Document:

Form
        of Servicing Agreement

      For
        Non-HELOC Transactions

       

    

    
      

      

    

     

    [________________],

     

    as
      Servicer

     

    [________________],

     

    as
      Seller

     

    and

     

    [________________],

     

    as
      Master
      Servicer

     

      
        

      

    

     

    Thornburg
      Mortgage Securities Corporation

    

    [Name
      of
      Series]

    

    SERVICING
      AGREEMENT

     

    Dated
      as
      of [________] [__], 20[__]

    

      

      
        

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    TABLE
      OF CONTENTS

    

      
        	 	 	
                Page

              
	
                ARTICLE
                  I. DEFINITIONS

              	
                2

              
	 	 
	
                ARTICLE
                  II. SELLER’S ENGAGEMENT OF SERVICER TO PERFORM SERVICING RESPONSIBILITIES
                  

              	
                11

              
	
                Section
                  2.01

              	
                Contract
                  for Servicing; Possession of Servicing Files. 

              	
                11

              
	
                Section
                  2.02

              	
                Books
                  and Records. 

              	
                12

              
	
                ARTICLE
                  III. SERVICING OF THE MORTGAGE LOANS 

              	
                13

              
	
                Section
                  3.01

              	
                Servicer
                  to Service. 

              	
                13

              
	
                Section
                  3.02

              	
                Collection
                  of Mortgage Loan Payments. 

              	
                15

              
	
                Section
                  3.03

              	
                Establishment
                  of and Deposits to Custodial Account. 

              	
                15

              
	
                Section
                  3.04

              	
                Permitted
                  Withdrawals From Custodial Account. 

              	
                16

              
	
                Section
                  3.05

              	
                Establishment
                  of and Deposits to Escrow Account. 

              	
                17

              
	
                Section
                  3.06

              	
                Permitted
                  Withdrawals From Escrow Account. 

              	
                18

              
	
                Section
                  3.07

              	
                Maintenance
                  of PMI Policy and/or LPMI Policy; Claims. 

              	
                19

              
	
                Section
                  3.08

              	
                Fidelity
                  Bond and Errors and Omissions Insurance. 

              	
                20

              
	
                Section
                  3.09

              	
                Notification
                  of Adjustments. 

              	
                20

              
	
                Section
                  3.10

              	
                Completion
                  and Recordation of Assignments of Mortgage. 

              	
                20

              
	
                Section
                  3.11

              	
                Protection
                  of Accounts. 

              	
                21

              
	
                Section
                  3.12

              	
                Payment
                  of Taxes, Insurance and Other Charges. 

              	
                21

              
	
                Section
                  3.13

              	
                Maintenance
                  of Hazard Insurance. 

              	
                22

              
	
                Section
                  3.14

              	
                Maintenance
                  of Mortgage Blanket Insurance.

              	
                22

              
	
                Section
                  3.15

              	
                Restoration
                  of Mortgaged Property. 

              	
                23

              
	
                Section
                  3.16

              	
                Title,
                  Management and Disposition of REO Property. 

              	
                23

              
	
                Section
                  3.17

              	
                Real
                  Estate Owned Reports. 

              	
                26

              
	
                Section
                  3.18

              	
                MERS.
                  

              	
                26

              
	
                Section
                  3.19

              	
                Waiver
                  of Prepayment Penalty Amounts. 

              	
                26

              
	
                Section
                  3.20

              	
                Safeguarding
                  Customer Information. 

              	
                27

              
	
                ARTICLE
                  IV. 

              	
                27

              
	
                Section
                  4.01

              	
                Remittances.
                  

              	
                27

              
	
                Section
                  4.02

              	
                Statements
                  to Master Servicer. 

              	
                28

              
	
                Section
                  4.03

              	
                Monthly
                  Advances by Servicer. 

              	
                29

              
	 ARTICLE
                V. GENERAL SERVICING PROCEDURES 	
                30

              
	
                Section
                  5.01

              	
                Servicing
                  Compensation. 

              	
                30

              
	
                Section
                  5.02

              	
                Annual
                  Audit Report. 

              	
                30

              
	
                Section
                  5.03

              	
                Annual
                  Officer’s Certificate. 

              	
                30

              
	
                Section
                  5.04

              	
                Transfers
                  of Mortgaged Property. 

              	
                31

              
	
                ARTICLE
                  VI. REPRESENTATIONS, WARRANTIES AND AGREEMENTS 

              	
                33

              
	
                Section
                  6.01

              	
                Representations,
                  Warranties and Agreements of the Servicer. 

              	
                33

              
	
                Section
                  6.02

              	
                Remedies
                  for Breach of Representations and Warranties of the Servicer.
                  

              	
                34

              
	
                Section
                  6.03

              	
                Additional
                  Indemnification by the Servicer; Third Party Claims. 

              	
                35

              
	
                Section
                  6.04

              	
                [Reserved].
                  

              	
                36

              

      

       

      
        
          
          

        

        
          ii

          
            

          

        

        
          
          

        

      

       

      
        	
                Section
                  6.05

              	
                Indemnification
                  with Respect to Certain Taxes and Loss of REMIC Status. 

              	
                36

              
	
                Section
                  6.06

              	
                Reporting
                  Requirements of the Commission and Indemnification. 

              	
                36

              
	
                ARTICLE
                  VII. THE SERVICER 

              	
                37

              
	
                Section
                  7.01

              	
                Merger
                  or Consolidation of the Servicer. 

              	
                37

              
	
                Section
                  7.02

              	
                Limitation
                  on Liability of the Servicer and Others. 

              	
                37

              
	
                Section
                  7.03

              	
                Limitation
                  on Resignation and Assignment by the Servicer. 

              	
                38

              
	
                Section
                  7.04

              	
                Subservicing
                  Agreements and Successor Subservicer. 

              	
                39

              
	
                ARTICLE
                  VIII. TERMINATION 

              	
                40

              
	
                Section
                  8.01

              	
                Termination
                  for Cause. 

              	
                40

              
	
                Section
                  8.02

              	
                Termination
                  Without Cause. 

              	
                41

              
	
                ARTICLE
                  IX. MISCELLANEOUS PROVISIONS 

              	
                42

              
	
                Section
                  9.01

              	
                Successor
                  to the Servicer. 

              	
                42

              
	
                Section
                  9.02

              	
                Costs.
                  

              	
                44

              
	
                Section
                  9.03

              	
                Notices.
                  

              	
                44

              
	
                Section
                  9.04

              	
                Severability
                  Clause. 

              	
                45

              
	
                Section
                  9.05

              	
                No
                  Personal Solicitation. 

              	
                46

              
	
                Section
                  9.06

              	
                Counterparts.
                  

              	
                46

              
	
                Section
                  9.07

              	
                Place
                  of Delivery and Governing Law. 

              	
                46

              
	
                Section
                  9.08

              	
                Further
                  Agreements. 

              	
                47

              
	
                Section
                  9.09

              	
                Intention
                  of the Parties. 

              	
                47

              
	
                Section
                  9.10

              	
                Successors
                  and Assigns; Assignment of Servicing Agreement. 

              	
                47

              
	
                Section
                  9.11

              	
                Assignment
                  by the Seller. 

              	
                47

              
	
                Section
                  9.12

              	
                Waivers.
                  

              	
                47

              
	
                Section
                  9.13

              	
                Exhibits.
                  

              	
                47

              
	
                Section
                  9.14

              	
                General
                  Interpretive Principles. 

              	
                48

              
	
                Section
                  9.15

              	
                Reproduction
                  of Documents. 

              	
                48

              
	
                Section
                  9.16

              	
                Protection
                  of Confidential Information. 

              	
                48

              
	
                Section
                  9.17

              	
                Amendment.
                  

              	
                49

              

      

    

     

    
      	
              EXHIBIT
                A 

            	
              Mortgage
                Loan Schedule

            

      	
              EXHIBIT
                B

            	
              Custodial
                Account Certification

            

    

    
      	
              EXHIBIT
                C

            	
              Escrow
                Account Certification

            

    

    
      	
              EXHIBIT
                D-1

            	
              Master
                Servicer Data Field Requirements (Standard
                Layout)

            

    

    
      	
              EXHIBIT
                D-2

            	
              Master
                Servicer Default File Format

            

    

    
      	
              EXHIBIT
                E

            	
              Form
                of Certification to be Provided to the Depositor, the Master Servicer
                and
                the Trustee by the Servicer

            

    

     

    
      
        
        

      

      
        iii

        
          

        

      

      
        
        

      

    

     

    SERVICING
      AGREEMENT

     

    THIS
      SERVICING AGREEMENT (this “Agreement”), entered into as of the [__] day of
      [________], 20[__], by and among [____________], a [____________] (“the
“Seller”), [____________], a [____________] (the “Servicer”), and
      [____________], as Master Servicer under the Pooling and Servicing Agreement
      (as
      defined herein), recites and provides as follows:

     

    RECITALS

     

    [ADD
      ANY
      NECESSARY RECITALS]

     

    WHEREAS,
      the Seller has conveyed certain mortgage loans identified on Exhibit A hereto
      (the “Mortgage Loans”) on a [____________] basis to Thornburg Mortgage
      Securities Corporation, a Delaware corporation (the “Depositor”), pursuant to a
      mortgage loan purchase agreement dated as of [________] [__], 20[__] (the
“Mortgage Loan Purchase Agreement”), which in turn has conveyed the Mortgage
      Loans to [______________], solely in its capacity as trustee (in such capacity,
      the “Trustee”), under a pooling and servicing agreement dated as of [________]
      [__], 20[__] (the “Pooling and Servicing Agreement”), among the Trustee,
      [______________], as master servicer (“[______________],” and together with any
      successor Master Servicer appointed pursuant to the provisions of the Pooling
      and Servicing Agreement, the “Master Servicer”), and the Depositor.

