuant
        to Section 3.09 of this Agreement as if such funds had been deposited therein
        (including all unpaid Servicing Fees, Master Servicing Fees and all outstanding
        P&I Advances and Servicing Advances) and (ii) any other amounts otherwise
        payable by the Securities Administrator to the Master Servicer, the Trustee,
        the
        Custodians, the Swap Provider, the Servicer and the Swap Provider from amounts
        on deposit in the Distribution Account pursuant to the terms of this Agreement
        prior to making any final distributions pursuant to Section 10.01(d) below.
        Upon
        certification to the Trustee by the Securities Administrator of the making
        of
        such final deposit, the Trustee shall promptly release or cause to be released
        to the Master Servicer the Mortgage Files for the remaining Mortgage Loans,
        and
        Trustee shall execute all assignments, endorsements and other instruments
        delivered to it and necessary to effectuate such transfer. 

       

      (d)  Upon
        presentation of the Certificates by the Certificateholders on the final
        Distribution Date, the Securities Administrator shall distribute to each
        Certificateholder so presenting and surrendering its Certificates the amount
        otherwise distributable on such Distribution Date in accordance with
        Section 5.01 in respect of the Certificates so presented and surrendered.
        Any funds not distributed to any Holder or Holders of Certificates being
        retired
        on such Distribution Date because of the failure of such Holder or Holders
        to
        tender their Certificates shall, on such date, be set aside and held in trust
        and credited to the account of the appropriate non-tendering Holder or Holders.
        If any Certificates as to which notice has been given pursuant to this
        Section 10.01 shall not have been surrendered for cancellation within six
        months after the time specified in such notice, the Securities Administrator
        shall mail a second notice to the remaining non-tendering Certificateholders
        to
        surrender their Certificates for cancellation in order to receive the final
        distribution with respect thereto. If within one year after the second notice
        all such Certificates shall not have been surrendered for cancellation, the
        Securities Administrator shall, directly or through an agent, mail a final
        notice to the remaining non-tendering Certificateholders concerning surrender
        of
        their Certificates. The costs and expenses of maintaining the funds in trust
        and
        of contacting such Certificateholders shall be paid out of the assets remaining
        in the trust funds. If within one (1) year after the final notice any such
        Certificates shall not have been surrendered for cancellation, the Securities
        Administrator shall pay to the Depositor all such amounts, and all rights
        of
        non-tendering Certificateholders in or to such amounts shall thereupon cease.
        No
        interest shall accrue or be payable to any Certificateholder on any amount
        held
        in trust by the Securities Administrator as a result of such Certificateholder’s
        failure to surrender its Certificate(s) on the final Distribution Date for
        final
        payment thereof in accordance with this Section 10.01. Any such amounts
        held in trust by the Securities Administrator shall be held uninvested in
        an
        Eligible Account.

       

      SECTION
        10.02.  Additional
        Termination Requirements.

       

      (a)  In
        the
        event that the Master Servicer purchases all the Mortgage Loans and each
        REO
        Property or the final payment on or other liquidation of the last Mortgage
        Loan
        or REO Property remaining in REMIC I pursuant to Section 10.01, the Trust
        Fund shall be terminated in accordance with the following additional
        requirements:

       

      (i)  The
        Securities Administrator shall specify the first day in the 90-day liquidation
        period in a statement attached to each Trust REMIC’s final Tax Return pursuant
        to Treasury regulation Section 1.860F-1 and shall satisfy all requirements
        of a qualified liquidation under Section 860F of the Code and any
        regulations thereunder, as evidenced by an Opinion of Counsel obtained by
        and at
        the expense of the Master Servicer;

       

      (ii)  During
        such 90-day liquidation period and, at or prior to the time of making of
        the
        final payment on the Certificates, the Trustee shall sell all of the assets
        of
        REMIC I to the Master Servicer for cash; and

       

      (iii)  At
        the
        time of the making of the final payment on the Certificates, the Securities
        Administrator shall distribute or credit, or cause to be distributed or
        credited, to the Holders of the Residual Certificates all cash on hand in
        the
        Trust Fund (other than cash retained to meet claims), and the Trust Fund
        shall
        terminate at that time.

       

      (b)  At
        the
        expense of the Master Servicer (or, if the Trust Fund is being terminated
        as a
        result of the occurrence of the event described in clause (ii) of the first
        paragraph of Section 10.01, at the expense of the Trust Fund), the Master
        Servicer shall prepare or cause to be prepared the documentation required
        in
        connection with the adoption of a plan of liquidation of each Trust REMIC
        pursuant to this Section 10.02.

       

      (c)  By
        their
        acceptance of Certificates, the Holders thereof hereby agree to authorize
        the
Securities
        Administrator to
        specify the 90-day liquidation period for each Trust REMIC, which authorization
        shall be binding upon all successor Certificateholders.

       

       

       

      ARTICLE
        XI

      REMIC
        PROVISIONS

       

      SECTION
        11.01.  REMIC
        Administration.

       

      (a)  The
        Securities Administrator shall elect to treat each Trust REMIC as a REMIC
        under
        the Code and, if necessary, under applicable state law. Each such election
        will
        be made by the Securities Administrator on Form 1066 or other appropriate
        federal tax or information return or any appropriate state return for the
        taxable year ending on the last day of the calendar year in which the
        Certificates are issued. For the purposes of the REMIC election in respect
        of
        REMIC I, the REMIC I Regular Interests shall be designated as the Regular
        Interests in REMIC I and the Class R-I Interest shall be designated as the
        Residual Interests in REMIC I. For the purposes of the REMIC election in
        respect
        of REMIC II, the Class R-II Interest shall be designated as the Regular
        Interests in REMIC II and the Class R-II Interest shall be designated as
        the
        Residual Interest in REMIC II. The Class A Certificates, the Mezzanine
        Certificates, the Class P Certificates,
        the
        Class IO Interest,
        the
        Class CE-1 Certificates and the Class CE-2 Certificates (exclusive of any
        right
        to receive payments from or any obligation to make payments to the Reserve
        Fund
        or the Supplemental Interest Trust) shall be designated as the Regular Interests
        in REMIC III and the Class R-III Interest shall be designated as the Residual
        Interests in REMIC III. The Trustee shall not permit the creation of any
        “interests” in each Trust REMIC (within the meaning of Section 860G of the
        Code) other than the REMIC I Regular Interests, REMIC II Regular Interests,
        the
        Class IO Interest and the interests represented by the
        Certificates.

       

      (b)  The
        Closing Date is hereby designated as the “Startup Day” of each Trust REMIC
        within the meaning of Section 860G(a)(9) of the Code.

       

      (c)  The
        Securities Administrator shall be reimbursed for any and all expenses relating
        to any tax audit of the Trust Fund (including, but not limited to, any
        professional fees or any administrative or judicial proceedings with respect
        to
        each Trust REMIC that involve the Internal Revenue Service or state tax
        authorities), including the expense of obtaining any tax related Opinion
        of
        Counsel except as specified herein. The Securities Administrator, as agent
        for
        each Trust REMIC’s tax matters person shall (i) act on behalf of the Trust Fund
        in relation to any tax matter or controversy involving any Trust REMIC and
        (ii)
        represent the Trust Fund in any administrative or judicial proceeding relating
        to an examination or audit by any governmental taxing authority with respect
        thereto. The holder of the largest Percentage Interest of each Class of Residual
        Certificates shall be designated, in the manner provided under Treasury
        regulations section 1.860F-4(d) and Treasury regulations section
        301.6231(a)(7)-1, as the tax matters person of the related REMIC created
        hereunder. By their acceptance thereof, the holder of the largest Percentage
        Interest of the Residual Certificates hereby agrees to irrevocably appoint
        the
        Securities Administrator or an Affiliate as its agent to perform all of the
        duties of the tax matters person for the Trust Fund.

       

      (d)  The
        Securities Administrator shall prepare and file and the Trustee shall sign
        all
        of the Tax Returns in respect of each REMIC created hereunder. The expenses
        of
        preparing and filing such returns shall be borne by the Securities Administrator
        without any right of reimbursement therefor.

       

      (e)  The
        Securities Administrator shall perform on behalf of each Trust REMIC all
        reporting and other tax compliance duties that are the responsibility of
        such
        REMIC under the Code, the REMIC Provisions or other compliance guidance issued
        by the Internal Revenue Service or any state or local taxing authority. Among
        its other duties, as required by the Code, the REMIC Provisions or other
        such
        compliance guidance, the Securities Administrator shall provide (i) to any
        Transferor of a Residual Certificate such information as is necessary for
        the
        application of any tax relating to the transfer of a Residual Certificate
        to any
        Person who is not a Permitted Transferee upon receipt of additional reasonable
        compensation, (ii) to the Certificateholders such information or reports
        as are
        required by the Code or the REMIC Provisions including reports relating to
        interest, original issue discount and market discount or premium (using the
        Prepayment Assumption as required) and (iii) to the Internal Revenue Service
        the
        name, title, address and telephone number of the person who will serve as
        the
        representative of each Trust REMIC. The Depositor shall provide or cause
        to be
        provided to the Securities Administrator, within ten (10) days after the
        Closing
        Date, all information or data that the Securities Administrator reasonably
        determines to be relevant for tax purposes as to the valuations and issue
        prices
        of the Certificates, including, without limitation, the price, yield, prepayment
        assumption and projected cash flow of the Certificates.

       

      (f)  To
        the
        extent in the control of the Trustee or the Securities Administrator, each
        such
        Person (i) shall take such action and shall cause each REMIC created hereunder
        to take such action as shall be necessary to create or maintain the status
        thereof as a REMIC under the REMIC Provisions, (ii) shall not take any action,
        cause the Trust Fund to take any action or fail to take (or fail to cause
        to be
        taken) any action that, under the REMIC Provisions, if taken or not taken,
        as
        the case may be, could (A) endanger the status of each Trust REMIC as a REMIC
        or
        (B) result in the imposition of a tax upon 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) (either such event, an “Adverse REMIC
        Event”) unless such action or inaction is permitted under this Agreement or the
        Trustee and the Securities Administrator have received an Opinion of Counsel,
        addressed to the them (at the expense of the party seeking to take such action
        but in no event at the expense of the Trustee or the Securities Administrator)
        to the effect that the contemplated action will not, with respect to any
        Trust
        REMIC, endanger such status or result in the imposition of such a tax, nor
        (iii)
        shall the Securities Administrator take or fail to take any action (whether
        or
        not authorized hereunder) as to which the Trustee has advised it in writing
        that
        it has received an Opinion of Counsel to the effect that an Adverse REMIC
        Event
        could occur with respect to such action; provided that the Securities
        Administrator may conclusively rely on such Opinion of Counsel and shall
        incur
        no liability for its action or failure to act in accordance with such Opinion
        of
        Counsel. In addition, prior to taking any action with respect to any Trust
        REMIC
        or the respective assets of each, or causing any Trust REMIC to take any
        action,
        which is not contemplated under the terms of this Agreement, the Securities
        Administrator will consult with the Trustee or its designee, in writing,
        with
        respect to whether such action could cause an Adverse REMIC Event to occur
        with
        respect to any Trust REMIC, and the Securities Administrator shall not take
        any
        such action or cause any Trust REMIC to take any such action as to which
        the
        Trustee has advised it in writing that an Adverse REMIC Event could occur.
        The
        Trustee may consult with counsel to make such written advice, and the cost
        of
        same shall be home by the party seeking to take the action not permitted
        by this
        Agreement, but in no event shall such cost be an expense of the
        Trustee.

       

      (g)  In
        the
        event that any tax is imposed on “prohibited transactions” of any REMIC created
        hereunder as defined in Section 860F(a)(2) of the Code, on the “net income
        from foreclosure property” of such REMIC as defined in Section 860G(c) of
        the Code, on any contributions to any such REMIC after the Startup Day therefor
        pursuant to Section 860G(d) of the Code, or any other tax is imposed by the
        Code or any applicable provisions of state or local tax laws, such tax shall
        be
        charged (i) to the Trustee pursuant to Section 11.03 of this Agreement, if
        such tax arises out of or results from a breach by the Trustee of any of
        its
        obligations under this Article XI, (ii) to the Securities Administrator pursuant
        to Section 11.03 of this Agreement, if such tax arises out of or results
        from a breach by the Securities Administrator of any of its obligations under
        this Article XI, (iii) to the Master Servicer pursuant to Section 11.03 of
        this Agreement, if such tax arises out of or results from a breach by the
        Master
        Servicer of any of its obligations under Article IV or under this Article
        XI,
        (iv) to the Servicer pursuant to Section 11.03 of this Agreement, if such
        tax arises out of or results from a breach by the Servicer of any of its
        obligations under Article III or under this Article XI, or (v) in all other
        cases, against amounts on deposit in the Distribution Account and shall be
        paid
        by withdrawal therefrom.

       

      (h)  The
        Securities Administrator shall, for federal income tax purposes, maintain
        books
        and records with respect to each Trust REMIC on a calendar year and on an
        accrual basis.

       

      (i)  Following
        the Startup Day, neither the Securities Administrator nor the Trustee shall
        accept any contributions of assets to any Trust REMIC other than in connection
        with any Qualified Substitute Mortgage Loan delivered in accordance with
        Section 2.03 unless it shall have received an Opinion of Counsel to the
        effect that the inclusion of such assets in the Trust Fund will not cause
        the
        related REMIC to fail to qualify as a REMIC at any time that any Certificates
        are outstanding or subject such REMIC to any tax under the REMIC Provisions
        or
        other applicable provisions of federal, state and local law or
        ordinances.

       

      (j)  Neither
        the Trustee nor the Securities Administrator shall knowingly enter into any
        arrangement by which any Trust REMIC will receive a fee or other compensation
        for services nor permit either REMIC to receive any income from assets other
        than “qualified mortgages” as defined in Section 860G(a)(3) of the Code or
“permitted investments” as defined in Section 860G(a)(5) of the
        Code.

       

      (k)  The
        Securities Administrator shall apply for an employer identification number
        with
        the Internal Revenue Service via a Form SS-4 or other comparable method for
        each
        REMIC. In connection with the foregoing, the Securities Administrator shall
        provide the name and address of the person who can be contacted to obtain
        information required to be reported to the holders of Regular Interests in
        each
        REMIC as required by IRS Form 8811.

       

      SECTION
        11.02.  Prohibited
        Transactions and Activities.

       

      None
        of
        the Depositor, the Servicer, the Securities Administrator, the Master Servicer
        or the Trustee shall sell, dispose of or substitute for any of the Mortgage
        Loans (except in connection with (i) the foreclosure of a Mortgage Loan,
        including but not limited to, the acquisition or sale of a Mortgaged Property
        acquired by deed in lieu of foreclosure, (ii) the bankruptcy of REMIC I,
        (iii)
        the termination of REMIC I pursuant to Article X of this Agreement, (iv)
        a
        substitution pursuant to Article II of this Agreement or (v) a purchase of
        Mortgage Loans pursuant to Article II of this Agreement), nor acquire any
        assets
        for any Trust REMIC (other than REO Property acquired in respect of a defaulted
        Mortgage Loan), nor sell or dispose of any investments in the Collection
        Account
        or the Distribution Account for gain, nor accept any contributions to any
        Trust
        REMIC after the Closing Date (other than a Qualified Substitute Mortgage
        Loan
        delivered in accordance with Section 2.03), unless it has received an
        Opinion of Counsel, addressed to the Trustee and the Securities Administrator
        (at the expense of the party seeking to cause such sale, disposition,
        substitution, acquisition or contribution but in no event at the expense
        of the
        Trustee) that such sale, disposition, substitution, acquisition or contribution
        will not (a) affect adversely the status of any Trust REMIC as a REMIC or
        (b)
        cause any Trust REMIC to be subject to a tax on “prohibited transactions” or
“contributions” pursuant to the REMIC Provisions.

       

      SECTION
        11.03.  Indemnification.

       

      (a)  The
        Trustee agrees to be liable for any taxes and costs incurred by the Trust
        Fund,
        the Depositor, the Master Servicer, the Securities Administrator or the Servicer
        including, without limitation, any reasonable attorneys fees imposed on or
        incurred by the Trust Fund, the Depositor, the Master Servicer, the Securities
        Administrator or the Servicer as a result of the Trustee’s failure to perform
        its covenants set forth in this Article XI in accordance with the standard
        of
        care of the Trustee set forth in this Agreement.

       

      (b)  The
        Servicer agrees to indemnify the Trust Fund, the Depositor, the Master Servicer,
        the Securities Administrator and the Trustee for any taxes and costs including
        any reasonable attorneys’ fees imposed on or incurred by the Trust Fund, the
        Depositor, the Master Servicer, the Securities Administrator or the Trustee,
        as
        a result of a the Servicer’s failure to perform its covenants set forth in
        Article III in accordance with the standard of care of the Servicer set forth
        in
        this Agreement.

       

      (c)  The
        Master Servicer agrees to indemnify the Trust Fund, the Depositor, the Servicer
        and the Trustee for any taxes and costs including any reasonable attorneys’ fees
        imposed on or incurred by the Trust Fund, the Depositor, the Servicer or
        the
        Trustee, as a result of the Master Servicer’s failure to perform its covenants
        set forth in Article IV in accordance with the standard of care of the Master
        Servicer set forth in this Agreement.

       

      (d)  The
        Securities Administrator agrees to be liable for any taxes and costs incurred
        by
        the Trust Fund, the Depositor, the Servicer or the Trustee including any
        reasonable attorneys’ fees imposed on or incurred by the Trust Fund, the
        Depositor, the Servicer or the Trustee as a result of the Securities
        Administrator’s failure to perform its covenants set forth in this Article XI in
        accordance with the standard of care of the Securities Administrator set
        forth
        in this Agreement.

       

      (e)  Each
        of
        the Depositor, Master Servicer, Securities Administrator, the Servicer and
        any
        Servicing Function Participant engaged by such party, respectively, shall
        indemnify and hold harmless the Master Servicer, the Securities Administrator
        and the Depositor, respectively, 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 under hereunder, including
        particularly its obligations to provide any Assessment of Compliance,
        Attestation Report, Compliance Statement or any information, data or materials
        required to be included in any 1934 Act report, (b) any material misstatement
        or
        omission in any information, data or materials provided by such party (or,
        in
        the case of the Securities Administrator or Master Servicer, any material
        misstatement or material omission in (i) any Compliance Statement, Assessment
        of
        Compliance 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
        concerning the Master Servicer or the Securities Administrator), or (c) the
        negligence, bad faith or willful misconduct of such indemnifying party in
        connection with its performance hereunder. If the indemnification provided
        for
        in this Section 11.03(e) is unavailable or insufficient to hold harmless
        the
        Master Servicer, the Securities Administrator or the Depositor, as the case
        may
        be, then each such party agrees that it shall contribute to the amount paid
        or
        payable by the Master Servicer, the Securities Administrator 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.

       

      

       

      ARTICLE
        XII

      MISCELLANEOUS
        PROVISIONS

       

      SECTION
        12.01.  Amendment.

       

      This
        Agreement may be amended from time to time by the Depositor, the Servicer,
        the
        Master Servicer, the Securities Administrator and the Trustee, but without
        the
        consent of any of the Certificateholders, (i) to cure any ambiguity or defect,
        (ii) to correct, modify or supplement any provisions herein (including to
        give
        effect to the expectations of Certificateholders), (iii) to ensure compliance
        with Regulation AB or (iv) 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 and that such action shall not, as evidenced
        by
        an Opinion of Counsel delivered to the Trustee, adversely affect in any material
        respect the interests of any Certificateholder; provided that any such amendment
        shall be deemed not to adversely affect in any material respect the interests
        of
        the Certificateholders and no such Opinion of Counsel shall be required if
        the
        Person requesting such amendment obtains a letter from each Rating Agency
        stating that such amendment would not result in the downgrading or withdrawal
        of
        the respective ratings then assigned to the Certificates. No amendment shall
        be
        deemed to adversely affect in any material respect the interests of any
        Certificateholder who shall have consented thereto, and no Opinion of Counsel
        shall be required to address the effect of any such amendment on any such
        consenting Certificateholder.

       

      This
        Agreement may also be amended from time to time by the Depositor, the Servicer,
        the Master Servicer, the Securities Administrator and the Trustee and the
        Holders of Certificates entitled to at least 66% of the Voting Rights 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 received
        on
        Mortgage Loans which are 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 (i), without the consent of the Holders
        of
        Certificates of such Class evidencing at least 66% of the Voting Rights
        allocated to such Class, or (iii) modify the consents required by the
        immediately preceding clauses (i) and (ii) without the consent of the Holders
        of
        all Certificates then outstanding. Notwithstanding any other provision of
        this
        Agreement, for purposes of the giving or withholding of consents pursuant
        to
        this Section 12.01, Certificates registered in the name of the Depositor or
        the Servicer or any Affiliate thereof shall be entitled to Voting Rights
        with
        respect to matters affecting such Certificates. Without limiting the generality
        of the foregoing, any amendment to this Agreement required in connection
        with
        the compliance with or the clarification of any reporting obligations described
        in Section 5.06 hereof shall not require the consent of any
        Certificateholder and without the need for any Opinion of Counsel or Rating
        Agency confirmation.

       

      Notwithstanding
        any contrary provision of this Agreement, the Trustee shall not consent to
        any
        amendment to this Agreement unless it shall have first received an Opinion
        of
        Counsel to the effect that such amendment is permitted hereunder and will
        not
        result in the imposition of any tax on any Trust REMIC pursuant to the REMIC
        Provisions or cause any Trust REMIC to fail to qualify as a REMIC at any
        time
        that any Certificates are outstanding and that such amendment is authorized
        or
        permitted by this Agreement.

       

      Promptly
        after the execution of any such amendment the Trustee shall furnish a copy
        of
        such amendment to each Certificateholder.

       

      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.

       

      The
        cost
        of any Opinion of Counsel to be delivered pursuant to this Section 12.01
        shall be borne by the Person seeking the related amendment, but in no event
        shall such Opinion of Counsel be an expense of the Trustee.

       

      The
        Trustee may, but shall not be obligated to enter into any amendment pursuant
        to
        this Section that affects its rights, duties and immunities under this
        Agreement or otherwise.

       

      SECTION
        12.02.  Recordation
        of Agreement; Counterparts.

       

      To
        the
        extent permitted by applicable law, 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 properties subject
        to
        the Mortgages are situated, and in any other appropriate public recording
        office
        or elsewhere, such recordation to be effected by the Depositor at the expense
        of
        the Certificateholders, but only upon direction of the Trustee accompanied
        by 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.  Limitation
        on Rights of Certificateholders.

       

      The
        death
        or incapacity of any Certificateholder shall not operate to terminate this
        Agreement or the Trust Fund, nor entitle such Certificateholder’s legal
        representatives or heirs to claim an accounting or to take any action or
        proceeding in any court for a partition or winding up of the Trust Fund,
        nor
        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 expressly provided
        for
        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 any 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 person 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 of any provision 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 default and of the continuance
        thereof, as hereinbefore provided, and unless also the Holders of Certificates
        entitled to at least 25% of the Voting Rights shall have made written request
        upon 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 15 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 is understood and intended,
        and 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 whatsoever by virtue of any provision
        of this
        Agreement to affect, disturb or prejudice the rights of the Holders of any
        other
        of such 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 equal, ratable and common benefit
        of
        all Certificateholders. For the protection and enforcement of the provisions
        of
        this Section, each and every Certificateholder and the Trustee shall be entitled
        to such relief as can be given either at law or in equity.

       

      SECTION
        12.04.  Governing
        Law.

       

      This
        Agreement shall be construed in accordance with the laws of the State of
        New
        York and the obligations, rights and remedies of the parties hereunder shall
        be
        determined in accordance with such laws without regard to conflicts of laws
        principles thereof other than Section 5-1401 of the New York General Obligations
        Law which shall govern.

       

      SECTION
        12.05.  Notices.

       

      All
        directions, demands and notices hereunder shall be in writing and shall be
        deemed to have been duly given when received if sent by facsimile, receipt
        confirmed, if personally delivered at or mailed by first class mail, postage
        prepaid, or by express delivery service or delivered in any other manner
        specified herein, to (a) in the case of the Depositor, ACE Securities Corp.,
        AMACAR GROUP, 6525 Morrison Boulevard, Suite 318, Charlotte, North Carolina
        28211, Attention: Juliana Johnson (telecopy number: (704) 365-1362), with
        a copy
        to Deutsche Bank Securities, Inc. Attention: Legal Department (telecopy number:
        (212) 797-4561),or such other address or telecopy number as may hereafter
        be
        furnished to the Servicer, the Master Servicer, the Securities Administrator
        and
        the Trustee in writing by the Depositor, (b) in the case of the Servicer,
        GMAC
        Mortgage Corporation, 100 Witmer Road, Horsham, Pennsylvania 19044, Attention:
        ACE 2006-SL4, or such other address or telecopy number as may hereafter be
        furnished to the Trustee, the Master Servicer, the Securities Administrator
        and
        the Depositor in writing by the Servicer, (c) in the case of the Master Servicer
        and the Securities Administrator, P.O. Box 98, Columbia, Maryland 21046 and
        for
        overnight delivery to 9062 Old Annapolis Road, Columbia, Maryland 21045,
        Attention: Ace Securities Corp., 2006-SL4 (telecopy number: (410) 715-2380),
        or
        such other address or telecopy number as may hereafter be furnished to the
        Trustee, the Depositor and the Servicer in writing by the Master Servicer
        or the
        Securities Administrator and (d) in the case of the Trustee, at the Corporate
        Trust Office or such other address or telecopy number may hereafter be furnished
        to the Servicer, the Master Servicer, the Securities Administrator and the
        Depositor in writing by the Trustee. Any notice required or permitted to
        be
        given to a Certificateholder shall be given by first class mail, postage
        prepaid, at the address of such Holder as shown in the Certificate Register.
        Any
        notice so mailed within the time prescribed in this Agreement shall be
        conclusively presumed to have been duly given when mailed, whether or not
        the
        Certificateholder receives such notice. A copy of any notice required to
        be
        telecopied hereunder also shall be mailed to the appropriate party in the
        manner
        set forth above.

       

      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.  Notice
        to Rating Agencies.

       

      The
        Trustee shall use its best efforts promptly to provide notice to the Rating
        Agencies with respect to each of the following of which a Responsible Officer
        has actual knowledge:

       

      1.  Any
        material change or amendment to this Agreement;

       

      2.  The
        occurrence of any Servicer Event of Default or Master Servicer Event of Default
        that has not been cured or waived;

       

      3.  The
        resignation or termination of the Servicer, the Master Servicer or the
        Trustee;

       

      4.  The
        repurchase or substitution of Mortgage Loans pursuant to or as contemplated
        by
        Section 2.03 of this Agreement;

       

      5.  The
        final
        payment to the Holders of any Class of Certificates;

       

      6.  Any
        change in the location of the Distribution Account; and

       

      7.  Any
        event
        that would result in the inability of the Trustee as successor Servicer to
        make
        advances regarding delinquent Mortgage Loans.

       

      In
        addition, the Securities Administrator shall promptly make available to each
        Rating Agency copies of each report to Certificateholders described in
        Section 5.02 of this Agreement.

       

      The
        Servicer shall make available to each Rating Agency copies of the
        following:

       

      1.  Each
        Annual Statement of Compliance described in Section 3.17 of this Agreement;
        and

       

      2.  Each
        Assessment of Compliance and Attestation Report described in
        Section 3.18.

       

      Any
        such
        notice pursuant to this Section 12.07 shall be in writing and shall be
        deemed to have been duly given if personally delivered at or mailed by first
        class mail, postage prepaid, or by express delivery service to Standard &
Poor’s, a division of the McGraw-Hill Companies, Inc., 55 Water Street, New
        York, New York 10041; and to Moody’s Investors Service, Inc., 99 Church Street,
        New York, New York 10007 or such other addresses as the Rating Agencies may
        designate in writing to the parties hereto.

       

      SECTION
        12.08.  Article
        and Section References.

       

      All
        article and section references used in this Agreement, unless otherwise
        provided, are to articles and sections in this Agreement.

       

      SECTION
        12.09.  Grant
        of Security Interest.

       

      It
        is the
        express intent of the parties hereto that the conveyance of the Mortgage
        Loans
        by the Depositor to the Trustee, on behalf of the Trust and for the benefit
        of
        the Certificateholders, be, and be construed as, a sale of the Mortgage Loans
        by
        the Depositor and not a pledge of the Mortgage Loans to secure a debt or
        other
        obligation of the Depositor. However, in the event that, notwithstanding
        the
        aforementioned intent of the parties, the Mortgage Loans are held to be property
        of the Depositor, then, (a) it is the express intent of the parties that
        such
        conveyance be deemed a pledge of the Mortgage Loans by the Depositor to the
        Trustee, on behalf of the Trust and for the benefit of the Certificateholders,
        to secure a debt or other obligation of the Depositor and (b)(1) this Agreement
        shall also be deemed to be a security agreement within the meaning of Articles
        8
        and 9 of the Uniform Commercial Code as in effect from time to time in the
        State
        of New York; (2) the conveyance provided for in Section 2.01 shall be
        deemed to be a grant by the Depositor to the Trustee, on behalf of the Trust
        and
        for the benefit of the Certificateholders, of a security interest in all
        of the
        Depositor’s right, title and interest in and to the Mortgage Loans and all
        amounts payable to the holders of the Mortgage Loans in accordance with the
        terms thereof and all proceeds of the conversion, voluntary or involuntary,
        of
        the foregoing into cash, instruments, securities or other property, including
        without limitation all amounts, other than investment earnings, from time
        to
        time held or invested in the Collection Account and the Distribution Account,
        whether in the form of cash, instruments, securities or other property; (3)
        the
        obligations secured by such security agreement shall be deemed to be all
        of the
        Depositor’s obligations under this Agreement, including the obligation to
        provide to the Certificateholders the benefits of this Agreement relating
        to the
        Mortgage Loans and the Trust Fund; and (4) notifications to persons holding
        such
        property, and acknowledgments, receipts or confirmations from persons holding
        such property, shall be deemed notifications to, or acknowledgments, receipts
        or
        confirmations from, financial intermediaries, bailees or agents (as applicable)
        of the Trustee for the purpose of perfecting such security interest under
        applicable law. Accordingly, the Depositor hereby grants to the Trustee,
        on
        behalf of the Trust and for the benefit of the Certificateholders, a security
        interest in the Mortgage Loans and all other property described in clause
        (2) of
        the preceding sentence, for the purpose of securing to the Trustee the
        performance by the Depositor of the obligations described in clause (3) of
        the
        preceding sentence. Notwithstanding the foregoing, the parties hereto intend
        the
        conveyance pursuant to Section 2.01 to be a true, absolute and
        unconditional sale of the Mortgage Loans and assets constituting the Trust
        Fund
        by the Depositor to the Trustee, on behalf of the Trust and for the benefit
        of
        the Certificateholders.

       

      SECTION
        12.10.  Survival
        of Indemnification.

       

      Any
        and
        all indemnities to be provided by any party to this Agreement shall survive
        the
        termination and resignation of any party hereto and the termination of this
        Agreement.

       

      SECTION
        12.11.  Intention
        of the Parties and Interpretation.
        Each of
        the parties acknowledges and agrees that the purpose of Sections 3.17, 3.18,
        3.19, 4.15, 4.16, 4.17, 4.18 and 5.06 of this Agreement is to facilitate
        compliance by the Sponsor, the Master Servicer, the Securities Administrator
        and
        the Depositor with the provisions of Regulation AB promulgated by the SEC
        under
        the Exchange Act (17 C.F.R. §§ 229.1100 - 229.1123), as such may be amended from
        time to time and subject to clarification and interpretive advice as may
        be
        issued by the staff of the SEC from time to time. Therefore, each of the
        parties
        agrees that (a) the obligations of the parties hereunder shall be interpreted
        in
        such a manner as to accomplish that purpose, (b) the parties’ obligations
        hereunder will be supplemented and modified as necessary to be consistent
        with
        any such amendments, interpretive advice or guidance, convention or consensus
        among active participants in the asset-backed securities markets, advice
        of
        counsel, or otherwise in respect of the requirements of Regulation AB; and
        (c)
        the parties shall comply with reasonable requests made by the Sponsor, the
        Master Servicer, the Securities Administrator or the Depositor for delivery
        of
        additional or different information as the Sponsor, the Master Servicer,
        the
        Securities Administrator or the Depositor may determine in good faith is
        necessary to comply with the provisions of Regulation AB. 

       

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      IN
        WITNESS WHEREOF, the Depositor, the Servicer, the Master Servicer, the
        Securities Administrator and the Trustee have caused their names to be signed
        hereto by their respective officers thereunto duly authorized, in each case
        as
        of the day and year first above written.

      

       

      ACE
        SECURITIES CORP.,

      as
        Depositor

       

      By:
        __/s/
        Evelyn Echevarria_______

      Name:
        Evelyn Echevarria

      Title:
        Vice President

       

      By:
        __/s/
        Doris J. Hearn __________

      Name:
        Doris J. Hearn

      Title:
        Vice President

       

      

      GMAC
        MORTGAGE CORPORATION

      as
        Servicer

       

      By:
        _/s/
        Wes Howland ___________

      Name:
        Wes
        Howland

      Title:
        VP, Business Development

       

      

      HSBC
        BANK
        USA, NATIONAL ASSOCIATION

      not
        in
        its individual capacity but solely as Trustee

       

      By:
        _/s/
        Fernando Acebedo _______

      Name:
        Fernando Acebedo

      Title:
        Vice President

       

       

      WELLS
        FARGO BANK, NATIONAL ASSOCIATION

      as
        Master
        Servicer and Securities Administrator

       

      By:
        _/s/
        Stacey M. Taylor _________
        

      Name:
        Stacey M. Taylor

      Title:
        Vice President

       

      Acknowledged
        and Agreed for purposes of Section 7.11 and Section
        9.05:

       

      DB
        STRUCTURED PRODUCTS INC.

       

      By:
        _/s/
        Susan Valenti ____________

      Name:
        Susan Valenti

      Title:
        Director

       

      By:
        _/s/
        Paul Mangione ___________
        

      Name:
        Paul Mangione

      Title:
        Mananging Director 

       

      Acknowledged
        and Agreed for purposes of Section 7.08, 7.09 and
        7.10:

       

      CLAYTON
        FIXED INCOME SERVICES INC. 

       

      By:
        _/s/
        Kevin J. Kanouff__________

      Name:
        Kevin J. Kanouff

      Title:
        President and General Counsel

       

      Acknowledged
        and Agreed for purposes of Section 5.01(b):

       

      DEUTSCHE
        BANK SECURITIES INC., as Class CE-2 Certificateholder

       

      By:
        _/s/
        Susan Valenti____________

      Name:
        Susan Valenti

      Title:
        Director

       

      By:
        _/s/
        Paul Mangione __________

      Name:
        Paul Mangione

      Title:
        Managing Director

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      
        	
                STATE
                  OF

              	
                )

              
	 	
                )
                  ss.:

              
	
                COUNTY
                  OF

              	
                )

              
	 	 

      

      On
        the
        ___ day of August 2006, before me, a notary public in and for said State,
        personally appeared _____________________ known to me to be a
        _____________________ of ACE Securities Corp., one of the corporations that
        executed the within instrument, and also known to me to be the person who
        executed it on behalf of said corporation, and acknowledged to me that such
        corporation executed the within instrument.

       

      IN
        WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal
        the
        day and year in this certificate first above written.

       

      _________________________________________

      Notary
        Public

       

      [Notarial
        Seal]     My
        commission expires

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      
        	
                STATE
                  OF

              	
                )

              
	 	
                )
                  ss.:

              
	
                COUNTY
                  OF

              	
                )

              
	 	 

      

      On
        the
        ___ day of August 2006, before me, a notary public in and for said State,
        personally appeared _____________________ known to me to be a
        _____________________ of ACE Securities Corp., one of the corporations that
        executed the within instrument, and also known to me to be the person who
        executed it on behalf of said corporation, and acknowledged to me that such
        corporation executed the within instrument.

       

      IN
        WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal
        the
        day and year in this certificate first above written.

       

      _________________________________________

      Notary
        Public

       

      [Notarial
        Seal]     My
        commission expires

       

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      
        	
                STATE
                  OF

              	
                )

              
	 	
                )
                  ss.:

              
	
                COUNTY
                  OF

              	
                )

              
	 	 

      

      On
        the
        ___ day of August 2006, before me, a notary public in and for said State,
        personally appeared _____________________ known to me to be a
        _____________________ of GMAC Mortgage Corporation, one of the corporations
        that
        executed the within instrument, and also known to me to be the person who
        executed it on behalf of said limited liability company, and acknowledged
        to me
        that such federally chartered savings bank executed the within
        instrument.

       

      IN
        WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal
        the
        day and year in this certificate first above written.

       

      __________________________________________

      Notary
        Public

       

      [Notarial
        Seal]     My
        commission expires

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      
        	
                STATE
                  OF

              	
                )

              
	 	
                )
                  ss.:

              
	
                COUNTY
                  OF

              	
                )

              
	 	 
	 	 

      

      On
        the
        ___ day of August 2006, before me, a notary public in and for said State,
        personally appeared _____________________ known to me to be a
        _____________________ of Wells Fargo Bank, National Association, one of the
        national banking associations that executed the within instrument, and also
        known to me to be the person who executed it on behalf of said national banking
        association, and acknowledged to me that such national banking association
        executed the within instrument.

       

      IN
        WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal
        the
        day and year in this certificate first above written.

       

      _________________________________________

      Notary
        Public

       

      [Notarial
        Seal]     My
        commission expires

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      
        	
                STATE
                  OF

              	
                )

              
	 	
                )
                  ss.:

              
	
                COUNTY
                  OF

              	
                )

              
	 	 

      

      On
        the
        ___ day of August 2006, before me, a notary public in and for said State,
        personally appeared _____________________ known to me to be a
        _____________________ of HSBC Bank USA, National Association, one of the
        national banking associations that executed the within instrument, and also
        known to me to be the person who executed it on behalf of said national banking
        association, and acknowledged to me that such national banking association
        executed the within instrument.

       

      IN
        WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal
        the
        day and year in this certificate first above written.

       

      _________________________________________

      Notary
        Public

       

      [Notarial
        Seal]     My
        commission expires

       

      

    

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    EXHIBIT
      A-1A

     

    FORM
      OF
      CLASS A-[1][2] CERTIFICATE

     

    SOLELY
      FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE IS 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”).

     

    UNLESS
      THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
      TRUST COMPANY TO THE DEPOSITOR OR ITS AGENT FOR REGISTRATION OF TRANSFER,
      EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF
      CEDE & CO. OR SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE
      OF THE DEPOSITORY TRUST COMPANY AND ANY PAYMENT IS MADE TO CEDE & CO., ANY
      TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
      IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
      HEREIN.

     

    PRIOR
      TO THE TERMINATION OF THE SUPPLEMENTAL INTEREST TRUST, ANY PERSON ACQUIRING
      A
      CERTIFICATE DIRECTLY OR INDIRECTLY BY, ON BEHALF OF, OR WITH PLAN ASSETS OF
      AN
      EMPLOYEE BENEFIT PLAN OR OTHER RETIREMENT ARRANGEMENT THAT IS SUBJECT TO TITLE
      I
      OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED, OR SECTION
      4975 OF THE CODE, SHALL BE DEEMED TO HAVE MADE THE REPRESENTATIONS IN SECTION
      6.02(c) OF THE AGREEMENT REFERRED TO HEREIN.

     

    

    
      	
              Series
                2006-SL4, Class A-[1][2]

            	 	
              Aggregate
                Certificate Principal Balance of the Class A-[1][2] Certificates
                as of the
                Issue Date: $_____________

            
	
              Pass-Through
                Rate: Variable

            	 	
              Denomination:
                $____________

            
	
              Date
                of Pooling and Servicing Agreement and Cut-off Date: August 1,
                2006

            	 	
              Master
                Servicer: Wells Fargo Bank, N.A.

            
	
              First
                Distribution Date: September 25, 2006

            	 	
              Trustee:
                HSBC Bank USA, National Association

            
	
              No.__

            	 	
              Issue
                Date: August 29, 2006

            
	 	 	
              CUSIP:________________

            

    

    

    DISTRIBUTIONS
      IN REDUCTION OF THE CERTIFICATE PRINCIPAL BALANCE OF THIS CERTIFICATE MAY BE
      MADE MONTHLY AS SET FORTH HEREIN. ACCORDINGLY, THE OUTSTANDING CERTIFICATE
      PRINCIPAL BALANCE HEREOF AT ANY TIME MAY BE LESS THAN THE AMOUNT SHOWN ABOVE
      AS
      THE DENOMINATION OF THIS CERTIFICATE.

     

    ACE
      SECURITIES CORP. HOME EQUITY LOAN TRUST, SERIES 2006-SL4

     

    ASSET
      BACKED PASS-THROUGH CERTIFICATE

     

    evidencing
      a beneficial ownership interest in a Trust Fund (the “Trust Fund”) consisting
      primarily of a pool of conventional one- to four-family, fixed-rate second
      lien
      mortgage loans (the “Mortgage Loans”) formed and sold by

     

    ACE
      SECURITIES CORP.

     

    THIS
      CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN ACE SECURITIES
      CORP., THE MASTER SERVICER, THE SECURITIES ADMINISTRATOR, THE SERVICER, THE
      TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE NOR
      THE
      UNDERLYING MORTGAGE LOANS ARE GUARANTEED BY ANY AGENCY OR INSTRUMENTALITY OF
      THE
      UNITED STATES.

     

    This
      certifies that ________________ is the registered owner of a Percentage Interest
      (obtained by dividing the denomination of this Certificate by the aggregate
      Certificate Principal Balance of the Class A-[1][2] Certificates as of the
      Issue
      Date) in that certain beneficial ownership interest evidenced by all of the
      Class A-[1][2] Certificates in REMIC III created pursuant to a Pooling and
      Servicing Agreement, dated as specified above (the “Agreement”), among ACE
      Securities Corp., as depositor (hereinafter called the “Depositor”, which term
      includes any successor entity under the Agreement), Wells Fargo Bank, N.A.
      as
      master servicer (the “Master Servicer”) and securities administrator (the
“Securities Administrator”), GMAC Mortgage Corporation as servicer ( the
“Servicer”) and HSBC Bank USA, National Association as trustee (the “Trustee”),
      a summary of certain of the pertinent provisions of which is set forth
      hereafter. 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.

     

    Pursuant
      to the terms of the Agreement, distributions 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 such 25th
      day (a
“Distribution Date”), commencing on the First Distribution Date specified above,
      to the Person in whose name this Certificate is registered on the Business
      Day
      immediately preceding such Distribution Date (the “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 the Holders of Class A-[1][2]
      Certificates on such Distribution Date pursuant to the Agreement.

     

    All
      distributions to the Holder of this Certificate under the Agreement will be
      made
      or caused to be made by the Securities Administrator by wire transfer in
      immediately available funds to the account of the Person entitled thereto if
      such Person shall have so notified the Securities Administrator in writing
      at
      least five (5) Business Days prior to the Record Date immediately prior to
      such
      Distribution Date and is the registered owner of Class A-[1][2] Certificates
      the
      aggregate initial Certificate Principal Balance of which is in excess of the
      lesser of (i) $5,000,000 or (ii) two-thirds of the aggregate initial Certificate
      Principal Balance of the Class A-[1][2] Certificates, or otherwise by check
      mailed by first class mail to the address of the Person entitled thereto, as
      such name and address shall appear on the Certificate Register. Notwithstanding
      the above, the final distribution on this Certificate will be made after due
      notice by the Securities Administrator of the pendency of such distribution
      and
      only upon presentation and surrender of this Certificate at the office or agency
      appointed by the Securities Administrator for that purpose as provided in the
      Agreement.

     

    The
      Pass-Through Rate applicable to the calculation of interest payable with respect
      to this Certificate on any Distribution Date shall be a rate per annum equal
      to
      the lesser of (i) One-Month LIBOR plus [_____]%, in the case of each
      Distribution Date through and including the Distribution Date on which the
      aggregate principal balance of the Mortgage Loans (and properties acquired
      in
      respect thereof) remaining in the Trust Fund is reduced to less than or equal
      to
      10% of the aggregate principal balance of the Mortgage Loans as of the Cut-off
      Date, or One-Month LIBOR plus [_____]%, in the case of any Distribution Date
      thereafter and (ii) the applicable Net WAC Pass-Through Rate for such
      Distribution Date.

     

    This
      Certificate is one of a duly authorized issue of Certificates designated as
      Asset Backed Pass-Through Certificate of the Series specified on the face hereof
      (herein called the “Certificates”) and representing a Percentage Interest in the
      Class of Certificates specified on the face hereof equal to the denomination
      specified on the face hereof divided by the aggregate Certificate Principal
      Balance of the Class of Certificates specified on the face hereof.

     

    The
      Certificates are limited in right of payment to certain collections and
      recoveries respecting the Mortgage Loans and payments received pursuant to
      the
      Swap Agreement, all as more specifically set forth herein and in the Agreement.
      As provided in the Agreement, withdrawals from the Collection Account and the
      Distribution Account may be made from time to time for purposes other than
      distributions to Certificateholders, such purposes including reimbursement
      of
      advances made, or certain expenses incurred, with respect to the Mortgage Loans.
      

     

    The
      Agreement permits, with certain exceptions therein provided, the amendment
      thereof and the modification of the rights and obligations of the Depositor,
      the
      Master Servicer, the Trustee, the Securities Administrator, the Servicer and
      the
      rights of the Certificateholders under the Agreement at any time by the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator and
      the Servicer with the consent of the Swap Provider and the Holders of
      Certificates entitled to at least 66% of the Voting Rights. 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 herefor 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.

     

    As
      provided in the Agreement and subject to certain limitations therein set forth,
      the transfer of this Certificate is registrable in the Certificate Register
      upon
      surrender of this Certificate for registration of transfer at the offices or
      agencies appointed by the Securities Administrator as provided in the Agreement,
      duly endorsed by, or accompanied by an assignment in the form below or other
      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 evidencing the same aggregate Percentage
      Interest will be issued to the designated transferee or
      transferees.

     

    Prior
      to
      the termination of the Supplemental Interest Trust, any transfer of this
      Certificate to a Plan subject to ERISA or Section 4975 of the Code, any Person
      acting, directly or indirectly, on behalf of any such Plan or any person using
      Plan Assets to acquire this Certificate by its acceptance thereof shall be
      deemed to make the representations in Section 6.02(c) of the
      Agreement.

     

    The
      Certificates are issuable in fully registered form only without coupons in
      Classes and denominations representing Percentage Interests specified in the
      Agreement. As provided in the Agreement and subject to certain limitations
      therein set forth, the Certificates are exchangeable for new Certificates of
      the
      same Class in authorized denominations 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
      of
      Certificates, but the Securities Administrator may require payment of a sum
      sufficient to cover any tax or other governmental charge that may be imposed
      in
      connection with any transfer or exchange of Certificates.

     

    The
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer and any agent of the Depositor, the Master Servicer, the Trustee,
      the
      Securities Administrator or the Servicer may treat the Person in whose name
      this
      Certificate is registered as the owner hereof for all purposes, and none of
      the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer nor any such agent shall be affected by notice to the
      contrary.

     

    The
      obligations created by the Agreement and the Trust Fund created thereby shall
      terminate upon payment to the Certificateholders of all amounts held by the
      Securities Administrator and required to be paid to them pursuant to the
      Agreement following the earlier of (i) the final payment or other liquidation
      (or any advance with respect thereto) of the last Mortgage Loan remaining in
      REMIC I and (ii) the purchase by the party designated in the Agreement at a
      price determined as provided in the Agreement from REMIC I of all the Mortgage
      Loans and all property acquired in respect of such Mortgage Loans. The Agreement
      permits, but does not require, the party designated in the Agreement to purchase
      from REMIC I all the Mortgage Loans and all property acquired in respect of
      any
      Mortgage Loan at a price determined as provided in the Agreement. The exercise
      of such right will effect early retirement of the Certificates; however, such
      right to purchase is subject to the aggregate Scheduled Principal Balance of
      the
      Mortgage Loans (and properties acquired in respect thereof) at the time of
      purchase being less than or equal to 10% of the Scheduled Principal Balance
      of
      the Mortgage Loans as of the Cut-off Date.

     

    The
      recitals contained herein shall be taken as statements of the Depositor and
      neither the Trustee nor the Securities Administrator assumes any responsibility
      for their correctness.

     

    Unless
      the certificate of authentication hereon has been executed by the Securities
      Administrator, by manual signature, this Certificate shall not be entitled
      to
      any benefit under the Agreement or be valid for any purpose.

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Securities Administrator has caused this Certificate to
      be
      duly executed.

     

    Dated:

     

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    

    

    

    

    

    CERTIFICATE
      OF AUTHENTICATION

     

    This
      is
      one of the Class A-[1][2] Certificates referred to in the within-mentioned
      Agreement.

    
       

      
        	 	 	 	 	 	 	 	
                WELLS
                  FARGO BANK, N.A.

                as
                  Securities Administrator

              
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
                By:

              	 
	 	 	 	 	 	 	 	 	
                Authorized
                  Signatory

              
	 	 	 	 	 	 	 	 	 

      

      

    

     

     

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ABBREVIATIONS

     

    The
      following abbreviations, when used in the inscription on the face of this
      instrument, shall be construed as though they were written out in full according
      to applicable laws or regulations:

     

    
      	
              TEN
                COM -

            	
              as
                tenants in common

            	
              UNIF
                GIFT MIN ACT -

            	
                   Custodian      

              (Cust)
                (Minor)

              under
                Uniform Gifts 

              to
                Minors Act

            
	
              TEN
                ENT -

            	
              as
                tenants by the entireties

            	 	
              ________________

              (State)

            
	
              JT
                TEN -

            	
              as
                joint tenants with right 

              if
                survivorship and not as 

              tenants
                in common

            	 	 
	 	 	 	 
	
              Additional
                abbreviations may also be used though not in the above
                list.

            

    

    

    ASSIGNMENT

     

    
      	
              FOR
                VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
                

            
	
              unto

            	 
	 	 
	 	 

    

    (Please
      print or typewrite name, address including postal zip code, and Taxpayer
      Identification Number of assignee)

     

    a
      Percentage Interest equal to ____% evidenced by the within Asset Backed
      Pass-Through Certificate and hereby authorize(s) the registration of transfer
      of
      such 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
      Percentage Interest and Class to the above named assignee and deliver such
      Certificate to the following address:
      __________________________________________________________________________________________________________________________________________________

    
      	 	 	
              .

            

    

    

     

    
      	
              Dated:

            	 
	 	
              Signature
                by or on behalf of assignor

            
	 	 
	 	 
	 	
              Signature
                Guaranteed

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    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

            	 
	
              assignee
                named above, or

            	 
	
              its
                agent.

            	 

    

    

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A-1B

     

    FORM
      OF
      CLASS A-[3] CERTIFICATE

     

    SOLELY
      FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE IS 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”).

     

    UNLESS
      THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
      TRUST COMPANY TO THE DEPOSITOR OR ITS AGENT FOR REGISTRATION OF TRANSFER,
      EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF
      CEDE & CO. OR SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE
      OF THE DEPOSITORY TRUST COMPANY AND ANY PAYMENT IS MADE TO CEDE & CO., ANY
      TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
      IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
      HEREIN.

     

    PRIOR
      TO THE TERMINATION OF THE SUPPLEMENTAL INTEREST TRUST, ANY PERSON ACQUIRING
      A
      CERTIFICATE DIRECTLY OR INDIRECTLY BY, ON BEHALF OF, OR WITH PLAN ASSETS OF
      AN
      EMPLOYEE BENEFIT PLAN OR OTHER RETIREMENT ARRANGEMENT THAT IS SUBJECT TO TITLE
      I
      OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED, OR SECTION
      4975 OF THE CODE, SHALL BE DEEMED TO HAVE MADE THE REPRESENTATIONS IN SECTION
      6.02(c) OF THE AGREEMENT REFERRED TO HEREIN.

     

    

    
      	
              Series
                2006-SL4, Class A-[3]

            	 	
              Aggregate
                Certificate Principal Balance of the Class A-[3] Certificates as
                of the
                Issue Date: $_____________

            
	
              Pass-Through
                Rate: Fixed

            	 	
              Denomination:
                $____________

            
	
              Date
                of Pooling and Servicing Agreement and Cut-off Date: August 1,
                2006

            	 	
              Master
                Servicer: Wells Fargo Bank, N.A.

            
	
              First
                Distribution Date: September 25, 2006

            	 	
              Trustee:
                HSBC Bank USA, National Association

            
	
              No.__

            	 	
              Issue
                Date: August 29, 2006

            
	 	 	
              CUSIP:________________

            

    

    

    DISTRIBUTIONS
      IN REDUCTION OF THE CERTIFICATE PRINCIPAL BALANCE OF THIS CERTIFICATE MAY BE
      MADE MONTHLY AS SET FORTH HEREIN. ACCORDINGLY, THE OUTSTANDING CERTIFICATE
      PRINCIPAL BALANCE HEREOF AT ANY TIME MAY BE LESS THAN THE AMOUNT SHOWN ABOVE
      AS
      THE DENOMINATION OF THIS CERTIFICATE.

     

    ACE
      SECURITIES CORP. HOME EQUITY LOAN TRUST, SERIES 2006-SL4

     

    ASSET
      BACKED PASS-THROUGH CERTIFICATE

     

    evidencing
      a beneficial ownership interest in a Trust Fund (the “Trust Fund”) consisting
      primarily of a pool of conventional one- to four-family, fixed-rate second
      lien
      mortgage loans (the “Mortgage Loans”) formed and sold by

     

    ACE
      SECURITIES CORP.

     

    THIS
      CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN ACE SECURITIES
      CORP., THE MASTER SERVICER, THE SECURITIES ADMINISTRATOR, THE SERVICER, THE
      TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE NOR
      THE
      UNDERLYING MORTGAGE LOANS ARE GUARANTEED BY ANY AGENCY OR INSTRUMENTALITY OF
      THE
      UNITED STATES.

     

    This
      certifies that ________________ is the registered owner of a Percentage Interest
      (obtained by dividing the denomination of this Certificate by the aggregate
      Certificate Principal Balance of the Class A-[3] Certificates as of the Issue
      Date) in that certain beneficial ownership interest evidenced by all of the
      Class A-[3] Certificates in REMIC III created pursuant to a Pooling and
      Servicing Agreement, dated as specified above (the “Agreement”), among ACE
      Securities Corp., as depositor (hereinafter called the “Depositor”, which term
      includes any successor entity under the Agreement), Wells Fargo Bank, N.A.
      as
      master servicer (the “Master Servicer”) and securities administrator (the
“Securities Administrator”), GMAC Mortgage Corporation as servicer ( the
“Servicer”) and HSBC Bank USA, National Association as trustee (the “Trustee”),
      a summary of certain of the pertinent provisions of which is set forth
      hereafter. 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.

     

    Pursuant
      to the terms of the Agreement, distributions 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 such 25th
      day (a
“Distribution Date”), commencing on the First Distribution Date specified above,
      to the Person in whose name this Certificate is registered on the last Business
      Day of the month immediately preceding the month in which such Distribution
      Date
      occurs (the “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 the Holders of Class A-[3] Certificates on such Distribution Date pursuant
      to
      the Agreement.

     

    All
      distributions to the Holder of this Certificate under the Agreement will be
      made
      or caused to be made by the Securities Administrator by wire transfer in
      immediately available funds to the account of the Person entitled thereto if
      such Person shall have so notified the Securities Administrator in writing
      at
      least five (5) Business Days prior to the Record Date immediately prior to
      such
      Distribution Date and is the registered owner of Class A-[3] Certificates the
      aggregate initial Certificate Principal Balance of which is in excess of the
      lesser of (i) $5,000,000 or (ii) two-thirds of the aggregate initial Certificate
      Principal Balance of the Class A-[3] Certificates, or otherwise by check mailed
      by first class mail to the address of the Person entitled thereto, as such
      name
      and address shall appear on the Certificate Register. Notwithstanding the above,
      the final distribution on this Certificate will be made after due notice by
      the
      Securities Administrator of the pendency of such distribution and only upon
      presentation and surrender of this Certificate at the office or agency appointed
      by the Securities Administrator for that purpose as provided in the
      Agreement.

     

    The
      Pass-Through Rate applicable to the calculation of interest payable with respect
      to this Certificate on any Distribution Date shall equal a rate per annum equal
      to the lesser of (i) [______]% in the case of each Distribution Date through
      and
      including the Distribution Date on which the aggregate principal balance of
      the
      Mortgage Loans (and properties acquired in respect thereof) remaining in the
      Trust Fund is reduced to less than or equal to 10% of the aggregate principal
      balance of the Mortgage Loans as of the Cut-off Date, or [_____]%, in the case
      of any Distribution Date thereafter and (ii) the applicable Net WAC Pass-Through
      Rate for such Distribution Date.

     

    This
      Certificate is one of a duly authorized issue of Certificates designated as
      Asset Backed Pass-Through Certificate of the Series specified on the face hereof
      (herein called the “Certificates”) and representing a Percentage Interest in the
      Class of Certificates specified on the face hereof equal to the denomination
      specified on the face hereof divided by the aggregate Certificate Principal
      Balance of the Class of Certificates specified on the face hereof.

     

    The
      Certificates are limited in right of payment to certain collections and
      recoveries respecting the Mortgage Loans and payments received pursuant to
      the
      Swap Agreement, all as more specifically set forth herein and in the Agreement.
      As provided in the Agreement, withdrawals from the Collection Account and the
      Distribution Account may be made from time to time for purposes other than
      distributions to Certificateholders, such purposes including reimbursement
      of
      advances made, or certain expenses incurred, with respect to the Mortgage Loans.
      

     

    The
      Agreement permits, with certain exceptions therein provided, the amendment
      thereof and the modification of the rights and obligations of the Depositor,
      the
      Master Servicer, the Trustee, the Securities Administrator, the Servicer and
      the
      rights of the Certificateholders under the Agreement at any time by the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator and
      the Servicer with the consent of the Swap Provider and the Holders of
      Certificates entitled to at least 66% of the Voting Rights. 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 herefor 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.

     

    As
      provided in the Agreement and subject to certain limitations therein set forth,
      the transfer of this Certificate is registrable in the Certificate Register
      upon
      surrender of this Certificate for registration of transfer at the offices or
      agencies appointed by the Securities Administrator as provided in the Agreement,
      duly endorsed by, or accompanied by an assignment in the form below or other
      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 evidencing the same aggregate Percentage
      Interest will be issued to the designated transferee or
      transferees.

     

    Prior
      to
      the termination of the Supplemental Interest Trust, any transfer of this
      Certificate to a Plan subject to ERISA or Section 4975 of the Code, any Person
      acting, directly or indirectly, on behalf of any such Plan or any person using
      Plan Assets to acquire this Certificate by its acceptance thereof shall be
      deemed to make the representations in Section 6.02(c) of the
      Agreement.

     

    The
      Certificates are issuable in fully registered form only without coupons in
      Classes and denominations representing Percentage Interests specified in the
      Agreement. As provided in the Agreement and subject to certain limitations
      therein set forth, the Certificates are exchangeable for new Certificates of
      the
      same Class in authorized denominations 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
      of
      Certificates, but the Securities Administrator may require payment of a sum
      sufficient to cover any tax or other governmental charge that may be imposed
      in
      connection with any transfer or exchange of Certificates.

     

    The
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer and any agent of the Depositor, the Master Servicer, the Trustee,
      the
      Securities Administrator or the Servicer may treat the Person in whose name
      this
      Certificate is registered as the owner hereof for all purposes, and none of
      the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer nor any such agent shall be affected by notice to the
      contrary.

     

    The
      obligations created by the Agreement and the Trust Fund created thereby shall
      terminate upon payment to the Certificateholders of all amounts held by the
      Securities Administrator and required to be paid to them pursuant to the
      Agreement following the earlier of (i) the final payment or other liquidation
      (or any advance with respect thereto) of the last Mortgage Loan remaining in
      REMIC I and (ii) the purchase by the party designated in the Agreement at a
      price determined as provided in the Agreement from REMIC I of all the Mortgage
      Loans and all property acquired in respect of such Mortgage Loans. The Agreement
      permits, but does not require, the party designated in the Agreement to purchase
      from REMIC I all the Mortgage Loans and all property acquired in respect of
      any
      Mortgage Loan at a price determined as provided in the Agreement. The exercise
      of such right will effect early retirement of the Certificates; however, such
      right to purchase is subject to the aggregate Scheduled Principal Balance of
      the
      Mortgage Loans (and properties acquired in respect thereof) at the time of
      purchase being less than or equal to 10% of the Scheduled Principal Balance
      of
      the Mortgage Loans as of the Cut-off Date.

     

    The
      recitals contained herein shall be taken as statements of the Depositor and
      neither the Trustee nor the Securities Administrator assumes any responsibility
      for their correctness.

     

    Unless
      the certificate of authentication hereon has been executed by the Securities
      Administrator, by manual signature, this Certificate shall not be entitled
      to
      any benefit under the Agreement or be valid for any purpose.

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Securities Administrator has caused this Certificate to
      be
      duly executed.

     

    Dated:

    
       

      
        	 	 	 	 	 	 	 	
                WELLS
                  FARGO BANK, N.A.

                as
                  Securities Administrator

              
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
                By:

              	 
	 	 	 	 	 	 	 	 	
                Authorized
                  Officer

              
	 	 	 	 	 	 	 	 	 

      

      

    

    

    

    

    

    CERTIFICATE
      OF AUTHENTICATION

     

    This
      is
      one of the Class A-[3] Certificates referred to in the within-mentioned
      Agreement.

    
       

      
        	 	 	 	 	 	 	 	
                WELLS
                  FARGO BANK, N.A.

                as
                  Securities Administrator

              
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
                By:

              	 
	 	 	 	 	 	 	 	 	
                Authorized
                  Signatory

              
	 	 	 	 	 	 	 	 	 

      

      

    

     

     

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ABBREVIATIONS

     

    The
      following abbreviations, when used in the inscription on the face of this
      instrument, shall be construed as though they were written out in full according
      to applicable laws or regulations:

     

    
      	
              TEN
                COM -

            	
              as
                tenants in common

            	
              UNIF
                GIFT MIN ACT -

            	
                   Custodian      

              (Cust)
                (Minor)

              under
                Uniform Gifts 

              to
                Minors Act

            
	
              TEN
                ENT -

            	
              as
                tenants by the entireties

            	 	
              ________________

              (State)

            
	
              JT
                TEN -

            	
              as
                joint tenants with right 

              if
                survivorship and not as 

              tenants
                in common

            	 	 
	 	 	 	 
	
              Additional
                abbreviations may also be used though not in the above
                list.

            

    

    

    ASSIGNMENT

     

    
      	
              FOR
                VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
                

            
	
              unto

            	 
	 	 
	 	 

    

    (Please
      print or typewrite name, address including postal zip code, and Taxpayer
      Identification Number of assignee)

     

    a
      Percentage Interest equal to ____% evidenced by the within Asset Backed
      Pass-Through Certificate and hereby authorize(s) the registration of transfer
      of
      such 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
      Percentage Interest and Class to the above named assignee and deliver such
      Certificate to the following address:
      ________________________________________________

    
      	 	 	
              .

            

    

    

     

    
      	
              Dated:

            	 
	 	
              Signature
                by or on behalf of assignor

            
	 	 
	 	 
	 	
              Signature
                Guaranteed

            

    

     

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    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

            	 
	
              assignee
                named above, or

            	 
	
              its
                agent.

            	 

    

    

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A-2A

     

    FORM
      OF
      CLASS M-[1][2][3][6] CERTIFICATE

     

    SOLELY
      FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE IS 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”).

     

    UNLESS
      THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
      TRUST COMPANY TO THE DEPOSITOR OR ITS AGENT FOR REGISTRATION OF TRANSFER,
      EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF
      CEDE & CO. OR SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE
      OF THE DEPOSITORY TRUST COMPANY AND ANY PAYMENT IS MADE TO CEDE & CO., ANY
      TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
      IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
      HEREIN.

     

    THIS
      CERTIFICATE IS SUBORDINATE TO THE CLASS A CERTIFICATES [[,/AND] CLASS M-1
      CERTIFICATES] [, CLASS M-2 CERTIFICATES] [[,/AND] CLASS M-3 CERTIFICATES]
      [[,/AND] CLASS M-4 CERTIFICATES] [[,/AND] CLASS M-5 CERTIFICATES]] TO THE EXTENT
      DESCRIBED IN THE AGREEMENT REFERRED TO HEREIN.

     

    ANY
      TRANSFEREE OF THIS CERTIFICATE SHALL BE DEEMED TO MAKE THE REPRESENTATIONS
      SET
      FORTH IN SECTION 6.02(c) OF THE AGREEMENT REFERRED TO
      HEREIN.

     

    THE
      CERTIFICATE PRINCIPAL BALANCE OF THIS CERTIFICATE WILL BE DECREASED BY THE
      PRINCIPAL PAYMENTS HEREON AND REALIZED LOSSES ALLOCABLE HERETO AS DESCRIBED
      IN
      THE AGREEMENT REFERRED TO HEREIN. ACCORDINGLY, FOLLOWING THE INITIAL ISSUANCE
      OF
      THE CERTIFICATES, THE CERTIFICATE PRINCIPAL BALANCE OF THIS CERTIFICATE WILL
      BE
      DIFFERENT FROM THE DENOMINATION SHOWN BELOW. ANYONE ACQUIRING THIS CERTIFICATE
      MAY ASCERTAIN ITS CERTIFICATE PRINCIPAL BALANCE BY INQUIRY OF THE SECURITIES
      ADMINISTRATOR NAMED HEREIN.

     

    

    
      	
              Series
                2006-SL4, Class M-[1][2][3][6]

            	 	
              Aggregate
                Certificate Principal Balance of the Class M-[1][2][3][6] Certificates as
                of the Issue Date: $______________

            
	
              Pass-Through
                Rate: Fixed

            	 	
              Denomination:
                $______________

            
	
              Date
                of Pooling and Servicing Agreement 

              and
                Cut-off Date: August 1, 2006

            	 	
              Master
                Servicer: Wells Fargo Bank, N.A.

            
	
              First
                Distribution Date: September 25, 2006

            	 	
              Trustee:
                HSBC Bank USA, National Association

            
	
              No.___

            	 	
              Issue
                Date: August 29, 2006

            
	 	 	
              CUSIP:_________________

            

    

    

    ACE
      SECURITIES CORP. HOME EQUITY LOAN TRUST, SERIES 2006-SL4

     

    ASSET
      BACKED PASS-THROUGH CERTIFICATE

     

    evidencing
      a beneficial ownership interest in a Trust Fund (the “Trust Fund”) consisting
      primarily of a pool of conventional one- to four-family, fixed -rate second
      lien
      mortgage loans (the “Mortgage Loans”) formed and sold by

     

    ACE
      SECURITIES CORP.

     

    THIS
      CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN ACE SECURITIES
      CORP., THE MASTER SERVICER, THE SECURITIES ADMINISTRATOR, THE SERVICER, THE
      TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE NOR
      THE
      UNDERLYING MORTGAGE LOANS ARE GUARANTEED BY ANY AGENCY OR INSTRUMENTALITY OF
      THE
      UNITED STATES.

     

    This
      certifies that _____________________ is the registered owner of a Percentage
      Interest (obtained by dividing the denomination of this Certificate by the
      aggregate Certificate Principal Balance of the Class M-[1][2][3][6] Certificates
      as of the Issue Date) in that certain beneficial ownership interest evidenced
      by
      all the Class M-[1][2][3][6] Certificates in REMIC III created pursuant to
      a
      Pooling and Servicing Agreement, dated as specified above (the “Agreement”),
      among ACE Securities Corp., as depositor (hereinafter called the “Depositor”,
      which term includes any successor entity under the Agreement), Wells Fargo
      Bank,
      N.A. as master servicer (the “Master Servicer”) and securities administrator
      (the “Securities Administrator”), GMAC Mortgage Corporation as servicer (the
“Servicer”) and HSBC Bank USA, National Association, as trustee (the “Trustee”),
      a summary of certain of the pertinent provisions of which is set forth
      hereafter. 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.

     

    Pursuant
      to the terms of the Agreement, distributions 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 such 25th
      day (a
“Distribution Date”), commencing on the First Distribution Date specified above,
      to the Person in whose name this Certificate is registered on the last Business
      Day of the month immediately preceding the month in which such Distribution
      Date
      occurs (the “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 the Holders of Class M-[1][2][3][6] Certificates on such Distribution Date
      pursuant to the Agreement.

     

    All
      distributions to the Holder of this Certificate under the Agreement will be
      made
      or caused to be made by the Securities Administrator by wire transfer in
      immediately available funds to the account of the Person entitled thereto if
      such Person shall have so notified the Securities Administrator in writing
      at
      least five (5) Business Days prior to the Record Date immediately prior to
      such
      Distribution Date and is the registered owner of Class M-[1][2][3][6]
      Certificates the aggregate initial Certificate Principal Balance of which is
      in
      excess of the lesser of (i) $5,000,000 or (ii) two-thirds of the aggregate
      initial Certificate Principal Balance of the Class M-[1][2][3][6] Certificates,
      or otherwise by check mailed by first class mail to the address of the Person
      entitled thereto, as such name and address shall appear on the Certificate
      Register. Notwithstanding the above, the final distribution on this Certificate
      will be made after due notice by the Securities Administrator of the pendency
      of
      such distribution and only upon presentation and surrender of this Certificate
      at the office or agency appointed by the Securities Administrator for that
      purpose as provided in the Agreement.

     

    The
      Pass-Through Rate applicable to the calculation of interest payable with respect
      to this Certificate on any Distribution Date shall equal a rate per annum equal
      to the lesser of (i) [____]% in the case of each Distribution Date through
      and including the Distribution Date on which the aggregate principal balance
      of
      the Mortgage Loans (and properties acquired in respect thereof) remaining in
      the
      Trust Fund is reduced to less than or equal to 10% of the aggregate principal
      balance of the Mortgage Loans as of the Cut-off Date, or [_____]%, in the case
      of any Distribution Date thereafter and (ii) the applicable Net WAC Pass-Through
      Rate for such Distribution Date.

     

    This
      Certificate is one of a duly authorized issue of Certificates designated as
      Asset Backed Pass-Through Certificate of the Series specified on the face hereof
      (herein called the “Certificates”) and representing a Percentage Interest in the
      Class of Certificates specified on the face hereof equal to the denomination
      specified on the face hereof divided by the aggregate Certificate Principal
      Balance of the Class of Certificates specified on the face hereof.

     

    The
      Certificates are limited in right of payment to certain collections and
      recoveries respecting the Mortgage Loans and payments received pursuant to
      the
      Swap Agreement, all as more specifically set forth herein and in the Agreement.
      As provided in the Agreement, withdrawals from the Collection Account and the
      Distribution Account may be made from time to time for purposes other than
      distributions to Certificateholders, such purposes including reimbursement
      of
      advances made, or certain expenses incurred, with respect to the Mortgage Loans.
      

     

    The
      Agreement permits, with certain exceptions therein provided, the amendment
      thereof and the modification of the rights and obligations of the Depositor,
      the
      Master Servicer, the Trustee, the Securities Administrator, the Servicer and
      the
      rights of the Certificateholders under the Agreement at any time by the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator and
      the Servicer with the consent of the Swap Provider and the Holders of
      Certificates entitled to at least 66% of the Voting Rights. 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 herefor 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.

     

    As
      provided in the Agreement and subject to certain limitations therein set forth,
      the transfer of this Certificate is registrable in the Certificate Register
      upon
      surrender of this Certificate for registration of transfer at the offices or
      agencies appointed by the Securities Administrator as provided in the Agreement,
      duly endorsed by, or accompanied by an assignment in the form below or other
      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 evidencing the same aggregate Percentage
      Interest will be issued to the designated transferee or
      transferees.

     

    The
      Certificates are issuable in fully registered form only without coupons in
      Classes and denominations representing Percentage Interests specified in the
      Agreement. As provided in the Agreement and subject to certain limitations
      therein set forth, the Certificates are exchangeable for new Certificates of
      the
      same Class in authorized denominations evidencing the same aggregate Percentage
      Interest, as requested by the Holder surrendering the same.

     

    Any
      transferee of this Certificate shall be deemed to make the representations
      set
      forth in Section 6.02(c) of the Agreement.

     

    No
      service charge will be made for any such registration of transfer or exchange
      of
      Certificates, but the Securities Administrator may require payment of a sum
      sufficient to cover any tax or other governmental charge that may be imposed
      in
      connection with any transfer or exchange of Certificates.

     

    The
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer and any agent of the Depositor, the Master Servicer, the Trustee,
      the
      Securities Administrator or the Servicer may treat the Person in whose name
      this
      Certificate is registered as the owner hereof for all purposes, and none of
      the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer nor any such agent shall be affected by notice to the
      contrary.

     

    The
      obligations created by the Agreement and the Trust Fund created thereby shall
      terminate upon payment to the Certificateholders of all amounts held by the
      Securities Administrator and required to be paid to them pursuant to the
      Agreement following the earlier of (i) the final payment or other liquidation
      (or any advance with respect thereto) of the last Mortgage Loan remaining in
      REMIC I and (ii) the purchase by the party designated in the Agreement at a
      price determined as provided in the Agreement from REMIC I of all the Mortgage
      Loans and all property acquired in respect of such Mortgage Loans. The Agreement
      permits, but does not require, the party designated in the Agreement to purchase
      from REMIC I all the Mortgage Loans and all property acquired in respect of
      any
      Mortgage Loan at a price determined as provided in the Agreement. The exercise
      of such right will effect early retirement of the Certificates; however, such
      right to purchase is subject to the aggregate Scheduled Principal Balance of
      the
      Mortgage Loans (and properties acquired in respect thereof) at the time of
      purchase being less than or equal to 10% of the Scheduled Principal Balance
      of
      the Mortgage Loans as of the Cut-off Date.

     

    The
      recitals contained herein shall be taken as statements of the Depositor and
      neither the Trustee nor the Securities Administrator assume any responsibility
      for their correctness.

     

    Unless
      the certificate of authentication hereon has been executed by the Securities
      Administrator by manual signature, this Certificate shall not be entitled to
      any
      benefit under the Agreement or be valid for any purpose. 

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Securities Administrator has caused this Certificate to
      be
      duly executed.

     

    Dated:

     

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    

    

    CERTIFICATE
      OF AUTHENTICATION

     

    This
      is
      one of the Class M-[1][2][3][6] Certificates referred to in the within-mentioned
      Agreement.

     

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Signatory

            
	 	 	 	 	 	 	 	 	 

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ABBREVIATIONS

     

    The
      following abbreviations, when used in the inscription on the face of this
      instrument, shall be construed as though they were written out in full according
      to applicable laws or regulations:

     

    
      	
              TEN
                COM -

            	
              as
                tenants in common

            	
              UNIF
                GIFT MIN ACT -

            	
                   Custodian      

              (Cust)
                (Minor)

              under
                Uniform Gifts 

              to
                Minors Act

            
	
              TEN
                ENT -

            	
              as
                tenants by the entireties

            	 	
              ________________

              (State)

            
	
              JT
                TEN -

            	
              as
                joint tenants with right 

              if
                survivorship and not as 

              tenants
                in common

            	 	 
	 	 	 	 
	
              Additional
                abbreviations may also be used though not in the above
                list.

            

    

    

    ASSIGNMENT

     

    
      	
              FOR
                VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
                

            
	
              unto

            	 
	 	 
	 	 

    

     (Please
      print or typewrite name, address including postal zip code, and Taxpayer
      Identification Number of assignee)

     

    a
      Percentage Interest equal to _____% evidenced by the within Asset Backed
      Pass-Through Certificate and hereby authorize(s) the registration of transfer
      of
      such 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
      Percentage Interest and Class to the above named assignee and deliver such
      Certificate to the following address:
      ______________________________________________________________

    
      	 	 	
              .

            

    

    

     

    
      	
              Dated:

            	 
	 	
              Signature
                by or on behalf of assignor

            
	 	 
	 	 
	 	
              Signature
                Guaranteed

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    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

            	 
	
              assignee
                named above, or

            	 
	
              its
                agent.

            	 

    

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A-2B

     

    FORM
      OF
      CLASS M-[4][5][7][8][9][10]
      CERTIFICATE

     

    SOLELY
      FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE IS 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”).

     

    UNLESS
      THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
      TRUST COMPANY TO THE DEPOSITOR OR ITS AGENT FOR REGISTRATION OF TRANSFER,
      EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF
      CEDE & CO. OR SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE
      OF THE DEPOSITORY TRUST COMPANY AND ANY PAYMENT IS MADE TO CEDE & CO., ANY
      TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
      IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
      HEREIN.

     

    THIS
      CERTIFICATE IS SUBORDINATE TO THE CLASS A CERTIFICATES [[,/AND] CLASS M-1
      CERTIFICATES] [, CLASS M-2 CERTIFICATES] [[,/AND] CLASS M-3 CERTIFICATES]
      [[,/AND] CLASS M-4 CERTIFICATES] [[,/AND] CLASS M-5 CERTIFICATES]] [, CLASS
      M-6
      CERTIFICATES] [[,/AND] CLASS M-7 CERTIFICATES] [[,/AND] CLASS M-8 CERTIFICATES]
      [AND CLASS M-9 CERTIFICATES] TO THE EXTENT DESCRIBED IN THE AGREEMENT REFERRED
      TO HEREIN. 

     

    ANY
      TRANSFEREE OF THIS CERTIFICATE SHALL BE DEEMED TO MAKE THE REPRESENTATIONS
      SET
      FORTH IN SECTION 6.02(c) OF THE AGREEMENT REFERRED TO
      HEREIN.

     

    THE
      CERTIFICATE PRINCIPAL BALANCE OF THIS CERTIFICATE WILL BE DECREASED BY THE
      PRINCIPAL PAYMENTS HEREON AND REALIZED LOSSES ALLOCABLE HERETO AS DESCRIBED
      IN
      THE AGREEMENT REFERRED TO HEREIN. ACCORDINGLY, FOLLOWING THE INITIAL ISSUANCE
      OF
      THE CERTIFICATES, THE CERTIFICATE PRINCIPAL BALANCE OF THIS CERTIFICATE WILL
      BE
      DIFFERENT FROM THE DENOMINATION SHOWN BELOW. ANYONE ACQUIRING THIS CERTIFICATE
      MAY ASCERTAIN ITS CERTIFICATE PRINCIPAL BALANCE BY INQUIRY OF THE SECURITIES
      ADMINISTRATOR NAMED HEREIN.

     

    

    
      	
              Series
                2006-SL4, Class M-[4][5][7][8][9][10]

            	 	
              Aggregate
                Certificate Principal Balance of the Class
                M-[4][5][7][8][9][10]

              Certificates
                as of the Issue Date: $______________

            
	
              Pass-Through
                Rate: Variable

            	 	
              Denomination:
                $______________

            
	
              Date
                of Pooling and Servicing Agreement 

              and
                Cut-off Date: August 1, 2006

            	 	
              Master
                Servicer: Wells Fargo Bank, N.A.

            
	
              First
                Distribution Date: September 25, 2006

            	 	
              Trustee:
                HSBC Bank USA, National Association

            
	
              No.___

            	 	
              Issue
                Date: August 29, 2006

            
	 	 	
              CUSIP:_________________

            

    

    

    ACE
      SECURITIES CORP. HOME EQUITY LOAN TRUST, SERIES 2006-SL4

     

    ASSET
      BACKED PASS-THROUGH CERTIFICATE

     

    evidencing
      a beneficial ownership interest in a Trust Fund (the “Trust Fund”) consisting
      primarily of a pool of conventional one- to four-family, fixed -rate second
      lien
      mortgage loans (the “Mortgage Loans”) formed and sold by

     

    ACE
      SECURITIES CORP.

     

    THIS
      CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN ACE SECURITIES
      CORP., THE MASTER SERVICER, THE SECURITIES ADMINISTRATOR, THE SERVICER, THE
      TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE NOR
      THE
      UNDERLYING MORTGAGE LOANS ARE GUARANTEED BY ANY AGENCY OR INSTRUMENTALITY OF
      THE
      UNITED STATES.

     

    This
      certifies that _____________________ is the registered owner of a Percentage
      Interest (obtained by dividing the denomination of this Certificate by the
      aggregate Certificate Principal Balance of the Class M-[4][5][7][8][9][10]
      Certificates as of the Issue Date) in that certain beneficial ownership interest
      evidenced by all the Class M-[4][5][7][8][9][10] Certificates in REMIC III
      created pursuant to a Pooling and Servicing Agreement, dated as specified above
      (the “Agreement”), among ACE Securities Corp., as depositor (hereinafter called
      the “Depositor”, which term includes any successor entity under the Agreement),
      Wells Fargo Bank, N.A. as master servicer (the “Master Servicer”) and securities
      administrator (the “Securities Administrator”), GMAC Mortgage Corporation as
      servicer (the “Servicer”) and HSBC Bank USA, National Association, as trustee
      (the “Trustee”), a summary of certain of the pertinent provisions of which is
      set forth hereafter. 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.

     

    Pursuant
      to the terms of the Agreement, distributions 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 such 25th
      day (a
“Distribution Date”), commencing on the First Distribution Date specified above,
      to the Person in whose name this Certificate is registered on the Business
      Day
      immediately preceding such Distribution Date (the “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 the Holders of Class
      M-[4][5][7][8][9][10] Certificates on such Distribution Date pursuant to the
      Agreement.

     

    All
      distributions to the Holder of this Certificate under the Agreement will be
      made
      or caused to be made by the Securities Administrator by wire transfer in
      immediately available funds to the account of the Person entitled thereto if
      such Person shall have so notified the Securities Administrator in writing
      at
      least five (5) Business Days prior to the Record Date immediately prior to
      such
      Distribution Date and is the registered owner of Class M-[4][5][7][8][9][10]
      Certificates the aggregate initial Certificate Principal Balance of which is
      in
      excess of the lesser of (i) $5,000,000 or (ii) two-thirds of the aggregate
      initial Certificate Principal Balance of the Class M-[4][5][7][8][9][10]
      Certificates, or otherwise by check mailed by first class mail to the address
      of
      the Person entitled thereto, as such name and address shall appear on the
      Certificate Register. Notwithstanding the above, the final distribution on
      this
      Certificate will be made after due notice by the Securities Administrator of
      the
      pendency of such distribution and only upon presentation and surrender of this
      Certificate at the office or agency appointed by the Securities Administrator
      for that purpose as provided in the Agreement.

     

    The
      Pass-Through Rate applicable to the calculation of interest payable with respect
      to this Certificate on any Distribution Date shall equal a rate per annum equal
      to the lesser of (i) One-Month LIBOR plus [____]%, in the case of each
      Distribution Date through and including the Distribution Date on which the
      aggregate principal balance of the Mortgage Loans (and properties acquired
      in
      respect thereof) remaining in the Trust Fund is reduced to less than or equal
      to
      10% of the aggregate principal balance of the Mortgage Loans as of the Cut-off
      Date, or One-Month LIBOR plus [____]%, in the case of any Distribution Date
      thereafter and (ii) the applicable Net WAC Pass-Through Rate for such
      Distribution Date.

     

    This
      Certificate is one of a duly authorized issue of Certificates designated as
      Asset Backed Pass-Through Certificate of the Series specified on the face hereof
      (herein called the “Certificates”) and representing a Percentage Interest in the
      Class of Certificates specified on the face hereof equal to the denomination
      specified on the face hereof divided by the aggregate Certificate Principal
      Balance of the Class of Certificates specified on the face hereof.

     

    The
      Certificates are limited in right of payment to certain collections and
      recoveries respecting the Mortgage Loans and payments received pursuant to
      the
      Swap Agreement, all as more specifically set forth herein and in the Agreement.
      As provided in the Agreement, withdrawals from the Collection Account and the
      Distribution Account may be made from time to time for purposes other than
      distributions to Certificateholders, such purposes including reimbursement
      of
      advances made, or certain expenses incurred, with respect to the Mortgage Loans.
      

     

    The
      Agreement permits, with certain exceptions therein provided, the amendment
      thereof and the modification of the rights and obligations of the Depositor,
      the
      Master Servicer, the Trustee, the Securities Administrator, the Servicer and
      the
      rights of the Certificateholders under the Agreement at any time by the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator and
      the Servicer with the consent of the Swap Provider and the Holders of
      Certificates entitled to at least 66% of the Voting Rights. 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 herefor 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.

     

    As
      provided in the Agreement and subject to certain limitations therein set forth,
      the transfer of this Certificate is registrable in the Certificate Register
      upon
      surrender of this Certificate for registration of transfer at the offices or
      agencies appointed by the Securities Administrator as provided in the Agreement,
      duly endorsed by, or accompanied by an assignment in the form below or other
      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 evidencing the same aggregate Percentage
      Interest will be issued to the designated transferee or
      transferees.

     

    The
      Certificates are issuable in fully registered form only without coupons in
      Classes and denominations representing Percentage Interests specified in the
      Agreement. As provided in the Agreement and subject to certain limitations
      therein set forth, the Certificates are exchangeable for new Certificates of
      the
      same Class in authorized denominations evidencing the same aggregate Percentage
      Interest, as requested by the Holder surrendering the same.

     

    Any
      transferee of this Certificate shall be deemed to make the representations
      set
      forth in Section 6.02(c) of the Agreement.

     

    No
      service charge will be made for any such registration of transfer or exchange
      of
      Certificates, but the Securities Administrator may require payment of a sum
      sufficient to cover any tax or other governmental charge that may be imposed
      in
      connection with any transfer or exchange of Certificates.

     

    The
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer and any agent of the Depositor, the Master Servicer, the Trustee,
      the
      Securities Administrator or the Servicer may treat the Person in whose name
      this
      Certificate is registered as the owner hereof for all purposes, and none of
      the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer nor any such agent shall be affected by notice to the
      contrary.

     

    The
      obligations created by the Agreement and the Trust Fund created thereby shall
      terminate upon payment to the Certificateholders of all amounts held by the
      Securities Administrator and required to be paid to them pursuant to the
      Agreement following the earlier of (i) the final payment or other liquidation
      (or any advance with respect thereto) of the last Mortgage Loan remaining in
      REMIC I and (ii) the purchase by the party designated in the Agreement at a
      price determined as provided in the Agreement from REMIC I of all the Mortgage
      Loans and all property acquired in respect of such Mortgage Loans. The Agreement
      permits, but does not require, the party designated in the Agreement to purchase
      from REMIC I all the Mortgage Loans and all property acquired in respect of
      any
      Mortgage Loan at a price determined as provided in the Agreement. The exercise
      of such right will effect early retirement of the Certificates; however, such
      right to purchase is subject to the aggregate Scheduled Principal Balance of
      the
      Mortgage Loans (and properties acquired in respect thereof) at the time of
      purchase being less than or equal to 10% of the Scheduled Principal Balance
      of
      the Mortgage Loans as of the Cut-off Date.

     

    The
      recitals contained herein shall be taken as statements of the Depositor and
      neither the Trustee nor the Securities Administrator assume any responsibility
      for their correctness.

     

    Unless
      the certificate of authentication hereon has been executed by the Securities
      Administrator by manual signature, this Certificate shall not be entitled to
      any
      benefit under the Agreement or be valid for any purpose.

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Securities Administrator has caused this Certificate to
      be
      duly executed.

     

    Dated:

     

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    

    

    CERTIFICATE
      OF AUTHENTICATION

     

    This
      is
      one of the Class M-[4][5][7][8][9][10] Certificates referred to in the
      within-mentioned Agreement.

     

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Signatory

            
	 	 	 	 	 	 	 	 	 

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ABBREVIATIONS

     

    The
      following abbreviations, when used in the inscription on the face of this
      instrument, shall be construed as though they were written out in full according
      to applicable laws or regulations:

     

    
      	
              TEN
                COM -

            	
              as
                tenants in common

            	
              UNIF
                GIFT MIN ACT -

            	
                   Custodian      

              (Cust)
                (Minor)

              under
                Uniform Gifts 

              to
                Minors Act

            
	
              TEN
                ENT -

            	
              as
                tenants by the entireties

            	 	
              ________________

              (State)

            
	
              JT
                TEN -

            	
              as
                joint tenants with right 

              if
                survivorship and not as 

              tenants
                in common

            	 	 
	 	 	 	 
	
              Additional
                abbreviations may also be used though not in the above
                list.

            

    

    

    ASSIGNMENT

     

    
      	
              FOR
                VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
                

            
	
              unto

            	 
	 	 
	 	 

    

     (Please
      print or typewrite name, address including postal zip code, and Taxpayer
      Identification Number of assignee)

     

    a
      Percentage Interest equal to _____% evidenced by the within Asset Backed
      Pass-Through Certificate and hereby authorize(s) the registration of transfer
      of
      such 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
      Percentage Interest and Class to the above named assignee and deliver such
      Certificate to the following address:
      ______________________________________________________________

    
      	 	 	
              .

            

    

    

     

    
      	
              Dated:

            	 
	 	
              Signature
                by or on behalf of assignor

            
	 	 
	 	 
	 	
              Signature
                Guaranteed

            

    

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    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

            	 
	
              assignee
                named above, or

            	 
	
              its
                agent.

            	 

    

    

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    

    EXHIBIT
      A-4A

     

    FORM
      OF
      CLASS CE-1 CERTIFICATE

     

    SOLELY
      FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE IS 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”).

     

    THIS
      CERTIFICATE IS SUBORDINATE TO THE CLASS A CERTIFICATES AND THE MEZZANINE
      CERTIFICATES TO THE EXTENT DESCRIBED IN THE AGREEMENT REFERRED TO
      HEREIN.

     

    THIS
      CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE SECURITIES ACT
      OF
      1933, AS AMENDED (THE “ACT”), OR UNDER ANY STATE SECURITIES LAWS. THE HOLDER
      HEREOF, BY PURCHASING THIS CERTIFICATE, AGREES THAT THIS CERTIFICATE MAY BE
      REOFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY IN COMPLIANCE WITH
      THE
      ACT AND OTHER APPLICABLE LAWS AND (1) OUTSIDE OF THE UNITED STATES WITHIN THE
      MEANING OF AND IN COMPLIANCE WITH REGULATION S UNDER THE ACT (“REGULATION S”),
      OR (2) WITHIN THE UNITED STATES TO (A) “QUALIFIED INSTITUTIONAL BUYERS” WITHIN
      THE MEANING OF AND IN COMPLIANCE WITH RULE 144A UNDER THE ACT (“RULE 144A”) OR
      (B) TO INSTITUTIONAL INVESTORS THAT ARE “ACCREDITED INVESTORS” WITHIN THE
      MEANING OF RULE 501(A)(1), (2), (3) OR (7) OF “REGULATION D” UNDER THE
      ACT.

     

    NO
      TRANSFER OF THIS CERTIFICATE TO AN EMPLOYEE BENEFIT PLAN OR OTHER RETIREMENT
      ARRANGEMENT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974,
      AS
      AMENDED (“ERISA”), OR THE CODE WILL BE REGISTERED EXCEPT IN COMPLIANCE WITH THE
      PROCEDURES DESCRIBED HEREIN.

     

    NO
      TRANSFER OF THIS CERTIFICATE MAY BE MADE TO ANY PERSON, UNLESS THE TRANSFEREE
      PROVIDES A CERTIFICATION PURSUANT TO SECTION 6.02(c) OF THE AGREEMENT REFERRED
      TO HEREIN.

     

     

    
      	
              Series
                2006-SL4, Class CE-1

            	 	
              Aggregate
                Certificate Principal Balance of the Class CE-1 Certificates as of
                the
                Issue Date: $_____________

            
	
              Pass-Through
                Rate: Variable

            	 	
              Denomination:
                $_________________

            
	
              Cut-off
                Date and date of Pooling and Servicing Agreement: August 1,
                2006

            	 	
              Master
                Servicer: Wells Fargo Bank, N.A.

            
	
              First
                Distribution Date: September 25, 2006

            	 	
              Trustee:
                HSBC Bank USA, National Association

            
	
              No.
                __

            	 	
              Issue
                Date: August 29, 2006

            

    

    

    ACE
      SECURITIES CORP. HOME EQUITY LOAN TRUST, SERIES 2006-SL4

     

    ASSET
      BACKED PASS-THROUGH CERTIFICATE

     

    evidencing
      a beneficial ownership interest in a Trust Fund (the “Trust Fund”) consisting
      primarily of a pool of conventional one- to four-family, fixed-rate, second
      lien
      mortgage loans (the “Mortgage Loans”) formed and sold by

     

    ACE
      SECURITIES CORP.