     

    WHEREAS,
      from time to time certain other mortgage loans conveyed by the Depositor to
      the
      Trustee under the Pooling and Servicing Agreement on the Closing Date and
      serviced by other servicers may subsequent to the Closing Date be transferred
      to
      the Servicer for servicing under this Agreement and Exhibit A hereto will be
      amended to include such mortgage loans which will then be “Mortgage Loans” under
      this Agreement.

     

    WHEREAS,
      the Seller desires that the Servicer service the Mortgage Loans pursuant to
      this
      Agreement, and the Servicer has agreed to do so, subject to the right of the
      Seller and of the Master Servicer to terminate the rights and obligations of
      the
      Servicer hereunder at any time and to the other conditions set forth
      herein.

     

    WHEREAS,
      the Master Servicer shall be obligated under the Pooling and Servicing
      Agreement, among other things, to supervise the servicing of the Mortgage Loans
      on behalf of the Trustee, and shall have the right, under certain circumstances,
      to terminate the rights and obligations of the Servicer under this Servicing
      Agreement.

     

    WHEREAS,
      the Seller and the Servicer acknowledge and agree that the Seller will assign
      all of its rights and delegate all of its obligations hereunder (excluding
      the
      Seller’s rights and obligations as owner of the servicing rights relating to the
      Mortgage Loans) to the Depositor and the Depositor will assign all of its rights
      (but not the obligations, except as set forth in the Pooling and Servicing
      Agreement) hereunder to the Trustee pursuant to the Pooling and Servicing
      Agreement, and that each reference herein (other than with respect to the
      Seller’s ownership of the servicing rights) to the Seller is intended, unless
      otherwise specified, to mean the Seller or the Trustee, as assignee, whichever
      is the owner of the Mortgage Loans from time to time.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    NOW,
      THEREFORE, in consideration of the mutual agreements hereinafter set forth
      and
      for other good and valuable consideration, the receipt and adequacy of which
      are
      hereby acknowledged, the Seller, the Servicer and the Master Servicer hereby
      agree as follows:

     

    ARTICLE
      I

     

    DEFINITIONS

     

    The
      following terms are defined as follows (except as otherwise agreed in writing
      by
      the parties):

     

    Accepted
      Servicing Practices:
      With
      respect to any Mortgage Loan, those mortgage servicing practices of prudent
      mortgage lending institutions that service mortgage loans of the same type
      as
      such Mortgage Loans in the jurisdiction where the related Mortgaged Property
      is
      located.

     

    Adjustable
      Rate Mortgage Loan:
      A
      Mortgage Loan serviced pursuant to this Agreement under which the Mortgage
      Interest Rate is adjusted from time to time in accordance with the terms and
      provisions of the related Mortgage Note.

     

    Aggregate
      Loan Balance:
      At any
      date of determination, the outstanding principal balance of the Mortgage Loans
      serviced hereunder.

     

    Agreement:
      This
      Servicing Agreement and all amendments hereof and supplements
      hereto.

     

    Ancillary
      Income:
      All
      income derived from the Mortgage Loans, other than Servicing Fees and Prepayment
      Penalty Amounts, 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. 

     

    Assignment
      of Mortgage:
      An
      assignment of the Mortgage, notice of transfer or equivalent instrument in
      recordable form, sufficient under the laws of the jurisdiction wherein the
      related Mortgaged Property is located to reflect the transfer of the Mortgage
      to
      the party indicated therein, which assignment, notice of transfer or equivalent
      instrument may be in the form of one or more blanket assignments covering the
      Mortgage Loans secured by Mortgaged Properties located in the same jurisdiction,
      if permitted by law.

     

    Best
      Efforts:
      Efforts
      determined to be reasonably diligent by the Seller or the Servicer, as the
      case
      may be, in its sole discretion. Such efforts do not require the Seller or the
      Servicer, as the case may be, to enter into any litigation, arbitration or
      other
      legal or quasi-legal proceeding, nor do they require the Seller or the Servicer,
      as the case may be, to advance or expend fees or sums of money in addition
      to
      those specifically set forth in this Agreement.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    Business
      Day:
      Any day
      other than (i) a Saturday or a Sunday or (ii) a day on which banking
      institutions in [__________],[__________],[__________], New York, New York
      or,
      if other than New York, the city in which the corporate trust office of the
      Trustee is located.

     

    Certificates:
      Any or
      all of the Certificates issued pursuant to the Pooling and Servicing
      Agreement.

     

    Closing
      Date:
      [________] [__], 20[__].

     

    Code:
      The
      Internal Revenue Code of 1986, as it may be amended from time to time or any
      successor statute thereto, and applicable U.S. Department of the Treasury
      regulations issued pursuant thereto.

     

    Condemnation
      Proceeds:
      All
      awards of settlements in respect of a Mortgaged Property, whether permanent
      or
      temporary, partial or entire, by exercise of the power of eminent domain or
      condemnation, to the extent not required to be released to a Mortgagor in
      accordance with the terms of the related Mortgage Loan documents.

     

    Costs:
      For any
      Person, any claims, losses, damages, penalties, fines, forfeitures, reasonable
      and necessary legal fees and related costs, judgments, and other costs and
      expenses of such Person.

     

    Custodial
      Account:
      The
      separate account or accounts created and maintained pursuant to Section
      3.03.

     

    Custodian:
      Each of
      [___________],[___________] and [___________] and their respective
      successors.

     

    Cut-off
      Date:
      [________] [__], 20[__].

     

    Depositor:
      Thornburg Mortgage Securities Corporation or any successor in
      interest.

     

    Determination
      Date:
      With
      respect to each Remittance Date, the [___] day of the month in which such
      Remittance Date occurs, or, if such [___] day is not a Business Day, the next
      succeeding Business Day.

     

    Due
      Date:
      The day
      of the month on which the Monthly Payment is due on a Mortgage Loan, exclusive
      of any days of grace. With respect to the Mortgage Loans for which payment
      from
      the Mortgagor is due on a day other than the first day of the month, such
      Mortgage Loans will be treated as if the Monthly Payment is due on the first
      day
      of the immediately succeeding month.

     

    Due
      Period:
      With
      respect to each Remittance Date, the period commencing on the second day of
      the
      month immediately preceding the month of the Remittance Date and ending on
      the
      first day of the month of the Remittance Date.

     

    Eligible
      Deposit Account:
      An
      account that is maintained with a federal or state-chartered depository
      institution or trust company that complies with the definition of Eligible
      Institution.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    Eligible
      Institution:
      Any of
      the following:

     

    
      	 	
              (i)

            	
              an
                institution whose:

            

    

     

    (A) commercial
      paper, short-term debt obligations, or other short-term deposits are rated
      at
      least “A-1+” or long-term unsecured debt obligations are rated at least “AA-” by
      S&P, if the amounts on deposit are to be held in the account for no more
      than 365 days; or

     

    (B) commercial
      paper, short-term debt obligations, demand deposits, or other short-term
      deposits are rated at least “A-2” by S&P, if the amounts on deposit are to
      be held in the account for no more than 30 days and are not intended to be
      used
      as credit enhancement. Upon the loss of the required rating set forth in this
      clause (ii), the accounts shall be transferred immediately to accounts which
      have the required rating. Furthermore, commingling by the Servicer is acceptable
      at the A-2 rating level if the Servicer is a bank, thrift or depository and
      provided the Servicer has the capability to immediately segregate funds and
      commence remittance to an Eligible Deposit Account upon a downgrade;
      or

     

    (ii) the
      corporate trust department of a federal depository institution or
      state-chartered depository institution subject to regulations regarding
      fiduciary funds on deposit similar to Title 12 of the U.S. Code of Federal
      Regulation Section 9.10(b), which, in either case, has corporate trust powers
      and is acting in its fiduciary capacity.