     

    THIS
      CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN ACE SECURITIES
      CORP., THE MASTER SERVICER, THE SECURITIES ADMINISTRATOR, THE SERVICER, THE
      TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE NOR
      THE
      UNDERLYING MORTGAGE LOANS ARE GUARANTEED BY ANY AGENCY OR INSTRUMENTALITY OF
      THE
      UNITED STATES.

     

    This
      certifies that ________________ is the registered owner of a Percentage Interest
      (obtained by dividing the denomination of this Certificate by the aggregate
      Certificate Principal Balance of the Class CE-1 Certificates as of the Issue
      Date) in that certain beneficial ownership interest evidenced by all the Class
      CE-1 Certificates in REMIC III created pursuant to a Pooling and Servicing
      Agreement, dated as specified above (the “Agreement”), among ACE Securities
      Corp., as depositor (hereinafter called the “Depositor,” which term includes any
      successor entity under the Agreement), Wells
      Fargo Bank, N.A. as master servicer (the “Master Servicer”) and securities
      administrator (the “Securities Administrator”), GMAC Mortgage Corporation as
      servicer (the “Servicer”) and HSBC Bank USA, National Association, as trustee
      (the “Trustee”),
      a
      summary of certain of the pertinent provisions of which is set forth hereafter.
      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.

     

    Interest
      on this Certificate will accrue during the month prior to the month in which
      a
      Distribution Date (as hereinafter defined) occurs on the related Notional Amount
      at a per annum rate equal to the applicable Pass-Through Rate as set forth
      in
      the Agreement. Pursuant to the terms of the Agreement, distributions 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 such 25th
      day (a
“Distribution Date”), commencing on the First Distribution Date specified above,
      to the Person in whose name this Certificate is registered on the last Business
      Day of the calendar month immediately preceding the month in which the related
      Distribution Date occurs (the “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 the Holders of Class CE-1Certificates on such Distribution
      Date pursuant to the Agreement.

     

    All
      distributions to the Holder of this Certificate under the Agreement will be
      made
      or caused to be made by the Securities Administrator by wire transfer in
      immediately available funds to the account of the Person entitled thereto if
      such Person shall have so notified the Securities Administrator in writing
      at
      least five (5) Business Days prior to the Record Date immediately prior to
      such
      Distribution Date and is the registered owner of Class CE-1 Certificates the
      aggregate initial Certificate Principal Balance of which is in excess of the
      lesser of (i) $5,000,000 or (ii) two-thirds of the aggregate initial Certificate
      Principal Balance of the Class CE-1 Certificates, or otherwise by check mailed
      by first class mail to the address of the Person entitled thereto, as such
      name
      and address shall appear on the Certificate Register. Notwithstanding the above,
      the final distribution on this Certificate will be made after due notice by
      the
      Securities Administrator of the pendency of such distribution and only upon
      presentation and surrender of this Certificate at the office or agency appointed
      by the Securities Administrator for that purpose as provided in the
      Agreement.

     

    This
      Certificate is one of a duly authorized issue of Certificates designated as
      Asset Backed Pass-Through Certificate of the Series specified on the face hereof
      (herein called the “Certificates”) and representing a Percentage Interest in the
      Class of Certificates specified on the face hereof equal to the denomination
      specified on the face hereof divided by the aggregate Certificate Principal
      Balance of the Class of Certificates specified on the face hereof.

     

    The
      Certificates are limited in right of payment to certain collections and
      recoveries respecting the Mortgage Loans, all as more specifically set forth
      herein and in the Agreement. As provided in the Agreement, withdrawals from
      the
      Collection Account and the Distribution Account may be made from time to time
      for purposes other than distributions to Certificateholders, such purposes
      including reimbursement of advances made, or certain expenses incurred, with
      respect to the Mortgage Loans.

     

    The
      Agreement permits, with certain exceptions therein provided, the amendment
      thereof and the modification of the rights and obligations of the Depositor,
      the
      Master Servicer, the Trustee, the Securities Administrator, the Servicer and
      the
      rights of the Certificateholders under the Agreement at any time by the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator and
      the Servicer with the consent of the Swap Provider and the Holders of
      Certificates entitled to at least 66% of the Voting Rights. 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 herefor 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.

     

    As
      provided in the Agreement and subject to certain limitations therein set forth,
      the transfer of this Certificate is registrable in the Certificate Register
      upon
      surrender of this Certificate for registration of transfer at the offices or
      agencies appointed by the Securities Administrator as provided in the Agreement,
      duly endorsed by, or accompanied by an assignment in the form below or other
      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 evidencing the same aggregate Percentage
      Interest will be issued to the designated transferee or
      transferees.

     

    No
      transfer of this Certificate shall be made unless the transfer is made pursuant
      to an effective registration statement under the Act, and an effective
      registration or qualification under applicable state securities laws, or is
      made
      in a transaction that does not require such registration or qualification.
      In
      the event that such a transfer of this Certificate is to be made without
      registration or qualification, the Securities Administrator shall require
      receipt of (i) if such transfer is purportedly being made in reliance upon
      Rule
      144A or Regulation S under the Act, written certifications from the Holder
      of
      the Certificate desiring to effect the transfer, and from such Holder’s
      prospective transferee, substantially in the forms attached to the Agreement
      as
      Exhibit B-1, (ii) if such transfer is purportedly being made in reliance upon
      Rule 501(a) under the Act, written certifications from the Holder of the
      Certificate desiring to effect the transfer and from such Holder’s prospective
      transferee, substantially in the form attached to the Agreement as Exhibit
      B-2
      and (iii) in all other cases, an Opinion of Counsel satisfactory to it that
      such
      transfer may be made without such registration or qualification (which Opinion
      of Counsel shall not be an expense of the Trust Fund or of the Depositor, the
      Trustee, the Master Servicer or the Securities Administrator in their respective
      capacities as such), together with copies of the written certification(s) of
      the
      Holder of the Certificate desiring to effect the transfer and/or such Holder’s
      prospective transferee upon which such Opinion of Counsel is based. None of
      the
      Depositor, the Trustee or the Securities Administrator is obligated to register
      or qualify the Class of Certificates specified on the face hereof under the
      Act
      or any other securities law or to take any action not otherwise required under
      the Agreement to permit the transfer of such Certificates without registration
      or qualification. Any Holder desiring to effect a transfer of this Certificate
      shall be required to indemnify the Trustee, the Depositor, the Master Servicer
      and the Securities Administrator 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.

     

    No
      transfer of this Certificate to a Plan subject to ERISA or Section 4975 of
      the
      Code, any Person acting, directly or indirectly, on behalf of any such Plan
      or
      any Person using “Plan Assets” to acquire this Certificate shall be made except
      in accordance with Section 6.02(c) of the Agreement.

     

    The
      Certificates are issuable in fully registered form only without coupons in
      Classes and denominations representing Percentage Interests specified in the
      Agreement. As provided in the Agreement and subject to certain limitations
      therein set forth, the Certificates are exchangeable for new Certificates of
      the
      same Class in authorized denominations 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 of Certificates,
      but the Securities Administrator may require payment of a sum sufficient to
      cover any tax or other governmental charge that may be imposed in connection
      with any transfer or exchange of Certificates.

     

    The
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer and any agent of the Depositor, the Master Servicer, the Trustee,
      the
      Securities Administrator or the Servicer may treat the Person in whose name
      this
      Certificate is registered as the owner hereof for all purposes, and none of
      the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer nor any such agent shall be affected by notice to the
      contrary.

     

    The
      obligations created by the Agreement and the Trust Fund created thereby shall
      terminate upon payment to the Certificateholders of all amounts held by the
      Securities Administrator and required to be paid to them pursuant to the
      Agreement following the earlier of (i) the final payment or other liquidation
      (or any advance with respect thereto) of the last Mortgage Loan remaining in
      REMIC I and (ii) the purchase by the party designated in the Agreement at a
      price determined as provided in the Agreement from REMIC I of all the Mortgage
      Loans and all property acquired in respect of such Mortgage Loans. The Agreement
      permits, but does not require, the party designated in the Agreement to purchase
      from REMIC I all the Mortgage Loans and all property acquired in respect of
      any
      Mortgage Loan at a price determined as provided in the Agreement. The exercise
      of such right will effect early retirement of the Certificates; however, such
      right to purchase is subject to the aggregate Scheduled Principal Balance of
      the
      Mortgage Loans (and the properties acquired in respect thereof) at the time
      of
      purchase being less than or equal to 10% of the Scheduled Principal Balance
      of
      the Mortgage Loans as of the Cut-off Date.

     

    The
      recitals contained herein shall be taken as statements of the Depositor and
      neither the Trustee nor the Securities Administrator assume any responsibility
      for their correctness.

     

    Unless
      the certificate of authentication hereon has been executed by the Securities
      Administrator, by manual signature, this Certificate shall not be entitled
      to
      any benefit under the Agreement or be valid for any purpose.

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Securities Administrator has caused this Certificate to
      be
      duly executed.

     

    Dated:

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    

    

    

    CERTIFICATE
      OF AUTHENTICATION

     

    This
      is
      one of the Class CE-1 Certificates referred to in the within-mentioned
      Agreement.

     

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    ABBREVIATIONS

     

    The
      following abbreviations, when used in the inscription on the face of this
      instrument, shall be construed as though they were written out in full according
      to applicable laws or regulations:

     

    
      	
              TEN
                COM -

            	
              as
                tenants in common

            	
              UNIF
                GIFT MIN ACT -

            	
                   Custodian      

              (Cust)
                (Minor)

              under
                Uniform Gifts 

              to
                Minors Act

            
	
              TEN
                ENT -

            	
              as
                tenants by the entireties

            	 	
              ________________

              (State)

            
	
              JT
                TEN -

            	
              as
                joint tenants with right 

              if
                survivorship and not as 

              tenants
                in common

            	 	 
	 	 	 	 
	
              Additional
                abbreviations may also be used though not in the above
                list.

            

    

    

    ASSIGNMENT

     

    
      	
              FOR
                VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
                

            
	
              unto

            	 
	 	 
	 	 

    

    (Please
      print or typewrite name, address including postal zip code, and Taxpayer
      Identification Number of assignee) 

     

    a
      Percentage Interest equal to ____% evidenced by the within Asset Backed
      Pass-Through Certificate and hereby authorize(s) the registration of transfer
      of
      such 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
      Percentage Interest and Class to the above named assignee and deliver such
      Certificate to the following address:
      ______________________________________________________________

    
      	 	 	
              .

            

    

    

     

    
      	
              Dated:

            	 
	 	
              Signature
                by or on behalf of assignor

            
	 	 
	 	 
	 	
              Signature
                Guaranteed

            

    

     

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    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

            	 
	
              assignee
                named above, or

            	 
	
              its
                agent.

            	 

    

     

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A-4B

     

    FORM
      OF
      CLASS CE-2 CERTIFICATE

     

    SOLELY
      FOR U.S. FEDERAL INCOME TAX PURPOSES, THIS CERTIFICATE IS 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”).

     

    THIS
      CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE SECURITIES ACT
      OF
      1933, AS AMENDED (THE “ACT”), OR UNDER ANY STATE SECURITIES LAWS. THE HOLDER
      HEREOF, BY PURCHASING THIS CERTIFICATE, AGREES THAT THIS CERTIFICATE MAY BE
      REOFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY IN COMPLIANCE WITH
      THE
      ACT AND OTHER APPLICABLE LAWS AND (1) OUTSIDE OF THE UNITED STATES WITHIN THE
      MEANING OF AND IN COMPLIANCE WITH REGULATION S UNDER THE ACT (“REGULATION S”),
      OR (2) WITHIN THE UNITED STATES TO (A) “QUALIFIED INSTITUTIONAL BUYERS” WITHIN
      THE MEANING OF AND IN COMPLIANCE WITH RULE 144A UNDER THE ACT (“RULE 144A”) OR
      (B) TO INSTITUTIONAL INVESTORS THAT ARE “ACCREDITED INVESTORS” WITHIN THE
      MEANING OF RULE 501(A)(1), (2), (3) OR (7) OF “REGULATION D” UNDER THE
      ACT.

     

    NO
      TRANSFER OF THIS CERTIFICATE TO AN EMPLOYEE BENEFIT PLAN OR OTHER RETIREMENT
      ARRANGEMENT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974,
      AS
      AMENDED (“ERISA”), OR THE CODE WILL BE REGISTERED EXCEPT IN COMPLIANCE WITH THE
      PROCEDURES DESCRIBED HEREIN.

     

    NO
      TRANSFER OF THIS CERTIFICATE MAY BE MADE TO ANY PERSON, UNLESS THE TRANSFEREE
      PROVIDES A CERTIFICATION PURSUANT TO SECTION 6.02(c) OF THE AGREEMENT REFERRED
      TO HEREIN.

     

     

    
      	
              Series
                2006-SL4, Class CE-2

            	 	
              Aggregate
                Percentage Interest of the Class CE-2 Certificates as of the Issue
                Date:
                100.00%

            
	
              Pass-Through
                Rate: Variable

            	 	
              Master
                Servicer: Wells Fargo Bank, N.A.

            
	
              Cut-off
                Date and date of Pooling and Servicing Agreement: August 1,
                2006

            	 	
              Trustee:
                HSBC Bank USA, National Association

            
	
              First
                Distribution Date: September 25, 2006

            	 	
              Issue
                Date: August 29, 2006

            
	
              No.
                __

            	 	 
	 	 

    

    

    ACE
      SECURITIES CORP. HOME EQUITY LOAN TRUST, SERIES 2006-SL4

     

    ASSET
      BACKED PASS-THROUGH CERTIFICATE

     

    evidencing
      a beneficial ownership interest in a Trust Fund (the “Trust Fund”) consisting
      primarily of a pool of conventional one- to four-family, fixed-rate, first
      lien
      mortgage loans (the “Mortgage Loans”) formed and sold by

     

    ACE
      SECURITIES CORP.

     

    THIS
      CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN ACE SECURITIES
      CORP., THE MASTER SERVICER, THE SECURITIES ADMINISTRATOR, THE SERVICER, THE
      TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE NOR
      THE
      UNDERLYING MORTGAGE LOANS ARE GUARANTEED BY ANY AGENCY OR INSTRUMENTALITY OF
      THE
      UNITED STATES.

     

    This
      certifies that ________________ is the registered owner of a Percentage Interest
      set forth above in that certain beneficial ownership interest evidenced by
      all
      the Class CE-2 Certificates in REMIC III created pursuant to a Pooling and
      Servicing Agreement, dated as specified above (the “Agreement”), among ACE
      Securities Corp. as depositor (hereinafter called the “Depositor,” which term
      includes any successor entity under the Agreement), Wells Fargo Bank, N.A.
      as
      master servicer (the “Master Servicer”) and securities administrator (the
“Securities Administrator”), GMAC Mortgage Corporation as servicer (the
“Servicer”) and HSBC Bank USA, National Association, as trustee (the “Trustee”),
      a summary of certain of the pertinent provisions of which is set forth
      hereafter. 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.

     

    Interest
      on this Certificate will accrue during the month prior to the month in which
      a
      Distribution Date (as hereinafter defined) occurs on a Notional Balance at
      a per
      annum rate equal to the applicable Pass-Through Rate as set forth in the
      Agreement. Pursuant to the terms of the Agreement, distributions 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 such 25th
      day (a
“Distribution Date”), commencing on the First Distribution Date specified above,
      to the Person in whose name this Certificate is registered on the last Business
      Day of the calendar month immediately preceding the month in which the related
      Distribution Date occurs (the “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 the Holders of Class CE-2 Certificates on such Distribution
      Date pursuant to the Agreement.

     

    All
      distributions to the Holder of this Certificate under the Agreement will be
      made
      or caused to be made by the Securities Administrator by wire transfer in
      immediately available funds to the account of the Person entitled thereto if
      such Person shall have so notified the Securities Administrator in writing
      at
      least five (5) Business Days prior to the Record Date immediately prior to
      such
      Distribution Date and is the registered owner of Class CE-2 Certificates, or
      otherwise by check mailed by first class mail to the address of the Person
      entitled thereto, as such name and address shall appear on the Certificate
      Register. Notwithstanding the above, the final distribution on this Certificate
      will be made after due notice by the Securities Administrator of the pendency
      of
      such distribution and only upon presentation and surrender of this Certificate
      at the office or agency appointed by the Securities Administrator for that
      purpose as provided in the Agreement.

     

    This
      Certificate is one of a duly authorized issue of Certificates designated as
      Asset Backed Pass-Through Certificate of the Series specified on the face hereof
      (herein called the “Certificates”) and representing a Percentage Interest in the
      Class of Certificates specified on the face hereof.

     

    The
      Certificates are limited in right of payment to certain collections and
      recoveries respecting the Mortgage Loans, all as more specifically set forth
      herein and in the Agreement. As provided in the Agreement, withdrawals from
      the
      Collection Account and the Distribution Account may be made from time to time
      for purposes other than distributions to Certificateholders, such purposes
      including reimbursement of advances made, or certain expenses incurred, with
      respect to the Mortgage Loans.

     

    The
      Agreement permits, with certain exceptions therein provided, the amendment
      thereof and the modification of the rights and obligations of the Depositor,
      the
      Master Servicer, the Trustee, the Securities Administrator, the Servicer and
      the
      rights of the Certificateholders under the Agreement at any time by the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator and
      the Servicer with the consent of the Swap Provider and the Holders of
      Certificates entitled to at least 66% of the Voting Rights. 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 herefor 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.

     

    As
      provided in the Agreement and subject to certain limitations therein set forth,
      the transfer of this Certificate is registrable in the Certificate Register
      upon
      surrender of this Certificate for registration of transfer at the offices or
      agencies appointed by the Securities Administrator as provided in the Agreement,
      duly endorsed by, or accompanied by an assignment in the form below or other
      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 evidencing the same aggregate Percentage
      Interest will be issued to the designated transferee or
      transferees.

     

    No
      transfer of this Certificate shall be made unless the transfer is made pursuant
      to an effective registration statement under the Act, and an effective
      registration or qualification under applicable state securities laws, or is
      made
      in a transaction that does not require such registration or qualification.
      In
      the event that such a transfer of this Certificate is to be made without
      registration or qualification, the Securities Administrator shall require
      receipt of (i) if such transfer is purportedly being made in reliance upon
      Rule
      144A or Regulation S under the Act, written certifications from the Holder
      of
      the Certificate desiring to effect the transfer, and from such Holder’s
      prospective transferee, substantially in the forms attached to the Agreement
      as
      Exhibit B-1, (ii) if such transfer is purportedly being made in reliance upon
      Rule 501(a) under the Act, written certifications from the Holder of the
      Certificate desiring to effect the transfer and from such Holder’s prospective
      transferee, substantially in the form attached to the Agreement as Exhibit
      B-2
      and (iii) in all other cases, an Opinion of Counsel satisfactory to it that
      such
      transfer may be made without such registration or qualification (which Opinion
      of Counsel shall not be an expense of the Trust Fund or of the Depositor, the
      Trustee, the Master Servicer or the Securities Administrator in their respective
      capacities as such), together with copies of the written certification(s) of
      the
      Holder of the Certificate desiring to effect the transfer and/or such Holder’s
      prospective transferee upon which such Opinion of Counsel is based. None of
      the
      Depositor, the Trustee or the Securities Administrator is obligated to register
      or qualify the Class of Certificates specified on the face hereof under the
      Act
      or any other securities law or to take any action not otherwise required under
      the Agreement to permit the transfer of such Certificates without registration
      or qualification. Any Holder desiring to effect a transfer of this Certificate
      shall be required to indemnify the Trustee, the Depositor, the Master Servicer
      and the Securities Administrator 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.

     

    No
      transfer of this Certificate to a Plan subject to ERISA or Section 4975 of
      the
      Code, any Person acting, directly or indirectly, on behalf of any such Plan
      or
      any Person using “Plan Assets” to acquire this Certificate shall be made except
      in accordance with Section 6.02(c) of the Agreement.

     

    The
      Certificates are issuable in fully registered form only without coupons in
      Classes and denominations representing Percentage Interests specified in the
      Agreement. As provided in the Agreement and subject to certain limitations
      therein set forth, the Certificates are exchangeable for new Certificates of
      the
      same Class in authorized denominations 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 of Certificates,
      but the Securities Administrator may require payment of a sum sufficient to
      cover any tax or other governmental charge that may be imposed in connection
      with any transfer or exchange of Certificates.

     

    The
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer and any agent of the Depositor, the Master Servicer, the Trustee,
      the
      Securities Administrator or the Servicer may treat the Person in whose name
      this
      Certificate is registered as the owner hereof for all purposes, and none of
      the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer nor any such agent shall be affected by notice to the
      contrary.

     

    The
      obligations created by the Agreement and the Trust Fund created thereby shall
      terminate upon payment to the Certificateholders of all amounts held by the
      Securities Administrator and required to be paid to them pursuant to the
      Agreement following the earlier of (i) the final payment or other liquidation
      (or any advance with respect thereto) of the last Mortgage Loan remaining in
      REMIC I and (ii) the purchase by the party designated in the Agreement at a
      price determined as provided in the Agreement from REMIC I of all the Mortgage
      Loans and all property acquired in respect of such Mortgage Loans. The Agreement
      permits, but does not require, the party designated in the Agreement to purchase
      from REMIC I all the Mortgage Loans and all property acquired in respect of
      any
      Mortgage Loan at a price determined as provided in the Agreement. The exercise
      of such right will effect early retirement of the Certificates; however, such
      right to purchase is subject to the aggregate Scheduled Principal Balance of
      the
      Mortgage Loans (and the properties acquired in respect thereof) at the time
      of
      purchase being less than or equal to 10% of the Scheduled Principal Balance
      of
      the Mortgage Loans as of the Cut-off Date.

     

    The
      recitals contained herein shall be taken as statements of the Depositor and
      neither the Trustee nor the Securities Administrator assumes any responsibility
      for their correctness.

     

    Unless
      the certificate of authentication hereon has been executed by the Securities
      Administrator, by manual signature, this Certificate shall not be entitled
      to
      any benefit under the Agreement or be valid for any purpose.

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Securities Administrator has caused this Certificate to
      be
      duly executed.

     

    Dated:

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    

    

    

    CERTIFICATE
      OF AUTHENTICATION

     

    This
      is
      one of the Class CE-2 Certificates referred to in the within-mentioned
      Agreement.

     

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    ABBREVIATIONS

     

    The
      following abbreviations, when used in the inscription on the face of this
      instrument, shall be construed as though they were written out in full according
      to applicable laws or regulations:

     

    
      	
              TEN
                COM -

            	
              as
                tenants in common

            	
              UNIF
                GIFT MIN ACT -

            	
                   Custodian      

              (Cust)
                (Minor)

              under
                Uniform Gifts 

              to
                Minors Act

            
	
              TEN
                ENT -

            	
              as
                tenants by the entireties

            	 	
              ________________

              (State)

            
	
              JT
                TEN -

            	
              as
                joint tenants with right 

              if
                survivorship and not as 

              tenants
                in common

            	 	 
	 	 	 	 
	
              Additional
                abbreviations may also be used though not in the above
                list.

            

    

    

    ASSIGNMENT

     

    
      	
              FOR
                VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
                

            
	
              unto

            	 
	 	 
	 	 

    

    (Please
      print or typewrite name, address including postal zip code, and Taxpayer
      Identification Number of assignee) 

     

    a
      Percentage Interest equal to ____% evidenced by the within Asset Backed
      Pass-Through Certificate and hereby authorize(s) the registration of transfer
      of
      such 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
      Percentage Interest and Class to the above named assignee and deliver such
      Certificate to the following address:
      ______________________________________________________________

    
      	 	 	
              .

            

    

    

     

    
      	
              Dated:

            	 
	 	
              Signature
                by or on behalf of assignor

            
	 	 
	 	 
	 	
              Signature
                Guaranteed

            

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    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

            	 
	
              assignee
                named above, or

            	 
	
              its
                agent.

            	 

    

    

     

    

    

    

    

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A-5

     

    FORM
      OF
      CLASS P CERTIFICATE

     

    SOLELY
      FOR U.S. FEDERAL INCOME TAX PURPOSES,
      THIS CERTIFICATE IS 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”).

     

    THIS
      CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE SECURITIES ACT
      OF
      1933, AS AMENDED (THE “ACT”), OR UNDER ANY STATE SECURITIES LAWS. THE HOLDER
      HEREOF, BY PURCHASING THIS CERTIFICATE, AGREES THAT THIS CERTIFICATE MAY BE
      REOFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY IN COMPLIANCE WITH
      THE
      ACT AND OTHER APPLICABLE LAWS AND (1) OUTSIDE OF THE UNITED STATES WITHIN THE
      MEANING OF AND IN COMPLIANCE WITH REGULATION S UNDER THE ACT (“REGULATION S”),
      OR (2) WITHIN THE UNITED STATES TO (A) “QUALIFIED INSTITUTIONAL BUYERS” WITHIN
      THE MEANING OF AND IN COMPLIANCE WITH RULE 144A UNDER THE ACT (“RULE 144A”) OR
      (B) TO INSTITUTIONAL INVESTORS THAT ARE “ACCREDITED INVESTORS” WITHIN THE
      MEANING OF RULE 501(A)(1), (2), (3) OR (7) OF “REGULATION D” UNDER THE
      ACT.

     

    NO
      TRANSFER OF THIS CERTIFICATE TO AN EMPLOYEE BENEFIT PLAN OR OTHER RETIREMENT
      ARRANGEMENT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974,
      AS
      AMENDED (“ERISA”), OR THE CODE WILL BE REGISTERED EXCEPT IN COMPLIANCE WITH THE
      PROCEDURES DESCRIBED HEREIN.

     

    NO
      TRANSFER OF THIS CERTIFICATE MAY BE MADE TO ANY PERSON, UNLESS THE TRANSFEREE
      PROVIDES A CERTIFICATION PURSUANT TO SECTION 6.02(c) OF THE AGREEMENT REFERRED
      TO HEREIN.

    

    
      	
              Series
                2006-SL4, Class P

            	 	
              Aggregate
                Certificate Principal Balance of the Class P Certificates as of the
                Issue
                Date: $100.00

            
	
              Cut-off
                Date and date of Pooling and Servicing Agreement: August 1,
                2006

            	 	
              Denomination:
                $100.00

            
	
              First
                Distribution Date: September 25, 2006

            	 	
              Master
                Servicer: Wells Fargo Bank, N.A.

            
	
              No.
                __

            	 	
              Trustee:
                HSBC Bank USA, National Association

            
	 	 	
              Issue
                Date: August 29, 2006

            

    

    

    ACE
      SECURITIES CORP. HOME EQUITY LOAN TRUST, SERIES 2006-SL4

     

    ASSET
      BACKED PASS-THROUGH CERTIFICATE

     

    evidencing
      a beneficial ownership interest in a Trust Fund (the “Trust Fund”) consisting
      primarily of a pool of conventional one- to four-family, fixed-rate, second
      lien
      mortgage loans (the “Mortgage Loans”) formed and sold by

     

    ACE
      SECURITIES CORP.

     

    THIS
      CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN ACE SECURITIES
      CORP., THE MASTER SERVICER, THE SECURITIES ADMINISTRATOR, THE SERVICER, THE
      TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE NOR
      THE
      UNDERLYING MORTGAGE LOANS ARE GUARANTEED BY ANY AGENCY OR INSTRUMENTALITY OF
      THE
      UNITED STATES.

     

    This
      certifies that _______________ is the registered owner of a Percentage Interest
      (obtained by dividing the denomination of this Certificate by the aggregate
      Certificate Principal Balance of the Class P Certificates as of the Issue Date)
      in that certain beneficial ownership interest evidenced by all the Class P
      Certificates in REMIC III created pursuant to a Pooling and Servicing Agreement,
      dated as specified above (the “Agreement”), among ACE Securities Corp., as
      depositor (hereinafter called the “Depositor”, which term includes any successor
      entity under the Agreement), Wells Fargo Bank, N.A. as master servicer (the
      “Master Servicer”) and securities administrator (the “Securities
      Administrator”), GMAC Mortgage Corporation as servicer (the “Servicer”) and HSBC
      Bank USA, National Association, as trustee (the “Trustee”), a summary of certain
      of the pertinent provisions of which is set forth hereafter. 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.

     

    Pursuant
      to the terms of the Agreement, distributions 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 such 25th
      day (a
“Distribution Date”), commencing on the First Distribution Date specified above,
      to the Person in whose name this Certificate is registered on the last Business
      Day of the calendar month immediately preceding the month in which the related
      Distribution Date occurs (the “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 the Holders of Class P Certificates on such Distribution
      Date pursuant to the Agreement.

     

    All
      distributions to the Holder of this Certificate under the Agreement will be
      made
      or caused to be made by the Securities Administrator by wire transfer in
      immediately available funds to the account of the Person entitled thereto if
      such Person shall have so notified the Securities Administrator in writing
      at
      least five (5) Business Days prior to the Record Date immediately prior to
      such
      Distribution Date and is the registered owner of Class P Certificates the
      aggregate initial Certificate Principal Balance of which is in excess of the
      lesser of (i) $5,000,000 or (ii) two-thirds of the aggregate initial Certificate
      Principal Balance of the Class P Certificates, or otherwise by check mailed
      by
      first class mail to the address of the Person entitled thereto, as such name
      and
      address shall appear on the Certificate Register. Notwithstanding the above,
      the
      final distribution on this Certificate will be made after due notice by the
      Securities Administrator of the pendency of such distribution and only upon
      presentation and surrender of this Certificate at the office or agency appointed
      by the Securities Administrator for that purpose as provided in the
      Agreement.

     

    This
      Certificate is one of a duly authorized issue of Certificates designated as
      Asset Backed Pass-Through Certificate of the Series specified on the face hereof
      (herein called the “Certificates”) and representing a Percentage Interest in the
      Class of Certificates specified on the face hereof equal to the denomination
      specified on the face hereof divided by the aggregate Certificate Principal
      Balance of the Class of Certificates specified on the face hereof.

     

    The
      Certificates are limited in right of payment to certain collections and
      recoveries respecting the Mortgage Loans, all as more specifically set forth
      herein and in the Agreement. As provided in the Agreement, withdrawals from
      the
      Collection Account and the Distribution Account may be made from time to time
      for purposes other than distributions to Certificateholders, such purposes
      including reimbursement of advances made, or certain expenses incurred, with
      respect to the Mortgage Loans.

     

    The
      Agreement permits, with certain exceptions therein provided, the amendment
      thereof and the modification of the rights and obligations of the Depositor,
      the
      Master Servicer, the Trustee, the Securities Administrator, the Servicer and
      the
      rights of the Certificateholders under the Agreement at any time by the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator and
      the Servicer with the consent of the Swap Provider and the Holders of
      Certificates entitled to at least 66% of the Voting Rights. 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 herefor 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.

     

    As
      provided in the Agreement and subject to certain limitations therein set forth,
      the transfer of this Certificate is registrable in the Certificate Register
      upon
      surrender of this Certificate for registration of transfer at the offices or
      agencies appointed by the Securities Administrator as provided in the Agreement,
      duly endorsed by, or accompanied by an assignment in the form below or other
      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 evidencing the same aggregate Percentage
      Interest will be issued to the designated transferee or
      transferees.

     

    No
      transfer of this Certificate shall be made unless the transfer is made pursuant
      to an effective registration statement under the Act, and an effective
      registration or qualification under applicable state securities laws, or is
      made
      in a transaction that does not require such registration or qualification.
      In
      the event that such a transfer of this Certificate is to be made without
      registration or qualification, the Securities Administrator shall require
      receipt of (i) if such transfer is purportedly being made in reliance upon
      Rule
      144A or Regulation S under the Act, written certifications from the Holder
      of
      the Certificate desiring to effect the transfer, and from such Holder’s
      prospective transferee, substantially in the forms attached to the Agreement
      as
      Exhibit B-1, (ii) if such transfer is purportedly being made in reliance upon
      Rule 501(a) under the Act, written certifications from the Holder of the
      Certificate desiring to effect the transfer and from such Holder’s prospective
      transferee, substantially in the form attached to the Agreement as Exhibit
      B-2
      and (iii) in all other cases, an Opinion of Counsel satisfactory to it that
      such
      transfer may be made without such registration or qualification (which Opinion
      of Counsel shall not be an expense of the Trust Fund or of the Depositor, the
      Trustee, the Master Servicer or the Securities Administrator in their respective
      capacities as such), together with copies of the written certification(s) of
      the
      Holder of the Certificate desiring to effect the transfer and/or such Holder’s
      prospective transferee upon which such Opinion of Counsel is based. None of
      the
      Depositor, the Trustee or the Securities Administrator is obligated to register
      or qualify the Class of Certificates specified on the face hereof under the
      Act
      or any other securities law or to take any action not otherwise required under
      the Agreement to permit the transfer of such Certificates without registration
      or qualification. Any Holder desiring to effect a transfer of this Certificate
      shall be required to indemnify the Trustee, the Depositor, the Master Servicer
      and the Securities Administrator 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.

     

    No
      transfer of this Certificate to a Plan subject to ERISA or Section 4975 of
      the
      Code, any Person acting, directly or indirectly, on behalf of any such Plan
      or
      any Person using “Plan Assets” to acquire this Certificate shall be made except
      in accordance with Section 6.02(c) of the Agreement.

     

    The
      Certificates are issuable in fully registered form only without coupons in
      Classes and denominations representing Percentage Interests specified in the
      Agreement. As provided in the Agreement and subject to certain limitations
      therein set forth, the Certificates are exchangeable for new Certificates of
      the
      same Class in authorized denominations 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 of Certificates,
      but the Securities Administrator may require payment of a sum sufficient to
      cover any tax or other governmental charge that may be imposed in connection
      with any transfer or exchange of Certificates.

     

    The
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer and any agent of the Depositor, the Master Servicer, the Trustee,
      the
      Securities Administrator or the Servicer may treat the Person in whose name
      this
      Certificate is registered as the owner hereof for all purposes, and none of
      the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer nor any such agent shall be affected by notice to the
      contrary.

     

    The
      obligations created by the Agreement and the Trust Fund created thereby shall
      terminate upon payment to the Certificateholders of all amounts held by the
      Securities Administrator and required to be paid to them pursuant to the
      Agreement following the earlier of (i) the final payment or other liquidation
      (or any advance with respect thereto) of the last Mortgage Loan remaining in
      REMIC I and (ii) the purchase by the party designated in the Agreement at a
      price determined as provided in the Agreement from REMIC I of all the Mortgage
      Loans and all property acquired in respect of such Mortgage Loans. The Agreement
      permits, but does not require, the party designated in the Agreement to purchase
      from REMIC I all the Mortgage Loans and all property acquired in respect of
      any
      Mortgage Loan at a price determined as provided in the Agreement. The exercise
      of such right will effect early retirement of the Certificates; however, such
      right to purchase is subject to the aggregate Scheduled Principal Balance of
      the
      Mortgage Loans (and properties acquired in respect thereof) at the time of
      purchase being less than or equal to 10% of the Scheduled Principal Balance
      of
      the Mortgage Loans as of the Cut-off Date.

     

    The
      recitals contained herein shall be taken as statements of the Depositor and
      neither the Trustee nor the Securities Administrator assume any responsibility
      for their correctness.

     

    Unless
      the certificate of authentication hereon has been executed by the Securities
      Administrator, by manual signature, this Certificate shall not be entitled
      to
      any benefit under the Agreement or be valid for any purpose.

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Securities Administrator has caused this Certificate to
      be
      duly executed.

     

    Dated:

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    

    

    

    

    CERTIFICATE
      OF AUTHENTICATION

     

    This
      is
      one of the Class P Certificates referred to in the within-mentioned
      Agreement.

     

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    ABBREVIATIONS

     

    The
      following abbreviations, when used in the inscription on the face of this
      instrument, shall be construed as though they were written out in full according
      to applicable laws or regulations:

     

    
      	
              TEN
                COM -

            	
              as
                tenants in common

            	
              UNIF
                GIFT MIN ACT -

            	
                   Custodian      

              (Cust)
                (Minor)

              under
                Uniform Gifts 

              to
                Minors Act

            
	
              TEN
                ENT -

            	
              as
                tenants by the entireties

            	 	
              ________________

              (State)

            
	
              JT
                TEN -

            	
              as
                joint tenants with right 

              if
                survivorship and not as 

              tenants
                in common

            	 	 
	 	 	 	 
	
              Additional
                abbreviations may also be used though not in the above
                list.

            

    

    

    ASSIGNMENT

     

    
      	
              FOR
                VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
                

            
	
              unto

            	 
	 	 
	 	 

    

    (Please
      print or typewrite name, address including postal zip code, and Taxpayer
      Identification Number of assignee)

     

    a
      Percentage Interest equal to ____% evidenced by the within Asset Backed
      Pass-Through Certificate and hereby authorize(s) the registration of transfer
      of
      such 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
      Percentage Interest and Class to the above named assignee and deliver such
      Certificate to the following address:
      ______________________________________________________________

    
      	 	 	
              .

            

    

    

     

    
      	
              Dated:

            	 
	 	
              Signature
                by or on behalf of assignor

            
	 	 
	 	 
	 	
              Signature
                Guaranteed

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    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

            	 
	
              assignee
                named above, or

            	 
	
              its
                agent.

            	 

    

    

     

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A-6

     

    FORM
      OF
      CLASS R CERTIFICATE

     

    THIS
      CERTIFICATE MAY NOT BE TRANSFERRED TO A NON-UNITED STATES
      PERSON.

     

    SOLELY
      FOR U.S. FEDERAL INCOME TAX PURPOSES,
      THIS CERTIFICATE REPRESENTS THE SOLE “RESIDUAL INTEREST” IN EACH “REAL ESTATE
      MORTGAGE INVESTMENT CONDUIT” (“REMIC”), AS THOSE TERMS ARE DEFINED,
      RESPECTIVELY, IN SECTIONS 860G AND 860D OF THE INTERNAL REVENUE CODE OF 1986,
      AS
      AMENDED (THE “CODE”).

     

    ANY
      RESALE, TRANSFER OR OTHER DISPOSITION OF THIS CERTIFICATE MAY BE MADE ONLY
      IN
      ACCORDANCE WITH THE PROVISIONS OF SECTION 6.02 OF THE AGREEMENT REFERRED TO
      HEREIN.

     

    THIS
      CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE SECURITIES ACT
      OF
      1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE RESOLD
      OR
      TRANSFERRED UNLESS IT IS REGISTERED PURSUANT TO SUCH ACT AND LAWS OR IS SOLD
      OR
      TRANSFERRED IN TRANSACTIONS THAT ARE EXEMPT FROM REGISTRATION UNDER SUCH ACT
      AND
      UNDER APPLICABLE STATE LAW AND IS TRANSFERRED IN ACCORDANCE WITH THE PROVISIONS
      OF SECTION 6.02 OF THE AGREEMENT REFERRED TO HEREIN.

     

    NO
      TRANSFER OF THIS CERTIFICATE TO AN EMPLOYEE BENEFIT PLAN OR OTHER RETIREMENT
      ARRANGEMENT SUBJECT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974,
      AS
      AMENDED (“ERISA”), OR THE CODE WILL BE REGISTERED EXCEPT IN COMPLIANCE WITH THE
      PROCEDURES DESCRIBED HEREIN.

     

    ANY
      RESALE, TRANSFER OR OTHER DISPOSITION OF THIS CERTIFICATE MAY BE MADE ONLY
      IF
      THE PROPOSED TRANSFEREE PROVIDES (I) AN AFFIDAVIT TO THE SECURITIES
      ADMINISTRATOR THAT (A) SUCH TRANSFEREE IS NOT (1) THE UNITED STATES OR ANY
      POSSESSION THEREOF, ANY STATE OR POLITICAL SUBDIVISION THEREOF, ANY FOREIGN
      GOVERNMENT, ANY INTERNATIONAL ORGANIZATION, OR ANY AGENCY OR INSTRUMENTALITY
      OF
      ANY OF THE FOREGOING, (2) ANY ORGANIZATION (OTHER THAN A COOPERATIVE DESCRIBED
      IN SECTION 521 OF THE CODE) THAT IS EXEMPT FROM THE TAX IMPOSED BY CHAPTER
      1 OF
      THE CODE UNLESS SUCH ORGANIZATION IS SUBJECT TO THE TAX IMPOSED BY SECTION
      511
      OF THE CODE, (3) ANY ORGANIZATION DESCRIBED IN SECTION 1381(a)(2)(C) OF THE
      CODE
      (ANY SUCH PERSON DESCRIBED IN THE FOREGOING CLAUSES (1), (2) OR (3) SHALL
      HEREINAFTER BE REFERRED TO AS A “DISQUALIFIED ORGANIZATION”) OR (4) AN AGENT OF
      A DISQUALIFIED ORGANIZATION AND (B) NO PURPOSE OF SUCH TRANSFER IS TO IMPEDE
      THE
      ASSESSMENT OR COLLECTION OF TAX, AND (II) SUCH TRANSFEREE SATISFIES CERTAIN
      ADDITIONAL CONDITIONS RELATING TO THE FINANCIAL CONDITION OF THE PROPOSED
      TRANSFEREE. NOTWITHSTANDING THE REGISTRATION IN THE CERTIFICATE REGISTER OF
      ANY
      TRANSFER, SALE OR OTHER DISPOSITION OF THIS CERTIFICATE TO A DISQUALIFIED
      ORGANIZATION OR AN AGENT OF A DISQUALIFIED ORGANIZATION, SUCH REGISTRATION
      SHALL
      BE DEEMED TO BE OF NO LEGAL FORCE OR EFFECT WHATSOEVER AND SUCH PERSON SHALL
      NOT
      BE DEEMED TO BE A CERTIFICATEHOLDER FOR ANY PURPOSE HEREUNDER, INCLUDING, BUT
      NOT LIMITED TO, THE RECEIPT OF DISTRIBUTIONS ON THIS CERTIFICATE. EACH HOLDER
      OF
      THIS CERTIFICATE BY ACCEPTANCE HEREOF SHALL BE DEEMED TO HAVE CONSENTED TO
      THE
      PROVISIONS OF THIS PARAGRAPH AND THE PROVISIONS OF SECTION 6.02(d) OF THE
      AGREEMENT REFERRED TO HEREIN. ANY PERSON THAT IS A DISQUALIFIED ORGANIZATION
      IS
      PROHIBITED FROM ACQUIRING BENEFICIAL OWNERSHIP OF THIS
      CERTIFICATE.

     

    

    

    
      	
              Series
                2006-SL4, Class R

            	 	
              Aggregate
                Percentage Interest of the Class R Certificates as of the Issue Date:
                100.00%

            
	
              Date
                of Pooling and Servicing Agreement

              and
                Cut-off Date: August 1, 2006

            	 	
              Master
                Servicer: Wells Fargo Bank, N.A.

            
	
              First
                Distribution Date: September 25, 2006

            	 	
              Trustee:
                HSBC Bank USA, National Association

            
	
              No
                __

            	 	
              Issue
                Date: August 29, 2006

            

    

    

    ACE
      SECURITIES CORP. HOME EQUITY LOAN TRUST, SERIES 2006-SL4

     

    ASSET
      BACKED PASS-THROUGH CERTIFICATE

     

    evidencing
      a beneficial ownership interest in a Trust Fund (the “Trust Fund”) consisting
      primarily of a pool of conventional one- to four-family, fixed-rate, second
      lien
      mortgage loans (the “Mortgage Loans”) formed and sold by

     

    ACE
      SECURITIES CORP.

     

    THIS
      CERTIFICATE DOES NOT REPRESENT AN OBLIGATION OF OR INTEREST IN ACE SECURITIES
      CORP., THE MASTER SERVICER, THE SECURITIES ADMINISTRATOR, THE SERVICER, THE
      TRUSTEE OR ANY OF THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE NOR
      THE
      UNDERLYING MORTGAGE LOANS ARE GUARANTEED BY ANY AGENCY OR INSTRUMENTALITY OF
      THE
      UNITED STATES.

     

    This
      certifies that _______________ is the registered owner of a Percentage Interest
      set forth above in that certain beneficial ownership interest evidenced by
      all
      the Class R Certificates in REMIC III created pursuant to a Pooling and
      Servicing Agreement, dated as specified above (the “Agreement”), among ACE
      Securities Corp., as depositor (hereinafter called the “Depositor”, which term
      includes any successor entity under the Agreement), Wells Fargo Bank, N.A.
      as
      master servicer (the “Master Servicer”) and securities administrator (the
“Securities Administrator”), GMAC Mortgage Corporation as servicer (the
“Servicer”) and HSBC Bank USA, National Association, as trustee (the “Trustee”),
      a summary of certain of the pertinent provisions of which is set forth
      hereafter. 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.

     

    Pursuant
      to the terms of the Agreement, distributions 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 (a “Distribution Date”), commencing on the First
      Distribution Date specified above, to the Person in whose name this Certificate
      is registered on last Business Day of the calendar month immediately preceding
      the month in which the related Distribution Date occurs (the “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 the Holders of Class
      R
      Certificates on such Distribution Date pursuant to the Agreement.

     

    All
      distributions to the Holder of this Certificate under the Agreement will be
      made
      or caused to be made by the Securities Administrator by wire transfer in
      immediately available funds to the account of the Person entitled thereto if
      such Person shall have so notified the Securities Administrator in writing
      at
      least five (5) Business Days prior to the Record Date immediately prior to
      such
      Distribution Date and is the registered owner of Class R Certificates, or
      otherwise by check mailed by first class mail to the address of the Person
      entitled thereto, as such name and address shall appear on the Certificate
      Register. Notwithstanding the above, the final distribution on this Certificate
      will be made after due notice by the Securities Administrator of the pendency
      of
      such distribution and only upon presentation and surrender of this Certificate
      at the office or agency appointed by the Securities Administrator for that
      purpose as provided in the Agreement.

     

    This
      Certificate is one of a duly authorized issue of Certificates designated as
      Asset Backed Pass-Through Certificate of the Series specified on the face hereof
      (herein called the “Certificates”) and representing the Percentage Interest in
      the Class of Certificates specified on the face hereof.

     

    The
      Certificates are limited in right of payment to certain collections and
      recoveries respecting the Mortgage Loans, all as more specifically set forth
      herein and in the Agreement. As provided in the Agreement, withdrawals from
      the
      Collection Account and the Distribution Account may be made from time to time
      for purposes other than distributions to Certificateholders, such purposes
      including reimbursement of advances made, or certain expenses incurred, with
      respect to the Mortgage Loans.

     

    The
      Agreement permits, with certain exceptions therein provided, the amendment
      thereof and the modification of the rights and obligations of the Depositor,
      the
      Master Servicer, the Trustee, the Securities Administrator, the Servicer and
      the
      rights of the Certificateholders under the Agreement at any time by the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator and
      the Servicer with the consent of the Swap Provider and the Holders of
      Certificates entitled to at least 66% of the Voting Rights. 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 herefor 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.

     

    As
      provided in the Agreement and subject to certain limitations therein set forth,
      the transfer of this Certificate is registrable in the Certificate Register
      upon
      surrender of this Certificate for registration of transfer at the offices or
      agencies appointed by the Securities Administrator as provided in the Agreement,
      duly endorsed by, or accompanied by an assignment in the form below or other
      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 evidencing the same aggregate Percentage
      Interest will be issued to the designated transferee or
      transferees.

     

    The
      Certificates are issuable in fully registered form only without coupons in
      Classes and denominations representing Percentage Interests 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 evidencing the same aggregate Percentage
      Interest, as requested by the Holder surrendering the same.

     

    No
      transfer of this Certificate shall be made unless the transfer is made pursuant
      to an effective registration statement under the Securities Act of 1933, as
      amended (the “1933 Act”), and an effective registration or qualification under
      applicable state securities laws, or is made in a transaction that does not
      require such registration or qualification. In the event that such a transfer
      of
      this Certificate is to be made without registration or qualification, the
      Securities Administrator shall require receipt of (i) if such transfer is
      purportedly being made in reliance upon Rule 144A under the 1933 Act, written
      certifications from the Holder of the Certificate desiring to effect the
      transfer, and from such Holder’s prospective transferee, substantially in the
      forms attached to the Agreement as Exhibit B-1, and (ii) in all other cases,
      an
      Opinion of Counsel satisfactory to it that such transfer may be made without
      such registration or qualification (which Opinion of Counsel shall not be an
      expense of the Trust Fund or of the Depositor, the Trustee, the Master Servicer
      or the Securities Administrator in their respective capacities as such),
      together with copies of the written certification(s) of the Holder of the
      Certificate desiring to effect the transfer and/or such Holder’s prospective
      transferee upon which such Opinion of Counsel is based. None of the Depositor,
      the Trustee or the Securities Administrator is obligated to register or qualify
      the Class of Certificates specified on the face hereof under the 1933 Act or
      any
      other securities law or to take any action not otherwise required under the
      Agreement to permit the transfer of such Certificates without registration
      or
      qualification. Any Holder desiring to effect a transfer of this Certificate
      shall be required to indemnify the Trustee, the Depositor, the Master Servicer
      and the Securities Administrator 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.

     

    No
      transfer of this Certificate to a Plan subject to ERISA or Section 4975 of
      the
      Code, any Person acting, directly or indirectly, on behalf of any such Plan
      or
      any Person using “Plan Assets” to acquire this Certificate shall be made except
      in accordance with Section 6.02 of the Agreement.

     

    Prior
      to
      registration of any transfer, sale or other disposition of this Certificate,
      the
      proposed transferee shall provide to the Securities Administrator (i) an
      affidavit to the effect that such transferee is any Person other than a
      Disqualified Organization or the agent (including a broker, nominee or
      middleman) of a Disqualified Organization, and (ii) a certificate that
      acknowledges that (A) the Class R Certificates have been designated as
      representing the beneficial ownership of the residual interests in each of
      REMIC
      I, REMIC II and REMIC III, (B) it will include in its income a pro
      rata
      share of
      the net income of the Trust Fund and that such income may be an “excess
      inclusion,” as defined in the Code, that, with certain exceptions, cannot be
      offset by other losses or benefits from any tax exemption, and (C) it expects
      to
      have the financial means to satisfy all of its tax obligations including those
      relating to holding the Class R Certificates. Notwithstanding the registration
      in the Certificate Register of any transfer, sale or other disposition of this
      Certificate to a Disqualified Organization or an agent (including a broker,
      nominee or middleman) of a Disqualified Organization, such registration shall
      be
      deemed to be of no legal force or effect whatsoever and such Person shall not
      be
      deemed to be a Certificateholder for any purpose, including, but not limited
      to,
      the receipt of distributions in respect of this Certificate.

     

    The
      Holder of this Certificate, by its acceptance hereof, shall be deemed to have
      consented to the provisions of Section 6.02 of the Agreement and to any
      amendment of the Agreement deemed necessary by counsel of the Depositor to
      ensure that the transfer of this Certificate to any Person other than a
      Permitted Transferee or any other Person will not cause any portion of the
      Trust
      Fund to cease to qualify as a REMIC or cause the imposition of a tax upon any
      REMIC.

     

    No
      service charge will be made for any such registration of transfer or exchange
      of
      Certificates, but the Securities Administrator may require payment of a sum
      sufficient to cover any tax or other governmental charge that may be imposed
      in
      connection with any transfer or exchange of Certificates.

     

    The
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer and any agent of the Depositor, the Master Servicer, the Trustee,
      the
      Securities Administrator or the Servicer may treat the Person in whose name
      this
      Certificate is registered as the owner hereof for all purposes, and none of
      the
      Depositor, the Master Servicer, the Trustee, the Securities Administrator,
      the
      Servicer nor any such agent shall be affected by notice to the
      contrary.

     

    The
      obligations created by the Agreement and the Trust Fund created thereby shall
      terminate upon payment to the Certificateholders of all amounts held by the
      Securities Administrator and required to be paid to them pursuant to the
      Agreement following the earlier of (i) the final payment or other liquidation
      (or any advance with respect thereto) of the last Mortgage Loan remaining in
      REMIC I and (ii) the purchase by the party designated in the Agreement at a
      price determined as provided in the Agreement from REMIC I of all the Mortgage
      Loans and all property acquired in respect of such Mortgage Loans. The Agreement
      permits, but does not require, the party designated in the Agreement to purchase
      from REMIC I all the Mortgage Loans and all property acquired in respect of
      any
      Mortgage Loan at a price determined as provided in the Agreement. The exercise
      of such right will effect early retirement of the Certificates; however, such
      right to purchase is subject to the aggregate Scheduled Principal Balance of
      the
      Mortgage Loans (and properties acquired in respect thereof) at the time of
      purchase being less than or equal to 10% of the Scheduled Principal Balance
      of
      the Mortgage Loans as of the Cut-off Date.

     

    The
      recitals contained herein shall be taken as statements of the Depositor and
      neither the Trustee nor the Securities Administrator assume any responsibility
      for their correctness.

     

    Unless
      the certificate of authentication hereon has been executed by the Securities
      Administrator, by manual signature, this Certificate shall not be entitled
      to
      any benefit under the Agreement or be valid for any purpose.

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Securities Administrator has caused this Certificate to
      be
      duly executed.

     

    Dated:

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Officer

            
	 	 	 	 	 	 	 	 	 

    

    

    

    

    CERTIFICATE
      OF AUTHENTICATION

     

    This
      is
      one of the Class R Certificates referred to in the within-mentioned
      Agreement.

     

    
      	 	 	 	 	 	 	 	
              WELLS
                FARGO BANK, N.A.

              as
                Securities Administrator

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Authorized
                Signatory

            
	 	 	 	 	 	 	 	 	 

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ABBREVIATIONS

     

    The
      following abbreviations, when used in the inscription on the face of this
      instrument, shall be construed as though they were written out in full according
      to applicable laws or regulations:

     

    
      	
              TEN
                COM -

            	
              as
                tenants in common

            	
              UNIF
                GIFT MIN ACT -

            	
                   Custodian      

              (Cust)
                (Minor)

              under
                Uniform Gifts 

              to
                Minors Act

            
	
              TEN
                ENT -

            	
              as
                tenants by the entireties

            	 	
              ________________

              (State)

            
	
              JT
                TEN -

            	
              as
                joint tenants with right 

              if
                survivorship and not as 

              tenants
                in common

            	 	 
	 	 	 	 
	
              Additional
                abbreviations may also be used though not in the above
                list.

            

    

    

    ASSIGNMENT

     

    
      	
              FOR
                VALUE RECEIVED, the undersigned hereby sell(s), assign(s) and transfer(s)
                

            
	
              unto

            	 
	 	 
	 	 

    

    (Please
      print or typewrite name, address including postal zip code, and Taxpayer
      Identification Number of assignee)

     

    a
      Percentage Interest equal to _____% evidenced by the within Asset Backed
      Pass-Through Certificate and hereby authorize(s) the registration of transfer
      of
      such 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
      Percentage Interest and Class to the above named assignee and deliver such
      Certificate to the following address:
      ______________________________________________________________

    
      	 	 	
              .

            

    

    

     

    
      	
              Dated:

            	 
	 	
              Signature
                by or on behalf of assignor

            
	 	 
	 	 
	 	
              Signature
                Guaranteed

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    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

            	 
	
              assignee
                named above, or

            	 
	
              its
                agent.

            	 

    

    

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      B-1

    FORM
      OF
      TRANSFEROR REPRESENTATION LETTER

     

    [Date]

     

    Wells
      Fargo Bank, N.A.

    Sixth
      Street and Marquette Avenue

    Minneapolis,
      Minnesota 55479

    Attention:
      Corporate Trust ACE 2006-SL4

     

    
      	
              Re:

            	
              ACE
                Securities Corp. Home Equity Loan Trust, Series 2006-SL4 Asset Backed
                Pass-Through Certificates

              Class
                CE-1, Class CE-2, Class P and Class R
                Certificates

            

    

    

    Ladies
      and Gentlemen:

     

    In
      connection with the transfer by ______________________ (the “Transferor”) to
      ___________________ (the “Transferee”) of the captioned mortgage pass-through
      certificates (the “Certificates”), the Transferor hereby certifies as
      follows:

     

    Neither
      the Transferor nor anyone acting on its behalf has (a) offered, pledged, sold,
      disposed of or otherwise transferred any Certificate, any interest in any
      Certificate or any other similar security to any person in any manner, (b)
      has
      solicited any offer to buy or to accept a pledge, disposition or other transfer
      of any Certificate, any interest in any Certificate or any other similar
      security from any person in any manner, (c) has otherwise approached or
      negotiated with respect to any Certificate, any interest in any Certificate
      or
      any other similar security with any person in any manner, (d) has made any
      general solicitation by means of general advertising or in any other manner,
      (e)
      has taken any other action, that (in the case of each of subclauses (a) through
      (e) above) would constitute a distribution of the Certificates under the
      Securities Act of 1933, as amended (the “1933 Act”), or would render the
      disposition of any Certificate a violation of Section 5 of the 1933 Act or
      any
      state securities law or would require registration or qualification pursuant
      thereto. The Transferor will not act, nor has it authorized or will it authorize
      any person to act, in any manner set forth in the foregoing sentence with
      respect to any Certificate. The Transferor will not sell or otherwise transfer
      any of the Certificates, except in compliance with the provisions of that
      certain Pooling and Servicing Agreement, dated as of August 1, 2006, among
      ACE
      Securities Corp. as Depositor, Wells Fargo Bank, N.A. as Master Servicer and
      Securities Administrator, GMAC Mortgage Corporation as Servicer and HSBC Bank
      USA, National Association as trustee (the “Pooling and Servicing Agreement”),
      pursuant to which Pooling and Servicing Agreement the Certificates were
      issued.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Capitalized
      terms used but not defined herein shall have the meanings assigned thereto
      in
      the Pooling and Servicing Agreement.

     

    
      	 	 	 	 	 	 	 	
              Very
                truly yours,

            
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              [Transferor]

            
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Name:

            
	 	 	 	 	 	 	 	 	
              Title:

            

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    FORM
      OF
      TRANSFEREE REPRESENTATION LETTER

     

    [Date]

     

    Wells
      Fargo Bank, N.A.

    Sixth
      Street and Marquette Avenue

    Minneapolis,
      Minnesota 55479

    Attention:
      Corporate Trust ACE 2006-SL4

     

    
      	
              Re:

            	
              ACE
                Securities Corp. Home Equity Loan Trust, Series 2006-SL4

              Asset
                Backed Pass-Through Certificates 

              Class
                CE-1, Class CE-2, Class P and Class R
                Certificates

            

    

    Ladies
      and Gentlemen:

     

    In
      connection with the purchase from ______________________________ (the
“Transferor”) on the date hereof of the captioned trust certificates (the
“Certificates”), (the “Transferee”) hereby certifies as follows:

     

    1. The
      Transferee is a “qualified institutional buyer” as that term is defined in Rule
      144A (“Rule 144A”) under the Securities Act of 1933 (the “1933 Act”) and has
      completed either of the forms of certification to that effect attached hereto
      as
      Annex 1 or Annex 2. The Transferee is aware that the sale to it is being made
      in
      reliance on Rule 144A. The Transferee is acquiring the Certificates for its
      own
      account or for the account of a qualified institutional buyer, and understands
      that such Certificate 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 1933
      Act.

     

    2. The
      Transferee has been furnished with all information regarding (a) the
      Certificates and distributions thereon, (b) the nature, performance and
      servicing of the Mortgage Loans, (c) the Pooling and Servicing Agreement
      referred to below, and (d) any credit enhancement mechanism associated with
      the
      Certificates, that it has requested.

     

    3. The
      Transferee: (a) is not an employee benefit plan or other plan subject to the
      prohibited transaction provisions of the Employee Retirement Income Security
      Act
      of 1974, as amended (“ERISA”), or Section 4975 of the Internal Revenue Code of
      1986, as amended (the “Code”) (each, a “Plan”), or any other person (including
      an investment manager, a named fiduciary or a trustee of any Plan) acting,
      directly or indirectly, on behalf of or purchasing any Certificate with “plan
      assets” of any Plan within the meaning of the Department of Labor (“DOL”)
      regulation at 29 C.F.R. § 2510.3-101 or (b) has
      provided the Securities Administrator with an Opinion of Counsel on which the
      Trustee, the Depositor, the Master Servicer, the Securities Administrator and
      the Servicer may rely, acceptable to and in form and substance satisfactory
      to
      the Trustee to the effect that the purchase of Certificates is permissible
      under
      applicable law, will not constitute or result in any non-exempt prohibited
      transaction under ERISA or Section 4975 of the Code and will not subject the
      Trust Fund, the Trustee, the Depositor, the Master Servicer, the Securities
      Administrator or the Servicer to any obligation or liability (including
      obligations or liabilities under ERISA or Section 4975 of the Code) in addition
      to those undertaken in the Pooling and Servicing Agreement.

    

    In
      addition, the Transferee hereby certifies, represents and warrants to, and
      covenants with, the Depositor, the Trustee, the Securities Administrator, the
      Master Servicer and the Servicer that the Transferee will not transfer such
      Certificates to any Plan or person unless such Plan or person meets the
      requirements set forth in paragraph 3 above.

     

    All
      capitalized terms used but not otherwise defined herein have the respective
      meanings assigned thereto in the Pooling and Servicing Agreement, dated as
      of
      August 1, 2006, among ACE Securities Corp. as Depositor, Wells Fargo Bank,
      N.A.
      as Master Servicer and Securities Administrator, GMAC Mortgage Corporation
      as
      Servicer and HSBC Bank USA, National Association as Trustee, pursuant to which
      the Certificates were issued.

     

    
      	 	 	 	 	 	 	 	
              [TRANSFEREE]

            
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Name:

            
	 	 	 	 	 	 	 	 	
              Title:

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ANNEX
      1 TO EXHIBIT B-1

     

    QUALIFIED
      INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A

     

    [For
      Transferees Other Than Registered Investment Companies]

     

    The
      undersigned hereby certifies as follows to [name of Transferor] (the
“Transferor”) and Wells Fargo Bank, N.A., as Securities Administrator, with
      respect to the asset backed pass-through certificates (the “Certificates”)
      described in the Transferee Certificate to which this certification relates
      and
      to which this certification is an Annex:

     

    1. As
      indicated below, the undersigned is the President, Chief Financial Officer,
      Senior Vice President or other executive officer of the entity purchasing the
      Certificates (the “Transferee”).

     

    2. In
      connection with purchases by the Transferee, the Transferee is a “qualified
      institutional buyer” as that term is defined in Rule 144A under the Securities
      Act of 1933 (“Rule 144A”) because (i) the Transferee owned and/or invested on a
      discretionary basis $________________1 
      in
      securities (except for the excluded securities referred to below) as of the
      end
      of the Transferee’s most recent fiscal year (such amount being calculated in
      accordance with Rule 144A) and (ii) the Transferee satisfies the criteria in
      the
      category marked below.

     

    
      	
              ___

            	
              Corporation,
                etc.
                The Transferee is a corporation (other than a bank, savings and loan
                association or similar institution), Massachusetts or similar business
                trust, partnership, or any organization described in Section 501(c)(3)
                of
                the Internal Revenue Code of 1986.

            
	
              ___

            	
              Bank.
                The Transferee (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 Transferee (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 Transferee is a dealer registered pursuant to Section 15 of the
                Securities Exchange Act of 1934.

            
	
              ___

            	
              Insurance
                Company.
                The Transferee 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 Transferee 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 Transferee is an employee benefit plan within the meaning of
                Title I
                of the Employee Retirement Income Security Act of 1974, as
                amended.

            
	
              ___

            	
              Investment
                Advisor
                The Transferee is an investment advisor registered under the Investment
                Advisers Act of 1940.

            

    

    

     

    3. The
      term
“securities”
      as used
      herein does
      not include
      (i)
      securities of issuers that are affiliated with the Transferee, (ii) securities
      that are part of an unsold allotment to or subscription by the Transferee,
      if
      the Transferee 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 Transferee, the Transferee used the cost of
      such
      securities to the Transferee and did not include any of the securities referred
      to in the preceding paragraph. Further, in determining such aggregate amount,
      the Transferee may have included securities owned by subsidiaries of the
      Transferee, but only if such subsidiaries are consolidated with the Transferee
      in its financial statements prepared in accordance with generally accepted
      accounting principles and if the investments of such subsidiaries are managed
      under the Transferee’s direction. However, such securities were not included if
      the Transferee is a majority-owned, consolidated subsidiary of another
      enterprise and the Transferee is not itself a reporting company under the
      Securities Exchange Act of 1934.

     

    5. The
      Transferee acknowledges that it is familiar with Rule 144A and understands
      that
      the Transferor 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 Transferee may be in reliance on Rule 144A.

     

    
      	
              ___

            	
              ___

            	
              Will
                the Transferee be purchasing the Certificates

            
	
              Yes

            	
              No

            	
              only
                for the Transferee’s own account?

            

    

    6. If
      the
      answer to the foregoing question is “no”, the Transferee agrees that, in
      connection with any purchase of securities sold to the Transferee for the
      account of a third party (including any separate account) in reliance on Rule
      144A, the Transferee will only purchase for the account of a third party that
      at
      the time is a “qualified institutional buyer” within the meaning of Rule 144A.
      In addition, the Transferee agrees that the Transferee will not purchase
      securities for a third party unless the Transferee has obtained a current
      representation letter from such third party or taken other appropriate steps
      contemplated by Rule 144A to conclude that such third party independently meets
      the definition of “qualified institutional buyer” set forth in Rule
      144A.

     

    7. The
      Transferee 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 Transferee’s purchase of the Certificates will constitute a
      reaffirmation of this certification as of the date of such purchase. In
      addition, if the Transferee is a bank or savings and loan as provided above,
      the
      Transferee agrees that it will furnish to such parties updated annual financial
      statements promptly after they become available.

     

    Dated:

    
      	 	 	 	 	 	 	 	
              ___________________________________________

            
	 	 	 	 	 	 	 	
              Print
                Name of Transferee

            
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Name:

            
	 	 	 	 	 	 	 	 	
              Title:

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ANNEX
      2 TO EXHIBIT B-1

     

    QUALIFIED
      INSTITUTIONAL BUYER STATUS UNDER SEC RULE 144A

     

    [For
      Transferees That Are Registered Investment Companies]

     

    The
      undersigned hereby certifies as follows to [name of Transferor] (the
“Transferor”) and Wells Fargo Bank, N.A., as Securities Administrator, with
      respect to the asset backed pass-through certificates (the “Certificates”)
      described in the Transferee Certificate to which this certification relates
      and
      to which this certification is an Annex:

     

    1. As
      indicated below, the undersigned is the President, Chief Financial Officer
      or
      Senior Vice President of the entity purchasing the Certificates (the
“Transferee”) or, if the Transferee is a “qualified institutional buyer” as that
      term is defined in Rule 144A under the Securities Act of 1933 (“Rule 144A”)
      because the Transferee is part of a Family of Investment Companies (as defined
      below), is such an officer of the investment adviser (the
“Adviser”).

     

    2. In
      connection with purchases by the Transferee, the Transferee is a “qualified
      institutional buyer” as defined in Rule 144A because (i) the Transferee is an
      investment company registered under the Investment Company Act of 1940, and
      (ii)
      as marked below, the Transferee alone, or the Transferee’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 Transferee’s most recent
      fiscal year. For purposes of determining the amount of securities owned by
      the
      Transferee or the Transferee’s Family of Investment Companies, the cost of such
      securities was used.

     

    
      	
              ___

            	
              The
                Transferee owned $________________________ in securities (other than
                the
                excluded securities referred to below) as of the end of the Transferee’s
                most recent fiscal year (such amount being calculated in accordance
                with
                Rule 144A).

            
	
              ___

            	
              The
                Transferee 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 Transferee’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
      Transferee or are part of the Transferee’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.

     

    5. The
      Transferee is familiar with Rule 144A and understands that the parties to which
      this certification is being made are relying and will continue to rely on the
      statements made herein because one or more sales to the Transferee will be
      in
      reliance on Rule 144A. In addition, the Transferee will only purchase for the
      Transferee’s own account.

     

    6. The
      undersigned will notify the parties to which this certification is made of
      any
      changes in the information and conclusions herein. Until such notice, the
      Transferee’s purchase of the Certificates will constitute a reaffirmation of
      this certification by the undersigned as of the date of such
      purchase.

     

    Dated:

    
      	 	 	 	 	 	 	 	
              ___________________________________________

            
	 	 	 	 	 	 	 	
              Print
                Name of Transferee or Advisor

            
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Name:

            
	 	 	 	 	 	 	 	 	
              Title:

            
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              IF
                AN ADVISER:

               

            
	 	 	 	 	 	 	 	
              ___________________________________________

            
	 	 	 	 	 	 	 	
              Print
                Name of Transferee

            

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    FORM
      OF
      TRANSFEREE REPRESENTATION LETTER

     

    The
      undersigned hereby certifies on behalf of the purchaser named below (the
“Purchaser”) as follows:

     

    1. I
      am an
      executive officer of the Purchaser.

     

    2. The
      Purchaser is a “qualified institutional buyer”, as defined in Rule 144A, (“Rule
      144A”) under the Securities Act of 1933, as amended.

     

    3. As
      of the
      date specified below (which is not earlier than the last day of the Purchaser’s
      most recent fiscal year), the amount of “securities”, computed for purposes of
      Rule 144A, owned and invested on a discretionary basis by the Purchaser was
      in
      excess of $100,000,000.

     

    

      
        	
                Name
                  of Purchaser
                  _____________________________________________

              
	 	 
	
                By:
                  (Signature)
                  ________________________________________________

              
	 	 
	
                Name
                  of Signatory
                  _____________________________________________

              
	 	 
	
                Title
                  ________________________________________________________

              
	 	 
	
                Date
                  of this certificate
                  ___________________________________________

              
	 	 
	
                Date
                  of information provided in paragraph 3
                  ___________________________

              

      

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ANNEX
      A TO EXHIBIT B-1 

     

    

     

    FORM
      OF
      REGULATION S TRANSFER CERTIFICATE

     

    [Date]

     

    

     

    Wells
      Fargo Bank, N.A.

    Sixth
      Street and Marquette Avenue

    Minneapolis,
      Minnesota 55479

    Attention:
      Corporate Trust ACE 2006-SL4

     

    
      	
              Re:

            	
              ACE
                Securities Corp. Home Equity Loan Trust, Series 2006-SL4 Asset Backed
                Pass-Through Certificates, Class CE-1, Class CE-2 and/or Class P
                Certificates     

            

    

     

    Ladies
      and Gentlemen:

     

    Reference
      is hereby made to the Pooling and Servicing Agreement (the “Agreement”), dated
      as of August 1, 2006, among ACE Securities Corp. (the “Depositor”), Wells Fargo
      Bank, N.A., as master servicer (the “Master Servicer”) and securities
      administrator, GMAC Mortgage Corporation as servicer (the “Servicer”) and HSBC
      Bank USA, National Association, as trustee (the “Trustee”). Capitalized terms
      used herein but not defined herein shall have the meanings assigned thereto
      in
      the Agreement.

     

    This
      letter relates to U.S. $[__________] Certificate Principal Balance of Class
      [CE-[1][2]][P] Certificates (the “Certificates”) which are held in the name of
      [name of transferor] (the “Transferor”) to effect the transfer of the
      Certificates to a person who wishes to take delivery thereof in the form of
      an
      equivalent beneficial interest [name of transferee] (the
“Transferee”).

     

    In
      connection with such request, the Transferor hereby certifies that such transfer
      has been effected in accordance with the transfer restrictions set forth in
      the
      Agreement relating to the Certificates and that the following additional
      requirements (if applicable) were satisfied:

     

    (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 reasonably believed that
      the Transferee was outside the United States;

     

    (c) no
      directed selling efforts were made in contravention of the requirements of
      Rule
      903(b) or 904(b) of Regulation S, as applicable;

     

    (d) the
      transfer or exchange is not part of a plan or scheme to evade the registration
      requirements of the Securities Act;

     

    (e) the
      Transferee is not a U.S. Person, as defined in Regulation S under the Securities
      Act;

     

    (f) the
      transfer was made in accordance with the applicable provisions of Rule 903(b)(2)
      or (3) or Rule 904(b)(1), as the case may be; and

     

    (g) the
      Transferee understands that the Certificates have not been and will not be
      registered under the Securities Act, that any offers, sales or deliveries of
      the
      Certificates purchased by the Transferee in the United States or to U.S. persons
      prior to the date that is 40 days after the later of (i) the commencement of
      the
      offering of the Certificates and (ii) the Closing Date, may constitute a
      violation of United States law, and that (x) distributions of principal and
      interest and (y) the exchange of beneficial interests in a Temporary Regulation
      S Global Certificate for beneficial interests in the related Permanent
      Regulation S Global Certificate, in each case, will be made in respect of such
      Certificates only following the delivery by the Holder of a certification of
      non-U.S. beneficial ownership, at the times and in the manner set forth in
      the
      Agreement.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    You
      are
      entitled to rely upon this letter and are irrevocably authorized to produce
      this
      letter or a copy hereof to any interested party in any administrative or legal
      proceedings or official inquiry with respect to the matters covered
      hereby.

     

    
      	 	 	 	 	 	 	 	
              [Name
                of Transferor]

            
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Name:

            
	 	 	 	 	 	 	 	 	
              Title:

            

    

    

     

    

    

      

      
        1 Transferee
          must own and/or invest on a discretionary basis at least $100,000,000 in
          securities unless Transferee is a dealer, and, in that case, Transferee
          must own
          and/or invest on a discretionary basis at least $10,000,000 in
          securities.

      

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      B-2

     

    FORM
      OF
      TRANSFEROR REPRESENTATION LETTER

     

    ____________,
      20__

    

    Wells
      Fargo Bank, N.A.

    Sixth
      Street and Marquette Avenue

    Minneapolis,
      Minnesota 55479

    Attention:
      Corporate Trust ACE 2006-SL4

     

    
      	
              Re:

            	
              ACE
                Securities Corp. Home Equity Loan Trust, Series 2006-SL4 

              Asset
                Backed Pass-Through Certificates, 

              Class
                CE-1, Class CE-2, Class P and Class R
                Certificates

            

    

     

    Ladies
      and Gentlemen:

     

    In
      connection with the transfer by ________________ (the “Transferor”) to
      __________________________ (the “Transferee”) of the captioned mortgage
      pass-through certificates (the “Certificates”), the Transferor hereby certifies
      as follows:

     

    Neither
      the Seller nor anyone acting on its behalf has (a) offered, pledged, sold,
      disposed of or otherwise transferred any Certificate, any interest in any
      Certificate or any other similar security to any person in any manner, (b)
      has
      solicited any offer to buy or to accept a pledge, disposition or other transfer
      of any Certificate, any interest in any Certificate or any other similar
      security from any person in any manner, (c) has otherwise approached or
      negotiated with respect to any Certificate, any interest in any Certificate
      or
      any other similar security with any person in any manner, (d) has made any
      general solicitation by means of general advertising or in any other manner,
      or
      (e) has taken any other action, that (as to any of (a) through (e) above) would
      constitute a distribution of the Certificates under the Securities Act of 1933
      (the “Act’), that would render the disposition of any Certificate a violation of
      Section 5 of the Act or any state securities law, or that would require
      registration or qualification pursuant thereto. The Seller will not act, in
      any
      manner set forth in the foregoing sentence with respect to any Certificate.
      The
      Seller has not and will not sell or otherwise transfer any of the Certificates,
      except in compliance with the provisions of the Pooling and Servicing Agreement,
      dated as of August 1, 2006, among ACE Securities Corp., Wells Fargo Bank, N.A.,
      GMAC Mortgage Corporation and HSBC Bank USA, National Association.

     

    
      	 	 	 	 	 	 	 	
              Very
                truly yours,

            
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              ___________________________________________

            
	 	 	 	 	 	 	 	
              (Transferor)

            
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Name:

            
	 	 	 	 	 	 	 	 	
              Title:

            

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    FORM
      OF
      TRANSFEREE LETTER

     

    _______________,
      20__

     

    Wells
      Fargo Bank, N.A.

    Sixth
      Street and Marquette Avenue

    Minneapolis,
      Minnesota 55479

    Attention:
      Corporate Trust ACE 2006-SL4

     

    
      	
              Re:

            	
              ACE
                Securities Corp. Home Equity Loan Trust, Series 2006-SL4

              Asset
                Backed Pass-Through Certificates, 

              Class
                CE-1, Class CE-2, Class P and Class R
                Certificates

            

    

     

    Ladies
      and Gentlemen:

     

    In
      connection with the transfer by ______________________ (the “Transferor”) to
      __________________________ (the “Transferee”) of the captioned mortgage
      pass-through certificates (the “Certificates”), the Transferee hereby certifies
      as follows:

     

    1. The
      Transferee understands that (a) the Certificates have not been and will not
      be
      registered or qualified under the Securities Act of 1933, as amended (the “Act”)
      or any state securities law, (b) the Depositor is not required to so register
      or
      qualify the Certificates, (c) the Certificates may be resold only if registered
      and qualified pursuant to the provisions of the Act or any state securities
      law,
      or if an exemption from such registration and qualification is available, (d)
      the Pooling and Servicing Agreement contains restrictions regarding the transfer
      of the Certificates and (e) the Certificates will bear a legend to the foregoing
      effect.

     

    2. The
      Transferee is acquiring the Certificates for its own account for investment
      only
      and not with a view to or for sale in connection with any distribution thereof
      in any manner that would violate the Act or any applicable state securities
      laws.

     

    3. The
      Transferee is (a) a substantial, sophisticated institutional investor having
      such knowledge and experience in financial and business matters, and, in
      particular, in such matters related to securities similar to the Certificates,
      such that it is capable of evaluating the merits and risks of investment in
      the
      Certificates, (b) able to bear the economic risks of such an investment and
      (c)
      an “accredited investor” within the meaning of Rule 501(a) promulgated pursuant
      to the Act.

     

    4. The
      Transferee has been furnished with, and has had an opportunity to review (a)
      a
      copy of the Pooling and Servicing Agreement and (b) such other information
      concerning the Certificates, the Mortgage Loans and the Depositor as has been
      requested by the Transferee from the Depositor or the Transferor and is relevant
      to the Transferee’s decision to purchase the Certificates. The Transferee has
      had any questions arising from such review answered by the Depositor or the
      Transferor to the satisfaction of the Transferee.

     

    5. The
      Transferee has not and will not nor has it authorized or will it authorize
      any
      person to (a) offer, pledge, sell, dispose of or otherwise transfer any
      Certificate, any interest in any Certificate or any other similar security
      to
      any person in any manner, (b) solicit any offer to buy or to accept a pledge,
      disposition of other transfer of any Certificate, any interest in any
      Certificate or any other similar security from any person in any manner, (c)
      otherwise approach or negotiate with respect to any Certificate, any interest
      in
      any Certificate or any other similar security with any person in any manner,
      (d)
      make any general solicitation by means of general advertising or in any other
      manner or (e) take any other action, that (as to any of (a) through (e) above)
      would constitute a distribution of any Certificate under the Act, that would
      render the disposition of any Certificate a violation of Section 5 of the 1933
      Act or any state securities law, or that would require registration or
      qualification pursuant thereto. The Transferee will not sell or otherwise
      transfer any of the Certificates, except in compliance with the provisions
      of
      the Pooling and Servicing Agreement.

     

    6. The
      Transferee: (a) is not an employee benefit plan or other plan subject to the
      prohibited transaction provisions of the Employee Retirement Income Security
      Act
      of 1974, as amended (“ERISA”), or Section 4975 of the Internal Revenue Code of
      1986, as amended (the “Code”) (each, a “Plan”), or any other person (including
      an investment manager, a named fiduciary or a trustee of any Plan) acting,
      directly or indirectly, on behalf of or purchasing any Certificate with “plan
      assets” of any Plan within the meaning of the Department of Labor (“DOL”)
      regulation at 29 C.F.R. § 2510.3-101 or (b) has provided the Trustee with an
      Opinion of Counsel on which the Depositor, the Master Servicer, the Securities
      Administrator, the Trustee and the Servicer may rely, acceptable to and in
      form
      and substance satisfactory to the Trustee to the effect that the purchase of
      Certificates is permissible under applicable law, will not constitute or result
      in any non-exempt prohibited transaction under ERISA or Section 4975 of the
      Code
      and will not subject the Trust Fund, the Trustee, the Master Servicer, the
      Securities Administrator, the Depositor or the Servicer to any obligation or
      liability (including obligations or liabilities under ERISA or Section 4975
      of
      the Code) in addition to those undertaken in the Pooling and Servicing
      Agreement.

     

    In
      addition, the Transferee hereby certifies, represents and warrants to, and
      covenants with, the Depositor, the Trustee, the Securities Administrator, the
      Master Servicer and the Servicer that the Transferee will not transfer such
      Certificates to any Plan or person unless such Plan or person meets the
      requirements set forth in paragraph 6 above.

     

    

    

    
      	 	 	 	 	 	 	 	
              Very
                truly yours,

            
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	
              Name:

            	 
	 	 	 	 	 	 	 	
              Title:

            	 

    

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      B-3

     

    TRANSFER
      AFFIDAVIT AND AGREEMENT

     

    
      	
              STATE
                OF NEW YORK

            	
              )

            	 
	 	
              )

            	
              ss.:

            
	
              COUNTY
                OF NEW YORK

            	
              )

            	 

    

    ___________________________
      being duly sworn, deposes, represents and warrants as follows:

     

    
      	 	
              1.

            	
              I
                am a _____________________ of _______________________________ (the
                “Owner”) a corporation duly organized and existing under the laws of
                _________________________, the record owner of ACE Securities Corp.
                Home
                Equity Loan Trust, Series 2006-SL4 Asset Backed Pass-Through Certificates,
                Class R Certificates (the “Class R Certificates”), on behalf of whom I
                make this affidavit and agreement. Capitalized terms used but not
                defined
                herein have the respective meanings assigned thereto in the Pooling
                and
                Servicing Agreement pursuant to which the Class R Certificates were
                issued.

            

    

     

    
      	 	
              2.

            	
              The
                Owner (i) is and will be a “Permitted Transferee” as of
                ____________________. ____ and (ii) is acquiring the Class R Certificates
                for its own account or for the account of another Owner from which
                it has
                received an affidavit in substantially the same form as this affidavit.
                A
                “Permitted Transferee” is any person other than a “disqualified
                organization” or a possession of the United States. For this purpose, a
                “disqualified organization” means the United States, any state or
                political subdivision thereof, any agency or instrumentality of any
                of the
                foregoing (other than an instrumentality all of the activities of
                which
                are subject to tax and, except for the Federal Home Loan Mortgage
                Corporation, a majority of whose board of directors is not selected
                by any
                such governmental entity) or any foreign government, international
                organization or any agency or instrumentality of such foreign government
                or organization, any real electric or telephone cooperative, or any
                organization (other than certain farmers’ cooperatives) that is generally
                exempt from federal income tax unless such organization is subject
                to the
                tax on unrelated business taxable
                income.

            

    

     

    
      	 	
              3.

            	
              The
                Owner is aware (i) of the tax that would be imposed on transfers
                of the
                Class R Certificates to disqualified organizations under the Internal
                Revenue Code of 1986 that applies to all transfers of the Class R
                Certificates after July 31, 1988; (ii) that such tax would be on
                the
                transferor or, if such transfer is through an agent (which person
                includes
                a broker, nominee or middleman) for a non-Permitted Transferee, on
                the
                agent; (iii) that the person otherwise liable for the tax shall be
                relieved of liability for the tax if the transferee furnishes to
                such
                person an affidavit that the transferee is a Permitted Transferee
                and, at
                the time of transfer, such person does not have actual knowledge
                that the
                affidavit is false; and (iv) that each of the Class R Certificates
                may be
                a “noneconomic residual interest” within the meaning of proposed Treasury
                regulations promulgated under 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 is to impede the assessment or collection
                of
                tax.

            

    

     

    
      	 	
              4.

            	
              The
                Owner is aware of the tax imposed on a “pass-through entity” holding the
                Class R Certificates if, at any time during the taxable year of the
                pass-through entity, a non-Permitted Transferee is the record holder
                of an
                interest in such entity. (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.)

            

    

     

    
      	 	
              5.

            	
              The
                Owner is aware that the Securities Administrator will not register
                the
                transfer of any Class R Certificate unless the transferee, or the
                transferee’s agent, delivers to the Securities Administrator, among other
                things, an affidavit in substantially the same form as this affidavit.
                The
                Owner expressly agrees that it will not consummate any such transfer
                if it
                knows or believes that any of the representations contained in such
                affidavit and agreement are false.

            

    

     

    
      	 	
              6.

            	
              The
                Owner consents to any additional restrictions or arrangements that
                shall
                be deemed necessary upon advice of counsel to constitute a reasonable
                arrangement to ensure that the Class R Certificates will only be
                owned,
                directly or indirectly, by an Owner that is a Permitted
                Transferee.

            

    

     

    
      	 	
              7.

            	
              The
                Owner’s taxpayer identification number is
                ________________.

            

    

     

    
      	 	
              8.

            	
              The
                Owner has reviewed the restrictions set forth on the face of the
                Class R
                Certificates and the provisions of Section 6.02(d) of the Pooling
                and
                Servicing Agreement under which the Class R Certificates were issued
                (in
                particular, clauses (iii)(A) and (iii)(B) of Section 6.02(d) which
                authorize the Securities Administrator to deliver payments to a person
                other than the Owner and negotiate a mandatory sale by the Securities
                Administrator in the event that the Owner holds such Certificate
                in
                violation of Section 6.02(d)); and that the Owner expressly agrees
                to be
                bound by and to comply with such restrictions and
                provisions.

            

    

     

    
      	 	
              9.

            	
              The
                Owner is not acquiring and will not transfer the Class R Certificates
                in
                order to impede the assessment or collection of any
                tax.

            

    

     

    
      	 	
              10.

            	
              The
                Owner anticipates that it will, so long as it holds the Class R
                Certificates, have sufficient assets to pay any taxes owed by the
                holder
                of such Class R Certificates, and hereby represents to and for the
                benefit
                of the person from whom it acquired the Class R Certificates that
                the
                Owner intends to pay taxes associated with holding such Class R
                Certificates as they become due, fully understanding that it may
                incur tax
                liabilities in excess of any cash flows generated by the Class R
                Certificates.

            

    

     

    
      	 	
              11.

            	
              The
                Owner has no present knowledge that it may become insolvent or subject
                to
                a bankruptcy proceeding for so long as it holds the Class R
                Certificates.

            

    

     

    
      	 	
              12.

            	
              The
                Owner has no present knowledge or expectation that it will be unable
                to
                pay any United States taxes owed by it so long as any of the Certificates
                remain outstanding.

            

    

     

    
      	 	
              13.

            	
              The
                Owner is not acquiring the Class R Certificates with the intent to
                transfer the Class R Certificates to any person or entity that will
                not
                have sufficient assets to pay any taxes owed by the holder of such
                Class R
                Certificates, or that may become insolvent or subject to a bankruptcy
                proceeding, for so long as the Class R Certificates remain
                outstanding.

            

    

     

    
      	 	
              14.

            	
              The
                Owner will, in connection with any transfer that it makes of the
                Class R
                Certificates, obtain from its transferee the representations required
                by
                Section 6.02(d) of the Pooling and Servicing Agreement under which
                the
                Class R Certificate were issued and will not consummate any such
                transfer
                if it knows, or knows facts that should lead it to believe, that
                any such
                representations are false.

            

    

     

    
      	 	
              15.

            	
              The
                Owner will, in connection with any transfer that it makes of the
                Class R
                Certificates, deliver to the Securities Administrator an affidavit,
                which
                represents and warrants that it is not transferring the Class R
                Certificates to impede the assessment or collection of any tax and
                that it
                has no actual knowledge that the proposed transferee: (i) has insufficient
                assets to pay any taxes owed by such transferee as holder of the
                Class R
                Certificates; (ii) may become insolvent or subject to a bankruptcy
                proceeding for so long as the Class R Certificates remains outstanding;
                and (iii) is not a “Permitted
                Transferee”.

            

    

     

    
      	 	
              16.

            	
              The
                Owner is a citizen or resident of the United States, a corporation,
                partnership or other entity created or organized in, or under the
                laws of,
                the United States or any political subdivision thereof, or an estate
                or
                trust whose income from sources without the United States may be
                included
                in gross income for United States federal income tax purposes regardless
                of its connection with the conduct of a trade or business within
                the
                United States.

            

    

     

    
      	 	
              17.

            	
              The
                Owner of the Class R Certificate, hereby agrees that in the event
                that the
                Trust Fund created by the Pooling and Servicing Agreement is terminated
                pursuant to Section 10.01 thereof, the undersigned shall assign and
                transfer to the Holders of the Class CE-1, Class CE-2 and the Class
                P
                Certificates any amounts in excess of par received in connection
                with such
                termination. Accordingly, in the event of such termination, the Securities
                Administrator is hereby authorized to withhold any such amounts in
                excess
                of par and to pay such amounts directly to the Holders of the Class
                CE-1,
                Class CE-2 and the Class P Certificates. This agreement shall bind
                and be
                enforceable against any successor, transferee or assigned of the
                undersigned in the Class R Certificate. In connection with any transfer
                of
                the Class R Certificate, the Owner shall obtain an agreement substantially
                similar to this clause from any subsequent
                owner.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Owner has caused this instrument to be executed on its
      behalf, pursuant to the authority of its Board of Directors, by its [Vice]
      President, attested by its [Assistant] Secretary, this ____ day of
      _________________, ____.

     

    
      	 	 	 	 	 	 	 	
              [OWNER]

            
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Name:

            
	 	 	 	 	 	 	 	 	
              Title:
                [Vice] President

            

    

    

     

    ATTEST:

     

    
      	
              By:

            	 
	 	
              Name:

            
	 	
              Title:
                [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 a [Vice]
      President of the Owner, and acknowledged to me that [he/she] executed the same
      as [his/her] free act and deed and the free act and deed of the
      Owner.

     

    Subscribed
      and sworn before me this ______________ day of __________, ____.

     

    

    

    
      	 	 
	 	
              Notary
                Public

            
	 	 
	 	
              County
                of _____________________________

            
	 	
              State
                of _______________________________

            
	 	 
	 	
              My
                Commission expires:

            

    

    

     

    

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    FORM
      OF
      TRANSFEROR AFFIDAVIT

     

    
      	
              STATE
                OF NEW YORK

            	
              )

            	 
	 	
              )

            	
              ss.:

            
	
              COUNTY
                OF NEW YORK

            	
              )

            	 

    

    _________________________,
      being duly sworn, deposes, represents and warrants as follows:

     

    1. I
      am
      a ____________________
      of _________________________ (the “Owner”), a corporation duly organized and
      existing under the laws of _____________, on behalf of whom I make this
      affidavit.

     

    2. The
      Owner
      is not transferring the Class R Certificates (the “Residual Certificates”) to
      impede the assessment or collection of any tax.

     

    3. The
      Owner
      has no actual knowledge that the Person that is the proposed transferee (the
      “Purchaser”) of the Residual Certificates: (i) has insufficient assets to pay
      any taxes owed by such proposed transferee as holder of the Residual
      Certificates; (ii) may become insolvent or subject to a bankruptcy proceeding
      for so long as the Residual Certificates remain outstanding and (iii) is not
      a
      Permitted Transferee.

     

    4. The
      Owner
      understands that the Purchaser has delivered to the Trustee or a transfer
      affidavit and agreement in the form attached to the Pooling and Servicing
      Agreement as Exhibit B-2. The Owner does not know or believe that any
      representation contained therein is false.

     

    5. At
      the
      time of transfer, the Owner has conducted a reasonable investigation of the
      financial condition of the Purchaser as contemplated by Treasury Regulations
      Section 1.860E-1(c)(4)(i) and, as a result of that investigation, the Owner
      has
      determined that the Purchaser has historically paid its debts as they became
      due
      and has found no significant evidence to indicate that the Purchaser will not
      continue to pay its debts as they become due in the future. The Owner
      understands that the transfer of a Residual Certificate may not be respected
      for
      United States income tax purposes (and the Owner may continue to be liable
      for
      United States income taxes associated therewith) unless the Owner has conducted
      such an investigation.

     

    6. Capitalized
      terms not otherwise defined herein shall have the meanings ascribed to them
      in
      the Pooling and Servicing Agreement dated as of August 1, 2006, among ACE
      Securities Corp., Wells Fargo Bank, N.A., GMAC Mortgage Corporation and HSBC
      Bank USA, National Association.

     

    

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Owner has caused this instrument to be executed on its
      behalf, pursuant to the authority of its Board of Directors, by its [Vice]
      President, attested by its [Assistant] Secretary, this ____ day of
      ________________, ____.