     

    Eligible
      Investments:
      Any one
      or more of the obligations and securities listed below which investment provides
      for a date of maturity not later than the Determination Date in each
      month:

     

    (i)
       direct
      obligations of, and obligations fully guaranteed as to timely payment of
      principal and interest by, the United States of America or any agency or
      instrumentality of the United States of America the obligations of which are
      backed by the full faith and credit of the United States of America (“Direct
      Obligations”);

     

    (ii)
       federal
      funds, or demand and time deposits in, certificates of deposits of, or bankers’
acceptances issued by, any depository institution or trust company (including
      U.S. subsidiaries of foreign depositories and the Trustee or any agent of the
      Trustee, acting in its respective commercial capacity) incorporated or organized
      under the laws of the United States of America or any state thereof and subject
      to supervision and examination by federal or state banking authorities, so
      long
      as at the time of investment or the contractual commitment providing for such
      investment the commercial paper or other short-term debt obligations of such
      depository institution or trust company (or, in the case of a depository
      institution or trust company which is the principal subsidiary of a holding
      company, the commercial paper or other short-term debt or deposit obligations
      of
      such holding company or deposit institution, as the case may be) have been
      rated
      by each Rating Agency in its highest short-term rating category or one of its
      two highest long-term rating categories;

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    (iii)
       repurchase
      agreements collateralized by Direct Obligations or securities guaranteed by
      Ginnie Mae, Fannie Mae or Freddie Mac with any registered broker/dealer subject
      to Securities Investors’ Protection Corporation jurisdiction or any commercial
      bank insured by the FDIC, if such broker/dealer or bank has an uninsured,
      unsecured and unguaranteed obligation rated by each Rating Agency in its highest
      short-term rating category;

     

    (iv)
       securities
      bearing interest or sold at a discount issued by any corporation incorporated
      under the laws of the United States of America or any state thereof which have
      a
      credit rating from each Rating Agency, at the time of investment or the
      contractual commitment providing for such investment, at least equal to one
      of
      the two highest long-term credit rating categories of each Rating Agency;
provided,
      however,
      that
      securities issued by any particular corporation will not be Eligible Investments
      to the extent that investment therein will cause the then outstanding principal
      amount of securities issued by such corporation and held as part of the Trust
      Fund to exceed 20% of the sum of the Aggregate Loan Balance and the aggregate
      principal amount of all Eligible Investments in the Certificate Account;
      provided, further, that such securities will not be Eligible Investments if
      they
      are published as being under review with negative implications from any Rating
      Agency;

     

    (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 180 days after the date of issuance thereof) rated by each Rating Agency
      in
      its highest short-term rating category;

     

    (vi)
       a
      Qualified GIC;

     

    (vii)
       certificates
      or receipts representing direct ownership interests in future interest or
      principal payments on obligations of the United States of America or its
      agencies or instrumentalities (which obligations are backed by the full faith
      and credit of the United States of America) held by a custodian in safekeeping
      on behalf of the holders of such receipts; and

     

    (viii)
       any
      other
      demand, money market, common trust fund or time deposit or obligation, or
      interest-bearing or other security or investment, (A) rated in the highest
      rating category by each Rating Agency or (B) that would not adversely affect
      the
      then current rating by any Rating Agency of any of the Certificates. Such
      investments in this subsection (viii) may include money market mutual funds
      or
      common trust funds, including any fund for which the Trustee, the Master
      Servicer or an affiliate thereof serves as an investment advisor, administrator,
      shareholder servicing agent, and/or custodian or subcustodian, notwithstanding
      that (x) the Trustee, the Master Servicer or an affiliate thereof charges and
      collects fees and expenses from such funds for services rendered, (y) the
      Trustee, the Master Servicer or an affiliate thereof charges and collects fees
      and expenses for services rendered pursuant to this Agreement, and (z) services
      performed for such funds and pursuant to this Agreement may converge at any
      time.

     

    provided,
      however,
      that no
      such instrument shall be an Eligible Investment if such instrument evidences
      either (i) a right to receive only interest payments with respect to the
      obligations underlying such instrument, or (ii) both principal and interest
      payments derived from obligations underlying such instrument and the principal
      and interest payments with respect to such instrument provide a yield to
      maturity of greater than 120% of the yield to maturity at par of such underlying
      obligations.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    Errors
      and Omissions Insurance:
      Errors
      and Omissions Insurance to be maintained by the Servicer in accordance with
      the
      Fannie Mae Guides.

     

    Escrow
      Account:
      The
      separate account or accounts created and maintained pursuant to Section
      3.05.

     

    Escrow
      Payments:
      With
      respect to any Mortgage Loan, the amounts constituting ground rents, taxes,
      assessments, water rates, sewer rents, municipal charges, mortgage insurance
      premiums, fire and hazard insurance premiums, condominium charges, and any
      other
      payments required to be escrowed by the Mortgagor with the mortgagee pursuant
      to
      the Mortgage or any other related document.

     

    Event
      of Default:
      Any
      event set forth in Section 8.01.

     

    Fannie
      Mae:
      Fannie
      Mae, or any successor thereto.

     

    Fannie
      Mae Guides:
      The
      Fannie Mae Selling Guide and the Fannie Mae Servicing Guide and all amendments
      or additions thereto.

     

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

     

    Fidelity
      Bond:
      A
      fidelity bond to be maintained by the Servicer in accordance with the Fannie
      Mae
      Guides.

     

    Freddie
      Mac:
      Freddie
      Mac or any successor thereto.

     

    Ginnie
      Mae:
      The
      Government National Mortgage Association or any successor thereto.

     

    Insurance
      Proceeds:
      With
      respect to each Mortgage Loan, proceeds of insurance policies insuring the
      Mortgage Loan or the related Mortgaged Property including proceeds of any hazard
      or flood insurance policy, PMI Policy or LPMI Policy.

     

    Liquidation
      Proceeds:
      Cash
      received in connection with the liquidation of a defaulted Mortgage Loan,
      whether through the sale or assignment of such Mortgage Loan, trustee’s sale,
      foreclosure sale or otherwise, or the sale of the related REO Property, if
      the
      Mortgaged Property is acquired in satisfaction of the Mortgage
      Loan.

     

    LPMI
      Fee:
      With
      respect to each LPMI Loan, the portion of the Mortgage Interest Rate as set
      forth on the related Mortgage Loan Schedule (which shall be payable solely
      from
      the interest portion of Monthly Payments, Insurance Proceeds, Condemnation
      Proceeds or Liquidation Proceeds), which, during such period prior to the
      required cancellation of the LPMI Policy, shall be used to pay the premium
      due
      on the related LPMI Policy.

     

    LPMI
      Insurer:
      [________________].

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    LPMI
      Loan:
      A
      Mortgage Loan covered by an LPMI Policy, as set forth in the Mortgage Loan
      Schedule or otherwise identified to the Servicer in writing.

     

    LPMI
      Policy:
      A
      policy of primary mortgage guaranty insurance issued by a LPMI Insurer pursuant
      to which the related premium is to be paid from payments of interest made by
      the
      Mortgagor.

     

    Master
      Servicer:
      [________________],
      or any
      successor in interest, or if any successor master servicer shall be appointed
      as
      provided in the Pooling and Servicing Agreement, then such successor master
      servicer.

     

    MERS:
      Mortgage Electronic Registration Systems, Inc., a Delaware corporation, or
      any
      successor in interest thereto.

     

    MERS
      Eligible Mortgage Loan:
      Any
      Mortgage
      Loan that has been designated by the Servicer as recordable in the name of
      MERS.

     

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

     

    Monthly
      Advance:
      With
      respect to each Remittance Date and each Mortgage Loan, an amount equal to
      the Monthly Payment (with the interest portion of such Monthly Payment adjusted
      to the Mortgage Loan Remittance Rate) that was due on the Mortgage Loan on
      the
      Due Date in the related Due Period, and that (i) was delinquent at the close
      of
      business on the related Determination Date and (ii) was not the subject of
      a
      previous Monthly Advance, but only to the extent that such amount is expected,
      in the reasonable judgment of the Servicer, to be recoverable from collections
      or other recoveries in respect of such Mortgage Loan. To the extent that the
      Servicer determines that any such amount is not recoverable from collections
      or
      other recoveries in respect of such Mortgage Loan, such determination shall
      be
      evidenced by a certificate of a Servicing Officer delivered to the Master
      Servicer setting forth such determination and the procedures and considerations
      of the Servicer forming the basis of such determination.

     

    Monthly
      Payment:
      The
      scheduled monthly payment of principal and interest on a Mortgage
      Loan.

     

    Mortgage:
      The
      mortgage, deed of trust or other instrument securing a Mortgage Note, which
      creates a first [or second lien] on an unsubordinated estate in fee simple
      in
      real property securing the Mortgage Note.

     

    Mortgage
      Loan:
      An
      individual Mortgage Loan that is the subject of this Agreement, each Mortgage
      Loan subject to this Agreement being identified on the Mortgage Loan Schedule,
      which Mortgage Loan includes without limitation the Mortgage Loan documents,
      the
      Monthly Payments, Principal Prepayments, Liquidation Proceeds, Condemnation
      Proceeds, Insurance Proceeds, REO Disposition Proceeds, and all other rights,
      benefits, proceeds and obligations arising from or in connection with such
      Mortgage Loan.

     

    
      
        
        

      

      
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    Mortgage
      Loan Remittance Rate:
      With
      respect to each Mortgage Loan, the annual rate of interest remitted to the
      Master Servicer, which shall be equal to the Mortgage Interest Rate minus the
      applicable Servicing Fee.

     

    Mortgage
      Loan Schedule:
      A
      schedule of the Mortgage Loans setting forth information with respect to such
      Mortgage Loans (including any MERS identification number (if available) with
      respect to each MERS Mortgage Loan or MERS Eligible Mortgage Loan and a
      Prepayment Penalty Schedule), attached hereto as Exhibit A, which may be amended
      from time to time to include additional mortgage loans which are transferred
      to
      the Servicer by a Prior Servicer in a Servicing Transfer.

     

    Mortgage
      Note:
      The
      note or other evidence of the indebtedness of a Mortgagor secured by a
      Mortgage.

     

    Mortgaged
      Property:
      The
      real property securing repayment of the debt evidenced by a Mortgage
      Note.

     

    Mortgagor:
      The
      obligor on a Mortgage Note.

     

    Non-MERS
      Eligible Mortgage Loan:
      Any
      Mortgage
      Loan other than a MERS Eligible Mortgage Loan.

     

    Non-MERS
      Mortgage Loan:
      Any
      Mortgage Loan other than a MERS Mortgage Loan.

     

    Opinion
      of Counsel:
      A
      written opinion of counsel, who may be an employee of the Servicer, reasonably
      acceptable to the Seller, but which must be independent outside counsel with
      respect to any such opinion of counsel concerning (i) the non-recordation of
      Mortgage Loans pursuant to Section 2.02 hereof and (ii) federal income tax
      matters.

     

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

     

    PMI
      Policy:
      A
      policy of primary mortgage guaranty insurance issued by a Qualified Insurer,
      as
      required by this Agreement with respect to certain Mortgage Loans.

     

    Pooling
      and Servicing Agreement:
      The
      Pooling and Servicing Agreement dated as of [________] [__], 20[__], among
      the
      Trustee, the Master Servicer and the Depositor.

     

    Prepayment
      Interest Excess Amount:
      With
      respect to any Principal Prepayment in full which is applied to the related
      Mortgage Loan from the first day of the month of any Remittance Date through
      the
      sixteenth day of the month of such Remittance Date, all amounts paid in respect
      of interest on such Principal Prepayment in full. A Prepayment Interest Excess
      Amount cannot result from a Principal Prepayment in part, but only from a
      Principal Prepayment in full. [May vary in accordance with
      transaction.]

     

    Prepayment
      Interest Shortfall Amount:
      With
      respect to any Remittance Date and any Principal Prepayment in full which is
      applied to the related Mortgage Loan from the seventeenth day of the month
      immediately preceding the month of such Remittance Date through the last day
      of
      the month immediately preceding the month of such Remittance Date, the amount
      of
      interest (net of the related Servicing Fee) that would have accrued on the
      amount of such Principal Prepayment in full from the date on which such
      Principal Prepayment was applied to such Mortgage Loan until the last day of
      the
      month immediately preceding the month of such Remittance Date, inclusive. With
      respect to any Remittance Date and any Principal Prepayment in part which is
      applied to the related Mortgage Loan during the related Prepayment Period,
      the
      amount of interest that would have accrued on the amount of such Principal
      Prepayment in part from the date on which such Principal Prepayment in part
      was
      applied to such Mortgage Loan until the end of the Prepayment Period, inclusive.
      [May vary in accordance with transaction.]

     

    
      
        
        

      

      
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    Prepayment
      Penalty Amount:
      With
      respect to any Remittance Date, all prepayment penalties, penalty or yield
      maintenance premiums or charges paid by the obligors under the Mortgage Notes
      due to Principal Prepayments collected by the Servicer during the immediately
      preceding Prepayment Period.

     

    Prepayment
      Penalty Schedule:
      A data
      field in the Mortgage Loan Schedule attached hereto as Exhibit A which sets
      forth the amount or method of calculation of the Prepayment Penalty Amount
      and
      the term during which such Prepayment Penalty Amount is imposed with respect
      to
      a Mortgage Loan.

     

    Prepayment
      Period:
      With
      respect to any Remittance Date and a Principal Prepayment in full, the period
      from the seventeenth day of the month immediately preceding the month of such
      Remittance Date to the sixteenth day of the month of such Remittance Date.
      With
      respect to any Remittance Date and any Principal Prepayment in part, the
      calendar month immediately preceding the month of such Remittance Date. [May
      vary in accordance with transaction.]

     

    Prime
      Rate:
      The
      prime rate published from time to time, as published as the average rate in
      The
      Wall Street Journal Northeast Edition.

     

    Principal
      Prepayment:
      Any
      payment or other recovery of principal 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 scheduled interest due on any date or dates in any month
      or months subsequent to the month of prepayment. 

     

    Prior
      Servicer:
      Any
      prior servicer (other than the Servicer) of any of the Mortgage
      Loans.

     

    Qualified
      Insurer:
      A
      mortgage guaranty insurance company duly authorized and licensed where required
      by law to transact mortgage guaranty insurance business and approved as an
      insurer by Fannie Mae or Freddie Mac.

     

    Rating
      Agency:
      Each of
      [_______], [_______] and [_______].

     

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

     

    
      
        
        

      

      
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    Remittance
      Date:
      The
      [___] day (or if such [___] day is not a Business Day, the first Business Day
      immediately following) of any month.

     

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

     

    REO
      Disposition Proceeds:
      All
      amounts received with respect to an REO Disposition pursuant to Section
      3.16.

     

    REO
      Property:
      A
      Mortgaged Property acquired by the Servicer on behalf of the Trustee through
      foreclosure or by deed in lieu of foreclosure, pursuant to Section
      3.16.

     

    Retained
      Interest:
      The
      meaning set forth in the Pooling and Servicing Agreement.

     

    Retained
      Interest Holder:
      The
      meaning set forth in the Pooling and Servicing Agreement.

     

    Seller:
      [______________] or its successors in interest and assigns.

     

    Servicer:
      [______________] or its successor in interest or assigns or any successor to
      the
      Servicer under this Agreement as herein provided.

     

    Servicing
      Advances:
      All
      customary, reasonable and necessary “out of pocket” costs and expenses
      (including reasonable attorneys’ fees and disbursements) incurred in the
      performance by the Servicer of its servicing obligations, including, but not
      limited to, the cost of (i) the preservation, inspection, restoration and
      protection of the Mortgaged Property, (ii) any enforcement or administrative
      or
      judicial proceedings, including foreclosures, (iii) the management and
      liquidation of the Mortgaged Property if the Mortgaged Property is acquired
      in
      satisfaction of the Mortgage, (iv) taxes, assessments, water rates, sewer rents
      and other charges which are or may become a lien upon the Mortgaged Property,
      and PMI Policy premiums and
      fire
      and hazard insurance coverage, (v) any losses sustained by the Servicer with
      respect to the liquidation of the Mortgaged Property and (vi) compliance with
      the obligations pursuant to the provisions of the Fannie Mae
      Guides.

     

    Servicing
      Fee:
      An
      amount equal to (a) one-twelfth the product of (i) a rate per annum equal to
      [___]% and (ii) the outstanding principal balance of such Mortgage Loan and
      (b)
      any Prepayment Interest Excess Amount. The obligation of the Trustee to pay
      the
      Servicing Fee is limited to, and the Servicing Fee is payable solely from the
      interest portion (including recoveries with respect to interest from Liquidation
      Proceeds to the extent permitted by Section 3.04 of this Agreement) of such
      Monthly Payment collected by the Servicer or as otherwise provided under this
      Agreement.

     

    Servicing
      File:
      The
      items pertaining to a particular Mortgage Loan including, but not limited to,
      the computer files, data disks, books, records, data tapes, notes, and all
      additional documents generated as a result of or utilized in originating and/or
      servicing each Mortgage Loan, which are held in trust for the Trustee by the
      Servicer.

     

    Servicing
      Officer:
      Any
      officer of the Servicer involved in or responsible for, the administration
      and
      servicing of the Mortgage Loans whose name appears on a list of servicing
      officers furnished by the Servicer to the Master Servicer or the Seller upon
      request, as such list may from time to time be amended.

     

    
      
        
        

      

      
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    Servicing
      Transfer:
      Any
      transfer of the servicing by a Prior Servicer of Mortgage Loans to the Servicer
      under this Agreement.

     

    Servicing
      Transfer Date:
      The
      date on which a Servicing Transfer occurs.

     

    S&P:
      Standard & Poor’s Ratings Services, a division of The McGraw-Hill Companies,
      Inc. or any successor in interest.

     

    Trust
      Fund:
      The
      trust fund established by the Pooling and Servicing Agreement, the assets of
      which consist of the Mortgage Loans and any related assets.

     

    Trustee:
      [_________] or any successor in interest, or if any successor trustee or
      co-trustee shall be appointed as provided in the Pooling and Servicing
      Agreement, then such successor trustee or such co-trustee, as the case may
      be.

     

    Any
      capitalized terms used and not defined in this Agreement shall have the meanings
      ascribed to such terms in the Pooling and Servicing Agreement.

     

    ARTICLE
      II

     

    SELLER’S
      ENGAGEMENT OF SERVICER TO PERFORM SERVICING

    RESPONSIBILITIES

     

    Section
      2.01  Contract
      for Servicing; Possession of Servicing Files.

     

    The
      Seller, by execution and delivery of this Agreement, does hereby contract with
      the Servicer, subject to the terms of this Agreement, for the servicing of
      the
      Mortgage Loans. On or before the Closing Date or Servicing Transfer Date, as
      applicable, the Seller shall cause to be delivered the Servicing Files with
      respect to the Mortgage Loans listed on the Mortgage Loan Schedule to the
      Servicer. Each Servicing File delivered to a Servicer shall be held in trust
      by
      such Servicer for the benefit of the Trustee; provided, however, that the
      Servicer shall have no liability for any Servicing Files (or portions thereof)
      not delivered by the Seller. The Servicer’s possession of any portion of the
      Mortgage Loan documents shall be at the will of the Trustee for the sole purpose
      of facilitating servicing of the related Mortgage Loan pursuant to this
      Agreement, and such retention and possession by the Servicer shall be in a
      custodial capacity only. The ownership of each Mortgage Note, Mortgage, and
      the
      contents of the Servicing File shall be vested in the Trustee and the ownership
      of all records and documents with respect to the related Mortgage Loan prepared
      by or which come into the possession of the Servicer shall immediately vest
      in
      the Trustee and shall be retained and maintained, in trust, by the Servicer
      at
      the will of the Trustee in such custodial capacity only. The portion of each
      Servicing File retained by the Servicer pursuant to this Agreement shall be
      segregated from the other books and records of the Servicer and shall be
      appropriately marked to clearly reflect the ownership of the related Mortgage
      Loan by the Trustee. The Servicer shall release from its custody the contents
      of
      any Servicing File retained by it only in accordance with this
      Agreement.