     

    
      	 	 	 	 	 	 	 	
              [OWNER]

            
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Name:

            
	 	 	 	 	 	 	 	 	
              Title:
                [Vice] President

            

    

    

     

    ATTEST:

    

    

    
      	
              By:

            	 
	 	
              Name:

            
	 	
              Title:
                [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 a [Vice]
      President of the Owner, and acknowledged to me that [he/she] executed the same
      as [his/her] free act and deed and the free act and deed of the
      Owner.

     

    Subscribed
      and sworn before me this ______ day of _____________, ____.

     

    

    
      	 	 
	 	
              Notary
                Public

            
	 	 
	 	
              County
                of _____________________________

            
	 	
              State
                of _______________________________

            
	 	 
	 	
              My
                Commission expires:

            

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      C

     

    

     

    BACK-UP
      CERTIFICATION

     

    Re: __________
      (the “Trust”)

     

    Mortgage
      Pass-Through Certificates, Series 2006-SL4

     

    I,
      [identify the certifying individual], certify to ACE Securities Corp. (the
      “Depositor”), HSBC Bank USA, National Association (the “Trustee”) and Wells
      Fargo Bank, National Association (the “Master Servicer”), and their respective
      officers, directors and affiliates, and with the knowledge and intent that
      they
      will rely upon this certification, that:

     

     

    (1) I
      have
      reviewed the servicer compliance statement of the Company provided in accordance
      with Item 1123 of Regulation AB (the “Compliance Statement”), the report on
      assessment of the Company’s compliance with the servicing criteria set forth in
      Item 1122(d) of Regulation AB (the “Servicing Criteria”), provided in accordance
      with Rules 13a-18 and 15d-18 under Securities Exchange Act of 1934, as amended
      (the “Exchange Act”) and Item 1122 of Regulation AB (the “Servicing
      Assessment”), the registered public accounting firm’s attestation report
      provided in accordance with Rules 13a-18 and 15d-18 under the Exchange Act
      and
      Section 1122(b) of Regulation AB (the “Attestation
      Report”), and all servicing reports, officer’s certificates and other
      information relating to the servicing of the Mortgage Loans by the Company
      during 200[ ] that were delivered by the Company to the Master Servicer pursuant
      to the Agreement (collectively, the “Company Servicing
      Information”);

     

    (2) Based
      on
      my knowledge, the Company Servicing Information, taken as a whole, does not
      contain any untrue statement of a material fact or omit to state a material
      fact
      necessary to make the statements made, in the light of the circumstances under
      which such statements were made, not misleading with respect to the period
      of
      time covered by the Company Servicing Information;

     

    (3) Based
      on
      my knowledge, all of the Company Servicing Information required to be provided
      by the Company under the Agreement has been provided to Master
      Servicer;

     

    (4) I
      am
      responsible for reviewing the activities performed by the Company as servicer
      under the Agreement, and based on my knowledge and the compliance review
      conducted in preparing the Compliance Statement and except as disclosed in
      the
      Compliance Statement, the Servicing Assessment or the Attestation Report, the
      Company has fulfilled its obligations under the Agreement in all material
      respects; and

     

    (5) The
      Compliance Statement required to be delivered by the Company pursuant to the
      Agreement, and the Servicing Assessment and Attestation Report required to
      be
      provided by the Company and by any Subservicer or Subcontractor pursuant to
      the
      Agreement, have been provided to Master Servicer. Any material instances of
      noncompliance described in such reports have been disclosed to Master Servicer.
      Any material instance of noncompliance with the Servicing Criteria has been
      disclosed in such reports.

     

    

    Capitalized
      terms used and not otherwise defined herein have the meanings assigned thereto
      in the Pooling and Servicing Agreement (the “Agreement”), dated as of August 1,
      2006, among ACE Securities Corp., Wells Fargo Bank, N.A., GMAC Mortgage
      Corporation and HSBC Bank USA, National Association

     

    

     

    

     

    
      	
              Date:

            	 	 
	 	 	 
	 	 	 
	
              [Signature]

            	 	 
	 	 	 
	
              [Title]

            	 	 

    

    

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    

    EXHIBIT
      D

    

    FORM
      OF
      POWER OF ATTORNEY

    

    RECORDING
      REQUESTED BY

    AND
      WHEN
      RECORDED MAIL TO

    [Servicer]

    [Servicer’s
      Address]

    

    Attn:
      _________________________________

    

    LIMITED
      POWER OF ATTORNEY

    

    

    KNOW
      ALL
      MEN BY THESE PRESENTS, that ________________,
      having
      its principal place of business at ____________________,
      as
      Trustee (the “Trustee”) pursuant to that Pooling and Servicing Agreement among
___________________
      (the
“Depositor”), Wells Fargo Bank, National Association, as Master Servicer and
      Securities Administrator, GMAC Mortgage Corporation as servicer (“Ocwen”) and
      the Trustee, dated as of August 1, 2006 (the “Pooling and Servicing Agreement”),
      hereby constitutes and appoints Ocwen (the “Servicer”), by and through the
      Servicer’s officers, the Trustee’s true and lawful Attorney-in-Fact, in the
      Trustee’s name, place and stead and for the Trustee’s benefit, in connection
      with all mortgage loans serviced by the Servicer pursuant to the Pooling and
      Servicing Agreement for the purpose of performing all acts and executing all
      documents in the name of the Trustee as may be customarily and reasonably
      necessary and appropriate to effectuate the following enumerated transactions
      in
      respect of any of the mortgages or deeds of trust (the “Mortgages” and the
“Deeds of Trust”, respectively) and promissory notes secured thereby (the
“Mortgage Notes”) for which the undersigned is acting as Trustee for various
      certificateholders (whether the undersigned is named therein as mortgagee or
      beneficiary or has become mortgagee by virtue of endorsement of the Mortgage
      Note secured by any such Mortgage or Deed of Trust) and for which the Servicer
      is acting as servicer, all subject to the terms of the Pooling and Servicing
      Agreement.

    

    This
      appointment shall apply to the following enumerated transactions
      only:

    

    
      	1.  	
              The
                modification or re-recording of a Mortgage or Deed of Trust, where
                said
                modification or re-recordings is for the purpose of correcting the
                Mortgage or Deed of Trust to conform same to the original intent
                of the
                parties thereto or to correct title errors discovered after such
                title
                insurance was issued and said modification or re-recording, in either
                instance, does not adversely affect the lien of the Mortgage or Deed
                of
                Trust as insured.

            

    

    

    
      	2.  	
              The
                subordination of the lien of a Mortgage or Deed of Trust to an easement
                in
                favor of a public utility company of a government agency or unit
                with
                powers of eminent domain; this section shall include, without limitation,
                the execution of partial satisfactions/releases, partial reconveyances
                or
                the execution or requests to trustees to accomplish
                same.

            

    

    

    
      	3.  	
              The
                conveyance of the properties to the mortgage insurer, or the closing
                of
                the title to the property to be acquired as real estate owned, or
                conveyance of title to real estate
                owned.

            

    

    

    4.  The
      completion of loan assumption agreements.

    

    
      	5.  	
              The
                full satisfaction/release of a Mortgage or Deed of Trust or full
                conveyance upon payment and discharge of all sums secured thereby,
                including, without limitation, cancellation of the related Mortgage
                Note.

            

    

    

    
      	6.  	
              The
                assignment of any Mortgage or Deed of Trust and the related Mortgage
                Note,
                in connection with the repurchase of the mortgage loan secured and
                evidenced thereby.

            

    

    

    
      	7.  	
              The
                full assignment of a Mortgage or Deed of Trust upon payment and discharge
                of all sums secured thereby in conjunction with the refinancing thereof,
                including, without limitation, the assignment of the related Mortgage
                Note.

            

    

    

    
      	8.  	
              With
                respect to a Mortgage or Deed of Trust, the foreclosure, the taking
                of a
                deed in lieu of foreclosure, or the completion of judicial or non-judicial
                foreclosure or termination, cancellation or rescission of any such
                foreclosure, including, without limitation, any and all of the following
                acts:

            

    

    

    
      	a.  	
              the
                substitution of trustee(s) serving under a Deed of Trust, in accordance
                with state law and the Deed of
                Trust;

            

    

    

    
      	b.  	
              the
                preparation and issuance of statements of breach or
                non-performance;

            

    

    

    
      	c.  	
              the
                preparation and filing of notices of default and/or notices of
                sale;

            

    

    

    
      	d.  	
              the
                cancellation/rescission of notices of default and/or notices of
                sale;

            

    

    

    
      	e.  	
              the
                taking of a deed in lieu of foreclosure;
                and

            

    

    

    
      	f.  	
              the
                preparation and execution of such other documents and performance
                of such
                other actions as may be necessary under the terms of the Mortgage,
                Deed of
                Trust or state law to expeditiously complete said transactions in
                paragraphs 8.a. through 8.e.,
                above.

            

    

    

    The
      undersigned gives said Attorney-in-Fact full power and authority to execute
      such
      instruments and to do and perform all and every act and thing necessary and
      proper to carry into effect the power or powers granted by or under this Limited
      Power of Attorney as fully as the undersigned might or could do, and hereby
      does
      ratify and confirm to all that said Attorney-in-Fact shall lawfully do or cause
      to be done by authority hereof. 

    

    Third
      parties without actual notice may rely upon the exercise of the power granted
      under this Limited Power of attorney; and may be satisfied that this Limited
      Power of Attorney shall continue in full force and effect and has not been
      revoked unless an instrument of revocation has been made in writing by the
      undersigned.

    

    IN
      WITNESS WHEREOF, ________________
      as
      Trustee pursuant to that Pooling and Servicing Agreement among the Depositor,
      Wells Fargo Bank, National Association, GMAC Mortgage Corporation and the
      Trustee, dated as of ___________
      1, 200__
      (_____________
      Asset
      Backed Certificates, Series 200__-___), has caused its corporate seal to be
      hereto affixed and these presents to be signed and acknowledged in its name
      and
      behalf by ____________
      its duly
      elected and authorized Vice President this _________
      day of
_________,
      200__.

    

    
      	 	 	 	 	 	 	 	 	
              as
                Trustee for _____ Asset 

              Backed
                Certificates, Series 200__-___

            
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	 

    

    

    

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
 

    
      	
              STATE
                OF _____________

            
	 
	
              COUNTY
                OF ___________

            

    

    

    

    

    On
      _______________,
      200__,
      before me, the undersigned, a Notary Public in and for said state, personally
      appeared ____________,
      Vice
      President of ____________________
      as
      Trustee for ___________ Asset Backed Certificates, Series 200__-___, personally
      known to me to be the person whose name is subscribed to the within instrument
      and acknowledged to me that he/she executed that same in his/her authorized
      capacity, and that by his/her signature on the instrument the entity upon behalf
      of which the person acted and executed the instrument.

    

    WITNESS
      my hand and official seal.

    (SEAL)

    
      	 	 
	 	
              Notary
                Public

            
	 	
              My
                Commission Expires
                _________________

            

    

     

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      E

    

    SERVICING
      CRITERIA

    

    Schedule
      1122 (Pooling and Servicing Agreement)

     

    Assessments
      of Compliance and Attestation Reports Servicing Criteria2 

    
      	
              Reg.
                AB Item 1122(d) Servicing Criteria

            	
              Depositor

            	
              Seller

            	
              Servicer

            	
              Trustee

            	
              Custodian

            	
              Paying
                Agent

            	
              Master
                Servicer

            	
              Securities
                Administrator

            
	
              (1) General
                Servicing Considerations

            	 	 	 	 	 	 	 	 
	
              (i) monitoring
                performance or other triggers and events of default

            	 	 	
              X

            	 	 	 	
              X

            	
              X

            
	
              (ii) monitoring
                performance of vendors of activities outsourced

            	 	 	
              X

            	 	 	 	
              X

            	 
	
              (iii) maintenance
                of back-up servicer for pool assets

            	 	 	 	 	 	 	 	 
	
              (iv) fidelity
                bond and E&O policies in effect

            	 	 	
              X

            	 	 	 	
              X

            	 
	
              (2) Cash
                Collection and Administration

            	 	 	 	 	 	 	 	 
	
              (i) timing
                of deposits to custodial account

            	 	 	
              X

            	 	 	
              X

            	
              X

            	
              X

            
	
              (ii) wire
                transfers to investors by authorized personnel

            	 	 	
              X

            	 	 	
              X

            	 	
              X

            
	
              (iii) advances
                or guarantees made, reviewed and approved as required

            	 	 	
              X

            	 	 	 	
              X

            	 
	
              (iv) accounts
                maintained as required

            	 	 	
              X

            	 	 	
              X

            	
              X

            	
              X

            
	
              (v) accounts
                at federally insured depository institutions

            	 	 	
              X

            	 	 	
              X

            	
              X

            	
              X

            
	
              (vi) unissued
                checks safeguarded

            	 	 	
              X

            	 	 	
              X

            	 	
              X

            
	
              (vii) monthly
                reconciliations of accounts

            	 	 	
              X

            	 	 	
              X

            	
              X

            	
              X

            
	
              (3) Investor
                Remittances and Reporting

            	 	 	 	 	 	 	 	 
	
              (i) investor
                reports

            	 	 	
              X

            	 	 	 	
              X

            	
              X

            
	
              (ii) remittances

            	 	 	
              X

            	 	 	
              X

            	 	
              X

            
	
              (iii) proper
                posting of distributions

            	 	 	
              X

            	 	 	
              X

            	 	
              X

            
	
              (iv) reconciliation
                of remittances and payment statements

            	 	 	
              X

            	 	 	
              X

            	
              X

            	
              X

            
	
              (4) Pool
                Asset Administration

            	 	 	 	 	 	 	 	 
	
              (i) maintenance
                of pool collateral

            	 	 	
              X

            	 	
              X

            	 	 	 
	
              (ii) safeguarding
                of pool assets/documents

            	 	 	
              X

            	 	
              X

            	 	 	 
	
              (iii) additions,
                removals and substitutions of pool assets

            	 	 	
              X

            	 	 	 	 	 
	
              (iv) posting
                and allocation of pool asset payments to pool assets

            	 	 	
              X

            	 	 	 	 	 
	
              (v) reconciliation
                of servicer records

            	 	 	
              X

            	 	 	 	 	 
	
              (vi) modifications
                or other changes to terms of pool assets

            	 	 	
              X

            	 	 	 	 	 
	
              (vii) loss
                mitigation and recovery actions

            	 	 	
              X

            	 	 	 	 	 
	
              (viii)records
                regarding collection efforts

            	 	 	
              X

            	 	 	 	 	 
	
              (ix) adjustments
                to variable interest rates on pool assets

            	 	 	
              X

            	 	 	 	 	 
	
              (x) matters
                relating to funds held in trust for obligors

            	 	 	
              X

            	 	 	 	 	 
	
              (xi) payments
                made on behalf of obligors (such as for taxes or
                insurance)

            	 	 	
              X

            	 	 	 	 	 
	
              (xii) late
                payment penalties with respect to payments made on behalf of obligors
                

            	 	 	
              X

            	 	 	 	 	 
	
              (xiii)records
                with respect to payments made on behalf of obligors

            	 	 	
              X

            	 	 	 	 	 
	
              (xiv) recognition
                and recording of delinquencies, charge-offs and uncollectible
                accounts

            	 	 	
              X

            	 	 	 	 	 
	
              (xv) maintenance
                of external credit enhancement or other support

            	 	 	 	 	 	 	 	
              X

            

    

    

    

    

    

    

    

      

      
        *
          The
          descriptions of the Item 1122(d) servicing criteria use key words and phrases
          and are not verbatim recitations of the servicing criteria. Refer to Regulation
          AB, Item 1122 for a full description of servicing
          criteria.

      

    

     

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      F

    

    FORM
      OF
      MORTGAGE LOAN PURCHASE AGREEMENT

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

     

    

      MORTGAGE
        LOAN PURCHASE AGREEMENT

       

      This
        is a
        Mortgage Loan Purchase Agreement (this “Agreement”), dated August 29, 2006,
        between DB Structured Products, Inc., a Delaware corporation (the “Sponsor”) and
        ACE Securities Corp., a Delaware corporation (the “Purchaser”).

       

      Preliminary
        Statement

       

      The
        Sponsor intends to sell the Mortgage Loans (as hereinafter identified) to
        the
        Purchaser on the terms and subject to the conditions set forth in this
        Agreement. The Purchaser intends to deposit the Mortgage Loans into a mortgage
        pool comprising the Trust Fund. The Trust Fund will be evidenced by a single
        series of mortgage pass-through certificates designated as ACE Securities
        Corp.
        Home Equity Loan Trust, Series 2006-SL4, Asset Backed Pass-Through Certificates
        (the “Certificates”). The Certificates will consist of seventeen classes of
        certificates. The Certificates will be issued pursuant to a Pooling and
        Servicing Agreement for ACE Securities Corp. Home Equity Loan Trust, Series
        2006-SL4, Asset Backed Pass-Through Certificates, dated as of August 1, 2006
        (the “Pooling and Servicing Agreement”), among the Purchaser as depositor, Wells
        Fargo Bank, N.A. as master servicer (the “Master Servicer”) and securities
        administrator (the “Securities Administrator”), GMAC Mortgage Corporation as
        servicer (the “Servicer”), and HSBC Bank USA, National Association as trustee
        (the “Trustee”). The Purchaser will sell the Class A-1, Class A-2, Class A-3,
        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 to Deutsche Bank Securities
        Inc. (“DBSI”), pursuant to the Second Amended and Restated Underwriting
        Agreement, dated as of June 24, 1999, as amended and restated to and including
        January 25, 2006, between the Purchaser and DBSI, and the Terms Agreement,
        dated
        August __, 2006 (collectively, the “Underwriting Agreement”), between the
        Purchaser and DBSI. Capitalized terms used but not defined herein shall have
        the
        meanings set forth in the Pooling and Servicing Agreement.

       

      The
        parties hereto agree as follows:

       

      SECTION
        1.  Agreement
        to Purchase.
        The
        Sponsor hereby sells, and the Purchaser hereby purchases, on August 29, 2006
        (the “Closing Date”), certain conventional, one- to four-family, fixed-rate,
        second lien, residential mortgage loans (the “Mortgage Loans”), having an
        aggregate principal balance as of the close of business on August 1, 2006
        (the
“Cut-off Date”) of approximately $344,592,203 (the “Closing Balance”), after
        giving effect to all payments due on the Mortgage Loans on or before the
        Cut-off
        Date, whether or not received, including the right to any Prepayment Charges
        payable by the related Mortgagors in connection with any Principal Prepayments
        on the Mortgage Loans.

       

      SECTION
        2.  Mortgage
        Loan Schedule.
        The
        Purchaser and the Sponsor have agreed upon which of the mortgage loans owned
        by
        the Sponsor are to be purchased by the Purchaser pursuant to this Agreement
        and
        the Sponsor will prepare or cause to be prepared on or prior to the Closing
        Date
        a final schedule (the “Closing Schedule”) that shall describe such Mortgage
        Loans and set forth all of the Mortgage Loans to be purchased under this
        Agreement, including the Prepayment Charges. The Closing Schedule will conform
        to the requirements set forth in this Agreement and to the definition of
        “Mortgage Loan Schedule” under the Pooling and Servicing Agreement.

       

      SECTION
        3.  Consideration.

       

      (a)  In
        consideration for the Mortgage Loans to be purchased hereunder, the Purchaser
        shall, as described in Section 8, (i) pay to or upon the order of the Sponsor
        in
        immediately available funds an amount (the “Purchase Price”) equal to (i)
        $________*1and
        (ii)
        a 100% interest in the Class CE-1, Class CE-2, Class P and Class R Certificates
        (collectively the “DB Certificates”). The DB Certificates shall be in the name
        of “Deutsche Bank Securities Inc.”

       

      (b)  The
        Purchaser or any assignee, transferee or designee of the Purchaser shall
        be
        entitled to all scheduled payments of principal due after the Cut-off Date,
        all
        other payments of principal due and collected after the Cut-off Date, and
        all
        payments of interest on the Mortgage Loans allocable to the period after
        the
        Cut-off Date. All scheduled payments of principal and interest due on or
        before
        the Cut-off Date and collected after the Cut-off Date shall belong to the
        Sponsor.

       

      (c)  Pursuant
        to the Pooling and Servicing Agreement, the Purchaser will assign all of
        its
        right, title and interest in and to the Mortgage Loans, together with its
        rights
        under this Agreement, to the Trustee for the benefit of the
        Certificateholders.

       

      SECTION
        4.  Transfer
        of the Mortgage Loans.

       

      (a)  Possession
        of Mortgage Files.
        The
        Sponsor does hereby sell to the Purchaser, without recourse but subject to
        the
        terms of this Agreement, all of its right, title and interest in, to and
        under
        the Mortgage Loans, including the related Prepayment Charges. The contents
        of
        each Mortgage File not delivered to the Purchaser or to any assignee, transferee
        or designee of the Purchaser on or prior to the Closing Date are and shall
        be
        held in trust by the Sponsor for the benefit of the Purchaser or any assignee,
        transferee or designee of the Purchaser.  Upon the sale of the
        Mortgage Loans, the ownership of each Mortgage Note, the related Mortgage
        and
        the other contents of the related Mortgage File is vested in the Purchaser
        and
        the ownership of all records and documents with respect to the related Mortgage
        Loan prepared by or that come into the possession of the Sponsor on or after
        the
        Closing Date shall immediately vest in the Purchaser and shall be delivered
        immediately to the Purchaser or as otherwise directed by the
        Purchaser.

       

      (b)  Delivery
        of Mortgage Loan Documents.
        The
        Sponsor will, on or prior to the Closing Date, deliver or cause to be delivered
        to the Purchaser or any assignee, transferee or designee of the Purchaser
        each
        of the following documents for each Mortgage Loan:

       

      (i)  the
        original Mortgage Note, including any riders thereto, endorsed in blank,
        with
        all prior and intervening endorsements showing a complete chain of endorsement
        from the originator to the Person so endorsing to the Trustee;

       

      (ii)  the
        original Mortgage or a certified copy thereof, including any riders thereto,
        with evidence of recording thereon, and the original recorded power of attorney,
        if the Mortgage was executed pursuant to a power of attorney, with evidence
        of
        recording thereon, and in the case of each MOM Loan, the original Mortgage,
        noting the presence of the MIN of the Loan and either language indicating
        that
        the Mortgage Loan is a MOM Loan or if the Mortgage Loan was not a MOM Loan
        at
        origination, the original Mortgage and the assignment thereof to MERS®, with
        evidence of recording indicated thereon;

       

      (iii)  an
        original Assignment of Mortgage executed in blank;

       

      (iv)  the
        original recorded Assignment or Assignments of the Mortgage, or a certified
        copy
        or copies thereof, showing a complete chain of assignment from the originator
        to
        the last Person assigning the Mortgage;

       

      (v)  the
        original or copies of each assumption, modification, written assurance or
        substitution agreement, if any;

       

      (vi)  the
        original lender’s title insurance policy, together with all endorsements or
        riders that were issued with or subsequent to the issuance of such policy,
        insuring the priority of the Mortgage as a second lien on the Mortgaged Property
        represented therein as a fee interest vested in the Mortgagor;

       

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

       

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

       

      Notwithstanding
        anything to the contrary contained in this Section 4, with respect to a maximum
        of approximately 1.00% of the Mortgage Loans, by aggregate principal balance
        of
        the Mortgage Loans as of the Cut-off Date, if any original Mortgage Note
        referred to in Section 4(b)(i) above cannot be located, the obligations of
        the
        Sponsor to deliver such documents shall be deemed to be satisfied upon delivery
        to the Purchaser or any assignee, transferee or designee of the Purchaser
        of a
        photocopy of such Mortgage Note, if available, with a lost note affidavit
        substantially in the form of Exhibit 1 attached hereto. If any of the original
        Mortgage Notes for which a lost note affidavit was delivered to the Purchaser
        or
        any assignee, transferee or designee of the Purchaser is subsequently located,
        such original Mortgage Note shall be delivered to the Purchaser or any assignee,
        transferee or designee of the Purchaser within three (3) Business Days; and
        if
        any document referred to in Section 4(b)(ii) or 4(b)(iv) above has been
        submitted for recording but either (x) has not been returned from the applicable
        public recording office or (y) has been lost or such public recording office
        has
        retained the original of such document, the obligations of the Sponsor hereunder
        shall be deemed to have been satisfied upon delivery to the Purchaser or
        any
        assignee, transferee or designee of the Purchaser promptly upon receipt thereof
        by or on behalf of the Sponsor of either the original or a copy of such document
        certified by the applicable public recording office to be a true and complete
        copy of the original.

       

      In
        the
        event that the original lender’s title insurance policy has not yet been issued,
        the Sponsor shall deliver to the Purchaser or any assignee, transferee or
        designee of the Purchaser a written commitment or interim binder or preliminary
        report of title issued by the title insurance or escrow company. The Sponsor
        shall deliver such original title insurance policy to the Purchaser or any
        assignee, transferee or designee of the Purchaser promptly upon receipt by
        the
        Sponsor, if any.

       

      Each
        original document relating to a Mortgage Loan which is not delivered to the
        Purchaser or its assignee, transferee or designee, if held by the Sponsor,
        shall
        be so held for the benefit of the Purchaser, its assignee, transferee or
        designee.

       

      In
        connection with the assignment of any Mortgage Loan registered on the MERS®
System, the Sponsor further agrees that it will cause, at the Sponsor’s own
        expense, within 30 days after the Closing Date, the MERS® System to indicate
        that such Mortgage Loans have been assigned by the Sponsor to the Purchaser
        and
        by the Purchaser to the Trustee in accordance with this Agreement for the
        benefit of the Certificateholders by including (or deleting, in the case
        of
        Mortgage Loans which are repurchased in accordance with this Agreement) in
        such
        computer files (a) the code in the field which identifies the specific Trustee
        and (b) the code in the field “Pool Field” which identifies the series of the
        Certificates issued in connection with such Mortgage Loans. The Sponsor further
        agrees that it will not, and will not permit the Servicer or the Master Servicer
        to alter the codes referenced in this paragraph with respect to any Mortgage
        Loan during the term of this Agreement unless and until such Mortgage Loan
        is
        repurchased in accordance with the terms of this Agreement or the Pooling
        and
        Servicing Agreement.

       

      (c)  Acceptance
        of Mortgage Loans.
        The
        documents delivered pursuant to Section 4(b) hereof shall be reviewed by
        the
        Purchaser or any assignee, transferee or designee of the Purchaser at any
        time
        before or after the Closing Date (and with respect to each document permitted
        to
        be delivered after the Closing Date, within seven days of its delivery) to
        ascertain that all required documents have been executed and received and
        that
        such documents relate to the Mortgage Loans identified on the Closing
        Schedule.

       

      (d)  Transfer
        of Interest in Agreements.
        The
        Purchaser has the right to assign its interest under this Agreement, in whole
        or
        in part, to the Trustee, as may be required to effect the purposes of the
        Pooling and Servicing Agreement, without the consent of the Sponsor, and
        the
        assignee shall succeed to the rights and obligations hereunder of the
        Purchaser.  Any expense reasonably incurred by or on behalf of the
        Purchaser or the Trustee in connection with enforcing any obligations of
        the
        Sponsor under this Agreement will be promptly reimbursed by the
        Sponsor.

       

      (e)  Examination
        of Mortgage Files.
        Prior
        to the Closing Date, the Sponsor shall either (i) deliver in escrow to the
        Purchaser or to any assignee, transferee or designee of the Purchaser for
        examination the Mortgage File pertaining to each Mortgage Loan, or (ii) make
        such Mortgage Files available to the Purchaser or to any assignee, transferee
        or
        designee of the Purchaser for examination.  Such examination may be
        made by the Purchaser or the Trustee, and their respective designees, upon
        reasonable notice to the Sponsor during normal business hours before the
        Closing
        Date and within sixty (60) days after the Closing Date.  If any such
        person makes such examination prior to the Closing Date and identifies any
        Mortgage Loans that do not conform to the requirements of the Purchaser as
        described in this Agreement, such Mortgage Loans shall be deleted from the
        Closing Schedule.  The Purchaser may, at its option and without notice
        to the Sponsor, purchase all or part of the Mortgage Loans without conducting
        any partial or complete examination.  The fact that the Purchaser or
        any person has conducted or has failed to conduct any partial or complete
        examination of the Mortgage Files shall not affect the rights of the Purchaser
        or any assignee, transferee or designee of the Purchaser to demand repurchase
        or
        other relief as provided herein or under the Pooling and Servicing
        Agreement.

       

      SECTION
        5.  Representations,
        Warranties and Covenants of the Sponsor.

       

      The
        Sponsor hereby represents and warrants to the Purchaser, as of the date hereof
        and as of the Closing Date, and covenants, that:

       

      (i)  The
        Sponsor is a Delaware corporation with full corporate power and authority
        to
        conduct its business as presently conducted by it to the extent material
        to the
        consummation of the transactions contemplated herein. The Agreement has been
        duly authorized, executed and delivered by the Sponsor. The Sponsor had the
        full
        corporate power and authority to own the Mortgage Loans and to transfer and
        convey the Mortgage Loans to the Purchaser and has the full corporate power
        and
        authority to execute and deliver, engage in the transactions contemplated
        by,
        and perform and observe the terms and conditions of this Agreement;

       

      (ii)  The
        Sponsor has duly authorized the execution, delivery and performance of this
        Agreement, has duly executed and delivered this Agreement, and this Agreement,
        assuming due authorization, execution and delivery by the Purchaser, constitutes
        a legal, valid and binding obligation of the Sponsor, enforceable against
        it in
        accordance with its terms except as the enforceability thereof may be limited
        by
        bankruptcy, insolvency or reorganization or by general principles of
        equity;

       

      (iii)  The
        execution, delivery and performance of this Agreement by the Sponsor (x)
        does
        not conflict and will not conflict with, does not breach and will not result
        in
        a breach of and does not constitute and will not constitute a default (or
        an
        event, which with notice or lapse of time or both, would constitute a default)
        under (A) any terms or provisions of the organizational documents of the
        Sponsor, (B) any term or provision of any material agreement, contract,
        instrument or indenture, to which the Sponsor is a party or by which the
        Sponsor
        or any of its property is bound, or (C) any law, rule, regulation, order,
        judgment, writ, injunction or decree of any court or governmental authority
        having jurisdiction over the Sponsor or any of its property and (y) does
        not
        create or impose and will not result in the creation or imposition of any
        lien,
        charge or encumbrance (other than any created hereby in favor of the Purchaser
        and its assignees) which would have a material adverse effect upon the Mortgage
        Loans or any documents or instruments evidencing or securing the Mortgage
        Loans;

       

      (iv)  No
        consent, approval, authorization or order of, registration or filing with,
        or
        notice on behalf of the Sponsor to any governmental authority or court is
        required, under federal laws or the laws of the State of New York, for the
        execution, delivery and performance by the Sponsor of, or compliance by the
        Sponsor with, this Agreement or the consummation by the Sponsor of any other
        transaction contemplated hereby and by the Pooling and Servicing Agreement;
        provided, however, that the Sponsor makes no representation or warranty
        regarding federal or state securities laws in connection with the sale or
        distribution of the Certificates;

       

      (v)  The
        Sponsor is not in violation of, and the execution and delivery of this Agreement
        by the Sponsor and its performance and compliance with the terms of this
        Agreement will not constitute a violation with respect to, any order or decree
        of any court or any order or regulation of any federal, state, municipal
        or
        governmental agency having jurisdiction over the Sponsor or its assets, which
        violation might have consequences that would materially and adversely affect
        the
        condition (financial or otherwise) or the operation of the Sponsor or its
        assets
        or might have consequences that would materially and adversely affect the
        performance of its obligations and duties hereunder;

       

      (vi)  The
        Sponsor does not believe, nor does it have any reason or cause to believe,
        that
        it cannot perform each and every covenant contained in this
        Agreement;

       

      (vii)  Immediately
        prior to the sale of the Mortgage Loans to the Purchaser as herein contemplated,
        the Sponsor was the owner of the related Mortgage and the indebtedness evidenced
        by the related Mortgage Note, and, upon the payment to the Sponsor of the
        Purchase Price, in the event that the Sponsor retains or has retained record
        title, the Sponsor shall retain such record title to each Mortgage, each
        related
        Mortgage Note and the related Mortgage Files with respect thereto in trust
        for
        the Purchaser as the owner thereof from and after the date hereof;

       

      (viii)  There
        are
        no actions or proceedings against, or investigations known to it of, the
        Sponsor
        before any court, administrative or other tribunal (A) that might prohibit
        its
        entering into this Agreement, (B) seeking to prevent the sale of the Mortgage
        Loans by the Sponsor or the consummation of the transactions contemplated
        by
        this Agreement or (C) that might prohibit or materially and adversely affect
        the
        performance by the Sponsor of its obligations under, or validity or
        enforceability of, this Agreement;

       

      (ix)  The
        consummation of the transactions contemplated by this Agreement are in the
        ordinary course of business of the Sponsor, and the transfer, assignment
        and
        conveyance of the Mortgage Notes and the Mortgages by the Sponsor pursuant
        to
        this Agreement are not subject to the bulk transfer or any similar statutory
        provisions in effect in any relevant jurisdiction, except any as may have
        been
        complied with;

       

      (x)  The
        Sponsor has not dealt with any broker, investment banker, agent or other
        person,
        except for the Purchaser or any of its affiliates, that may be entitled to
        any
        commission or compensation in connection with the sale of the Mortgage Loans
        (except that an entity that previously financed the Sponsor’s ownership of the
        Mortgage Loans may be entitled to a fee to release its security interest
        in the
        Mortgage Loans, which fee shall have been paid and which security interest
        shall
        have been released on or prior to the Closing Date);

       

      (xi)  There
        is
        no litigation currently pending or, to the best of the Sponsor’s knowledge
        without independent investigation, threatened against the Sponsor that would
        reasonably be expected to adversely affect the transfer of the Mortgage Loans,
        the issuance of the Certificates or the execution, delivery, performance
        or
        enforceability of this Agreement, or that would result in a material adverse
        change in the financial condition of the Sponsor; and

       

      (xii)  The
        information set forth in the applicable part of the Closing Schedule relating
        to
        the existence of a Prepayment Charge is complete, true and correct in all
        material respects at the date or dates respecting which such information
        is
        furnished and each Prepayment Charge is permissible and enforceable in
        accordance with its terms upon the mortgagor’s full and voluntary principal
        prepayment under applicable law, except to the extent that: (1) the
        enforceability thereof may be limited by bankruptcy, insolvency, moratorium,
        receivership and other similar laws relating to creditors’ rights; (2) the
        collectability thereof may be limited due to acceleration in connection with
        a
        foreclosure or other involuntary prepayment; or (3) subsequent changes in
        applicable law may limit or prohibit enforceability thereof under applicable
        law.

       

      SECTION
        6.  Representations
        and Warranties of the Sponsor
        Relating to the Mortgage Loans.

       

      The
        Sponsor hereby represents and warrants to the Purchaser that as to each Mortgage
        Loan as of the Closing Date:

       

      (i)  Information
        provided to the Rating Agencies, including the loan level detail, is true
        and
        correct according to the Rating Agency requirements;

       

      (ii)  No
        misrepresentation or fraud has taken place on the part of the Sponsor, the
        Mortgagor or any third party originator of such Mortgage Loan, or to the
        Sponsor’s knowledge, any other person, including without limitation, any
        appraiser, any builder or developer, or any other party involved in the
        origination of the Mortgage Loan or in the application of any insurance in
        relation to such Mortgage Loan;

       

      (iii)  Except
        as
        set forth on the Closing Schedule, all payments required to be made prior
        to the
        Cut-off Date with respect to each Mortgage Loan have been made;

       

      (iv)  [Reserved];

       

      (v)  There
        are
        no delinquent taxes, assessment liens or insurance premiums affecting the
        related Mortgaged Property;

       

      (vi)  The
        terms
        of the Mortgage Note and the Mortgage have not been materially modified in
        any
        respect, except by written instruments, recorded in the applicable public
        recording office if necessary to maintain the lien priority of the Mortgage.
        The
        substance of any such modification has been approved by the title insurer,
        to
        the extent required by the related policy. No Mortgagor has been released, in
        whole or in part, except in connection with an assumption agreement (approved
        by
        the title insurer to the extent required by the policy) and which assumption
        agreement has been delivered to the Trustee;

       

      (vii)  The
        Mortgaged Property is insured against loss by fire and hazards of extended
        coverage (excluding earthquake insurance) in an amount which is at least
        equal
        to the lesser of (i) the amount necessary to compensate for any damage or
        loss
        to the improvements which are a part of such property on a replacement cost
        basis or (ii) the outstanding principal balance of the Mortgage Loan. If
        the
        Mortgaged Property is in an area identified on a flood hazard map or flood
        insurance rate map issued by the Federal Emergency Management Agency as having
        special flood hazards (and such flood insurance has been made available),
        a
        flood insurance policy meeting the requirements of the current guidelines
        of the
        Federal Insurance Administration is in effect. All such insurance policies
        contain a standard mortgagee clause naming the originator of the Mortgage
        Loan,
        its successors and assigns as mortgagee and the Sponsor has not engaged in
        any
        act or omission which would impair the coverage of any such insurance policies.
        Except as may be limited by applicable law, the Mortgage obligates the Mortgagor
        thereunder to maintain all such insurance at the Mortgagor’s cost and expense,
        and on the Mortgagor’s failure to do so, authorizes the holder of the Mortgage
        to maintain such insurance at Mortgagor’s cost and expense and to seek
        reimbursement therefor from the Mortgagor;

       

      (viii)  Each
        Mortgage Loan and the related Prepayment Charge, if any, complied in all
        material respects with any and all requirements of any federal, state or
        local
        law including, without limitation, usury, truth in lending, anti-predatory
        lending, real estate settlement procedures, consumer credit protection, equal
        credit opportunity, fair housing or disclosure laws applicable to the
        origination and servicing of the Mortgage Loans and the consummation of the
        transactions contemplated hereby will not involve the violation of any such
        laws;

       

      (ix)  The
        Mortgage has not been satisfied, cancelled, subordinated (other than the
        subordination to the related first lien mortgage loan) or rescinded, in whole
        or
        in part, and the Mortgaged Property has not been released from the lien of
        the
        Mortgage, in whole or in part, nor has any instrument been executed that
        would
        effect any such satisfaction, cancellation, subordination, rescission or
        release;

       

      (x)  The
        Mortgage was recorded or was submitted for recording in accordance with all
        applicable laws and is a valid, existing and enforceable second lien on the
        Mortgaged Property including all improvements on the Mortgaged
        Property;

       

      (xi)  The
        Mortgage Note and the related Mortgage are genuine and each is the legal,
        valid
        and binding obligation of the maker thereof, insured under the related title
        policy, and enforceable in accordance with its terms, except to the extent
        that
        the enforceability thereof may be limited by a bankruptcy, insolvency or
        reorganization;

       

      (xii)  The
        Sponsor is the sole legal, beneficial and equitable owner of the Mortgage
        Note
        and the Mortgage and has the full right to convey, transfer and sell the
        Mortgage Loan to the Purchaser free and clear of any encumbrance, equity,
        lien
        (other than the subordination to the related first lien mortgage loan), pledge,
        charge, claim or security interest and immediately upon the sale, assignment
        and
        endorsement of the Mortgage Loans from the Sponsor to the Purchaser, the
        Purchaser shall have good and indefeasible title to and be the sole legal
        owner
        of the Mortgage Loans subject only to any encumbrance, equity, lien, pledge,
        charge, claim or security interest arising out of the Purchaser’s
        actions;

       

      (xiii)  Each
        Mortgage Loan is covered by a valid and binding American Land Title Association
        lender’s title insurance policy issued by a title insurer qualified to do
        business in the jurisdiction where the Mortgaged Property is located. No
        claims
        have been filed under such lender’s title insurance policy, and the Sponsor has
        not done, by act or omission, anything that would impair the coverage of
        the
        lender’s title insurance policy;

       

      (xiv)  There
        is
        no material default, breach, violation event or event of acceleration existing
        under the Mortgage or the Mortgage Note and no event which, with the passage
        of
        time or with notice and the expiration of any grace or cure period, would
        constitute a material default, breach, violation or event of acceleration,
        and
        the Sponsor has not, nor has its predecessors, waived any material default,
        breach, violation or event of acceleration;

       

      (xv)  There
        are
        no mechanics’ or similar liens or claims which have been filed for work, labor
        or material provided to the related Mortgaged Property prior to the origination
        of the Mortgage Loan which are or may be liens prior to, or equal or coordinate
        with, the lien of the related Mortgage, except as may be disclosed in the
        related title policy;

       

      (xvi)  Except
        with respect to approximately 80.03% of the Mortgage Loans by aggregate
        principal balance as of the Cut-off Date, which are balloon loans, each Mortgage
        Note is payable on the first day of each month (unless otherwise specified
        on
        the Closing Schedule) in equal monthly installments of principal and interest,
        with interest calculated on a 30/360 basis and payable in arrears, sufficient
        to
        amortize the Mortgage Loan fully by the stated maturity date over an original
        term from commencement of amortization to not more than 30 years and no Mortgage
        Loan permits negative amortization;

       

      (xvii)  The
        servicing practices used in connection with the servicing of the Mortgage
        Loans
        have been in all respects reasonable and customary in the mortgage servicing
        industry of like mortgage loan servicers, servicing similar subprime mortgage
        loans originated in the same jurisdiction as the Mortgaged
        Property;

       

      (xviii)  At
        the
        time of origination of the Mortgage Loan there was no proceeding pending
        for the
        total or partial condemnation of the Mortgaged Property and, as of the date
        such
        Mortgage Loan was purchased by the Purchaser, to the best of the Purchaser’s
        knowledge there is no proceeding pending for the total or partial condemnation
        of the Mortgaged Property;

       

      (xix)  The
        Mortgage and related Mortgage Note contain customary and enforceable provisions
        such as to render the rights and remedies of the holder thereof adequate
        for the
        realization against the Mortgaged Property of the benefits of the security
        provided thereby, including, (a) in the case of a Mortgage designated as
        a deed
        of trust, by trustee’s sale, and (b) otherwise by judicial
        foreclosure;

       

      (xx)  The
        Mortgage Note is not and has not been secured by any collateral except the
        lien
        of the related Mortgage referred to in subsection (x) above;

       

      (xxi)  In
        the
        event the Mortgage constitutes a deed of trust, a trustee, duly qualified
        under
        applicable law to serve as such, has been properly designated and currently
        so
        serves and is named in the Mortgage, and no fees or expenses are or will
        become
        payable by the Sponsor to the trustee under the deed of trust, except in
        connection with a trustee’s sale after default by the Mortgagor;

       

      (xxii)  The
        Mortgage Loan is not subject to any valid right of rescission, set-off,
        counterclaim or defense, including without limitation the defense of usury,
        nor
        will the operation of any of the terms of the Mortgage Note or the Mortgage,
        or
        the exercise of any right thereunder, render either the Mortgage Note or
        the
        Mortgage unenforceable, in whole or in part, or subject to any such right
        of
        rescission, set-off, counterclaim or defense, including without limitation
        the
        defense of usury, and no such right of rescission, set-off, counterclaim
        or
        defense has been asserted with respect thereto;

       

      (xxiii)  The
        Mortgage Loans were underwritten in accordance with the related originator’s
        underwriting guidelines in effect at the time the Mortgage Loans were originated
        (the “Applicable Underwriting Guidelines”), except with respect to certain of
        those Mortgage Loans which had compensating factors permitting a deviation
        from
        the Applicable Underwriting Guidelines;

       

      (xxiv)  The
        Mortgaged Property is free of material damage and waste, excepting therefrom
        any
        Mortgage Loan subject to an escrow withhold as shown on the Closing
        Schedule;

       

      (xxv)  All
        of
        the improvements which were included in determining the appraised value of
        the
        Mortgaged Property lie wholly within the Mortgaged Property’s boundary lines and
        no improvements on adjoining properties encroach upon the Mortgaged Property,
        excepting therefrom: (i) any encroachment insured against in the lender’s title
        insurance policy identified in subsection (xiii), (ii) any encroachment
        generally acceptable to subprime mortgage loan originators doing business
        in the
        same jurisdiction as the Mortgaged Property, and (iii) any encroachment which
        does not materially interfere with the benefits of the security intended
        to be
        provided by such Mortgage;

       

      (xxvi)  To
        the
        best of the Sponsor’s knowledge, all parties to the Mortgage Note had the legal
        capacity to execute the Mortgage Note and the Mortgage, and the Mortgage
        Note
        and the Mortgage have been duly executed by such parties;

       

      (xxvii)  To
        the
        best of the Sponsor’s knowledge, at the time of origination of the Mortgage
        Loan, no appraised improvement located on or being part of the Mortgaged
        Property was in violation of any applicable zoning law or regulation and
        all
        inspections, licenses and certificates required in connection with the
        origination of any Mortgage Loan with respect to the occupancy of the Mortgaged
        Property, have been made or obtained from the appropriate
        authorities;

       

      (xxviii)  No
        Mortgagor has notified the Sponsor of any relief requested or allowed under
        the
        Servicemembers Civil Relief Act;

       

      (xxix)  All
        parties which have held an interest in the Mortgage Loan are (or during the
        period in which they held and disposed of such interest, were) (1) in compliance
        with any and all applicable licensing requirements of the state wherein the
        Mortgaged Property is located, (2) organized under the laws of such state,
        (3)
        qualified to do business in such state, (4) a federal savings and loan
        association or national bank, (5) not doing business in such state, or (6)
        exempt from the applicable licensing requirements of such state;

       

      (xxx)  The
        Mortgage File contains an appraisal of the related Mortgaged Property which
        was
        made prior to the approval of the Mortgage Loan by a qualified appraiser,
        duly
        appointed by the related originator and was made in accordance with the
        Financial Institutions Reform, Recovery, and Enforcement Act of 1989 and
        the
        Uniform Standards of Professional Appraisal Practice;

       

      (xxxi)  Except
        as
        may otherwise be limited by applicable law, the Mortgage contains a provision
        for the acceleration of the payment of the unpaid principal balance of the
        Mortgage Loan in the event that the Mortgaged Property is sold or transferred
        without the prior written consent of the Mortgagee thereunder;

       

      (xxxii)  The
        Mortgage Loan does not contain any provision which would constitute a “buydown”
provision and pursuant to which Monthly Payments are paid or partially paid
        with
        funds deposited in a separate account established by the related originator,
        the
        Mortgagor or anyone on behalf of the Mortgagor, or paid by any source other
        than
        the Mortgagor. The Mortgage Loan is not a “graduated payment mortgage loan” and
        the Mortgage loan does not have a shared appreciation or other contingent
        interest feature;

       

      (xxxiii)  To
        the
        best of the Sponsor’s knowledge there is no action or proceeding directly
        involving the Mortgaged Property presently pending in which compliance with
        any
        environmental law, rule or regulation is at issue and the Sponsor has received
        no notice of any condition at the Mortgaged Property which is reasonably
        likely
        to give rise to an action or proceeding in which compliance with any
        environmental law, rule or regulation is at issue;

       

      (xxxiv)  Each
        Mortgage Loan is an obligation which is principally secured by an interest
        in
        real property within the meaning of Treasury Regulation section
        1.860G-2(a);

       

      (xxxv)  Each
        Mortgage Loan (a) is directly secured by a second lien on, and consists of
        a
        single parcel of, real property with a detached one-to-four family residence
        erected thereon, a townhouse or an individual condominium unit in a condominium
        project, a co-operative or an individual unit in a planned unit development
        (“PUD”). Any unit in a PUD or condominium project conforms to the requirements
        of the Applicable Underwriting Guidelines regarding such dwellings. No residence
        or dwelling is a mobile home or a manufactured dwelling unless it is a
        manufactured dwelling, which is permanently affixed to a foundation and treated
        as “real estate” under applicable law. No Mortgaged Property is used for
        commercial purposes. Mortgaged Properties which contain a home office shall
        not
        be considered as being used for commercial purposes as long as the Mortgaged
        Property has not been altered for commercial purposes and is not storing
        any
        chemicals or raw materials other than those commonly used for homeowner repair,
        maintenance and/or household purposes;

       

      (xxxvi)  [Reserved];

       

      (xxxvii)  [Reserved];

       

      (xxxviii)  [Reserved];

       

      (xxxix)  [Reserved];

       

      (xl)  No
        Mortgage Loan is subject to the Home Ownership and Equity Protection Act
        of 1994
        or any comparable law and no Mortgage Loan is classified and/or defined as
“high
        cost”, “covered” (excluding home loans defined as “covered home loans” in the
        New Jersey Home Ownership Security Act of 2002 that were originated between
        November 26, 2003 and July 7, 2004) “high risk home” or “predatory” loan under
        any other federal, state or local law (or a similarly classified loan using
        different terminology under a law imposing heightened regulatory scrutiny
        or
        additional legal liability for residential mortgage loans having high interest
        rates, points and/or fees);

       

      (xli)  There
        is
        no Mortgage Loan that was originated or modified on or after October 1, 2002
        and
        before March 7, 2003, which is secured by property located in the State of
        Georgia. There is no such Mortgage Loan underlying the Certificate that was
        originated on or after March 7, 2003, which is a “high cost home loan” as
        defined under the Georgia Fair Lending Act;

       

      (xlii)  With
        respect to any Mortgage Loan, either (i) no consent for the Mortgage Loan
        is
        required by the holder of any related senior lien or (ii) such consent has
        been
        obtained and is contained in the Mortgage File;

       

      (xliii)  As
        of the
        date hereof, the Sponsor has not received a notice of default of a senior
        lien
        on the related Mortgaged Property which has not been cured;

       

      (xliv)  There
        is
        no Mortgage Loan that (a) is secured by property located in the State of
        Kentucky; (b) was originated on or after June 24, 2003, and (c) which is
        a “high
        cost home loan” as defined under Kentucky State Statute KRS 360.100, effective
        as of June 24, 2003;

       

      (xlv)  There
        is
        no Mortgage Loan that (a) is secured by property located in the State of
        Arkansas, (b) has a note date on or after July 16, 2003, and (c) which is
        a
“high cost home loan” as defined under the Arkansas Home Loan Protection Act,
        effective as of July 16, 2003;

       

      (xlvi)  [Reserved];

       

      (xlvii)  [Reserved];
        

       

      (xlviii)  No
        Mortgage Loan is a “High-Cost Home Loan” as defined in the New Jersey Home
        Ownership Act effective November 27, 2003 (N.J.S.A. 46:10B-22 et seq.);

       

      (xlix)  No
        Mortgage Loan is a “High-Cost Home Loan” as defined in the New Mexico Home Loan
        Protection Act effective January 1, 2004 (N.M. Stat. Ann. §§ 58-21A-1 et
        seq.);

       

      (l)  No
        Mortgage Loan is a “High-Risk Home Loan” as defined in the Illinois High-Risk
        Home Loan Act effective January 1, 2004 (815 Ill. Comp. Stat. 137/1 et
        seq.);

       

      (li)  No
        Mortgage Loan originated in the City of Los Angeles is subject to the City
        of
        Los Angeles California Ordinance 175008 as a home loan;

       

      (lii)  No
        Mortgage Loan is a “High Cost Home Loan” as defined under the Maine House Bill
        383 L.D. 494, effective as of September 13, 2003;

       

      (liii)  No
        Mortgage Loan is a “High Cost” loan as defined under the New York Banking Law
        Section 6L, effective as of April 1, 2003;

       

      (liv)  No
        Mortgage Loan is a “home loan” in the state of Nevada; 

       

      (lv)  No
        Mortgage Loan is a “Section 10 mortgage loan” as defined in Oklahoma House Bill
        1574;

       

      (lvi)  [Reserved];
        

       

      (lvii)  No
        Mortgage Loan is a High Cost Loan or Covered Loan, as applicable (as such
        terms
        are defined in the then current Standard
        & Poor’s LEVELS®
        Glossary
        which is
        now Version 5.7 Revised, Appendix E (attached hereto as Exhibit 2)) and no
        Mortgage Loan originated on or after October 1, 2002 through March 6, 2003
        is
        governed by the Georgia Fair Lending Act;

       

      (lviii)  No
        selection procedures were used by the Sponsor that identified the Mortgage
        Loans
        as being less desirable or valuable than other comparable mortgage loans
        in the
        Sponsor’s portfolio;

       

      (lix)  The
        information set forth in the Closing Schedule is true and correct in all
        material respects as of the Cut-off Date; 

       

      (lxviii) No
        Mortgage Loan is secured in whole or in part by the interest of the Mortgagor
        as
        a lessee under a ground lease of the related Mortgaged Property;

       

      (lx)  No
        Mortgage Loan is a “High-Cost Home Loan” as defined in the Indiana Home Loan
        Practices Act, effective January 1, 2005 (Ind. Code Ann. Sections 24-9-1
        through
        24-9-9); and

       

      (lxi)  No
        Mortgage Loan is a “High-Cost Home Mortgage Loan” as defined in the
        Massachusetts Predatory Home Loan Practices Act, effective November 7, 2004
        (Mass. Ann. Laws Ch. 183C).

       

      SECTION
        7.  Repurchase
        Obligation for Defective Documentation and for Breach of Representation and
        Warranty.

       

      (a)  The
        representations and warranties contained in Section 6 shall not be impaired
        by
        any review and examination of loan files or other documents evidencing or
        relating to the Mortgage Loans or any failure on the part of the Sponsor
        or the
        Purchaser to review or examine such documents and shall inure to the benefit
        of
        any assignee, transferee or designee of the Purchaser, including the Trustee
        for
        the benefit of the Certificateholders. With respect to the representations
        and
        warranties contained herein as to which the Sponsor has no knowledge, if
        it is
        discovered that the substance of any such representation and warranty was
        inaccurate as of the date such representation and warranty was made or deemed
        to
        be made, and such inaccuracy materially and adversely affects the value of
        the
        related Mortgage Loan or the interest therein of the Purchaser or the
        Purchaser’s assignee, transferee or designee, then notwithstanding the lack of
        knowledge by the Sponsor with respect to the substance of such representation
        and warranty being inaccurate at the time the representation and warranty
        was
        made, the Sponsor shall take such action described in the following paragraph
        in
        respect of such Mortgage Loan.

       

      Upon
        discovery by the Sponsor, the Purchaser or any assignee, transferee or designee
        of the Purchaser of any materially defective document in, or that any material
        document was not transferred by the Sponsor, as listed on a Custodian’s
        preliminary exception report, as described in the related Custodial Agreement,
        as part of any Mortgage File, or of a breach of any of the representations
        and
        warranties contained in Section 6 that materially and adversely affects the
        value of any Mortgage Loan or the interest therein of the Purchaser or the
        Purchaser’s assignee, transferee or designee, the party discovering such breach
        shall give prompt written notice to the Sponsor. Within sixty (60) days of
        its
        discovery or its receipt of notice of any such missing documentation that
        was
        not transferred by the Sponsor as described above, or of materially defective
        documentation, or any such breach of a representation and warranty, the Sponsor
        promptly shall deliver such missing document or cure such defect or breach
        in
        all material respects or, in the event the Sponsor cannot deliver such missing
        document or cannot cure such defect or breach, the Sponsor shall, within
        ninety
        (90) days of its discovery or receipt of notice of any such missing or
        materially defective documentation or of any such breach of a representation
        and
        warranty, either (i) repurchase the affected Mortgage Loan at the Purchase
        Price
        (as such term is defined in the Pooling and Servicing Agreement) or (ii)
        pursuant to the provisions of the Pooling and Servicing Agreement, cause
        the
        removal of such Mortgage Loan from the Trust Fund and substitute one or more
        Qualified Substitute Mortgage Loans. The Sponsor shall amend the Closing
        Schedule to reflect the withdrawal of such Mortgage Loan from the terms of
        this
        Agreement and the Pooling and Servicing Agreement. The Sponsor shall deliver
        to
        the Purchaser such amended Closing Schedule and shall deliver such other
        documents as are required by this Agreement or the Pooling and Servicing
        Agreement within five (5) days of any such amendment. Any repurchase pursuant
        to
        this Section 7(a) shall be accomplished by transfer to an account designated
        by
        the Purchaser of the amount of the Purchase Price in accordance with Section
        2.03 of the Pooling and Servicing Agreement. Any repurchase required by this
        Section shall be made in a manner consistent with Section 2.03 of the Pooling
        and Servicing Agreement.

       

      (b)  If
        the
        representation made by the Sponsor in Section 5(xii) is breached, the Sponsor
        shall not have the right or obligation to cure, substitute or repurchase
        the
        affected Mortgage Loan but shall remit to the Servicer for deposit in the
        Collection Account, prior to the next succeeding Servicer Remittance Date,
        the
        amount of the Prepayment Charge indicated on the applicable part of the Closing
        Schedule to be due from the Mortgagor in the circumstances less any amount
        collected and remitted to the Servicer for deposit into the Collection
        Account.

       

      (c)  It
        is
        understood and agreed that the obligations of the Sponsor set forth in this
        Section 7 to cure or repurchase a defective Mortgage Loan (and to make payments
        pursuant to Section 7(b)) constitute the sole remedies of the Purchaser against
        the Sponsor respecting a missing document or a breach of the representations
        and
        warranties contained in Section 5(xii) or Section 6.

       

       

      SECTION
        8.  Closing;
        Payment for the Mortgage Loans.The
        closing of the purchase and sale of the Mortgage Loans shall be held at the
        New
        York City office of Thacher Proffitt & Wood llp
        at 10:00
        a.m. New York City time on the Closing Date.

       

      The
        closing shall be subject to each of the following conditions:

       

      (a)  All
        of
        the representations and warranties of the Sponsor under this Agreement shall
        be
        true and correct in all material respects as of the date as of which they
        are
        made and no event shall have occurred which, with notice or the passage of
        time,
        would constitute a default under this Agreement;

       

      (b)  The
        Purchaser shall have received, or the attorneys of the Purchaser shall have
        received in escrow (to be released from escrow at the time of closing), all
        closing documents as specified in Section 9 of this Agreement, in such forms
        as
        are agreed upon and acceptable to the Purchaser, duly executed by all
        signatories other than the Purchaser as required pursuant to the respective
        terms thereof;

       

      (c)  The
        Sponsor shall have delivered or caused to be delivered and released to the
        Purchaser or to its designee, all documents (including without limitation,
        the
        Mortgage Loans) required to be so delivered by the Purchaser pursuant to
        Section
        2.01 of the Pooling and Servicing Agreement; and

       

      (d)  All
        other
        terms and conditions of this Agreement and the Pooling and Servicing Agreement
        shall have been complied with.

       

      Subject
        to the foregoing conditions, the Purchaser shall deliver or cause to be
        delivered to the Sponsor on the Closing Date, against delivery and release
        by
        the Sponsor to the Trustee of all documents required pursuant to the Pooling
        and
        Servicing Agreement, the consideration for the Mortgage Loans as specified
        in
        Section 3 of this Agreement.

       

       

      SECTION
        9.  Closing
        Documents.
        Without
        limiting the generality of Section 8 hereof, the closing shall be subject
        to
        delivery of each of the following documents:

       

      (a)  An
        Officers’ Certificate of the Sponsor, dated the Closing Date, upon which the
        Purchaser and DBSI may rely with respect to certain facts regarding the sale
        of
        the Mortgage Loans by the Sponsor to the Purchaser;

       

      (b)  An
        Opinion of Counsel of the Sponsor, dated the Closing Date and addressed to
        the
        Purchaser and DBSI;

       

      (c)  Such
        opinions of counsel as the Rating Agencies or the Trustee may request in
        connection with the sale of the Mortgage Loans by the Sponsor to the Purchaser
        or the Sponsor’s execution and delivery of, or performance under, this
        Agreement; and

       

      (d)  Such
        further information, certificates, opinions and documents as the Purchaser
        or
        DBSI may reasonably request.

       

      SECTION
        10.  Costs.
        The
        Sponsor shall pay (or shall reimburse the Purchaser or any other Person to
        the
        extent that the Purchaser or such other Person shall pay) all costs and expenses
        incurred in connection with the transfer and delivery of the Mortgage Loans,
        including without limitation, fees for title policy endorsements and
        continuations, the fees and expenses of the Sponsor’s accountants and attorneys,
        the costs and expenses incurred in connection with producing each Servicer’s
        loan loss, foreclosure and delinquency experience, and the costs and expenses
        incurred in connection with obtaining the documents referred to in Sections
        9(a), 9(b) and 9(c), the costs and expenses of printing (or otherwise
        reproducing) and delivering this Agreement, the Pooling and Servicing Agreement,
        the Certificates, the prospectus and prospectus supplement, and any private
        placement memorandum relating to the Certificates and other related documents,
        the initial fees, costs and expenses of the Trustee, the fees and expenses
        of
        the Purchaser’s counsel in connection with the preparation of all documents
        relating to the securitization of the Mortgage Loans, the filing fee charged
        by
        the Securities and Exchange Commission for registration of the Certificates
        and
        the fees charged by any rating agency to rate the Certificates.  All
        other costs and expenses in connection with the transactions contemplated
        hereunder shall be borne by the party incurring such expense.

       

      SECTION
        11.  Servicing.  The
        Mortgage Loans will be master serviced by the Master Servicer under the Pooling
        and Servicing Agreement and serviced by the Servicer, on behalf of the Trust,
        and the Sponsor has represented to the Purchaser that such Mortgage Loans
        are
        not subject to any other servicing agreements with third parties.  It
        is understood and agreed between the Sponsor and the Purchaser that the Mortgage
        Loans are to be delivered free and clear of any servicing
        agreements.  Neither the Purchaser nor any affiliate of the Purchaser
        is servicing the Mortgage Loans under any such servicing agreement and,
        accordingly, neither the Purchaser nor any affiliate of the Purchaser is
        entitled to receive any fee for releasing the Mortgage Loans from any such
        servicing agreement.  The Sponsor shall arrange for the orderly
        transfer, of such servicing to the Servicer.  For so long as the
        Master Servicer master services the Mortgage Loans and the Servicer services
        the
        Mortgage Loans, the Master Servicer shall be entitled to the Master Servicing
        Fee and the Servicer shall be entitled to its Servicing Fee and such other
        payments as provided for under the terms of the Pooling and Servicing
        Agreement.

       

      SECTION
        12.  Mandatory
        Delivery; Grant of Security Interest.  The
        sale and delivery on the Closing Date of the Mortgage Loans described on
        the
        Closing Schedule in accordance with the terms and conditions of this Agreement
        is mandatory.  It is specifically understood and agreed that each
        Mortgage Loan is unique and identifiable on the date hereof and that an award
        of
        money damages would be insufficient to compensate the Purchaser for the losses
        and damages incurred by the Purchaser in the event of the Sponsor’s failure to
        deliver the Mortgage Loans on or before the Closing Date.  The Sponsor
        hereby grants to the Purchaser a lien on and a continuing security interest
        in
        the Sponsor’s interest in each Mortgage Loan and each document and instrument
        evidencing each such Mortgage Loan to secure the performance by the Sponsor
        of
        its obligation hereunder, and the Sponsor agrees that it holds such Mortgage
        Loans in custody for the Purchaser, subject to the Purchaser’s (i) right, prior
        to the Closing Date, to reject any Mortgage Loan to the extent permitted
        by this
        Agreement and (ii) obligation to deliver or cause to be delivered the
        consideration for the Mortgage Loans pursuant to Section 8
        hereof.  Any Mortgage Loans rejected by the Purchaser shall
        concurrently therewith be released from the security interest created
        hereby.  All rights and remedies of the Purchaser under this Agreement
        are distinct from, and cumulative with, any other rights or remedies under
        this
        Agreement or afforded by law or equity and all such rights and remedies may
        be
        exercised concurrently, independently or successively.

       

      Notwithstanding
        the foregoing, if on the Closing Date, each of the conditions set forth in
        Section 8 hereof shall have been satisfied and the Purchaser shall not have
        paid
        or caused to be paid the Purchase Price, or any such condition shall not
        have
        been waived or satisfied and the Purchaser determines not to pay or cause
        to be
        paid the Purchase Price, the Purchaser shall immediately effect the redelivery
        of the Mortgage Loans, if delivery to the Purchaser has occurred, and the
        security interest created by this Section 12 shall be deemed to have been
        released.

       

      SECTION
        13.  Notices.  All
        demands, notices and communications hereunder shall be in writing and shall
        be
        deemed to have been duly given if personally delivered to or mailed by
        registered mail, postage prepaid, or transmitted by fax and, receipt of which
        is
        confirmed by telephone, if to the Purchaser, addressed to the Purchaser at
        6525
        Morrison Boulevard, Suite 318, Charlotte, North Carolina 28211, fax: (704)
        365-1362, Attention: Juliana Johnson, or such other address as may hereafter
        be
        furnished to the Sponsor in writing by the Purchaser; and if to the
        Sponsor, addressed to the Sponsor at 60 Wall Street, New York, New York 10005,
        fax: (212) 250-2740, Attention:  Susan Valenti, or to such other
        address as the Sponsor may designate in writing to the Purchaser.

       

      SECTION
        14.  Severability
        of Provisions.  Any
        part, provision, representation or warranty of this Agreement that is prohibited
        or that is held to be void or unenforceable shall be ineffective to the extent
        of such prohibition or unenforceability without invalidating the remaining
        provisions hereof.  Any part, provision, representation or warranty of
        this Agreement that is prohibited or unenforceable or is held to be void
        or
        unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective
        to the extent of such prohibition or unenforceability without invalidating
        the
        remaining provisions hereof, and any such prohibition or unenforceability
        in any
        jurisdiction as to any Mortgage Loan shall not invalidate or render
        unenforceable such provision in any other jurisdiction.  To the extent
        permitted by applicable law, the parties hereto waive any provision of law
        which
        prohibits or renders void or unenforceable any provision hereof.

       

      SECTION
        15.  Agreement
        of Parties.  The
        Sponsor and the Purchaser each agree to execute and deliver such instruments
        and
        take such actions as either of the others may, from time to time, reasonably
        request in order to effectuate the purpose and to carry out the terms of
        this
        Agreement and the Pooling and Servicing Agreement.

       

      SECTION
        16.  Survival.  The
        Sponsor agrees that the representations, warranties and agreements made by
        it
        herein and in any certificate or other instrument delivered pursuant hereto
        shall be deemed to be relied upon by the Purchaser, notwithstanding any
        investigation heretofore or hereafter made by the Purchaser or on its behalf,
        and that the representations, warranties and agreements made by the Sponsor
        herein or in any such certificate or other instrument shall survive the delivery
        of and payment for the Mortgage Loans and shall continue in full force and
        effect, notwithstanding any restrictive or qualified endorsement on the Mortgage
        Notes and notwithstanding subsequent termination of this Agreement, the Pooling
        and Servicing Agreement or the Trust Fund.

       

      SECTION
        17.  GOVERNING
        LAW.  THIS
        AGREEMENT AND THE RIGHTS, DUTIES, OBLIGATIONS AND RESPONSIBILITIES OF THE
        PARTIES HERETO SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE
        LAWS
        (EXCLUDING THE CHOICE OF LAW PROVISIONS) AND DECISIONS OF THE STATE OF NEW
        YORK.  THE
        PARTIES HERETO INTEND THAT THE PROVISIONS OF SECTION 5-1401 OF THE NEW YORK
        GENERAL OBLIGATIONS LAW SHALL APPLY TO THIS AGREEMENT.

       

      SECTION
        18.  Miscellaneous.
        This
        Agreement may be executed in two or more counterparts, each of which when
        so
        executed and delivered shall be an original, but all of which together shall
        constitute one and the same instrument.  This Agreement shall inure to
        the benefit of and be binding upon the parties hereto and their respective
        successors and assigns.  This Agreement supersedes all prior
        agreements and understandings relating to the subject matter
        hereof.  Neither this Agreement nor any term hereof may be changed,
        waived, discharged or terminated orally, but only by an instrument in writing
        signed by the party against whom enforcement of the change, waiver, discharge
        or
        termination is sought.  The headings in this Agreement are for
        purposes of reference only and shall not limit or otherwise affect the meaning
        hereof.

       

      It
        is the
        express intent of the parties hereto that the conveyance of the Mortgage
        Loans
        by the Sponsor to the Purchaser as provided in Section 4 hereof be, and be
        construed as, a sale of the Mortgage Loans by the Sponsor to the Purchaser
        and
        not as a pledge of the Mortgage Loans by the Sponsor to the Purchaser to
        secure
        a debt or other obligation of the Sponsor. However, in the event that,
        notwithstanding the aforementioned intent of the parties, the Mortgage Loans
        are
        held to be property of the Sponsor, then (a) it is the express intent of
        the
        parties that such conveyance be deemed a pledge of the Mortgage Loans by
        the
        Sponsor to the Purchaser to secure a debt or other obligation of the Sponsor
        and
        (b) (1) this Agreement shall also be deemed to be a security agreement within
        the meaning of Articles 8 and 9 of the New York Uniform Commercial Code;
        (2) the
        conveyance provided for in Section 4 hereof shall be deemed to be a grant
        by the
        Sponsor to the Purchaser of a security interest in all of the Sponsor’s right,
        title and interest in and to the Mortgage Loans and all amounts payable to
        the
        holders of the Mortgage Loans in accordance with the terms thereof and all
        proceeds of the conversion, voluntary or involuntary, of the foregoing into
        cash, instruments, securities or other property, including without limitation
        all amounts, other than investment earnings, from time to time held or invested
        in the Collection Account whether in the form of cash, instruments, securities
        or other property; (3) the possession by the Purchaser or its agent of Mortgage
        Notes, the related Mortgages and such other items of property that constitute
        instruments, money, negotiable documents or chattel paper shall be deemed
        to be
“possession by the secured party” for purposes of perfecting the security
        interest pursuant to Section 9-305 of the New York Uniform Commercial Code;
        and
        (4) notifications to persons holding such property and acknowledgments, receipts
        or confirmations from persons holding such property shall be deemed
        notifications to, or acknowledgments, receipts or confirmations from, financial
        intermediaries, bailees or agents (as applicable) of the Purchaser for the
        purpose of perfecting such security interest under applicable law. Any
        assignment of the interest of the Purchaser pursuant to Section 4(d) hereof
        shall also be deemed to be an assignment of any security interest created
        hereby. The Sponsor and the Purchaser shall, to the extent consistent with
        this
        Agreement, take such actions as may be necessary to ensure that, if this
        Agreement were deemed to create a security interest in the Mortgage Loans,
        such
        security interest would be deemed to be a perfected security interest of
        first
        priority under applicable law and will be maintained as such throughout the
        term
        of this Agreement and the Pooling and Servicing Agreement.

       

      SECTION
        19.  Third
        Party Beneficiary.  The
        parties hereto acknowledge and agree that DBSI and each of its respective
        successors and assigns shall have all the rights of a third-party beneficiary
        in
        respect of Section 12 of this Agreement and shall be entitled to rely upon
        and
        directly enforce the provisions of Section 12 of this
        Agreement.

      

        

        
          * Please
            contact the Sponsor for this information.

        

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      IN
        WITNESS WHEREOF, the Purchaser and the Sponsor have caused their names to
        be
        signed by their respective officers thereunto duly authorized as of the date
        first above written.

       

      DB
        STRUCTURED PRODUCTS, INC.

       

      By:_______________________________________

      Name:

      Title:

       

      By:_______________________________________

      Name:

      Title:

       

      ACE
        SECURITIES CORP.

       

      By:_______________________________________

      Name:

      Title:

       

      By:_______________________________________

      Name:

      Title:

       

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      EXHIBIT
        1

       

      Loan
        #:
        ____________________________

      Borrower:
        __________________________

       

      LOST
        NOTE
        AFFIDAVIT

       

      I,
        as
        _____________________ of ____________________, a _______________ am authorized
        to make this Affidavit on behalf of __________________ (the “Sponsor”). In
        connection with the administration of the Mortgage Loans held by
        ______________________, a _______________ [corporation] as Sponsor on behalf
        of
        ____________________ (the “Purchaser”), _______________________ (the
“Deponent”), being duly sworn, deposes and says that:

       

      1. The
        Sponsor’s address
        is:                           
 ________________________________

      ________________________________

      ________________________________

      

      2. The
        Sponsor previously delivered to the Purchaser a signed Initial Certification
        with respect to such Mortgage and/or Assignment of Mortgage;

       

      3. Such
        Mortgage Note and/or Assignment of Mortgage was assigned or sold to the
        Purchaser by __________________, a  
        pursuant
        to the terms and provisions of a Mortgage Loan Purchase Agreement dated as
        of
        _____________;

       

      4. Such
        Mortgage Note and/or Assignment of Mortgage is not outstanding pursuant to
        a
        request for release of Documents;

       

      5. Aforesaid
        Mortgage Note and/or Assignment of Mortgage (the “Original”) has been
        lost;

       

      6. Deponent
        has made or caused to be made a diligent search for the Original and has
        been
        unable to find or recover same;

       

      7. The
        Sponsor was the Sponsor of the Original at the time of the loss;
        and

       

      8. Deponent
        agrees that, if said Original should ever come into Sponsor’s possession,
        custody or power, Sponsor will immediately and without consideration surrender
        the Original to the Purchaser.

       

      9. Attached
        hereto is a true and correct copy of (i) the Note, endorsed in blank by the
        Mortgagee and (ii) the Mortgage or Deed of Trust (strike one) which secures
        the
        Note, which Mortgage or Deed of Trust is recorded in the county where the
        property is located.

       

      10. Deponent
        hereby agrees that the Sponsor (a) shall indemnify and hold harmless the
        Purchaser, its successors and assigns, against any loss, liability or damage,
        including reasonable attorney’s fees, resulting from the unavailability of any
        Notes, including but not limited to any loss, liability or damage arising
        from
        (i) any false statement contained in this Affidavit, (ii) any claim of any
        party
        that purchased a mortgage loan evidenced by the Lost Note or any interest
        in
        such mortgage loan, (iii) any claim of any borrower with respect to the
        existence of terms of a mortgage loan evidenced by the Lost Note on the related
        property to the fact that the mortgage loan is not evidenced by an original
        note
        and (iv) the issuance of a new instrument in lieu thereof (items (i) through
        (iv) above hereinafter referred to as the “Losses”) and (b) if required by any
        Rating Agency in connection with placing such Lost Note into a Pass-Through
        Transfer, shall obtain a surety from an insurer acceptable to the applicable
        Rating Agency to cover any Losses with respect to such Lost Note.

       

      11. This
        Affidavit is intended to be relied upon by the Purchaser, its successors
        and
        assigns. Sponsor represents and warrants that is has the authority to perform
        its obligations under this Affidavit of Lost Note.

       

      Executed
        this _ day of _______, 200_.

      

      ________________________________

      

      

      By:______________________________

      Name:

      Title:

       

      On
        this
        __ day of ______, 200_, before me appeared ______________________ to me
        personally known, who being duly sworn did say that he is the
        _______________________ of ____________________, a ______________________
        and
        that said Affidavit of Lost Note was signed and sealed on behalf of such
        corporation and said acknowledged this instrument to be the free act and
        deed of
        said entity.

       

      Signature:

       

      [Seal]

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      EXHIBIT
        2

      Standard
        & Poor’s High Cost Loan Categorization 

       

      APPENDIX
        E — Standard & Poor’s Predatory Lending Categories

       

      Standard
        & Poor’s has categorized loans governed by anti-predatory lending laws in
        the Jurisdictions listed below into three categories based upon a combination
        of
        factors that include (a) the risk exposure associated with the assignee
        liability and (b) the tests and thresholds set forth in those laws. Note
        that
        certain loans classified by the relevant statute as Covered are included
        in
        Standard & Poor’s High Cost Loan Category because they included thresholds
        and tests that are typical of what is generally considered High Cost by the
        industry. 

       

      Standard
        & Poor’s High Cost Loan Categorization 

       

      
        	
                State/Jurisdiction

              	
                Name
                  of Anti-Predatory Lending Law/Effective Date

              	
                Category
                  under Applicable Anti-Predatory Lending Law

              
	
                Arkansas

              	
                Home
                  Loan Protection Act, Ark. 

                Code
                  Ann. §§ 23-53-101 et
                  seq.

                Effective
                  July 16, 2003

              	
                High
                  Cost Home Loan

              
	
                Cleveland
                  Heights, OH

              	
                Ordinance
                  No. 72-2003 (PSH), Mun. Code §§ 757.01 et
                  seq.

                Effective
                  June 2, 2003

              	
                Covered
                  Loan

              
	
                Colorado

              	
                Consumer
                  Equity Protection, Colo. Stat. Ann. §§ 5-3.5-101 et
                  seq.

                Effective
                  for covered loans offered or entered into on or after January 1,
                  2003.
                  Other provisions of the Act took effect on June 7, 2002

              	
                Covered
                  Loan

              
	
                Connecticut

              	
                Connecticut
                  Abusive Home Loan Lending Practices Act, Conn. Gen. Stat. §§36a-746
                  et
                  seq.

                Effective
                  October 1, 2001

              	
                High
                  Cost Home Loan

              
	
                District
                  of Columbia

              	
                Home
                  Loan Protection Act, D.C. Code §§ 26-1151.01 et
                  seq.
                  

                Effective
                  for loans closed on or after January 28, 2003

              	
                Covered
                  Loan

              
	
                Florida

              	
                Fair
                  Lending Act, Fla. Stat. Ann. §§ 494.0078 et
                  seq.
                  

                Effective
                  October 2, 2002

              	
                High
                  Cost Home Loan 

              
	
                Georgia
                  (Oct. 1, 2002 - Mar. 6, 2003)

              	
                Fair
                  Lending Act, Ga. Code Ann. §§ 7-6A-1 et
                  seq.

                Effective
                  October 1, 2002 - March 6, 2003

              	
                High
                  Cost Home Loan

              
	
                Georgia
                  as amended (Mar. 7, 2003 - current)

              	
                Georgia
                  Fair Lending Act, Ga. Code Ann. §§ 7-6A-1 et
                  seq.

                Effective
                  for loans closed on or after March 7, 2003

              	
                High
                  Cost Home Loan

              
	
                HOEPA
                  Section 32

              	
                Home
                  Ownership and Equity Protection Act of 1994, 15 U.S.C. § 1639, 12 C.F.R.
                  §§ 226.32 and 226.34

                Effective
                  October 1, 1995, amendments October 1, 2002

              	
                High
                  Cost Loan

              
	
                Illinois

              	
                High
                  Risk Home Loan Act, Ill. Comp. Stat. tit. 815, §§ 137/5 et
                  seq.

                Effective
                  January 1, 2004 (prior to this date, regulations under Residential
                  Mortgage License Act effective from May 14, 2001)

              	
                High
                  Risk Home Loan

              
	
                Kansas

              	
                Consumer
                  Credit Code, Kan. Stat. Ann. §§ 16a-1-101 et
                  seq.

                Section
                  16a-1-301 and 16a-3-207 became effective April 14, 1999; Section
                  16a-3-308a became effective July 1, 1999

              	
                High
                  Loan to Value Consumer Loan (id. § 16a-3-207) and;

              
	
                High
                  APR Consumer Loan (id. §16a-3-308a)

              
	
                Kentucky

              	
                2003
                  KY H.B. 287 - High Cost Home Loan Act, Ky. Rev. Stat §§360.100
                  et
                  seq.

                Effective
                  June 24, 2003

              	
                High
                  Cost Home Loan

              
	
                Maine

              	
                Truth
                  in Lending, Me. Rev. Stat. tit. 9-A, §§ 8-101 et
                  seq.

                Effective
                  September 29, 1995 and as amended from time to time

              	
                High
                  Rate High Fee Mortgage

              
	
                Massachusetts

              	
                Part
                  40 and Part 32, 209 C.M.R. §§ 32.00 et
                  seq.
                  and 209 C.M.R. §§ 40.01 et
                  seq.

                Effective
                  March 22, 2001 and amended from time to time

              	
                High
                  Cost Home Loan

              
	
                Nevada

              	
                Assembly
                  Bill No. 284, Nev. Rev. Stat §§ 598D.010 et
                  seq.

                Effective
                  October 1, 2003

              	
                Home
                  Loan

              
	
                New
                  Jersey

              	
                New
                  Jersey Home Ownership Security Act of 2002, N.J. Rev. Stat. §§ 46:10B-22
                  et
                  seq.

                Effective
                  for loans closed on or after November 27, 2003

              	
                High
                  Cost Home Loan

              
	
                New
                  Mexico

              	
                Home
                  Loan Protection Act, N.M. Rev. Stat. §§ 58-21A-1 et
                  seq.

                Effective
                  as of January 1, 2004; Revised as of February 26, 2004

              	
                High
                  Cost Home Loan

              
	
                New
                  York

              	
                N.Y.
                  Banking Law Article 6-1

                Effective
                  for applications made on or after April 1, 2003

              	
                High
                  Cost Home Loan

              
	
                North
                  Carolina

              	
                Restrictions
                  and Limitations on High Cost Home Loans, N.C. Gen. Stat. §§ 24-1.1E
                  et
                  seq.

                Effective
                  July 1, 2000; amended October 1, 2003 (adding open-end lines of
                  credit)

              	
                High
                  Cost Home Loan

              
	
                Ohio

              	
                H.B.
                  386 (codified in various sections of the Ohio Code), Ohio Rev.
                  Code Ann.
                  §§ 1349.25 et
                  seq.

                Effective
                  May 24, 2002

              	
                Covered
                  Loan

              
	
                Oklahoma

              	
                Consumer
                  Credit Code (codified in various sections of Title 14A)

                Effective
                  July 1, 2000; amended effective January 1, 2004

              	
                Subsection
                  10 Mortgage

              
	
                South
                  Carolina

              	
                South
                  Carolina High Cost and Consumer Home Loans Act, S.C. Code Ann.
§§ 37-23-10
                  et
                  seq.

                Effective
                  for loans taken on or after January 1, 2004

              	
                High
                  Cost Home Loan

              
	
                West
                  Virginia

              	
                West
                  Virginia Residential Mortgage Lender, Broker and Servicer Act,
                  W. Va. Code
                  Ann. §§ 31-17-1 et
                  seq.

                Effective
                  June 5, 2002

              	
                West
                  Virginia Mortgage Loan Act Loan

              

      

       

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Standard
        & Poor’s Covered Loan Categorization 

       

      

      
        	
                State/Jurisdiction

              	
                Name
                  of Anti-Predatory Lending Law/Effective Date

              	
                Category
                  under Applicable Anti-Predatory Lending Law

              
	
                Georgia
                  (Oct. 1, 2002 - Mar. 6, 2003)

              	
                Georgia
                  Fain Lending Act, Ga. Code Ann. §§ 7-6A-1 et
                  seq.

                Effective
                  October 1, 2002 - March 6, 2003

              	
                Covered
                  Loan

              
	
                New
                  Jersey

              	
                New
                  Jersey Home Ownership Security Act of 2002, N.J. Rev. Stat §§ 46:10B-22
                  et
                  seq.

                Effective
                  November 27, 2003 - July 5, 2004

              	
                Covered
                  Home Loan

              

      

      

      

      

      Standard
        & Poor’s Home Loan Categorization 

       

      

      
        	
                State/Jurisdiction

              	
                Name
                  of Anti-Predatory Lending Law/Effective Date

              	
                Category
                  under Applicable Anti-Predatory Lending Law

              
	
                Georgia
                  (Oct. 1, 2002 - Mar. 6, 2003)

              	
                Georgia
                  Fain Lending Act, Ga. Code Ann. §§ 7-6A-1 et
                  seq.

                Effective
                  October 1, 2002 - March 6, 2003

              	
                Home
                  Loan

              
	
                New
                  Jersey

              	
                New
                  Jersey Home Ownership Security Act of 2002, N.J. Rev. Stat §§ 46:10B-22
                  et
                  seq.

                Effective
                  for loans closed on or after November 27, 2003

              	
                Home
                  Loan

              
	
                New
                  Mexico

              	
                Home
                  Loan Protection Act, N.M. Rev. Stat. §§ 58-21A-1 et
                  seq.

                Effective
                  as of January 1, 2004; Revised as of February 26, 2004

              	
                Home
                  Loan

              
	
                North
                  Carolina

              	
                Restrictions
                  and Limitations on High Cost Home Loans, N.C. Gen. Stat. §§ 24-1.1E
                  et
                  seq.

                Effective
                  July 1, 2000; amended October 1, 2003 (adding open-end lines of
                  credit)

              	
                Consumer
                  Home Loan

              
	
                South
                  Carolina

              	
                South
                  Carolina High Cost and Consumer Home Loans Act, S.C. Code Ann.
§§ 37-23-10
                  et
                  seq.

                Effective
                  for loans taken on or after January 1, 2004

              	
                Consumer
                  Home Loan

              

      

      

      

      

      

      

      

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    EXHIBIT
      G

    

    FORM
      10-D, FORM 8-K AND FORM 10-K

    REPORTING
      RESPONSIBILITY

    

    As
      to
      each item described below, the entity indicated as the Responsible Party shall
      be primarily responsible for reporting the information to the party identified
      as responsible for preparing the Securities Exchange Act Reports pursuant to
      Section 5.06(a)(ii). 

    

    Under
      Item 1 of Form 10-D: a) items marked “monthly statement” are required to be
      included in the periodic Distribution Date statement under Section 5.02,
      provided by the Securities Administrator based on information received from
      the
      Master Servicer; and b) items marked “Form 10-D report” are required to be in
      the Form 10-D report but not the monthly statement, provided by the party
      indicated. Information under all other Items of Form 10-D is to be included
      in
      the Form 10-D report.

    

    
      	
              Form

            	
              Item

            	
              Description

            	
              Servicers

            	
              Master
                Servicer

            	
              Securities
                Administrator

            	
              Custodian

            	
              Trustee

            	
              Depositor

            	
              Sponsor

            
	
              10-D

            	
              Must
                be filed within 15 days of the distribution date for the asset-backed
                securities.

            	 	 	 	 
	 	
              1

            	
              Distribution
                and Pool Performance Information

            	 	 	 	 	 	 	 
	
              Item
                1121(a) - Distribution and Pool Performance
                Information

            	 	 	 	 	 	 	 
	
              (1)
                Any applicable record dates, accrual dates, determination dates for
                calculating distributions and actual distribution dates for the
                distribution period.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (2)
                Cash flows received and the sources thereof for distributions, fees
                and
                expenses.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (3)
                Calculated amounts and distribution of the flow of funds for the
                period
                itemized by type and priority of payment, including:

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (i)
                Fees or expenses accrued and paid, with an identification of the
                general
                purpose of such fees and the party receiving such fees or
                expenses.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (ii)
                Payments accrued or paid with respect to enhancement or other support
                identified in Item 1114 of Regulation AB (such as insurance premiums
                or
                other enhancement maintenance fees), with an identification of the
                general
                purpose of such payments and the party receiving such
                payments.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (iii)
                Principal, interest and other distributions accrued and paid on the
                asset-backed securities by type and by class or series and any principal
                or interest shortfalls or carryovers.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (iv)
                The amount of excess cash flow or excess spread and the disposition
                of
                excess cash flow.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (4)
                Beginning and ending principal balances of the asset-backed
                securities.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (5)
                Interest rates applicable to the pool assets and the asset-backed
                securities, as applicable. Consider providing interest rate information
                for pool assets in appropriate distributional groups or incremental
                ranges.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (6)
                Beginning and ending balances of transaction accounts, such as reserve
                accounts, and material account activity during the period.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (7)
                Any amounts drawn on any credit enhancement or other support identified
                in
                Item 1114 of Regulation AB, as applicable, and the amount of coverage
                remaining under any such enhancement, if known and
                applicable.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (8)
                Number and amount of pool assets at the beginning and ending of each
                period, and updated pool composition information, such as weighted
                average
                coupon, weighted average remaining term, pool factors and prepayment
                amounts.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	
              Updated
                pool composition information fields to be as specified by Depositor
                from
                time to time

            	 
	
              (9)
                Delinquency and loss information for the period.

            	
              X

            	
              X

            	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              In
                addition, describe any material changes to the information specified
                in
                Item 1100(b)(5) of Regulation AB regarding the pool assets.
                (methodology)

            	
              X

            	
              X

            	 	 	 	 	 
	
              (10)
                Information on the amount, terms and general purpose of any advances
                made
                or reimbursed during the period, including the general use of funds
                advanced and the general source of funds for
                reimbursements.

            	
              X

            	
              X

            	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (11)
                Any material modifications, extensions or waivers to pool asset terms,
                fees, penalties or payments during the distribution period or that
                have
                cumulatively become material over time.

            	
              X

            	
              X

            	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (12)
                Material breaches of pool asset representations or warranties or
                transaction covenants.

            	
              X

            	
              X

            	 	 	 	
              X

            	 
	
              (13)
                Information on ratio, coverage or other tests used for determining
                any
                early amortization, liquidation or other performance trigger and
                whether
                the trigger was met.

            	 	 	
              X

               

              (monthly
                statement)

            	 	 	 	 
	
              (14)
                Information regarding any new issuance of asset-backed securities
                backed
                by the same asset pool, 

            	 	 	 	 	 	
              X

            	 
	
              any
                pool asset changes (other than in connection with a pool asset converting
                into cash in accordance with its terms), such as additions or removals
                in
                connection with a prefunding or revolving period and pool asset
                substitutions and repurchases (and purchase rates, if applicable),
                and
                cash flows available for future purchases, such as the balances of
                any
                prefunding or revolving accounts, if applicable.

            	
              X

            	
              X

            	
              X

            	 	 	
              X

            	 
	
              Disclose
                any material changes in the solicitation, credit-granting, underwriting,
                origination, acquisition or pool selection criteria or procedures,
                as
                applicable, used to originate, acquire or select the new pool
                assets.

            	 	 	 	 	 	
              X

            	
              X

            
	
              Item
                1121(b) - Pre-Funding or Revolving Period Information

               

              Updated
                pool information as required under Item 1121(b).

            	 	 	 	 	 	
              X

            	 
	
              2

            	
              Legal
                Proceedings

            	 	 	 	 	 	 	 
	
              Item
                1117 - Legal proceedings pending against the following entities,
                or their
                respective property, that is material to Certificateholders, including
                proceedings known to be contemplated by governmental
                authorities:

            	 	 	 	 	 	 	 
	
              Sponsor
                (Seller)

            	 	 	 	 	 	 	
              X

            
	
              Depositor

            	 	 	 	 	 	
              X

            	 
	
              Trustee

            	 	 	 	 	
              X

            	 	 
	
              Issuing
                entity

            	 	 	 	 	 	
              X

            	 
	
              Master
                Servicer, affiliated Servicer, other Servicer servicing 20% or more
                of
                pool assets at time of report, other material servicers

            	
              X

            	
              X

            	 	 	 	 	 
	
              Securities
                Administrator

            	 	 	
              X

            	 	 	 	 
	
              Originator
                of 20% or more of pool assets as of the Cut-off Date

            	 	 	 	 	 	
              X

            	 
	
              Custodian

            	 	 	 	
              X

            	 	 	 
	
              3

            	
              Sales
                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.

            	 	 	 	 	 	
              X

            	 
	
              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)

            	 	 	
              X

            	 	
              X

            	 	 
	
              5

            	
              Submission
                of Matters to a Vote of Security Holders

            	 	 	 	 	 	 	 
	
              Information
                from Item 4 of Part II of Form 10-Q

            	 	 	
              X

            	 	
              X

            	 	 
	
              6

            	
              Significant
                Obligors of Pool Assets

            	 	 	 	 	 	 	 
	
              Item
                1112(b) - Significant
                Obligor Financial Information*

            	 	 	 	 	 	
              X

            	
              X

            
	
              *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.

            	 	 	 	 	 	 	 
	
              7

            	
              Significant
                Enhancement Provider Information

            	 	 	 	 	 	 	 
	
              Item
                1114(b)(2) - Credit Enhancement Provider Financial
                Information*

            	 	 	 	 	 	 	 
	
              Determining
                applicable disclosure threshold

            	 	 	
              X

            	 	 	 	 
	
              Requesting
                required financial information or effecting incorporation by
                reference

            	 	 	
              X

            	 	 	 	 
	
              Item
                1115(b) - Derivative Counterparty Financial
                Information*

            	 	 	 	 	 	 	 
	
              Determining
                current maximum probable exposure

            	 	 	 	 	 	
              X

            	 
	
              Determining
                current significance percentage

            	 	 	
              X

            	 	 	 	 
	
              Requesting
                required financial information or effecting incorporation by
                reference

            	 	 	
              X

            	 	 	 	 
	
              *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.

            	 	 	 	 	 	 	 
	
              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

            	
              The
                Responsible Party for the applicable Form 8-K item as indicated
                below.

            
	
              9

            	
              Exhibits

            	 	 	 	 	 	 	 
	
              Distribution
                report

            	 	 	
              X

            	 	 	 	 
	
              Exhibits
                required by Item 601 of Regulation S-K, such as material
                agreements

            	 	 	 	 	 	
              X

            	 
	
              8-K

            	
              Must
                be filed within four business days of an event reportable on Form
                8-K.