     

    
      
        
        

      

      
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    Section
      2.02  Books
      and Records.

     

    (a)
       Subject
      to Section 3.01(a) hereof, as soon as practicable after the Closing Date, the
      Servicing Transfer Date or the date on which a Qualifying Substitute Mortgage
      Loan is delivered pursuant to Section [___] of the Pooling and Servicing
      Agreement, as applicable (but in no event more than 90 days thereafter except
      to
      the extent delays are caused by the applicable recording office), the Servicer,
      at the expense of the Depositor, shall cause the Mortgage or Assignment of
      Mortgage, as applicable, with respect to each MERS Eligible Mortgage Loan,
      to be
      properly recorded in the name of MERS in the public recording office in the
      applicable jurisdiction, or shall ascertain that such have previously been
      so
      recorded and, with the cooperation of the Trustee, shall take such actions
      as
      are necessary to cause the Trustee to be clearly identified as the owner of
      each
      MERS Mortgage Loan and each MERS Eligible Mortgage Loan on the records of MERS
      for purposes of the system of recording transfers of beneficial ownership of
      mortgages maintained by MERS.

     

    (b)
       Subject
      to Section 3.01(a) hereof, an Assignment of Mortgage in favor of the Trustee
      shall be recorded as to each Non-MERS Mortgage Loan unless instructions to
      the
      contrary are delivered to the Servicer, in writing, by the Seller. Subject
      to
      the preceding sentence, as soon as practicable after the Closing Date or
      Servicing Transfer Date, as applicable (but in no event more than 90 days
      thereafter except to the extent delays are caused by the applicable recording
      office), the Servicer, at the expense of the Seller, shall cause to be properly
      recorded in each public recording office where such Non-MERS Eligible Mortgage
      Loans are recorded each Assignment of Mortgage.

     

    (c)
       Additionally,
      the Servicer shall prepare and execute, at the direction of the Trustee, any
      note endorsements relating to any of the Non-MERS Mortgage Loans.

     

    (d)
       All
      rights arising out of the Mortgage Loans shall be vested in the Trustee, subject
      to the Servicer’s right to service and administer the Mortgage Loans hereunder
      in accordance with the terms of this Agreement. All funds received on or in
      connection with a Mortgage Loan, other than the Servicing Fee and other
      compensation to which the Servicer is entitled as set forth herein, including
      but not limited to any and all servicing compensation pursuant to Section 5.01
      below, shall be received and held by the Servicer in trust for the benefit
      of
      the Trustee pursuant to the terms of this Agreement.

     

    (e)
       Any
      out-of-pocket costs incurred by the Servicer pursuant to this Section 2.02
      and
      Section 3.01(a), including any recording or other fees in connection with the
      Servicer’s obtaining the necessary powers of attorney (and which are specified
      herein to be an expense of the Seller), shall be reimbursed to the Servicer
      by
      the Seller within five (5) Business Days of receipt by the Seller of an invoice
      for reimbursement. The Trust Fund shall not reimburse the Seller for any such
      reimbursement to the Servicer.

     

    (f)
       The
      Master Servicer and the Trustee shall have the right to examine the books,
      records and other information of the Servicer, with respect to or concerning
      this Agreement or the Mortgage Loans, during business hours or at such other
      times as may be reasonable under applicable circumstances, upon reasonable
      advance written notice to the Servicer.

     

    
      
        
        

      

      
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    ARTICLE
      III

     

    SERVICING
      OF THE MORTGAGE LOANS

     

    Section
      3.01  Servicer
      to Service.

     

    The
      Servicer, as an independent contractor, shall service and administer the
      Mortgage Loans from and after the Closing Date or Servicing Transfer Date,
      as
      applicable, and shall have full power and authority, acting alone, to do any
      and
      all things in connection with such servicing and administration which the
      Servicer may deem necessary or desirable, consistent with the terms of this
      Agreement and with Accepted Servicing Practices. 

     

    The
      Seller, the Master Servicer and the Servicer additionally agree that the
      Servicer will fully furnish, in accordance with the Fair Credit Reporting Act
      of
      1970, as amended (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 (three of the credit repositories), on a monthly basis.
      

     

    The
      Seller and the Servicer additionally agree as follows:

     

    (a)
       The
      Servicer shall (i) record or cause to be recorded the Mortgage or the Assignment
      of Mortgage, as applicable, with respect to all MERS Eligible Mortgage Loans,
      in
      the name of MERS, or shall ascertain that such have previously been so recorded;
      (ii) with the cooperation of the Trustee, take such actions as are necessary
      to
      cause the Trustee to be clearly identified as the owner of each MERS Mortgage
      Loan and each MERS Eligible Mortgage Loan on the records of MERS for purposes
      of
      the system of recording transfers of beneficial ownership of mortgages
      maintained by MERS; (iii) prepare or cause to be prepared all Assignments of
      Mortgage with respect to all Non-MERS Eligible Mortgage Loans; (iv) record
      or
      cause to be recorded, subject to Section 2.02(b) hereof, all Assignments of
      Mortgage with respect to Non-MERS Mortgage Loans in the name of the Trustee;
      (v)
      pay the recording costs pursuant to Section 2.02 hereof; and/or (vi) track
      such
      Mortgages and Assignments of Mortgage to ensure they have been recorded. The
      Servicer shall be entitled to be paid by the Seller fees for the preparation
      and
      recordation of the Mortgages and Assignments of Mortgage. After the expenses
      of
      such recording costs pursuant to Section 2.02 hereof shall have been paid by
      the
      Servicer, the Servicer shall submit to the Seller a reasonably detailed invoice
      for reimbursement of recording costs and fees it incurred
      hereunder.

     

    (b)
       If
      applicable, the Servicer shall, in accordance with the relevant provisions
      of
      the Cranston-Gonzales National Affordable Housing Act of 1990, as the same
      may
      be amended from time to time, and the regulations provided in accordance with
      the Real Estate Settlement Procedures Act, provide notice to the Mortgagor
      of
      each Mortgage Loan of the transfer of the servicing thereto to the
      Servicer.

     

    (c)
       The
      Servicer shall be responsible for the preparation of and costs associated with
      notifications to Mortgagors of the assumption of servicing by the
      Servicer.

     

    
      
        
        

      

      
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    Consistent
      with the terms of this Agreement and except as provided in Section 3.19, the
      Servicer may waive any late payment charge, assumption fee or other fee that
      may
      be collected in the ordinary course of servicing the Mortgage Loans. The
      Servicer shall not make any future advances to any obligor under any Mortgage
      Loan, and (unless the Mortgagor is in default with respect to the Mortgage
      Loan
      or such default is, in the judgment of the Servicer, reasonably foreseeable)
      the
      Servicer shall not permit any modification of any material term of any Mortgage
      Loan, including any modification that would change the Mortgage Interest Rate,
      defer or forgive the payment of principal or interest, reduce or increase the
      outstanding principal balance (except for actual payments of principal) or
      change the final maturity date on such Mortgage Loan. In the event of any such
      modification which permits the deferral of interest or principal payments on
      any
      Mortgage Loan, the Servicer shall, on the Business Day immediately preceding
      the
      Remittance Date in any month in which any such principal or interest payment
      has
      been deferred, make a Monthly Advance in accordance with Section 4.03, in an
      amount equal to the difference between (i) such month’s principal and one
      month’s interest at the Mortgage Loan Remittance Rate on the unpaid principal
      balance of such Mortgage Loan and (ii) the amount paid by the Mortgagor. The
      Servicer shall be entitled to reimbursement for such advances to the same extent
      as for all other advances made pursuant to Section 4.03. Without limiting the
      generality of the foregoing, the Servicer shall continue, and is hereby
      authorized and empowered, to execute and deliver on behalf of itself and the
      Trustee, all instruments of satisfaction or cancellation, or of partial or
      full
      release, discharge and all other comparable instruments, with respect to the
      Mortgage Loans and with respect to the Mortgaged Properties. Upon the request
      of
      the Servicer, the Trustee shall execute and deliver to the Servicer any powers
      of attorney and other documents, furnished to it by the Servicer and reasonably
      satisfactory to the Trustee, necessary or appropriate to enable the Servicer
      to
      carry out its servicing and administrative duties under this Agreement.
      Notwithstanding anything contained herein to the contrary, the Servicer shall
      not, without the Trustee’s written consent: (i) initiate any action suit or
      proceeding solely under the Trustee’s name without indicating the Servicer’s
      representative capacity; or (ii) take any action with the intent to cause,
      and
      that actually causes, the Trustee to be registered to do business in any state.
      Promptly after the execution of any assumption, modification, consolidation
      or
      extension of any Mortgage Loan, the Servicer shall forward to the Master
      Servicer copies of any documents evidencing such assumption, modification,
      consolidation or extension. Notwithstanding anything to the contrary contained
      in this Servicing Agreement, the Servicer shall not make or permit any
      modification, waiver or amendment of any term of any Mortgage Loan that would
      cause any REMIC created under the Pooling and Servicing Agreement to fail to
      qualify as a REMIC or result in the imposition of any tax under Section 860F(a)
      or Section 860G(d) of the Code.