            	 	 	 	 
	
              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

            	
              X

            	
              X

            	
              X
                (if Master Servicer is not a party)

            	 	
              X
                (if Master Servicer is not a party)

            	
              X
                (if Master Servicer is not a party)

            	
              X
                (if Master Servicer is not a party)

            
	
              1.02

            	
              Termination
                of a Material Definitive Agreement

            	
              X

            	
              X

            	
              X
                (if Master Servicer is not a party)

            	 	
              X
                (if Master Servicer is not a party)

            	
              X
                (if Master Servicer is not a party)

            	
              X
                (if Master Servicer is not a party)

            
	
              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.

            	 	 	 	 	 	 	 
	
              1.03

            	
              Bankruptcy
                or Receivership

            	 	 	 	 	 	 	 
	
              Disclosure
                is required regarding the bankruptcy or receivership, if known to
                the
                Master Servicer, with respect to any of the following: 

               

              Sponsor
                (Seller), Depositor, Master Servicer, affiliated Servicer, other
                Servicer
                servicing 20% or more of pool assets at time of report, other material
                servicers, Certificate Administrator, Trustee, significant obligor,
                credit
                enhancer (10% or more), derivatives counterparty,
                Custodian

            	
              X

            	
              X

            	
              X

            	
              X

            	
              X 

            	
              X 

            	
              X

            
	
              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 statement

            	 	
              X

            	
              X

            	 	 	 	 
	
              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

            	 	
              X

            	
              X

            	 	
              X

            	
              X

            	 
	
              5.03

            	
              Amendments
                to Articles of Incorporation or Bylaws; Change in Fiscal
                Year

            	 	 	 	 	 	 	 
	
              Disclosure
                is required of any amendment “to the governing documents of the issuing
                entity”

            	 	 	 	 	
              X

            	
              X

            	 
	
              5.06

            	
              Change
                in Shell Company Status

            	 	 	 	 	 	 	 
	
              [Not
                applicable to ABS issuers]

            	 	 	 	 	 	
              X

            	 
	
              6.01

            	
              ABS
                Informational and Computational Material

            	 	 	 	 	 	 	 
	
              [Not
                included in reports to be filed under Section 3.18]

            	 	 	 	 	 	
              X

            	 
	
              6.02

            	
              Change
                of Servicer or Trustee

            	 	 	 	 	 	 	 
	
              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, certificate
                administrator or trustee. 

            	
              X

            	
              X

            	
              X

            	 	
              X

            	
              X

            	 
	 	
              Reg
                AB disclosure about any new servicer (from entity appointing new
                servicer)
                or trustee (from Depositor) is also required.

            	
              X

            	 	 	 	
              X

            	
              X

            	 
	
              6.03

            	
              Change
                in Credit Enhancement or Other 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.
                

            	 	 	
              X

            	 	
              X

            	
              X

            	 
	 	
              Reg
                AB disclosure about any new enhancement provider is also
                required

            	 	 	 	 	 	
              X

            	 
	
              6.04

            	
              Failure
                to Make a Required Distribution

            	 	 	
              X

            	 	
              X

            	 	 
	
              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.

            	 	 	 	 	 	
              X

            	
               

            
	
              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.

            	 	 	 	 	 	
              X

            	 
	
              7.01

            	
              Regulation
                FD Disclosure

            	
              X

            	
              X

            	
              X

            	 	
              X

            	
              X

            	
              X

            
	
              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 security
                holders.

            	 	 	 	 	 	
              X

            	 
	
              9.01

            	
              Financial
                Statements and Exhibits

            	
              The
                Responsible Party applicable to reportable event.

            
	
              10-K

            	
              Must
                be filed within 90 days of the fiscal year end for the
                registrant.

            	 	 	 	 
	
              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

            	
              The
                Responsible Party for the applicable Form 8-K as indicated
                above.

            
	 	
              15

            	
              Exhibits
                and Financial Statement Schedules

            	 	 	 	 	 	 	 
	
              Item
                1112(b) - Significant
                Obligor Financial Information

            	 	 	 	 	 	
              X

            	
              X

            
	
              Item
                1114(b)(2) - Credit Enhancement Provider Financial
                Information

            	 	 	 	 	 	 	 
	
              Determining
                applicable disclosure threshold

            	 	 	
              X

            	 	 	 	 
	
              Requesting
                required financial information or effecting incorporation by
                reference

            	 	 	
              X

            	 	 	 	 
	
              Item
                1115(b) - Derivative Counterparty Financial
                Information

            	 	 	 	 	 	 	 
	
              Determining
                current maximum probable exposure

            	 	 	 	 	 	
              X

            	 
	 	 	
              Determining
                current significance percentage

            	 	 	
              X

            	 	 	 	 
	
              Requesting
                required financial information or effecting incorporation by
                reference

            	 	 	
              X

            	 	 	 	 
	
              Item
                1117 - Legal proceedings pending against the following entities,
                or their
                respective property, that is material to Certificateholders, including
                proceedings known to be contemplated by governmental
                authorities:

            	 	 	 	 	 	 	 
	
              Sponsor
                (Seller)

            	 	 	 	 	 	 	
              X

            
	
              Depositor

            	 	 	 	 	 	
              X

            	 
	
              Trustee

            	 	 	 	 	
              X

            	 	 
	
              Issuing
                entity

            	 	 	 	 	 	
              X

            	 
	
              Master
                Servicer, affiliated Servicer, other Servicer servicing 20% or more
                of
                pool assets at time of report, other material servicers

            	
              X

            	
              X

            	 	 	 	 	 
	
              Securities
                Administrator

            	 	 	
              X

            	 	 	 	 
	
              Originator
                of 20% or more of pool assets as of the Cut-off Date

            	 	 	 	 	 	
              X

            	
              X

            
	
              Custodian

            	 	 	 	
              X

            	 	 	 
	
              Item
                1119 - Affiliations and relationships between the following entities,
                or
                their respective affiliates, that are material to
                Certificateholders:

            	 	 	 	 	 	 	 
	
              Sponsor
                (Seller)

            	 	 	 	 	 	 	
              X

            
	
              Depositor

            	 	 	 	 	 	
              X

            	 
	
              Trustee

            	 	 	 	 	
              X
                (with respect to Item 1119(a) affiliations only)

            	 	 
	
              Master
                Servicer, affiliated Servicer, other Servicer servicing 20% or more
                of
                pool assets at time of report, other material servicers

            	
              X

            	
              X

            	 	 	 	 	 
	
              Securities
                Administrator

            	 	 	
              X

            	 	 	 	 
	
              Originator

            	 	 	 	 	 	
              X

            	
              X

            
	
              Custodian

            	 	 	 	
              X
                (with respect to affiliations only)

            	 	 	 
	
              Credit
                Enhancer/Support Provider

            	 	 	 	 	 	
              X

            	
              X

            
	
              Significant
                Obligor

            	 	 	 	 	 	
              X

            	
              X

            
	
              Item
                1122 - Assessment of Compliance with Servicing
                Criteria

            	
              X

            	
              X

            	
              X

            	
              X

            	 	 	 
	
              Item
                1123 - Servicer Compliance Statement

            	
              X

            	
              X

            	 	 	 	 	 

    

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      H

     

    ADDITIONAL
      DISCLOSURE NOTIFICATION

     

    **SENT
      VIA FAX TO [_XXX)XXX-XXXX] AND VIA EMAIL TO [_________________] AND VIA
      OVERNIGHT MAIL TO THE ADDRESS IMMEDIATELY BELOW:

     

    Wells
      Fargo Bank, N.A. as Securities Administrator

    9062
      Old
      Annapolis Road

    Columbia,
      Maryland 21045

    Attn:
      Corporate Trust Services - [DEAL NAME] - SEC REPORT PROCESSING

    Fax:
      (410) 715-2308

    Email:
      ets.sec.notifications@wellsfargo.com

    

    ACE
      Securities Corp.

    6525
      Morrison Boulevard, Suite 318

    Charlotte,
      North Carolina 28211

    Fax:
      (704) 365-1362)

    Attn:
      Juliana Johnson

     

    RE:
      **
      Additional Form [10-D][10-K][8-K] 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
      [10-D][10-K][8-K].

     

    Description
      of Additional Form [10-D][10-K][8-K] Disclosure:

     

    

     

    

     

    List
      of any Attachments hereto to be included in the Additional Form
      [10-D][10-K][8-K] Disclosure: 

     

    

     

    Any
      inquiries related to this notification should be directed to [_____________],
      phone number: [______]; email address: [_________________].

     

    

     

    

     

    
      	 	 	 	 	 	 	 	
              [NAME
                OF PARTY],

              as
                [role]

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	
              By:

            	 
	 	 	 	 	 	 	 	 	
              Name:

            
	 	 	 	 	 	 	 	 	
              Title:

            

    

    

     

    

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

     

    

    EXHIBIT
      I

     

    SWAP
      AGREEMENT

     

    

    

      
        	
                Deutsche
                  Bank

              	
                
                

              
	
                Aktiengesellschaft

              	 

      

       

      

      
        	
                Date:

              	
                August
                  29, 2006

              
	 	 
	
                To:

              	
                HSBC
                  Bank USA, National Association, not in its individual capacity,
                  but solely
                  as trustee for the supplemental interest trust created pursuant
                  to the
                  Pooling and Servicing Agreement, with respect to the ACE Securities
                  Corp.
                  Home Equity Loan Trust, Series 2006-SL4 Asset Backed Pass Through
                  Certificates

              
	 	 
	
                With
                  copy to:

              	
                Wells
                  Fargo Bank, N.A.

              
	 	
                9062
                  Old Annapolis Road

              
	 	
                Columbia,
                  MD 21045

              
	 	
                Attention:
                  Client Manager - Ace 2006-SL4

              
	 	
                Tel:
                  410-884-2000

              
	 	
                Fax:
                  410-715-2380 

              
	 	 
	
                Our
                  Reference:

              	
                Global
                  No. N503592N

              
	 	 
	
                Re:

              	
                Interest
                  Rate Swap Transaction

              

      

      

      Ladies
        and Gentlemen:

      

      The
        purpose of this letter agreement (“Agreement”) is to confirm the terms and
        conditions of the Transaction entered into on the Trade Date specified below
        (the “Transaction”) between Deutsche Bank AG (“DBAG”) and HSBC Bank USA,
        National Association, not individually, but solely as trustee of the
        Supplemental Interest Trust (“Counterparty”) created under the Pooling and
        Servicing Agreement, dated and effective as of August 1,
        2006,
        among Ace Securities Corp., as Depositor, GMAC Mortgage Corporation, as
        Servicer, Wells Fargo Bank, National Association, as Master Servicer and
        Securities Administrator, and HSBC Bank USA, National Association, as Trustee
        (the “Pooling and Servicing Agreement”). This Agreement, which evidences a
        complete and binding agreement between you and us to enter into the Transaction
        on the terms set forth below, constitutes a “Confirmation” as referred to in the
“ISDA Form Master Agreement” (as defined below), as well as a “Schedule” as
        referred to in the ISDA Form Master Agreement.

      

      1. This
        Agreement is subject to the 2000
        ISDA Definitions (the
        “Definitions”), as published by the International Swaps and Derivatives
        Association, Inc. (“ISDA”). Any
        reference to a “Swap Transaction” in the Definitions is deemed to be a reference
        to a “Transaction” for purposes of this Agreement, and any reference to a
“Transaction” in this Agreement is deemed to be a reference to a “Swap
        Transaction” for purposes of the Definitions. You
        and
        we have agreed to enter into this Agreement in lieu of negotiating a Schedule
        to
        the 1992 ISDA Master Agreement (Multicurrency—Cross Border) form (the “ISDA Form
        Master Agreement”) but, rather, an ISDA Form Master Agreement shall be deemed to
        have been executed by you and us on the date we entered into the Transaction.
        For avoidance of doubt, the Transaction described herein shall be the sole
        Transaction governed by such ISDA Form Master Agreement. In the event of
        any
        inconsistency between the provisions of this Agreement and the Definitions
        or
        the ISDA Form Master Agreement, this Agreement shall prevail for purposes
        of the
        Transaction. Each term capitalized but not defined herein shall have the
        meaning
        attributed thereto in the Pooling and Servicing Agreement.

      

      2. The
        terms
        of the particular Transaction to which this Confirmation relates are as
        follows:

      

      
        	
                Notional
                  Amount:

              	
                With
                  respect to any Calculation Period, the lesser of (i) the Notional
                  Amount
                  set forth for such Calculation Period in Schedule I attached hereto
                  and
                  (ii) the aggregate Certificate Principal Balance of the Floating
                  Rate
                  Certificates on the day immediately preceding the related Period
                  End
                  Date.

              
	 	 
	
                Trade
                  Date:

              	
                August
                  11, 2006

              
	 	 
	
                Effective
                  Date:

              	
                August
                  29, 2006

              
	 	 
	
                Termination
                  Date:

              	
                December
                  25, 2011, subject
                  to adjustment in accordance with the Following Business Day Convention;
                  provided, however, that for the purpose of determining the final
                  Fixed
                  Rate Payer Period End Date, Termination Date shall be subject to
                  No
                  Adjustment

              

      

      

      

         
        Fixed Amounts:

      

      

      
        	
                Fixed
                  Rate Payer:

              	
                Counterparty

              
	 	 
	
                Fixed
                  Rate Payer Period End Dates:

              	
                The
                  25th day of each month, commencing September 25, 2006, through
                  and
                  including the Termination Date, subject to No
                  Adjustment

              
	 	 
	
                Fixed
                  Rate Payer Payment Dates:

              	
                Early
                  Payment shall be applicable. Each Fixed Rate Payer Payment Date
                  shall be
                  one Business Day prior to the related Fixed Rate Payer Period End
                  Date.

              
	 	 
	
                Fixed
                  Rate:

              	
                5.490%

              
	 	 
	
                Fixed
                  Rate Day Count Fraction:

              	
                30/360

              
	 	 

      

      

      

         
        Floating Amounts:

      

      
        	
                Floating
                  Rate Payer:

              	
                DBAG

              
	 	 
	
                Floating
                  Rate Payer Period End Dates:

              	
                The
                  25th day of each month, commencing September 25, 2006, through
                  and
                  including the Termination Date, subject
                  to adjustment in accordance with the Following Business Day
                  Convention.

              
	 	 
	
                Floating
                  Rate Payer Payment Dates:

              	
                Early
                  Payment shall be applicable. Each Floating Rate Payer Payment Date
                  shall
                  be one Business Day prior to the related Floating Rate Payer Period
                  End
                  Date.

              
	 	 
	
                Floating
                  Rate Option:

              	
                USD-LIBOR-BBA

              
	 	 
	
                Designated
                  Maturity:

              	
                1
                  month

              
	 	 
	
                Spread:

              	
                None

              
	 	 
	
                Floating
                  Rate Day Count Fraction:

              	
                Actual/360

              
	 	 
	
                Reset
                  Dates:

              	
                The
                  first day of each Calculation Period

              
	 	 
	
                Compounding:

              	
                Inapplicable

              
	 	 

      

      

      
        	
                Calculation
                  Agent:

              	
                DBAG

              
	 	 
	
                Business
                  Days:

              	
                New
                  York 

              

      

      

      

      3. Additional
        Provisions:                                   Each
        party hereto is hereby advised and acknowledges that the other party has
        engaged
        in (or refrained from engaging in) substantial financial transactions and
        has
        taken (or refrained from taking) other material actions in reliance upon
        the
        entry by the parties into the Transaction being entered into on the terms
        and
        conditions set forth herein and in the Confirmation relating to such
        Transaction, as applicable.

      

      

      
        
          4.
            Provisions
            Deemed Incorporated in a Schedule to the ISDA Form Master
            Agreement:

        

      

      

      
        1) The
          parties agree that subparagraph (ii) of Section 2(c) of the ISDA Form Master
          Agreement will apply to any Transaction.

      

      

      2)
        Termination
        Provisions.
        Subject
        to the provisions of paragraph 13 below, for purposes of the ISDA Form Master
        Agreement:

      

      (a) “Specified
        Entity” is not applicable to DBAG or Counterparty for any purpose. 

      

      (b) The
        “Breach of Agreement” provisions of Section 5(a)(ii) will not apply to DBAG or
        Counterparty.

      

      (c) The
        “Credit Support Default” provisions of Section 5(a)(iii) will not apply to
        Counterparty and will apply to DBAG if DBAG has obtained a guarantee or other
        contingent agreement or posted collateral pursuant to paragraph 12
        below.

      

      (d) The
        “Misrepresentation” provisions of Section 5(a)(iv) will not apply to DBAG or
        Counterparty.

      

      (e) “Specified
        Transaction” is not applicable to DBAG or Counterparty for any purpose, and,
        accordingly, Section 5(a)(v) shall not apply to DBAG or
        Counterparty.

      

      (f) The
        “Cross Default” provisions of Section 5(a)(vi) will not apply to DBAG or to
        Counterparty. 

      

      (g) The
        “Bankruptcy” provision of Section 5(a)(vii)(2) will not apply to
        Counterparty.

      

      (h) The
        “Merger Without Assumption” provisions of Section 5(a)(viii) will not apply to
        Counterparty. 

      

      (i) The
“Tax
        Event Upon Merger” provisions of Section 5(b)(iii) will not apply to DBAG as
        Burdened Party.

      

      (j) The
        “Credit Event Upon Merger” provisions of Section 5(b)(iv) will not apply to DBAG
        or to Counterparty.

      

      (k) The
        “Automatic Early Termination” provision of Section 6(a) will not apply to DBAG
        or to Counterparty.

      

      (l) Payments
        on Early Termination. For the purpose of Section 6(e) of the ISDA Form Master
        Agreement:

      

      (i) Market
        Quotation will apply.

      (ii) The
        Second Method will apply. 

      

      (m) “Termination
        Currency” means United States Dollars. 

      

      3)
        Tax
        Representations. 

      

      
        	 	
                Payer
                  Representations. For the purpose of Section 3(e) of the
                  ISDA Form Master
                  Agreement, DBAG and Counterparty make the following
                  representations:

              

      

      

      
        	 	 	
                It
                  is not required by any applicable law, as modified by the practice
                  of any
                  relevant governmental revenue authority, of any Relevant Jurisdiction
                  to
                  make any deduction or withholding for or on account of any Tax
                  from any
                  payment (other than interest under Section 2(e), 6(d)(ii) or 6(e)
                  of
                  the
                  ISDA Form Master
                  Agreement) to be made by it to the other party under this Agreement.
                  In
                  making this representation, it may rely on (i) the accuracy of
                  any
                  representations made by the other party pursuant to Section 3(f)
                  of
                  the
                  ISDA Form Master
                  Agreement, (ii) the satisfaction of the agreement contained in
                  Section
                  4(a)(i) or 4(a)(iii) of the
                  ISDA Form Master
                  Agreement and the accuracy and effectiveness of any document provided
                  by
                  the other party pursuant to Section 4(a)(i) or 4(a)(iii) of the
                  ISDA Form Master
                  Agreement and (iii) the satisfaction of the agreement of the other
                  party
                  contained in Section 4(d) of the
                  ISDA Form Master
                  Agreement, provided that it shall not be a breach of this representation
                  where reliance is placed on clause (ii) and the other party does
                  not
                  deliver a form or document under Section 4(a)(iii) by reason of
                  material
                  prejudice of its legal or commercial
                  position.

              

      

      

      
        	 	
                Payee
                  Representations. For the purpose of Section 3 (f) of the
                  ISDA Form Master
                  Agreement, DBAG and Counterparty make the following
                  representations:

              

      

      

      (i) DBAG
        represents that it
        is a
“foreign person” within the meaning of the applicable U.S. Treasury Regulations
        concerning information reporting and backup withholding tax (as in effect
        on
        January 1, 2001), unless DBAG provides written notice to Counterparty that
        it is
        no longer a foreign person. In respect of this Transaction it enters into
        through an office or discretionary agent in the United States or which otherwise
        is allocated for United States federal income tax purposes to such United
        States
        trade or business, each payment received or to be received by it under such
        Transaction will be effectively connected with its conduct of a trade or
        business in the United States.

      

      
        	 	
                (ii)

              	
                Counterparty
                  represents that it is trustee for the Supplement Interest Trust
                  created
                  under the Pooling and Servicing
                  Agreement.

              

      

      

      4)
        The
        ISDA Form Master Agreement is hereby amended as follows:

      

      The
        word
“third” shall be replaced by the word “second” in the third line of Section
        5(a)(i) of the ISDA Form Master Agreement; 

      

      5)
        Documents
        to be Delivered.
        For the
        purpose of Section 4(a)(i) and (ii) of the ISDA Form Master Agreement, each
        party agrees to deliver the following documents, as applicable:

      

      (1) Tax
        forms, documents, or certificates to be delivered are:

       

      
        	
                Party
                  required to deliver document

              	
                Form/Document/

                Certificate

              	
                Date
                  by which to

                be
                  delivered

              
	
                DBAG
                  and

                the
                  Counterparty

              	
                Any
                  document required or reasonably requested to allow the other party
                  to make
                  payments under this Agreement without any deduction or withholding
                  for or
                  on the account of any Tax or with such deduction or withholding
                  at a
                  reduced rate

              	
                Promptly
                  after the earlier of (i) reasonable demand by either party or (ii)
                  learning that such form or document is
                  required

              

      

       

      (2) Other
        documents to be delivered are:

       

      
        	
                Party
                  required to deliver document

              	
                Form/Document/

                Certificate

              	
                Date
                  by which to

                be
                  delivered

              	
                Covered
                  by Section 3(d) Representation

              
	
                DBAG
                  and

                the
                  Counterparty

              	
                Any
                  documents required by the receiving party to evidence the authority
                  of the
                  delivering party or its Credit Support Provider, if any, for it
                  to execute
                  and deliver this Agreement, any Confirmation, and any Credit Support
                  Documents to which it is a party, and to evidence the authority
                  of the
                  delivering party or its Credit Support Provider to perform its
                  obligations
                  under this Agreement, such Confirmation and/or Credit Support Document,
                  as
                  the case may be

              	
                Upon
                  the execution and delivery of this Agreement and such Confirmation

              	
                Yes

              
	 	 	 	 
	
                DBAG
                  and

                the
                  Counterparty

              	
                A
                  certificate of an authorized officer of the party, as to the incumbency
                  and authority of the respective officers of the party signing this
                  Agreement, any relevant Credit Support Document, or any Confirmation,
                  as
                  the case may be

              	
                Upon
                  the execution and delivery of this Agreement and such
                  Confirmation

              	
                Yes

              

      

      

      6)
         Miscellaneous

      

      
        	
                (a)

              	
                Address
                  for Notices: For the purposes of Section 12(a) of the ISDA Form
                  Master Agreement:

              

      

      

      Addresses
        for notices or communications to DBAG:

       

      Addresses
        for notices to DBAG under Sections 5 or 6 (other than notices under Section
        5(a)(i)) shall be sent to:

      

      Deutsche
        Bank AG, Head Office

      Taunusanlage
        12

      60262
        Frankfurt

      GERMANY

      Attention:
        Legal Department

      Telex
        No:
        411836 or 416731 or 41233

      Answerback: DBF-D

      

      All
        other
        notices to DBAG shall be sent directly to the Office through which DBAG is
        acting for the relevant Transaction, using the address and contact particulars
        specified in the Confirmation of that Transaction or otherwise
        notified.

      

      Address
        for notices or communications to the Counterparty:

      

      Address:          
         HSBC
        Bank
        USA, National Association

      452
        Fifth
        Avenue

      New
        York,
        NY 10018

      Attention:
        CTLA - Structured Finance

      (For
        all
        purposes)

      

      
        
                                          
            With copy to:       Wells
            Fargo Bank, N.A.

        

      

      9062
        Old
        Annapolis Road

      Columbia,
        MD 21045

      Attention:
        Client Manager - Ace 2006-SL4

      Tel:
        410-884-2000

      Fax:
        410-715-2380

      

      (b)         
         Process
        Agent. For the purpose of Section 13(c):

      

      
        	
                DBAG
                  appoints as its 

              	
                Not
                  Applicable

              
	 	 
	
                The
                  Counterparty appoints as its 

              	
                Not
                  Applicable

              

      

      

      
        	
                (c)

              	
                Offices.
                  The provisions of Section 10(a) will not apply to this
                  Agreement.

              

      

      

      
        	
                (d)

              	
                Multibranch
                  Party. For the purpose of Section 10(c) of the ISDA Form Master
                  Agreement:

              

      

      

      DBAG
        is
        not a Multibranch Party.

      

      
        	 	
                The
                  Counterparty is not a Multibranch
                  Party.

              

      

      

      
        (e)         
          Calculation
          Agent. The Calculation Agent is DBAG.

      

      

      (f)           
         Credit
        Support Document.

       

      DBAG:
        Not
        applicable, except for any guarantee, contingent agreement or credit support
        annex delivered pursuant to paragraph 12 below.

      

      The
        Counterparty:      Not
        Applicable

      

      
        	
                (g)

              	
                Credit
                  Support Provider.

              

      

      

      DBAG: Not
        Applicable for so long as no Credit Support Document is delivered under
        paragraph 12 below, otherwise, the party that is the primary obligor under
        the
        Credit Support Document.

      

      
        
          The
            Counterparty:      Not
            Applicable

        

      

      

      (h) Governing
        Law. The
        parties to this Agreement hereby agree that the law of the State of New York
        shall govern their rights and duties in whole without regard to conflict
        of law
        provisions thereof other than New York General Obligations Law Sections 5-1401
        and 5-1402. 

      

      (i) Severability. If
        any
        term, provision, covenant, or condition of this Agreement, or the application
        thereof to any party or circumstance, shall be held to be invalid or
        unenforceable (in whole or in part) for any reason, the remaining terms,
        provisions, covenants, and conditions hereof shall continue in full force
        and
        effect as if this Agreement had been executed with the invalid or unenforceable
        portion eliminated, so long as this Agreement as so modified continues to
        express, without material change, the original intentions of the parties
        as to
        the subject matter of this Agreement and the deletion of such portion of
        this
        Agreement will not substantially impair the respective benefits or expectations
        of the parties. 

      

      The
        parties shall endeavor to engage in good faith negotiations to replace any
        invalid or unenforceable term, provision, covenant or condition with a valid
        or
        enforceable term, provision, covenant or condition, the economic effect of
        which
        comes as close as possible to that of the invalid or unenforceable term,
        provision, covenant or condition. 

      

      (j) Consent
        to Recording. 
        Each
        party hereto consents to the monitoring or recording, at any time and from
        time
        to time, by the other party of any and all communications between officers
        or
        employees of the parties, waives any further notice of such monitoring or
        recording, and agrees to notify its officers and employees of such monitoring
        or
        recording. 

      

      (k) Waiver
        of
        Jury Trial. Each
        party waives any right it may have to a trial by jury in respect of any
        Proceedings relating to this Agreement or any Credit Support Document.

      

      (l) Trustee
        Capacity. It is expressly understood and agreed by the parties hereto that
        insofar as this Confirmation is executed by the Trustee (i) this Confirmation
        is
        executed and delivered by HSBC
        Bank
        USA, National Association not
        in
        its individual capacity but solely as trustee for the Supplemental Interest
        Trust created under the Pooling and Servicing Agreement referred to in this
        Confirmation in the exercise of the powers and authority conferred and invested
        in it thereunder (ii) each of the representations, undertakings and agreements
        herein made on behalf of the Supplemental Interest Trust is made and intended
        not as personal representations, undertakings and agreements by HSBC Bank
        USA,
        National Association but is made and intended for the purposes of binding
        only
        the Supplement Interest Trust, (iii) nothing herein contained shall be construed
        as creating any liability on the part of HSBC Bank USA, National Association,
        individually or personally, to perform any covenant either expressed or implied
        contained herein, all such liability, if any, being expressly waived by the
        parties hereto and by any Person claiming by, through or under the parties
        hereto, (iv) under no circumstances shall HSBC Bank USA, National Association
        in
        its individual capacity be personally liable for the payment of any indebtedness
        or expenses or be personally liable for the breach or failure of any obligation,
        representation, warranty or covenant made or undertaken under this Confirmation
        or any other related documents, and (v) the parties hereto acknowledge and
        agree
        that under (a) the Pooling and Servicing Agreement, and (b) this Agreement,
        the
        Securities Administrator may act for Counterparty hereunder, and DBAG hereby
        acknowledges and agrees that it will, unless otherwise directed by the
        Supplemental Interest Trust Trustee or the Securities Administrator, make
        all
        payments hereunder to the account specified below. DBAG shall be entitled
        to
        rely, shall be fully protected in relying, and shall incur no liability from
        relying in good faith, upon any writing, resolution, notice, consent,
        certificate, affidavit, letter, telegram, facsimile or telephone message,
        statement or other document or conversation believed by it to be genuine
        and
        correct and to have been signed, sent or made by the Securities Administrator.
        

      

      (m) Proceedings.
        DBAG
        shall not institute against or cause any other person to institute against,
        or
        join any other person in instituting against the Counterparty, the Supplemental
        Interest Trust or any trust created pursuant to the Pooling and Servicing
        Agreement any bankruptcy, reorganization, arrangement, insolvency or liquidation
        proceedings, or other proceedings under any federal or state bankruptcy or
        similar law for a period of one year and one day (or, if longer, the applicable
        preference period) following payment in full of the Certificates and any
        notes
        backed by the Certificates (the “Notes”). This provision will survive the
        termination of this Agreement.

      

      (n) DBAG
        hereby agrees that, notwithstanding any provision of this agreement to the
        contrary, Counterparty’s obligations to pay any amounts owing under this
        Agreement shall be subject to Section 5.01 of the Pooling and Servicing
        Agreement and DBAG’s right to receive payment of such amounts shall be subject
        to Section 5.01 of the Pooling and Servicing Agreement. This provision will
        survive the termination of this Agreement.

      

      7)
        “Affiliate.” DBAG and Counterparty shall be deemed to have no Affiliates for
        purposes of this Agreement, including for purposes of Section 6(b)(ii). This
        provision will survive the termination of this Agreement.

       

      8)
        Section 3 of the ISDA Form Master Agreement is hereby amended by adding at
        the
        end thereof the following subsection (g): 

      

      “(g) Relationship
        Between Parties.
        

      

      Each
        party represents to the other party on each date when it enters into a
        Transaction that:--

      

      (1)
        Nonreliance.
        It is
        not relying on any statement or representation of the other party regarding
        the
        Transaction (whether written or oral), other than the representations expressly
        made in this Agreement or the Confirmation in respect of that Transaction.
        

      

      (2)
        Evaluation
        and Understanding.
        

      

      (i)
        DBAG
        is acting for its own account and HSBC Bank USA, National Association is
        acting
        as trustee for the Supplemental Interest Trust created under the Pooling
        and
        Servicing Agreement and not for its own account. Each party has the capacity
        to
        evaluate (internally or through independent professional advice) the Transaction
        and has made its own decision to enter into the Transaction;

      

      (ii)
        It
        understands the terms, conditions and risks of the Transaction and is willing
        and able to accept those terms and conditions and to assume those risks,
        financially and otherwise; and 

      

      (3) Purpose.
        It is an “eligible swap participant” as such term is defined in Section
        35.1(b)(2) of the regulations (17 C.F.R 35) promulgated under, and an “eligible
        contract participant” as defined in Section 1(a)(12) of, the Commodity Exchange
        Act, as amended, and it is entering into the Transaction for the purposes
        of
        managing its borrowings or investments, hedging its underlying assets or
        liabilities or in connection with a line of business. 

      

      (4) Status
        of Parties.
        The
        other party is not acting as an agent, fiduciary or advisor for it in respect
        of
        the Transaction.”

      

      9)
        Set-off. 
        Notwithstanding any provision of this Agreement or any other existing or
        future
        agreement, each party irrevocably waives any and all rights it may have to
        set
        off, net, recoup or otherwise withhold or suspend or condition payment or
        performance of any obligation between it and the other party hereunder against
        any obligation between it and the other party under any other agreements.
        The
        provisions for Set-off set forth in Section 6(e) of the Agreement shall not
        apply for purposes of this Transaction.

      

      10)
        Transfer,
        Amendment and Assignment.
        No
        transfer, amendment, waiver, supplement, assignment or other modification
        of
        this Transaction shall be permitted by either party unless each of Standard
        & Poor’s Ratings Service, a division of The McGraw-Hill Companies, Inc.
        (“S&P”) and Moody’s Investors Service, Inc. (“Moody’s”) has been provided
        notice of the same and confirms in writing (including by facsimile transmission)
        that it will not downgrade, qualify, withdraw or otherwise modify its
        then-current rating of the Certificates or any Notes.

      

      11)
        Additional
        Termination Events.
        The
        following Additional Termination Events will apply, in each case with respect
        Counterparty as the sole Affected Party (unless otherwise provided
        below): 

       

      (i)      
         DBAG
        fails to comply with the Rating Agency Downgrade provisions as set forth
        in
        Section 12 below. For all purposes of this Agreement, DBAG shall be the sole
        Affected Party with respect to the occurrence of a Termination Event described
        in this Section 11(i).

       

      (ii)     
         With
        respect to Counterparty only, any amendment to the Pooling and Servicing
        Agreement which materially adversely affects any of DBAG’s rights thereunder is
        made without prior written consent of DBAG, where such consent is required
        under
        the Pooling and Servicing Agreement.

       

      (iii)   
          If
        the
        Trustee is unable to pay the Class A Certificates any related Accrued
        Certificate Interest or any amount in respect of ultimate payment of principal
        required to be paid pursuant to the terms of the Pooling and Servicing Agreement
        or fails or admits in writing its inability to pay such interest amounts
        or such
        ultimate principal amount to the Class A Certificates as such amounts become
        due.

      

      (iv)    
         If,
        at
        any time, the Master Servicer or the Servicer gives unrescindable notice
        that it
        will purchase the Mortgage Loans pursuant to Section 10.01 of the Pooling
        and
        Servicing Agreement (an “Optional Termination”); provided, however, that
        notwithstanding Section 6(b)(iv) of the ISDA Form Master Agreement, both
        DBAG
        and Counterparty shall have the right to designate an Early Termination Date
        in
        respect of this Additional Termination Event.

      

      If
        such
        an Additional Termination Event occurs then the definition of Notional Amount
        shall be deleted in its entirety and replaced with the following: “With respect
        to each Calculation Period the Notional Amount as set forth in Schedule I
        attached hereto multiplied by a factor. The factor will be set at the time
        of
        the Optional Termination to be the quotient of (i) the Notional Amount
        immediately prior to the Optional Termination divided by (ii) the Notional
        Amount set forth in Schedule I for the period immediately prior to the Optional
        Termination.”

      

      (v)     
         If,
        upon
        the occurrence of a Swap Disclosure Event (as defined in Part 13 below) DBAG
        has
        not, within 10 days after such Swap Disclosure Event complied with any of
        the
        provisions set forth in Part 13(iii) below, then an Additional Termination
        Event
        shall have occurred with respect to DBAG and DBAG shall be the sole Affected
        Party with respect to such Additional Termination Event.

      

      12)
        Rating
        Agency Downgrade.
        In the
        event that (i) DBAG’s short-term unsecured and unsubordinated debt rating is
        reduced below “A-1” by S&P or (ii) if DBAG has both a long-term credit
        rating and a short-term credit rating from Moody’s, and either its long-term
        unsecured and unsubordinated debt rating is reduced below “A2” by Moody’s or its
        short-term credit rating is reduced below “P1” by Moody’s, or if DBAG has only a
        long-term credit rating and its long-term unsecured and unsubordinated debt
        rating is reduced below “Aa3” by Moody’s (and together with S&P, the “Swap
        Rating Agencies”, and such rating thresholds, “Approved Rating Thresholds”),
        then within 30 days after such rating withdrawal or downgrade, DBAG shall,
        subject to the Rating Agency Condition and at its own expense, either (i)
        cause
        another entity to replace DBAG as party to this Agreement that meets or exceeds
        the Approved Rating Thresholds on terms substantially similar to this Agreement,
        (ii) obtain a guaranty of, or a contingent agreement of another person with
        the
        Approved Rating Thresholds, to honor, DBAG’s obligations under this Agreement,
        (iii) post collateral which will be sufficient to restore the immediately
        prior
        ratings of the Certificates and any Notes, or (iv) establish any other
        arrangement satisfactory to the Swap Rating Agencies, which will be sufficient
        to restore the immediately prior ratings of the Certificates and any Notes.
        In
        the event that DBAG’s long-term unsecured and unsubordinated debt rating is
        withdrawn or reduced below “BBB-” or its short-term unsecured and unsubordinated
        debt rating is withdrawn or reduced below “A-3” by S&P, then within 10 days
        after such rating withdrawal or downgrade, DBAG shall, subject to the Rating
        Agency Condition and at its own expense, either (i) cause another entity
        to
        replace DBAG as party to this Agreement that meets or exceeds the Approved
        Rating Thresholds on terms substantially similar to this Agreement or (ii)
        obtain a guaranty of, or a contingent agreement of another person with the
        Approved Rating Thresholds, to honor, DBAG’s obligations under this Agreement.
        For purposes of this provision, “Rating Agency Condition” means, with respect to
        any particular proposed act or omission to act hereunder that the party acting
        or failing to act must consult with each of the Swap Rating Agencies then
        providing a rating of the Certificates and any Notes and receive from each
        of
        the Swap Rating Agencies a prior written confirmation that the proposed action
        or inaction would not cause a downgrade or withdrawal of the then-current
        rating
        of the Certificates or any Note.

      

      13)
        Compliance
        with Regulation AB.
        

      

      (i)        DBAG
        agrees and acknowledges that Ace Securities Corp. (“ACE”) is required under
        Regulation AB under the Securities Act of 1933, as amended, and the Securities
        Exchange Act of 1934, as amended (the “Exchange Act”) (“Regulation AB”), to
        disclose certain financial information regarding DBAG or its group of affiliated
        entities, if applicable, depending on the aggregate “significant percentage” of
        this Agreement and any other derivative contracts between DBAG or its group
        of
        affiliated entities, if applicable, and Counterparty, as calculated from
        time to
        time in accordance with Item 1115 of Regulation AB.

      

      (ii)     
         It
        shall
        be a swap disclosure event (“Swap Disclosure Event”) if, on any Business Day
        after the date hereof, ACE requests from DBAG the applicable financial
        information described in Item 1115 of Regulation AB (such request to be based
        on
        a reasonable determination by ACE, in good faith, that such information is
        required under Regulation AB) (the “Swap Financial Disclosure”).

      

      (iii)  
          Upon
        the
        occurrence of a Swap Disclosure Event, DBAG, at its own expense, shall (1)(a)
        either (i) provide to ACE the current Swap Financial Disclosure in an
        EDGAR-compatible format (for example, such information may be provided in
        Microsoft Word® or Microsoft Excel® format but not in .pdf format) or (ii)
        provide written consent to ACE to incorporation by reference of such current
        Swap Financial Disclosure as is filed with the Securities and Exchange
        Commission in the Exchange Act Reports of ACE, (b) if applicable, cause its
        outside accounting firm to provide its consent to filing or incorporation
        by
        reference in the Exchange Act Reports of ACE of such accounting firm’s report
        relating to their audits of such current Swap Financial Disclosure, and (c)
        provide to ACE any updated Swap Financial Disclosure with respect to DBAG
        or any
        entity that consolidates DBAG within five days of the release of any such
        updated Swap Financial Disclosure; (2) secure another entity to replace DBAG
        as
        party to this Agreement on terms substantially similar to this Agreement
        which
        entity (or a guarantor therefore) meets or exceeds the Approved Rating
        Thresholds and which satisfies the Rating Agency Condition and which entity
        complies with the requirements of Item 1115 of Regulation AB, including
        providing the information contemplated by Part 13(iii)(1) above, or (3) obtain
        a
        guaranty of the DBAG’s obligations under this Agreement from an affiliate of the
        DBAG, subject to the Rating Agency Condition, that complies with the financial
        information disclosure requirements of Item 1115 of Regulation AB, including
        providing the information contemplated by Part 13(iii)(1) above, such that
        disclosure provided in respect of the affiliate will satisfy any disclosure
        requirements applicable to DBAG, and cause such affiliate to provide Swap
        Financial Disclosure. If permitted by Regulation AB, any required Swap Financial
        Disclosure may be provided by incorporation by reference from reports filed
        pursuant to the Exchange Act.

       

      (iv)    
        DBAG
        and
        the primary obligor under any Credit Support Document agree that, in the
        event
        that DBAG provides Swap Financial Disclosure to ACE in accordance with Part
        13(iii)(a) or causes its affiliate to provide Swap Financial Disclosure to
        ACE
        in accordance with Part 13(iii)(c), DBAG and such primary obligor will indemnify
        and hold harmless ACE, its respective directors or officers and any person
        controlling ACE, from and against any and all losses, claims, damages and
        liabilities caused by any untrue statement or alleged untrue statement of
        a
        material fact contained in such Swap Financial Disclosure or caused by any
        omission or alleged omission to state in such Swap Financial Disclosure a
        material fact, when considered in conjunction with any other information
        regarding Party A or the derivative instrument being written by Party A in
        the
        final prospectus for ACE-2006-SL4, required to be stated therein or necessary
        to
        make the statements therein, in light of the circumstances under which they
        were
        made, not misleading.

      

      14)
        Third
        Party Beneficiary.
        ACE
        shall be an express third party beneficiary of this Agreement as if a party
        hereto to the extent of ACE’s rights explicitly specified herein.

      

      15)
        Deduction
        or Withholding for Tax.
        The
        provisions of Section 2(d)(i)(4) and 2(d)(ii) of the ISDA Form Master Agreement
        shall not apply to Counterparty and Counterparty shall not be required to
        pay
        any additional amounts referred to therein. 

      

      16)
        Non-Recourse.
        Notwithstanding any provision herein or in the ISDA Form Master Agreement
        to the
        contrary, the obligations of Counterparty hereunder are limited recourse
        obligations of Counterparty, payable solely from the Supplemental Interest
        Trust
        and the proceeds thereof, in accordance with the terms of the Pooling and
        Servicing Agreement. In the event that the Supplemental Interest Trust and
        proceeds thereof should be insufficient to satisfy all claims outstanding
        and
        following the realization of the Supplemental Interest Trust and the proceeds
        thereof, any claims against or obligations of Counterparty under the ISDA
        Form
        Master Agreement or any other confirmation thereunder still outstanding shall
        be
        extinguished and thereafter not revive. Counterparty shall not have liability
        for any failure or delay in making a payment hereunder to DBAG due to any
        failure or delay in receiving amount in the Supplemental Interest Trust from
        the
        Trust created pursuant to the Pooling and Servicing Agreement. 

      

      

      5. Account
        Details:

      

      Account
        Details for DBAG: 

      

      Deutsche
        Bank Trust Company Americas,
        New York

      Acct#
        01
        473 969 

      Swift
        Code: BKTRUS33

      

      Account
        Details for Counterparty:

      

      Wells
        Fargo Bank, NA

      ABA
        #
        121000248

      Account
        Name: SAS Clearing

      Account
        #
        3970771416

      FFC
        to:
        50940801, ACE 2006-SL4 Supplemental Interest Trust Account

      

      6. Offices:

      

      The
        Office of DBAG for this Transaction is New York

      

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      7. Please
        confirm that the foregoing correctly sets forth the terms of our agreement
        by
        having an authorized officer sign this Confirmation and return it via facsimile
        to:

      

      
        	 	
                Attention:
                  Derivative Documentation

              	 
	 	
                Telephone:
                  44 20 7547 4755

              	 
	 	
                Facsimile:
                  44 20 7545 9761

              	 
	 	
                E-mail:
                  derivative.documentation@db.com

              	 

      

      

      This
        message will be the only form of Confirmation dispatched by us. If you wish
        to
        exchange hard copy forms of this Confirmation, please contact us.

      

      

      

      

      
        	
                Yours
                  sincerely,

                 

                DEUTSCHE
                  BANK AG - New York Branch

              
	 	 
	
                By:

              	 
	
                Name:

              	 
	
                Title:

              	
                Authorized
                  Signatory

              
	 	 
	 	 
	
                By:

              	 
	
                Name:

              	 
	
                Title:

              	
                Authorized
                  Signatory

              

      

      

       

      

      

      Confirmed
        as of the date first written above:

      

      HSBC
        Bank
        USA, National Association, not in its individual capacity, but solely as
        trustee
        for the Supplemental Interest Trust, with respect to the ACE Securities Corp.
        Home Equity Loan Trust, Series 2006-SL4 Asset Backed Pass Through
        Certificates.

      

      

      
        	
                By:

              	 
	
                Name:

              	 
	
                Title:

              	 

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      SCHEDULE
        I

      

      (With
        respect to each Fixed Rate Payer Period End Date, each date below is subject
        to
        No Adjustment, and with respect to each Floating Rate Payer Period End Date,
        each date below is subject to adjustment in accordance with the Following
        Business Day Convention.)

      

      

      
        	
                Accrue
                  from and including

              	
                Accrue
                  to but excluding

              	
                Notional
                  Amount (USD)

              
	
                Effective
                  Date

              	
                9/25/2006

              	
                275,692,695.00

              
	
                9/25/2006

              	
                10/25/2006

              	
                265,863,567.00

              
	
                10/25/2006

              	
                11/25/2006

              	
                256,383,905.00

              
	
                11/25/2006

              	
                12/25/2006

              	
                247,241,311.00

              
	
                12/25/2006

              	
                1/25/2007

              	
                238,423,824.00

              
	
                1/25/2007

              	
                2/25/2007

              	
                229,919,908.00

              
	
                2/25/2007

              	
                3/25/2007

              	
                221,718,434.00

              
	
                3/25/2007

              	
                4/25/2007

              	
                213,808,669.00

              
	
                4/25/2007

              	
                5/25/2007

              	
                206,180,260.00

              
	
                5/25/2007

              	
                6/25/2007

              	
                198,823,221.00

              
	
                6/25/2007

              	
                7/25/2007

              	
                191,727,919.00

              
	
                7/25/2007

              	
                8/25/2007

              	
                184,885,063.00

              
	
                8/25/2007

              	
                9/25/2007

              	
                178,285,691.00

              
	
                9/25/2007

              	
                10/25/2007

              	
                171,921,160.00

              
	
                10/25/2007

              	
                11/25/2007

              	
                165,783,130.00

              
	
                11/25/2007

              	
                12/25/2007

              	
                159,863,561.00

              
	
                12/25/2007

              	
                1/25/2008

              	
                154,154,694.00

              
	
                1/25/2008

              	
                2/25/2008

              	
                148,649,047.00

              
	
                2/25/2008

              	
                3/25/2008

              	
                143,339,404.00

              
	
                3/25/2008

              	
                4/25/2008

              	
                138,218,803.00

              
	
                4/25/2008

              	
                5/25/2008

              	
                133,280,529.00

              
	
                5/25/2008

              	
                6/25/2008

              	
                128,518,107.00

              
	
                6/25/2008

              	
                7/25/2008

              	
                123,925,290.00

              
	
                7/25/2008

              	
                8/25/2008

              	
                119,496,052.00

              
	
                8/25/2008

              	
                9/25/2008

              	
                115,224,582.00

              
	
                9/25/2008

              	
                10/25/2008

              	
                111,105,274.00

              
	
                10/25/2008

              	
                11/25/2008

              	
                107,132,723.00

              
	
                11/25/2008

              	
                12/25/2008

              	
                103,301,711.00

              
	
                12/25/2008

              	
                1/25/2009

              	
                99,607,211.00

              
	
                1/25/2009

              	
                2/25/2009

              	
                96,044,370.00

              
	
                2/25/2009

              	
                3/25/2009

              	
                92,608,509.00

              
	
                3/25/2009

              	
                4/25/2009

              	
                89,295,114.00

              
	
                4/25/2009

              	
                5/25/2009

              	
                86,099,832.00

              
	
                5/25/2009

              	
                6/25/2009

              	
                83,018,463.00

              
	
                6/25/2009

              	
                7/25/2009

              	
                80,046,959.00

              
	
                7/25/2009

              	
                8/25/2009

              	
                77,181,412.00

              
	
                8/25/2009

              	
                9/25/2009

              	
                74,418,056.00

              
	
                9/25/2009

              	
                10/25/2009

              	
                71,753,255.00

              
	
                10/25/2009

              	
                11/25/2009

              	
                69,183,506.00

              
	
                11/25/2009

              	
                12/25/2009

              	
                66,705,426.00

              
	
                12/25/2009

              	
                1/25/2010

              	
                64,315,757.00

              
	
                1/25/2010

              	
                2/25/2010

              	
                62,011,352.00

              
	
                2/25/2010

              	
                3/25/2010

              	
                59,789,179.00

              
	
                3/25/2010

              	
                4/25/2010

              	
                57,646,312.00

              
	
                4/25/2010

              	
                5/25/2010

              	
                55,579,929.00

              
	
                5/25/2010

              	
                6/25/2010

              	
                53,587,308.00

              
	
                6/25/2010

              	
                7/25/2010

              	
                51,665,825.00

              
	
                7/25/2010

              	
                8/25/2010

              	
                49,812,948.00

              
	
                8/25/2010

              	
                9/25/2010

              	
                48,026,235.00

              
	
                9/25/2010

              	
                10/25/2010

              	
                46,303,331.00

              
	
                10/25/2010

              	
                11/25/2010

              	
                44,641,964.00

              
	
                11/25/2010

              	
                12/25/2010

              	
                43,039,943.00

              
	
                12/25/2010

              	
                1/25/2011

              	
                41,495,155.00

              
	
                1/25/2011

              	
                2/25/2011

              	
                40,005,564.00

              
	
                2/25/2011

              	
                3/25/2011

              	
                38,569,201.00

              
	
                3/25/2011

              	
                4/25/2011

              	
                37,184,173.00

              
	
                4/25/2011

              	
                5/25/2011

              	
                35,848,651.00

              
	
                5/25/2011

              	
                6/25/2011

              	
                34,560,520.00

              
	
                6/25/2011

              	
                7/25/2011

              	
                33,318,410.00

              
	
                7/25/2011

              	
                8/25/2011

              	
                32,120,712.00

              
	
                8/25/2011

              	
                9/25/2011

              	
                30,965,856.00

              
	
                9/25/2011

              	
                10/25/2011

              	
                29,852,314.00

              
	
                10/25/2011

              	
                11/25/2011

              	
                28,778,615.00

              
	
                11/25/2011

              	
                Termination
                  Date

              	
                27,743,338.00

              

      

      

      

      

    

    

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    SCHEDULE
      1

     

    MORTGAGE
      LOAN SCHEDULE

     

    [PROVIDED
      UPON REQUEST]

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    SCHEDULE
      2

     

    PREPAYMENT
      CHARGE SCHEDULE

     

    [PROVIDED
      UPON REQUEST]

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    SCHEDULE
      3

     

    [RESERVED]

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    SCHEDULE
      4

    

    STANDARD
      FILE LAYOUT- DELINQUENCY REPORTING

    

    

    Exhibit
      : Standard
      File Layout - Delinquency Reporting

    

    
      	
              Column/Header
                Name

            	
              Description

            	
              Decimal

            	
              Format
                Comment

            
	
              SERVICER_LOAN_NBR

            	
              A
                unique number assigned to a loan by the Servicer. This may be different
                than the LOAN_NBR

            	 	
               

            
	
              LOAN_NBR

            	
              A
                unique identifier assigned to each loan by the originator.

            	 	
               

            
	
              CLIENT_NBR

            	
              Servicer
                Client Number

            	 	 
	
              SERV_INVESTOR_NBR

            	
              Contains
                a unique number as assigned by an external servicer to identify a
                group of
                loans in their system.

            	 	
               

            
	
              BORROWER_FIRST_NAME

            	
              First
                Name of the Borrower.

            	 	 
	
              BORROWER_LAST_NAME

            	
              Last
                name of the borrower.

            	 	 
	
              PROP_ADDRESS

            	
              Street
                Name and Number of Property

            	 	
               

            
	
              PROP_STATE

            	
              The
                state where the property located.

            	 	
               

            
	
              PROP_ZIP

            	
              Zip
                code where the property is located.

            	 	
               

            
	
              BORR_NEXT_PAY_DUE_DATE

            	
              The
                date that the borrower's next payment is due to the servicer at the
                end of
                processing cycle, as reported by Servicer.

            	 	
              MM/DD/YYYY

            
	
              LOAN_TYPE

            	
              Loan
                Type (i.e. FHA, VA, Conv)

            	 	
               

            
	
              BANKRUPTCY_FILED_DATE

            	
              The
                date a particular bankruptcy claim was filed.

            	 	
              MM/DD/YYYY

            
	
              BANKRUPTCY_CHAPTER_CODE

            	
              The
                chapter under which the bankruptcy was filed.

            	 	
               

            
	
              BANKRUPTCY_CASE_NBR

            	
              The
                case number assigned by the court to the bankruptcy
                filing.

            	 	
               

            
	
              POST_PETITION_DUE_DATE

            	
              The
                payment due date once the bankruptcy has been approved by the
                courts

            	 	
              MM/DD/YYYY

            
	
              BANKRUPTCY_DCHRG_DISM_DATE

            	
              The
                Date The Loan Is Removed From Bankruptcy. Either by Dismissal, Discharged
                and/or a Motion For Relief Was Granted. 

            	 	
              MM/DD/YYYY

            
	
              LOSS_MIT_APPR_DATE

            	
              The
                Date The Loss Mitigation Was Approved By The Servicer

            	 	
              MM/DD/YYYY

            
	
              LOSS_MIT_TYPE

            	
              The
                Type Of Loss Mitigation Approved For A Loan Such As;

            	 	 
	
              LOSS_MIT_EST_COMP_DATE

            	
              The
                Date The Loss Mitigation /Plan Is Scheduled To End/Close

            	 	
              MM/DD/YYYY

            
	
              LOSS_MIT_ACT_COMP_DATE

            	
              The
                Date The Loss Mitigation Is Actually Completed

            	 	
              MM/DD/YYYY

            
	
              FRCLSR_APPROVED_DATE

            	
              The
                date DA Admin sends a letter to the servicer with instructions to
                begin
                foreclosure proceedings.

            	 	
              MM/DD/YYYY

            
	
              ATTORNEY_REFERRAL_DATE

            	
              Date
                File Was Referred To Attorney to Pursue Foreclosure

            	 	
              MM/DD/YYYY

            
	
              FIRST_LEGAL_DATE

            	
              Notice
                of 1st legal filed by an Attorney in a Foreclosure Action

            	 	
              MM/DD/YYYY

            
	
              FRCLSR_SALE_EXPECTED_DATE

            	
              The
                date by which a foreclosure sale is expected to occur.

            	 	
              MM/DD/YYYY

            
	
              FRCLSR_SALE_DATE

            	
              The
                actual date of the foreclosure sale.

            	 	
              MM/DD/YYYY

            
	
              FRCLSR_SALE_AMT

            	
              The
                amount a property sold for at the foreclosure sale.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              EVICTION_START_DATE

            	
              The
                date the servicer initiates eviction of the borrower.

            	 	
              MM/DD/YYYY

            
	
              EVICTION_COMPLETED_DATE

            	
              The
                date the court revokes legal possession of the property from the
                borrower.

            	 	
              MM/DD/YYYY

            
	
              LIST_PRICE

            	
              The
                price at which an REO property is marketed.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              LIST_DATE

            	
              The
                date an REO property is listed at a particular price.

            	 	
              MM/DD/YYYY

            
	
              OFFER_AMT

            	
              The
                dollar value of an offer for an REO property.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              OFFER_DATE_TIME

            	
              The
                date an offer is received by DA Admin or by the Servicer.

            	 	
              MM/DD/YYYY

            
	
              REO_CLOSING_DATE

            	
              The
                date the REO sale of the property is scheduled to close.

            	 	
              MM/DD/YYYY

            
	
              REO_ACTUAL_CLOSING_DATE

            	
              Actual
                Date Of REO Sale

            	 	
              MM/DD/YYYY

            
	
              OCCUPANT_CODE

            	
              Classification
                of how the property is occupied.

            	 	
               

            
	
              PROP_CONDITION_CODE

            	
              A
                code that indicates the condition of the property.

            	 	
               

            
	
              PROP_INSPECTION_DATE

            	
              The
                date a property inspection is performed.

            	 	
              MM/DD/YYYY

            
	
              APPRAISAL_DATE

            	
              The
                date the appraisal was done.

            	 	
              MM/DD/YYYY

            
	
              CURR_PROP_VAL

            	
               The
                current "as is" value of the property based on brokers price opinion
                or
                appraisal.

            	
              2

            	
               

            
	
              REPAIRED_PROP_VAL

            	
              The
                amount the property would be worth if repairs are completed pursuant
                to a
                broker's price opinion or appraisal.

            	
              2

            	
               

            
	
              If
                applicable:

            	
               

            	 	
               

            
	
              DELINQ_STATUS_CODE

            	
              FNMA
                Code Describing Status of Loan

            	 	 
	
              DELINQ_REASON_CODE

            	
              The
                circumstances which caused a borrower to stop paying on a loan. Code
                indicates the reason why the loan is in default for this
                cycle.

            	 	 
	
              MI_CLAIM_FILED_DATE

            	
              Date
                Mortgage Insurance Claim Was Filed With Mortgage Insurance
                Company.

            	 	
              MM/DD/YYYY

            
	
              MI_CLAIM_AMT

            	
              Amount
                of Mortgage Insurance Claim Filed

            	 	
              No
                commas(,) or dollar signs ($)

            
	
              MI_CLAIM_PAID_DATE

            	
              Date
                Mortgage Insurance Company Disbursed Claim Payment

            	 	
              MM/DD/YYYY

            
	
              MI_CLAIM_AMT_PAID

            	
              Amount
                Mortgage Insurance Company Paid On Claim

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              POOL_CLAIM_FILED_DATE

            	
              Date
                Claim Was Filed With Pool Insurance Company

            	 	
              MM/DD/YYYY

            
	
              POOL_CLAIM_AMT

            	
              Amount
                of Claim Filed With Pool Insurance Company

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              POOL_CLAIM_PAID_DATE

            	
              Date
                Claim Was Settled and The Check Was Issued By The Pool
                Insurer

            	 	
              MM/DD/YYYY

            
	
              POOL_CLAIM_AMT_PAID

            	
              Amount
                Paid On Claim By Pool Insurance Company

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              FHA_PART_A_CLAIM_FILED_DATE

            	
               Date
                FHA Part A Claim Was Filed With HUD

            	 	
              MM/DD/YYYY

            
	
              FHA_PART_A_CLAIM_AMT

            	
               Amount
                of FHA Part A Claim Filed

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              FHA_PART_A_CLAIM_PAID_DATE

            	
               Date
                HUD Disbursed Part A Claim Payment

            	 	
              MM/DD/YYYY

            
	
              FHA_PART_A_CLAIM_PAID_AMT

            	
               Amount
                HUD Paid on Part A Claim

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              FHA_PART_B_CLAIM_FILED_DATE

            	
                Date
                FHA Part B Claim Was Filed With HUD

            	 	
              MM/DD/YYYY

            
	
              FHA_PART_B_CLAIM_AMT

            	
                Amount
                of FHA Part B Claim Filed

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              FHA_PART_B_CLAIM_PAID_DATE

            	
                 Date
                HUD Disbursed Part B Claim Payment

            	 	
              MM/DD/YYYY

            
	
              FHA_PART_B_CLAIM_PAID_AMT

            	
               Amount
                HUD Paid on Part B Claim

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            
	
              VA_CLAIM_FILED_DATE

            	
               Date
                VA Claim Was Filed With the Veterans Admin

            	 	
              MM/DD/YYYY

            
	
              VA_CLAIM_PAID_DATE

            	
               Date
                Veterans Admin. Disbursed VA Claim Payment

            	 	
              MM/DD/YYYY

            
	
              VA_CLAIM_PAID_AMT

            	
               Amount
                Veterans Admin. Paid on VA Claim

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            

    

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    

    Exhibit
      2: Standard
      File Codes - Delinquency Reporting

     

    

     

    The
      Loss
      Mit Type
      field
      should show the approved Loss Mitigation Code as follows: 

     

    
      	·  	
              ASUM-Approved
                Assumption

            

    

     

    
      	·  	
              BAP-Borrower
                Assistance Program

            

    

     

    
      	·  	
              CO-
                Charge Off

            

    

     

    
      	·  	
              DIL-
                Deed-in-Lieu

            

    

     

    
      	·  	
              FFA-
                Formal Forbearance Agreement

            

    

     

    
      	·  	
              MOD-
                Loan Modification

            

    

     

    
      	·  	
              PRE-
                Pre-Sale

            

    

     

    
      	·  	
              SS-
                Short Sale

            

    

     

    
      	·  	
              MISC-Anything
                else approved by the PMI or Pool
                Insurer

            

    

     

    

     

    NOTE:
      Wells Fargo Bank will accept alternative Loss Mitigation Types to those above,
      provided that they are consistent with industry standards. If Loss Mitigation
      Types other than those above are used, the Servicer must supply Wells Fargo
      Bank
      with a description of each of the Loss Mitigation Types prior to sending the
      file.

     

    

     

    The
      Occupant
      Code
      field should show the current status of the property code as
      follows:

     

    
      	·  	
              Mortgagor

            

    

     

    
      	·  	
              Tenant

            

    

     

    
      	·  	
              Unknown
                

            

    

     

    
      	·  	
              Vacant

            

    

     

    

     

    The
      Property
      Condition
      field should show the last reported condition of the property as follows:

     

    
      	·  	
              Damaged

            

    

     

    
      	·  	
              Excellent

            

    

     

    
      	·  	
              Fair

            

    

     

    
      	·  	
              Gone

            

    

     

    
      	·  	
              Good

            

    

     

    
      	·  	
              Poor

            

    

     

    
      	·  	
              Special
                Hazard

            

    

     

    
      	·  	
              Unknown

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    

    Exhibit
      2: Standard
      File Codes - Delinquency Reporting, Continued

     

    

     

    The
      FNMA
      Delinquent Reason Code
      field should show the Reason for Delinquency as follows: 

     

    

    
      	
              Delinquency
                Code

            	
              Delinquency
                Description

            
	
              001

            	
              FNMA-Death
                of principal mortgagor

            
	
              002

            	
              FNMA-Illness
                of principal mortgagor

            
	
              003

            	
              FNMA-Illness
                of mortgagor’s family member

            
	
              004

            	
              FNMA-Death
                of mortgagor’s family member

            
	
              005

            	
              FNMA-Marital
                difficulties

            
	
              006

            	
              FNMA-Curtailment
                of income

            
	
              007

            	
              FNMA-Excessive
                Obligation

            
	
              008

            	
              FNMA-Abandonment
                of property

            
	
              009

            	
              FNMA-Distant
                employee transfer

            
	
              011

            	
              FNMA-Property
                problem

            
	
              012

            	
              FNMA-Inability
                to sell property

            
	
              013

            	
              FNMA-Inability
                to rent property

            
	
              014

            	
              FNMA-Military
                Service

            
	
              015

            	
              FNMA-Other

            
	
              016

            	
              FNMA-Unemployment

            
	
              017

            	
              FNMA-Business
                failure

            
	
              019

            	
              FNMA-Casualty
                loss

            
	
              022

            	
              FNMA-Energy
                environment costs

            
	
              023

            	
              FNMA-Servicing
                problems

            
	
              026

            	
              FNMA-Payment
                adjustment

            
	
              027

            	
              FNMA-Payment
                dispute

            
	
              029

            	
              FNMA-Transfer
                of ownership pending

            
	
              030

            	
              FNMA-Fraud

            
	
              031

            	
              FNMA-Unable
                to contact borrower

            
	
              INC

            	
              FNMA-Incarceration

            

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    Exhibit
      2: Standard
      File Codes - Delinquency Reporting, Continued

    

     

    The
      FNMA
      Delinquent Status Code
      field should show the Status of Default as follows: 

     

    

    
      	
              Status
                Code

            	
              Status
                Description

            
	
              09

            	
              Forbearance

            
	
              17

            	
              Pre-foreclosure
                Sale Closing Plan Accepted

            
	
              24

            	
              Government
                Seizure

            
	
              26

            	
              Refinance

            
	
              27

            	
              Assumption

            
	
              28

            	
              Modification

            
	
              29

            	
              Charge-Off

            
	
              30

            	
              Third
                Party Sale

            
	
              31

            	
              Probate

            
	
              32

            	
              Military
                Indulgence

            
	
              43

            	
              Foreclosure
                Started

            
	
              44

            	
              Deed-in-Lieu
                Started

            
	
              49

            	
              Assignment
                Completed

            
	
              61

            	
              Second
                Lien Considerations

            
	
              62

            	
              Veteran’s
                Affairs-No Bid

            
	
              63

            	
              Veteran’s
                Affairs-Refund

            
	
              64

            	
              Veteran’s
                Affairs-Buydown

            
	
              65

            	
              Chapter
                7 Bankruptcy

            
	
              66

            	
              Chapter
                11 Bankruptcy

            
	
              67

            	
              Chapter
                13 Bankruptcy

            

    

     

    

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Exhibit
      : Calculation
      of Realized Loss/Gain Form 332- Instruction Sheet

    NOTE:
      Do not net or combine items. Show all expenses individually and all credits
      as
      separate line items. Claim packages are due on the remittance report date.
      Late
      submissions may result in claims not being passed until the following month.
      The
      Servicer is responsible to remit all funds pending loss approval and /or
      resolution of any disputed items. 

    

     

    The
      numbers on the 332 form correspond with the numbers listed below.

     

    Liquidation
      and Acquisition Expenses:

     

    1. The
      Actual Unpaid Principal Balance of the Mortgage Loan. For documentation, an
      Amortization Schedule from date of default through liquidation breaking out
      the
      net interest and servicing fees advanced is required.

     

     

    

     

    2. The
      Total
      Interest Due less the aggregate amount of servicing fee that would have been
      earned if all delinquent payments had been made as agreed. For documentation,
      an
      Amortization Schedule from date of default through liquidation breaking out
      the
      net interest and servicing fees advanced is required.

     

    3.
       Accrued
      Servicing Fees based upon the Scheduled Principal Balance of the Mortgage Loan
      as calculated on a monthly basis. For documentation, an Amortization Schedule
      from date of default through liquidation breaking out the net interest and
      servicing fees advanced is required.

     

    4-12. Complete
      as applicable. Required documentation:

     

    *
      For
      taxes and insurance advances - see page 2 of 332 form - breakdown required
      showing period

     

    of
      coverage, base tax, interest, penalty. Advances prior to default require
      evidence of servicer efforts to recover advances.

     

    *
      For
      escrow advances - complete payment history 

     

    (to
      calculate advances from last positive escrow balance forward)

     

    *
      Other
      expenses -  copies of corporate advance history showing all payments

     

    *
      REO
      repairs > $1500 require explanation

     

    *
      REO
      repairs >$3000 require evidence of at least 2 bids.

     

    *
      Short
      Sale or Charge Off require P&L supporting the decision and
      WFB’s approved Officer Certificate 

     

    *
      Unusual
      or extraordinary items may require further documentation. 

     

    13.  The
      total
      of lines 1 through 12.

     

    Credits:
      

     

    14-21. Complete
      as applicable. Required documentation:

     

    *
      Copy of
      the HUD 1 from the REO sale. If a 3rd
      Party
      Sale, bid instructions and Escrow
      Agent / Attorney

     

    Letter
      of
      Proceeds
      Breakdown.

     

    *
      Copy of
      EOB for any MI or gov't guarantee 

     

    *
      All
      other credits need to be clearly defined on the 332
      form      
     

     

     

    
      	 	
              22.

            	
              The
                total of lines 14 through 21.

            

    

     

     

    

     

     

    Please
      Note: For
      HUD/VA loans, use line (18a) for Part A/Initial proceeds and line (18b) for
      Part
      B/Supplemental proceeds.

     

     

    

     

     

    Total
      Realized Loss (or Amount of Any Gain)

     

    23. The
      total
      derived from subtracting line 22 from 13. If the amount represents a realized
      gain, show
      the
      amount in parenthesis ( ). 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Exhibit
      3A: Calculation
      of Realized Loss/Gain Form 332

    

     

    
      	
              Prepared
                by: __________________

            	
              Date:
                _______________

            
	
              Phone:
                ______________________

            	
              Email
                Address:_____________________

            

    

    

     

    
      	
              Servicer
                Loan No.

            	 	
              Servicer
                Name

            	 	
              Servicer
                Address 

               

            

    

     

     

    WELLS
      FARGO BANK, N.A. Loan No._____________________________

     

     

    Borrower's
      Name: _________________________________________________________

     

     

    Property
      Address: _________________________________________________________

     

     

    

     

    
      	
              Liquidation
                Type: REO Sale

            	
              3rd
                Party Sale

            	
              Short
                Sale

            	
              Charge
                Off

            

    

     

    

     

    
      	
              Was
                this loan granted a Bankruptcy deficiency or
                cramdown

            	
              Yes

            	
              No

            

    

     

     

    If
“Yes”,
      provide deficiency or cramdown amount
      _______________________________

     

     

     

    
      	
              Liquidation
                and Acquisition Expenses:

            	 	 	 
	
              (1)

            	
              Actual
                Unpaid Principal Balance of Mortgage Loan

            	
              $

            	 	
              (1)

            
	
              (2)

            	
              Interest
                accrued at Net Rate

            	 	 	
              (2)

            
	
              (3)

            	
              Accrued
                Servicing Fees

            	 	 	
              (3)

            
	
              (4)

            	
              Attorney's
                Fees

            	 	 	
              (4)

            
	
              (5)

            	
              Taxes
                (see page 2)

            	 	 	
              (5)

            
	
              (6)

            	
              Property
                Maintenance

            	 	 	
              (6)

            
	
              (7)

            	
              MI/Hazard
                Insurance Premiums (see page 2)

            	 	 	
              (7)

            
	
              (8)

            	
              Utility
                Expenses

            	 	 	
              (8)

            
	
              (9)

            	
              Appraisal/BPO

            	 	 	
              (9)

            
	
              (10)

            	
              Property
                Inspections

            	 	 	
              (10)

            
	
              (11)

            	
              FC
                Costs/Other Legal Expenses

            	 	 	
              (11)

            
	
              (12)

            	
              Other
                (itemize)

            	 	 	
              (12)

            
	 	 	
              Cash
                for Keys______________________

            	 	 	
              (12)

            
	 	 	
              HOA/Condo
                Fees___________________

            	 	 	
              (12)

            
	 	 	 	 	 	
              (12)

            
	 	 	
              Total
                Expenses

            	
              $

            	 	
              (13)

            
	
              Credits:

            	 	 	 
	
              (14)

            	
              Escrow
                Balance

            	
              $

            	 	
              (14)

            
	
              (15)

            	
              HIP
                Refund

            	 	 	
              (15)

            
	
              (16)

            	
              Rental
                Receipts

            	 	 	
              (16)

            
	
              (17)

            	
              Hazard
                Loss Proceeds

            	 	 	
              (17)

            
	
              (18)

            	
              Primary
                Mortgage Insurance / Gov’t Insurance

            	 	 	
              (18a)

            
	 	
              HUD
                Part A

            	 	 	 
	 	 	 	 	
              (18b)

            
	 	
              HUD
                Part B

            	 	 	 
	
              (19)

            	
              Pool
                Insurance Proceeds

            	 	 	
              (19)

            
	
              (20)

            	
              Proceeds
                from Sale of Acquired Property

            	 	 	
              (20)

            
	
              (21)

            	
              Other
                (itemize)

            	 	 	
              (21)

            
	 	 	 	 	
              (21)

            
	 	
              Total
                Credits

            	
              $

            	 	
              (22)

            
	
              Total
                Realized Loss (or Amount of Gain)

            	
              $

            	 	
              (23)

            

    

     

    

     

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Escrow
      Disbursement Detail

    

    

    
      	
              Type

              (Tax
                /Ins.)

            	
              Date
                Paid

            	
              Period
                of Coverage

            	
              Total
                Paid

            	
              Base
                Amount

            	
              Penalties

            	
              Interest

            
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 

    

    

    

    

    SCHEDULE
      5

    

    STANDARD
      FILE LAYOUT- MASTER SERVICING

    

    
      	
              Standard
                File Layout - Master Servicing 

            	 	 	 
	
              Column
                Name

            	
              Description

            	
              Decimal

            	
              Format
                Comment

            	
              Max
                Size

            
	
              SER_INVESTOR_NBR

            	
              A
                value assigned by the Servicer to define a group of loans.

            	
               

            	
              Text
                up to 10 digits

            	
              20

            
	
              LOAN_NBR

            	
              A
                unique identifier assigned to each loan by the investor.

            	
               

            	
              Text
                up to 10 digits

            	
              10

            
	
              SERVICER_LOAN_NBR

            	
              A
                unique number assigned to a loan by the Servicer. This may be different
                than the LOAN_NBR.

            	
               

            	
              Text
                up to 10 digits

            	
              10

            
	
              BORROWER_NAME

            	
              The
                borrower name as received in the file. It is not separated by first
                and
                last name.

            	
               

            	
              Maximum
                length of 30 (Last, First)

            	
              30

            
	
              SCHED_PAY_AMT

            	
              Scheduled
                monthly principal and scheduled interest payment that a borrower
                is
                expected to pay, P&I constant.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              NOTE_INT_RATE

            	
              The
                loan interest rate as reported by the Servicer.

            	
              4

            	
              Max
                length of 6

            	
              6

            
	
              NET_INT_RATE

            	
              The
                loan gross interest rate less the service fee rate as reported by
                the
                Servicer.

            	
              4

            	
              Max
                length of 6

            	
              6

            
	
              SERV_FEE_RATE

            	
              The
                servicer's fee rate for a loan as reported by the Servicer.
                

            	
              4

            	
              Max
                length of 6

            	
              6

            
	
              SERV_FEE_AMT

            	
              The
                servicer's fee amount for a loan as reported by the Servicer.
                

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              NEW_PAY_AMT

            	
              The
                new loan payment amount as reported by the Servicer. 

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              NEW_LOAN_RATE

            	
              The
                new loan rate as reported by the Servicer. 

            	
              4

            	
              Max
                length of 6

            	
              6

            
	
              ARM_INDEX_RATE

            	
              The
                index the Servicer is using to calculate a forecasted
                rate.

            	
              4

            	
              Max
                length of 6

            	
              6

            
	
              ACTL_BEG_PRIN_BAL

            	
              The
                borrower's actual principal balance at the beginning of the processing
                cycle.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              ACTL_END_PRIN_BAL

            	
              The
                borrower's actual principal balance at the end of the processing
                cycle.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              BORR_NEXT_PAY_DUE_DATE

            	
              The
                date at the end of processing cycle that the borrower's next payment
                is
                due to the Servicer, as reported by Servicer.

            	
               

            	
              MM/DD/YYYY

            	
              10

            
	
              SERV_CURT_AMT_1

            	
              The
                first curtailment amount to be applied.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SERV_CURT_DATE_1

            	
              The
                curtailment date associated with the first curtailment amount.
                

            	
               

            	
              MM/DD/YYYY

            	
              10

            
	
              CURT_ADJ_
                AMT_1

            	
              The
                curtailment interest on the first curtailment amount, if
                applicable.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SERV_CURT_AMT_2

            	
              The
                second curtailment amount to be applied.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SERV_CURT_DATE_2

            	
              The
                curtailment date associated with the second curtailment
                amount.

            	
               

            	
              MM/DD/YYYY

            	
              10

            
	
              CURT_ADJ_
                AMT_2

            	
              The
                curtailment interest on the second curtailment amount, if
                applicable.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SERV_CURT_AMT_3

            	
              The
                third curtailment amount to be applied.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SERV_CURT_DATE_3

            	
              The
                curtailment date associated with the third curtailment
                amount.

            	
               

            	
              MM/DD/YYYY

            	
              10

            
	
              CURT_ADJ_AMT_3

            	
              The
                curtailment interest on the third curtailment amount, if
                applicable.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              PIF_AMT

            	
              The
                loan "paid in full" amount as reported by the Servicer.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              PIF_DATE

            	
              The
                paid in full date as reported by the Servicer.

            	
               

            	
              MM/DD/YYYY

            	
              10

            
	
               

            	
               

            	
               

            	
              Action
                Code Key: 15=Bankruptcy, 30=Foreclosure, , 60=PIF, 63=Substitution,
                65=Repurchase,70=REO 

            	
              2

            
	
              ACTION_CODE

            	
              The
                standard FNMA numeric code used to indicate the default/delinquent
                status
                of a particular loan.

            
	
              INT_ADJ_AMT

            	
              The
                amount of the interest adjustment as reported by the
                Servicer.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SOLDIER_SAILOR_ADJ_AMT

            	
              The
                Soldier and Sailor Adjustment amount, if applicable.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              NON_ADV_LOAN_AMT

            	
              The
                Non Recoverable Loan Amount, if applicable.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              LOAN_LOSS_AMT

            	
              The
                amount the Servicer is passing as a loss, if applicable.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SCHED_BEG_PRIN_BAL

            	
              The
                scheduled outstanding principal amount due at the beginning of the
                cycle
                date to be passed through to investors.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SCHED_END_PRIN_BAL

            	
              The
                scheduled principal balance due to investors at the end of a processing
                cycle.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SCHED_PRIN_AMT

            	
              The
                scheduled principal amount as reported by the Servicer for the current
                cycle -- only applicable for Scheduled/Scheduled Loans.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              SCHED_NET_INT

            	
              The
                scheduled gross interest amount less the service fee amount for the
                current cycle as reported by the Servicer -- only applicable for
                Scheduled/Scheduled Loans.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              ACTL_PRIN_AMT

            	
              The
                actual principal amount collected by the Servicer for the current
                reporting cycle -- only applicable for Actual/Actual
                Loans.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              ACTL_NET_INT

            	
              The
                actual gross interest amount less the service fee amount for the
                current
                reporting cycle as reported by the Servicer -- only applicable for
                Actual/Actual Loans.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              PREPAY_PENALTY_
                AMT

            	
              The
                penalty amount received when a borrower prepays on his loan as reported
                by
                the Servicer. 

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
              PREPAY_PENALTY_
                WAIVED

            	
              The
                prepayment penalty amount for the loan waived by the
                servicer.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	
               

            	
               

            	
               

            	
               

            	
               

            
	
              MOD_DATE

            	
              The
                Effective Payment Date of the Modification for the loan.

            	
               

            	
              MM/DD/YYYY

            	
              10

            
	
              MOD_TYPE

            	
              The
                Modification Type.

            	
               

            	
              Varchar
                - value can be alpha or numeric

            	
              30

            
	
              DELINQ_P&I_ADVANCE_AMT

            	
              The
                current outstanding principal and interest advances made by
                Servicer.

            	
              2

            	
              No
                commas(,) or dollar signs ($)

            	
              11

            
	 	 	 	 	 

    

    

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    SCHEDULE
      6

    

    DATA
      REQUIREMENTS OF SERVICING ADVANCES INCURRED PRIOR TO CUT-OFF DATE

    

    

    
      	
              [LOAN
                NUMBER]

            	
              [PRE-CUT-OFF
                DATE ADVANCE AMOUNT]

            

    

    

    

    [PROVIDED
      UPON REQUEST]Unassociated Document

    ______________________________________

     

    AMENDMENT
      NO. 1

    Dated
      as
      of September 12, 2006

    to

    TRUST
      AGREEMENT

    Dated
      as
      of April 28, 2006

    between

    ASSET
      BACKED SECURITIES CORPORATION,

    as
      Depositor

    and

    WILMINGTON
      TRUST COMPANY,

    as
      Owner
      Trustee

    ______________________________________

     

    HOME
      EQUITY MORTGAGE TRUST 2006-2

    ______________________________________

     

    THIS
      AMENDMENT NO. 1, dated as of September 12, 2006 (the “Amendment”), to the
Trust
      Agreement (the “Trust Agreement”), dated as of April 28, 2006, between ASSET
      BACKED SECURITIES CORPORATION, a Delaware corporation, as depositor (the
“Depositor”), and WILMINGTON TRUST COMPANY, a Delaware banking corporation, as
      owner trustee (the “Owner Trustee”).

     

    W
      I T N E
      S S E T H

     

    WHEREAS,
      the Depositor and the Owner Trustee entered into the Trust
      Agreement;

     

    WHEREAS,
      the Depositor and the Owner Trustee desire to amend the Trust
      Agreement;

     

    WHEREAS,
      clause (b) of Section 10.01 of the Trust Agreement provides that the Trust
      Agreement may be amended by the Depositor and the Owner Trustee without the
      consent of any of the Certificateholders affected thereby for the purpose of
      correcting any mistake;

     

    NOW,
      THEREFORE, the parties hereto agree as follows:

     

    SECTION
      1. Defined Terms.

     

    For
      purposes of this Amendment, unless the context clearly requires otherwise,
      all
      capitalized terms which are used but not otherwise defined herein shall have
      the
      respective meanings assigned to such terms in the Trust Agreement.

     

    SECTION
      2. The Amendment.

     

    (a)
      Section 2.06 of the Trust Agreement shall be deleted in its entirety and
      replaced with the following:

     

    Section
      2.06 Declaration
      of Trust.
      The
      Owner Trustee hereby declares that it shall hold the Owner Trust Estate in
      trust
      upon and subject to the conditions set forth herein for the use and benefit
      of
      the Certificateholders, subject to the obligations of the Owner Trust under
      the
      Basic Documents. It is the intention of the parties hereto that the Owner Trust
      constitute a statutory trust under the Statutory Trust Statute and that this
      Trust Agreement constitute the governing instrument of such statutory trust.
      

    

    It
      is the
      intention of the parties hereto that, solely for federal, state and local income
      and franchise tax purposes, the Owner Trust shall be treated as a domestic
      eligible entity with a single owner electing to be disregarded as a separate
      entity. It is the intention of the parties hereto that an election to be treated
      as a REMIC (“REMIC”) for federal income tax purposes be made with respect to the
      Group 1 Loans together with the proceeds of the Group 1 Loans (“REMIC IA”). It
      is also the intention of the parties hereto that elections to be treated as
      a
      REMIC be made with respect to the REMIC IA Regular Interests
      (“REMIC IB”), with respect to the REMIC IB Regular Interests
      (“REMIC IC”) and with respect to the REMIC IC Regular Interests
      (“REMIC ID”). 

    

    It
      is
      also the intention of the parties hereto that an election to be treated as
      a
      REMIC (“REMIC”) for federal income tax purposes be made with respect to the
      Group 2 Loans together with the proceeds of the Group 2 Loans (“REMIC IIA”). It
      is also the intention of the parties hereto that elections to be treated as
      a
      REMIC be made with respect to the REMIC IIA Regular Interests
      (“REMIC IIB”) and with respect to the REMIC IIB Regular Interests
      (“REMIC IIC”). Notwithstanding the foregoing, Additional Balances
      comprising the Additional Balance Advance Amount shall not be an asset of
      REMIC IA, REMIC IB, REMIC IC, REMIC ID, REMIC IIA,
      REMIC IIB or REMIC IIC but shall be an asset of the Trust Estate. The
      Issuer will provide for the administration of REMIC IA, REMIC IB,
      REMIC IC, REMIC ID, REMIC IIA, REMIC IIB and REMIC IIC
      pursuant to Article XI of the Indenture. Pursuant to Section 11.01(d) of the
      Indenture, the REMIC Administrator will prepare, sign and file certain tax
      returns on behalf of the REMICs. The parties agree that, unless otherwise
      required by appropriate tax authorities, the Owner Trust will not file or cause
      to be filed annual or other returns, reports or other forms. Effective as of
      the
      date hereof, the Owner Trustee shall have all rights, powers and duties set
      forth herein and in the Statutory Trust Statute with respect to accomplishing
      the purposes of the Owner Trust.

    

    (b)
      The
      first paragraph of Section 3.03 shall be deleted in its entirety and replaced
      with the following:

     

    Section
      3.03 The
      Certificates.
      Initially, the Trust shall issue a single denomination of a 100.00% Certificate
      Percentage Interest of the Class 1P Certificates. The Class 1P Certificates
      shall represent a 100% beneficial interest in the portion of the Trust relating
      to Prepayment Charges on the Group 1 Loans. Initially, the Trust shall issue
      a
      single denomination of a 100.00% Certificate Percentage Interest of the Class
      1X-1 Certificates. The Class 1X-1 Certificates shall represent a 100% beneficial
      interest in the portion of the Trust relating to the Group 1 Loans. Initially,
      the Trust shall issue a single denomination of a 100.00% Certificate Percentage
      Interest of the Class 1X-2 Certificates. The Class 1X-2 Certificates shall
      represent a 100% beneficial interest in recoveries on Charged Off Loans in
      Loan
      Group 1 that become Released Loans. Initially, the Trust shall issue a single
      denomination of a 100.00% Certificate Percentage Interest of the Class 1X-S
      Certificates. The Class 1X-S Certificates shall represent a 100% beneficial
      interest in the portion of the Trust relating to the Excess Servicing Fee with
      respect to the Group 1 Loans. Initially, the Trust shall issue a single
      denomination of a 100.00% Certificate Percentage Interest of each of the Class
      G
      Certificates. The Class G Certificates shall represent the residual interest
      in
      REMIC IIA. Initially, the Trust shall issue a single denomination of a 100.00%
      Certificate Percentage Interest of the Class 2P Certificates. The Class 2P
      Certificates shall represent a 100% beneficial interest in the portion of the
      Trust relating to Prepayment Charges on the Group 2 Loans. Initially, the Trust
      shall issue a single denomination of a 100.00% Certificate Percentage Interest
      of the Class 2X-1 Certificates. The Class 2X-1 Certificates shall represent
      a
      100% beneficial interest in the portion of the Trust relating to the Group
      2
      Loans. Initially, the Trust shall issue a single denomination of a 100.00%
      Certificate Percentage Interest of the Class 2X-2 Certificates. The Class 2X-2
      Certificates shall represent a 100% beneficial interest in recoveries on Charged
      Off Loans in Loan Group 2 that become Released Loans. Initially, the Trust
      shall
      issue a single denomination of a 100.00% Certificate Percentage Interest of
      the
      Class 1A-R Certificates. The Class 1A-R Certificates represents beneficial
      ownership of the Class R-IA Interest, the Class R-IB Interest, the Class R-IC
      Interest and the Class R-ID Interest. Initially, the Trust shall issue a single
      denomination of a 100.00% Certificate Percentage Interest of the Class 2A-R
      Certificates. The Class 2A-R Certificates represents beneficial ownership of
      the
      Class R-IIB Interest and the Class R-IIC Interest. The Certificates of each
      Class shall be shall be transferable in minimum denominations of 20% Certificate
      Percentage Interest.

    

    (c)
      Clause (B) of Section 3.05(v) of the Trust Agreement shall be deleted in its
      entirety and replaced with the following:

     

    (B)
      subject
      to Section 10.01(f), an Officers’ Certificate of the Indenture Trustee
      stating that the Indenture Trustee has received an Opinion of Counsel, in form
      and substance satisfactory to the Indenture Trustee, to the effect that such
      modification, addition to or absence of such provisions will not cause any
      portion of any of the REMICs to cease to qualify as a REMIC and will not cause
      (x) any portion of any of the REMICs to be subject to an entity-level tax
      caused by the Transfer of any Class 1A-R Certificate or Class 2A-R
      Certificate to a Person that is a Disqualified Organization or (y) a
      Certificateholder or another Person to be subject to a REMIC-related tax caused
      by the Transfer of a Class 1A-R Certificate or Class 2A-R Certificate to a
      Person that is not a Permitted Transferee.

     

    (d)
      Clause (e) of Section 5.01 of the Trust Agreement shall be deleted in its
      entirety and replaced with the following:

     

    (e) For
      federal income tax purposes, distributions on the REMIC IA Regular Interests,
      REMIC IB Regular Interests, REMIC IC Regular Interests, REMIC ID Regular
      Interests, REMIC IIA Regular Interests, REMIC IIB Regular Interests and REMIC
      IIC Regular Interests shall be in the same priority and for the same amounts
      as
      that provided in Section 11.02 of the Indenture

     

    (e) The
      first
      sentence of Section 5.03 of the Trust Agreement shall be deleted in its entirety
      and replaced with the following:

     

    The
      REMIC
      Administrator, as agent for the Owner Trustee, shall sign on behalf of the
      Trust
      the tax returns of REMIC IA, REMIC IB, REMIC IC, REMIC ID, REMIC IIA, REMIC
      IIB
      and REMIC IIC.

     

    (f)
      Clause (a) of Section 8.02 shall be deleted in its entirely and replaced with
      the following:

     

    (a)
      REMIC
      IA, REMIC IB, REMIC IC, REMIC ID, REMIC IIA, REMIC IIB and REMIC IIC
      shall be terminated in accordance with the additional requirements set forth
      in
      Section 10.22 of the Indenture.

     

    (g)
      Clause (a)(ii) of Section 10.01 shall be deleted in its entirety and replaced
      with the following:

     

    (a)(ii)
      will not cause the Trust to be subject to an entity level tax or cause any
      of
REMIC
      IA,
      REMIC IB, REMIC IC, REMIC ID, REMIC IIA, REMIC IIB or REMIC IIC
      to fail to qualify as a REMIC for federal income tax purposes.

     

    SECTION
      3. Effect of Amendment.

     

    Upon
      execution of this Amendment, the Trust Agreement shall be, and be deemed to
      be,
      modified and amended in accordance herewith and the respective rights,
      limitations, obligations, duties, liabilities and immunities of the Depositor
      and the Owner Trustee shall hereafter be determined, exercised and enforced
      subject in all respects to such modifications and amendments, and all the terms
      and conditions of this Amendment shall be deemed to be part of the terms and
      conditions of the Trust Agreement for any and all purposes. Except as modified
      and expressly amended by this Amendment, the Trust Agreement is in all respects
      ratified and confirmed, and all the terms, provisions and conditions thereof
      shall be and remain in full force and effect.

     

    SECTION
      4. Binding Effect.

     

    The
      provisions of this Amendment shall be binding upon and inure to the benefit
      of
      the respective successors and assigns of the parties hereto, and all such
      provisions shall inure to the

    benefit
      of the Depositor and the Owner Trustee.

     

    SECTION
      5. Governing Law.

     

    This
      Amendment shall be construed in accordance with the substantive laws of the
      State of New York (without regard to conflict of law principles) and the
      obligations, rights and remedies of the parties hereto shall be determined
      in
      accordance with such laws.

     

    SECTION
      6. Severability of Provisions.

     

    If
      any
      one or more of the provisions or terms of this Amendment shall be for any reason
      whatsoever held invalid, then such provisions or terms shall be deemed severable
      from the remaining provisions or terms of this Amendment and shall in no way
      affect the validity or enforceability of the other provisions or terms of this
      Amendment.

     

    SECTION
      7. Section Headings.

     

    The
      section headings herein are for convenience of reference only, and shall not
      limit or otherwise affect the meaning hereof.

     

    SECTION
      8. Counterparts.

     

    This
      Amendment may be executed in several counterparts, each of which shall be an
      original and all of which shall constitute but one and the same
      instrument.

     

    [signature
      pages follow]

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    IN
      WITNESS WHEREOF, the Depositor and the Owner Trustee have caused their names
      to
      be signed hereto by their respective officers thereunto duly authorized as
      of
      the day and year first above written.

     

    
      	
              ASSET
                BACKED SECURITIES CORPORATION,

              as
                Depositor

            
	 	 
	
              By:

            	
              /s/
                Kevin Steele

            
	
              Name:

            	
              Kevin
                Steele

            
	
              Title:

            	
              Vice
                President

            
	 
	 
	
              WILMINGTON
                TRUST COMPANY,

              as
                Owner Trustee

            
	 	 
	
              By:

            	
              /s/
                Jennifer A. Luce

            
	
              Name:

            	
              Jennifer
                A. Luce

            
	
              Title:

            	
              Financial
                Services Officer

            

    

    

     

    
      	
              Acknowledged
                and Agreed:

               

              U.S.
                BANK NATIONAL ASSOCIATION,

              as
                Certificate Registrar, REMIC Administrator,

              Certificate
                Paying Agent and Indenture Trustee

            
	 	 
	
              By:

            	
              /s/
                Becky Warren

            
	
              Name:

            	
              Becky
                Warren

            
	
              Title:

            	
              Assistant
                Vice President

            
	 
	 
	
              DLJ
                MORTGAGE CAPITAL INC.,

              as
                Sponsor

            
	 	 
	
              By:

            	
              /s/
                Tim Kuo

            
	
              Name:

            	
              Tim
                Kuo

            
	
              Title:

            	
              Vice
                President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00110-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00110-of-00352.parquet"}]]