     

    Notwithstanding
      anything to the contrary in this Agreement, the Servicer shall not (unless
      the
      Servicer determines, in its own discretion, that there exists a situation of
      extreme hardship to the Mortgagor), waive any premium or penalty in connection
      with a prepayment of principal of any Mortgage Loan, and shall not consent
      to
      the modification of any Mortgage Note to the extent that such modification
      relates to payment of a prepayment premium or penalty.

     

    In
      servicing and administering the Mortgage Loans, the Servicer shall employ
      procedures (including collection procedures) and exercise the same care that
      it
      customarily employs and exercises in servicing and administering mortgage loans
      for its own account, giving due consideration to Accepted Servicing Practices
      where such practices do not conflict with the requirements of this Agreement,
      the Fannie Mae Guides, and the Master Servicer’s and Seller’s reliance on the
      Servicer.

     

    
      
        
        

      

      
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    Section
      3.02  Collection
      of Mortgage Loan Payments.

     

    Continuously
      from the Closing Date or Servicing Transfer Date, as applicable, until the
      date
      each Mortgage Loan ceases to be subject to this Agreement, the Servicer shall
      proceed diligently to collect all payments due under each of the Mortgage Loans
      when the same shall become due and payable and shall take special care in
      ascertaining and estimating Escrow Payments and all other charges that will
      become due and payable with respect to the Mortgage Loans and each related
      Mortgaged Property, 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.

     

    Section
      3.03  Establishment
      of and Deposits to Custodial Account.

     

    The
      Servicer shall segregate and hold all funds collected and received pursuant
      to
      the Mortgage Loans separate and apart from any of its own funds and general
      assets and shall establish and maintain one or more Custodial Accounts, in
      the
      form of time deposit or demand accounts, titled as directed by the Master
      Servicer. The Custodial Account shall be an Eligible Deposit Account established
      with an Eligible Institution. Any funds deposited in the Custodial Account
      may
      be invested in Eligible Investments subject to the provisions of Section 3.11
      hereof. Funds deposited in the Custodial Account may be drawn on by the Servicer
      in accordance with Section 3.04. The creation of any Custodial Account shall
      be
      evidenced by a certification in the form of Exhibit B. A copy of such
      certification shall be furnished to the Master Servicer and, upon request,
      to
      any subsequent owner of the Mortgage Loans.

     

    The
      Servicer shall deposit in the Custodial Account on a daily basis, and retain
      therein, the following collections received by the Servicer and payments made
      by
      the Servicer after the Closing Date or Servicing Transfer Date, as
      applicable:

     

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

     

    (ii)
       all
      payments on account of interest on the Mortgage Loans adjusted to the Mortgage
      Loan Remittance Rate;

     

    (iii)
       all
      Liquidation Proceeds; 

     

    (iv)
       all
      Insurance Proceeds (other than amounts applied to the restoration or repair
      of
      the Mortgaged Property or immediately released to the Mortgagor in accordance
      with Accepted Servicing Practices);

     

    (v)
       all
      Condemnation Proceeds that are not applied to the restoration or repair of
      the
      Mortgaged Property or released to the Mortgagor;

     

    (vi)
       with
      respect to each Principal Prepayment in full or in part, the Prepayment Interest
      Shortfall Amount, if any, for the month of distribution. Such deposit shall
      be
      made from the Servicer’s own funds, without reimbursement therefor, up to a
      maximum amount per month of the Servicing Fee actually received for such month
      for the Mortgage Loans; 

     

    
      
        
        

      

      
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    (vii)
       all
      Monthly Advances made by the Servicer pursuant to Section 4.03;

     

    (viii)
       any
      amounts required to be deposited by the Servicer in connection with the
      deductible clause in any blanket hazard insurance policy;

     

    (ix)
       any
      amounts received with respect to or related to any REO Property or REO
      Disposition Proceeds;

     

    (x)
       any
      Prepayment Penalty Amounts; and

     

    (xi)
       any
      other
      amount required hereunder to be deposited by the Servicer in the Custodial
      Account.

     

    The
      foregoing requirements for deposit into the Custodial Account shall be
      exclusive, it being understood and agreed that, without limiting the generality
      of the foregoing, payments in the nature of the Servicing Fee and Ancillary
      Income need not be deposited by the Servicer into the Custodial
      Account.

     

    Any
      interest paid on funds deposited in the Custodial Account by the depository
      institution shall accrue to the benefit of the Servicer and the Servicer shall
      be entitled to retain and withdraw such interest from the Custodial Account
      pursuant to Section 3.04. Additionally, any other benefit derived from the
      Custodial Account associated with the receipt, disbursement and accumulation
      of
      principal, interest, taxes, hazard insurance, mortgage insurance, etc. shall
      accrue to the Servicer.

     

    Section
      3.04  Permitted
      Withdrawals From Custodial Account.

     

    The
      Servicer shall, from time to time, withdraw funds from the Custodial Account
      for
      the following purposes:

     

    (i)
       to
      make
      payments to the Master Servicer in the amounts and in the manner provided for
      in
      Section 4.01;

     

    (ii)
       with
      respect to each LPMI Loan, in the amount of the related LPMI Fee, to make
      payments with respect to premiums for LPMI Policies in accordance with Section
      3.07;

     

    (iii)
       in
      the
      event the Servicer has elected not to retain the Servicing Fee out of any
      Mortgagor payments on account of interest or other recovery of interest with
      respect to a particular Mortgage Loan (including late collections of interest
      on
      such Mortgage Loan, or interest portions of Insurance Proceeds, Condemnation
      Proceeds or Liquidation Proceeds) prior to the deposit of such Mortgagor payment
      or recovery in the Custodial Account, to pay to itself the related Servicing
      Fee
      from all such Mortgagor payments on account of interest or other such recovery
      for interest with respect to that Mortgage Loan;

     

    (iv)
       to
      pay
      itself investment earnings on funds deposited in the Custodial
      Account;

     

    
      
        
        

      

      
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    (v)
       to
      clear
      and terminate the Custodial Account upon the termination of this Agreement;
      

     

    (vi)
       to
      transfer funds to another Eligible Institution in accordance with Section 3.11
      hereof;

     

    (vii)
       to
      invest
      funds in certain Eligible Investments in accordance with Section 3.11 hereof;
      

     

    (viii)
       to
      reimburse itself to the extent of funds in the Custodial Account for Monthly
      Advances of the Servicer’s funds made pursuant to Section 4.03, the Servicer's
      right to reimburse itself pursuant to this subclause (viii) with respect to
      any
      Mortgage Loan being limited to amounts received on or in respect of the related
      Mortgage Loan which represent late recoveries of payments of principal or
      interest with respect to which a Monthly Advance was made, it being understood
      that, in the case of any such reimbursement, the Servicer’s right thereto shall
      be prior to the rights of the Trust Fund, provided,
      however,
      that
      following the final liquidation of a Mortgage Loan, the Servicer may reimburse
      itself for previously unreimbursed Monthly Advances in excess of Liquidation
      Proceeds or Insurance Proceeds with respect to such Mortgage Loan from any
      funds
      in the Custodial Account, it being understood, in the case of any such
      reimbursement, that the Servicer’s right thereto shall be prior to the rights of
      the Trust Fund. The Servicer may recover at any time from amounts on deposit
      in
      the Custodial Account the amount of any Monthly Advances that the Servicer
      deems
      nonrecoverable or that remain unreimbursed to the Servicer from related
      Liquidation Proceeds after the final liquidation of the Mortgage
      Loan;

     

    (ix)
       to
      reimburse itself for remaining unreimbursed Servicing Advances with respect
      to
      any defaulted Mortgage Loan as to which the Servicer has determined that all
      amounts that it expects to recover on behalf of the Trust Fund from or on
      account of such Mortgage Loan have been recovered;

     

    (x)
       to
      reimburse itself for expenses incurred or reimbursable to the Servicer pursuant
      to Sections 3.12 and 6.03 to the extent not previously reimbursed under clause
      (viii) of this Section 3.04; and

     

    (xi)
       to
      withdraw funds deposited in error.

     

    Section
      3.05  Establishment
      of and Deposits to Escrow Account.

     

    The
      Servicer shall segregate and hold all funds collected and received pursuant
      to a
      Mortgage Loan constituting Escrow Payments separate and apart from any of its
      own funds and general assets and shall establish and maintain one or more Escrow
      Accounts, in the form of time deposit or demand accounts, titled as directed
      by
      the Master Servicer. Each Escrow Account shall be an Eligible Deposit Account
      established with an Eligible Institution in a manner that shall provide maximum
      available insurance thereunder. Funds deposited in the Escrow Account may be
      drawn on by the Servicer in accordance with Section 3.06. The creation of any
      Escrow Account shall be evidenced by a certification in the form of Exhibit
      C. A
      copy of such certification shall be furnished to the Master Servicer and, upon
      request, to any subsequent owner of the Mortgage Loans.

     

    
      
        
        

      

      
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    The
      Servicer shall deposit in the Escrow Account or Accounts on a daily basis,
      and
      retain therein:

     

    (i)
       all
      Escrow Payments collected on account of the Mortgage Loans, for the purpose
      of
      effecting timely payment of any such items as required under the terms of this
      Agreement; and

     

    (ii)
       all
      amounts representing Insurance Proceeds or Condemnation Proceeds that are to
      be
      applied to the restoration or repair of any Mortgaged Property.

     

    The
      Servicer shall make withdrawals from the Escrow Account only to effect such
      payments as are required under this Agreement, as set forth in Section 3.06.
      The
      Servicer shall retain any interest paid on funds deposited in the Escrow Account
      by the depository institution, other than interest on escrowed funds required
      by
      law to be paid to the Mortgagor. Additionally, any other benefit derived from
      the Escrow Account associated with the receipt, disbursement and accumulation
      of
      principal, interest, taxes, hazard insurance, mortgage insurance, etc. shall
      accrue to the Servicer. To the extent required by law, the Servicer shall pay
      interest on escrowed funds to the Mortgagor notwithstanding that the Escrow
      Account may be non-interest bearing or that interest paid thereon is
      insufficient for such purposes.

     

    Section
      3.06  Permitted
      Withdrawals From Escrow Account.

     

    Withdrawals
      from the Escrow Account or Accounts may be made by the Servicer
      only:

     

    (i)
       to
      effect
      timely payments of ground rents, taxes, assessments, water rates, sewer rents,
      mortgage insurance premiums, condominium charges, fire and hazard insurance
      premiums or other items constituting Escrow Payments for the related
      Mortgage;

     

    (ii)
       to
      refund
      to any Mortgagor any funds found to be in excess of the amounts required under
      the terms of the related Mortgage Loan;

     

    (iii)
       for
      transfer to the Custodial Account and application to reduce the principal
      balance of the Mortgage Loan in accordance with the terms of the related
      Mortgage and Mortgage Note;

     

    (iv)
       to
      reimburse the Servicer for any Servicing Advance made by the Servicer with
      respect to a related Mortgage Loan, but only from amounts received on the
      related Mortgage Loan which represent late collections of Escrow Payments;
      

     

    (v)
       for
      application to restoration or repair of the Mortgaged Property in accordance
      with the Fannie Mae Guides;

     

    (vi)
       to
      pay to
      the Servicer, or any Mortgagor to the extent required by law, any interest
      paid
      on the funds deposited in the Escrow Account;

     

    (vii)
       to
      remove
      funds inadvertently placed in the Escrow Account by the Servicer;
      and

     

    
      
        
        

      

      
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    (viii)
       to
      clear
      and terminate the Escrow Account on the termination of this
      Agreement.

     

    Section
      3.07  Maintenance
      of PMI Policy and/or LPMI Policy; Claims.

     

    The
      Servicer shall comply with all provisions of applicable state and federal law
      relating to the cancellation of, or collection of premiums with respect to,
      PMI
      Policies, including, but not limited to, the provisions of the Homeowners
      Protection Act of 1998, and all regulations promulgated thereunder, as amended
      from time to time.

     

    With
      respect to each Mortgage Loan (other than LPMI Loans) with a loan to value
      ratio
      at origination in excess of 80%, the Servicer shall maintain or cause the
      Mortgagor to maintain (to the extent that the Mortgage Loan requires the
      Mortgagor to maintain such insurance) in full force and effect a PMI Policy,
      and
      shall pay or shall cause the Mortgagor to pay the premium thereon on a timely
      basis, until the LTV of such Mortgage Loan is reduced to 80%. In the event
      that
      such PMI Policy shall be terminated, the Servicer shall obtain from another
      Qualified Insurer a comparable replacement policy, with a total coverage equal
      to the remaining coverage of such terminated PMI Policy, at substantially the
      same fee level. The Servicer shall not take any action which would result in
      noncoverage under any applicable PMI Policy of any loss which, but for the
      actions of the Servicer would have been covered thereunder. In connection with
      any assumption or substitution agreements entered into or to be entered into
      with respect to a Mortgage Loan, the Servicer shall promptly notify the insurer
      under the related PMI Policy, if any, of such assumption or substitution of
      liability in accordance with the terms of such PMI Policy and shall take all
      actions which may be required by such insurer as a condition to the continuation
      of coverage under such PMI Policy. If such PMI Policy is terminated as a result
      of such assumption or substitution of liability, the Servicer shall obtain
      a
      replacement PMI Policy as provided above.

     

    The
      Servicer shall take all such actions as are necessary to service, maintain
      and
      administer the LPMI Loans in accordance with the LPMI Policy and to perform
      and
      enforce the rights of the insured under such LPMI Policy. Except as expressly
      set forth herein, the Servicer shall have full authority on behalf of the Trust
      Fund to do anything it reasonably deems appropriate or desirable in connection
      with the servicing, maintenance and administration of the LPMI Policy. The
      Servicer shall not modify or assume a Mortgage Loan covered by the LPMI Policy
      or take any other action with respect to such Mortgage Loan which would result
      in non-coverage under the LPMI Policy of any loss which, but for the actions
      of
      the Servicer, would have been covered thereunder. If the LPMI Insurer fails
      to
      pay a claim under the LPMI Policy as a result of breach by the Servicer of
      its
      obligations hereunder or under the LPMI Policy, the Servicer shall be required
      to deposit in the Custodial Account on or prior to the next succeeding
      Remittance Date an amount equal to such unpaid claim from its own funds without
      any right to reimbursement from the Trust Fund. The Servicer shall cooperate
      with the LPMI Insurer and the Master Servicer and shall use its best efforts
      to
      furnish all reasonable aid, evidence and information in the possession of the
      Servicer to which the Servicer has access with respect to any LPMI
      Loan;
      provided, however,
      notwithstanding anything to the contrary contained in any LPMI Policy, the
      Servicer shall not be required to submit any reports to the LPMI Insurer until
      a
      reporting date that is at least 15 days after the Servicer has received
      sufficient loan level information from the Seller, the Master Servicer or the
      LPMI Insurer to appropriately code its servicing system in accordance with
      the
      LPMI Insurer’s requirements.

     

    
      
        
        

      

      
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    In
      connection with its activities as servicer, the Servicer agrees to prepare
      and
      present, on behalf of itself and the Trustee, claims to the insurer under any
      PMI Policy or LPMI Policy in a timely fashion in accordance with the terms
      of
      such PMI Policy or LPMI Policy and, in this regard, to take such action as
      shall
      be necessary to permit recovery under any PMI Policy or LPMI Policy respecting
      a
      defaulted Mortgage Loan. Any amounts collected by the Servicer under any PMI
      Policy or LPMI Policy shall be deposited in the Custodial Account, subject
      to
      withdrawal pursuant to Section 3.04.

     

    Section
      3.08  Fidelity
      Bond and Errors and Omissions Insurance.

     

    The
      Servicer shall keep in force during the term of this Agreement a Fidelity Bond
      and Errors and Omissions Insurance Policy. Such Fidelity Bond and Errors and
      Omissions Insurance shall be maintained with recognized insurers and shall
      be in
      such form and amount as would permit the Servicer to be qualified as a Fannie
      Mae or Freddie Mac seller-servicer. 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.
      The
      Servicer shall furnish to the Master Servicer or Trustee a copy of each such
      bond and insurance policy if the Master Servicer or Trustee so
      requests.

     

    Section
      3.09  Notification
      of Adjustments.

     

    With
      respect to each Adjustable Rate Mortgage Loan, the Servicer shall adjust the
      Mortgage Interest Rate on the related interest rate adjustment date and shall
      adjust the Monthly Payment on the related mortgage payment adjustment date,
      if
      applicable, in compliance with the requirements of applicable law and the
      related Mortgage and Mortgage Note. The Servicer shall execute and deliver
      any
      and all necessary notices required under applicable law and the terms of the
      related Mortgage Note and Mortgage regarding the Mortgage Interest Rate and
      Monthly Payment adjustments. The Servicer shall promptly, upon written request
      therefor, deliver to the Master Servicer such notifications and any additional
      applicable data regarding such adjustments and the methods used to calculate
      and
      implement such adjustments. Upon the discovery by the Servicer or the receipt
      of
      notice from the Master Servicer that the Servicer has failed to adjust a
      Mortgage Interest Rate or Monthly Payment in accordance with the terms of the
      related Mortgage Note, the Servicer shall immediately deposit in the Custodial
      Account from its own funds the amount of any interest loss or deferral caused
      thereby.

     

    Section
      3.10  Completion
      and Recordation of Assignments of Mortgage.

     

    As
      soon
      as practicable after the Closing Date, the Servicing Transfer Date or the date
      on which a Qualifying Substitute Mortgage Loan is delivered pursuant to Section
      [___] of the Pooling and Servicing Agreement, as applicable (but in no event
      more than 90 days thereafter except to the extent delays are caused by the
      applicable public recording office), the Servicer shall cause the endorsements
      on the Mortgage Note (if applicable), and the Assignments of Mortgage (subject
      to Section 3.01(a)) to be completed in the name of the Trustee (or MERS, as
      applicable).

     

    
      
        
        

      

      
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    Section
      3.11  Protection
      of Accounts.

     

    The
      Servicer may transfer the Custodial Account or any Escrow Account to a different
      Eligible Institution from time to time; provided
      that in
      the event the Custodial Account or any Escrow Account is held in a depository
      institution or trust company that ceases to be an Eligible Institution, the
      Servicer shall transfer such Custodial Account or Escrow Account, as the case
      may be, to an Eligible Institution. Such transfer shall be made only upon
      obtaining the consent of the Master Servicer, which consent shall not be
      withheld unreasonably.

     

    The
      Servicer shall bear any expenses, losses or damages sustained by the Master
      Servicer or the Trustee if the Custodial Account and/or the Escrow Account
      are
      not demand deposit accounts.

     

    Amounts
      on deposit in the Custodial Account and the Escrow Account may at the option
      of
      the Servicer be invested in Eligible Investments. Any such Eligible Investment
      shall mature no later than the Business Day immediately preceding the related
      Remittance Date; provided,
      however,
      that if
      such Eligible Investment is an obligation of a Qualified Depository (other
      than
      the Servicer) that maintains the Custodial Account or the Escrow Account, then
      such Eligible Investment may mature on the related Remittance Date. Any such
      Eligible Investment shall be made in the name of the Servicer in trust for
      the
      benefit of the Trustee. All income on or gain realized from any such Eligible
      Investment shall be for the benefit of the Servicer and may be withdrawn at
      any
      time by the Servicer. Any losses incurred in respect of any such investment
      shall be deposited in the Custodial Account or the Escrow Account, by the
      Servicer out of its own funds immediately as realized.

     

    Section
      3.12  Payment
      of Taxes, Insurance and Other Charges. 

     

    With
      respect to each Mortgage Loan, the Servicer shall maintain accurate records
      reflecting the status of ground rents, taxes, assessments, water rates, sewer
      rents, and other charges which are or may become a lien upon the Mortgaged
      Property and the status of PMI Policy and LPMI Policy (if any) premiums and
      fire
      and hazard insurance coverage and shall obtain, from time to time, all bills
      for
      the payment of such charges (including renewal premiums) and shall effect
      payment thereof prior to the applicable penalty or termination date, employing
      for such purpose deposits of the Mortgagor in the Escrow Account which shall
      have been estimated and accumulated by the Servicer in amounts sufficient for
      such purposes, as allowed under the terms of the Mortgage. The Servicer shall
      not be required to maintain records with respect to the payment of LPMI Premiums
      unless the Servicer shall be required to make payment of such premiums and
      such
      requirement shall be indicated on the Mortgage Loan Schedule with respect to
      each applicable Mortgage Loan. The Servicer assumes full responsibility for
      the
      timely payment of all such bills, shall effect timely payment of all such
      charges irrespective of each Mortgagor’s faithful performance in the payment of
      same or the making of the Escrow Payments, and shall make advances from its
      own
      funds to effect such payments. With regard to any Mortgage Loans for which
      the
      Mortgagor is not required to escrow Escrow Payments with the Servicer, the
      Servicer shall use reasonable efforts consistent with Accepted Servicing
      Practices to determine that any such payments are made by the Mortgagor at
      the
      time they first became due and shall insure that the Mortgaged Property is
      not
      lost to a tax lien as a result of nonpayment and that such Mortgage is not
      left
      uninsured and shall make advances from its own funds to effect any such
      delinquent payments to avoid the lapse of insurance coverage on the Mortgaged
      Property or to avoid the imposition of a tax lien.

     

    
      
        
        

      

      
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    Section
      3.13  Maintenance
      of Hazard Insurance. 

     

    The
      Servicer shall cause to be maintained for each Mortgage Loan hazard insurance
      such that all buildings upon the Mortgaged Property are insured by a generally
      acceptable insurer against loss by fire, hazards of extended coverage and such
      other hazards as are customary in the area where the Mortgaged Property is
      located, in an amount which is at least equal to the greater of (i) the
      outstanding principal balance of the Mortgage Loan and (ii) an amount such
      that
      the proceeds thereof shall be sufficient to prevent the Mortgagor or the loss
      payee from becoming a co-insurer.

     

    If
      upon
      origination of the Mortgage Loan, the related Mortgaged Property was located
      in
      an area identified in the Federal Register by the Flood 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 with a generally
      acceptable insurance carrier in an amount representing coverage equal to the
      lesser of (i) the minimum amount required, under the terms of coverage, to
      compensate for any damage or loss on a replacement cost basis (or the unpaid
      balance of the mortgage if replacement cost coverage is not available for the
      type of building insured) and (ii) the maximum amount of insurance which is
      available under the Flood Disaster Protection Act of 1973, as amended. If at
      any
      time during the term of the Mortgage Loan, the Servicer determines in accordance
      with applicable law and pursuant to the Fannie Mae Guides that a Mortgaged
      Property is located in a special flood hazard area and is not covered by flood
      insurance or is covered in an amount less than the amount required by the Flood
      Disaster Protection Act of 1973, as amended, the Servicer shall notify the
      related Mortgagor that the Mortgagor must obtain such flood insurance coverage,
      and if said Mortgagor fails to obtain the required flood insurance coverage
      within forty-five (45) days after such notification, the Servicer shall force
      place the required flood insurance on the Mortgagor’s behalf.

     

    Section
      3.14  Maintenance
      of Mortgage Blanket Insurance. 

     

    The
      Servicer shall obtain and maintain a blanket policy insuring against losses
      arising from fire and hazards covered under extended coverage on all of the
      Mortgage Loans. To the extent such policy provides coverage in an amount equal
      to the amount required pursuant to Section 3.12 and otherwise complies with
      all
      other requirements of Section 3.12, it shall conclusively be deemed to have
      satisfied its obligations as set forth in Section 3.12. Any amounts collected
      by
      the Servicer under any such policy relating to a Mortgage Loan shall be
      deposited in the Custodial Account or Escrow Account subject to withdrawal
      pursuant to Sections 3.04 or 3.06. Such policy may contain a deductible clause,
      in which case, in the event that there shall not have been maintained on the
      related Mortgaged Property a policy complying with Section 3.12, and there
      shall
      have been a loss which would have been covered by such policy, the Servicer
      shall deposit in the Custodial Account at the time of such loss the amount
      not
      otherwise payable under the blanket policy because of such deductible clause,
      such amount to be deposited from the Servicer’s funds, without reimbursement
      therefor.

     

    
      
        
        

      

      
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    Section
      3.15  Restoration
      of Mortgaged Property. 

     

    The
      Servicer need not obtain the approval of the Trustee or the Master Servicer
      prior to releasing any Insurance Proceeds or Condemnation 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, with respect to claims greater than $10,000, the Servicer shall comply
      with the following conditions in connection with any such release of Insurance
      Proceeds or Condemnation Proceeds:

     

    (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 or
      Condemnation Proceeds in the Escrow Account.

     

    Section
      3.16  Title,
      Management and Disposition of REO Property.

     

    In
      the
      event that title to any Mortgaged Property is acquired in foreclosure or by
      deed
      in lieu of foreclosure, the deed or certificate of sale shall be taken in the
      name of the Trustee or its nominee (or MERS, as applicable), or in the event
      the
      Trustee is not authorized or permitted to hold title to real property in the
      state where the REO Property is located, or would be adversely affected under
      the “doing business” or tax laws of such state by so holding title, the deed or
      certificate of sale shall be taken in the name of such Person or Persons as
      shall be consistent with an Opinion of Counsel obtained by the Servicer (with
      a
      copy delivered to the Trustee) from any attorney duly licensed to practice
      law
      in the state where the REO Property is located. The Person or Persons holding
      such title other than the Trustee shall acknowledge in writing that such title
      is being held as nominee for the Trustee.

     

    The
      Servicer shall manage, conserve, protect and operate each REO Property for
      the
      Trustee solely for the purpose of its prompt disposition and sale. The Servicer,
      either itself or through an agent selected by the Servicer, shall manage,
      conserve, protect and operate the REO Property in the same manner that it
      manages, conserves, protects and operates other foreclosed property for its
      own
      account, and in the same manner that similar property in the same locality
      as
      the REO Property is managed. The Servicer shall attempt to sell the same (and
      may temporarily rent the same for a period not greater than one year, except
      as
      otherwise provided below) on such terms and conditions as the Servicer deems
      to
      be in the best interest of the Trustee and the Trust Fund.

     

    The
      Servicer may permit an obligor to pay off a non-performing Mortgage Loan at
      less
      than its unpaid principal balance or chargeoff all or a portion of such
      non-performing Mortgage Loan if such discounted payoff or chargeoff is in
      accordance with Accepted Servicing Practices and the Servicer believes that
      such
      discounted payoff or chargeoff is in the best interest of the Trust Fund;
      provided that in the case of any proposed discounted payoff or proposed
      chargeoff, the Servicer shall notify the Master Servicer, by telecopy and
      telephone, of the proposed discounted payoff or chargeoff of any Mortgage Loan.
      The Master Servicer shall be deemed to have approved the discounted payoff
      or
      chargeoff of any Mortgage Loan unless the Master Servicer notifies the Servicer
      in writing, within five (5) Business Days after its receipt of the related
      notice, that it disapproves of the discounted payoff or chargeoff, in which
      case
      the Servicer shall not proceed with such discounted payoff or
      chargeoff.

     

    
      
        
        

      

      
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    Notwithstanding
      anything to the contrary contained in this Section 3.16, in connection with
      a
      foreclosure or acceptance of a deed in lieu of foreclosure, in the event the
      Servicer has reasonable cause to believe that a Mortgaged Property is
      contaminated by hazardous or toxic substances or wastes, or if the Trustee
      or
      the Master Servicer otherwise requests, an environmental inspection or review
      of
      such Mortgaged Property to be conducted by a qualified inspector shall be
      arranged by the Servicer. Upon completion of the inspection, the Servicer shall
      provide the Trustee and the Master Servicer with a written report of such
      environmental inspection. In the event that the environmental inspection report
      indicates that the Mortgaged Property is contaminated by hazardous or toxic
      substances or wastes, the Servicer shall not proceed with foreclosure or
      acceptance of a deed in lieu of foreclosure. In the event that the environmental
      inspection report is inconclusive as to whether or not the Mortgaged Property
      is
      contaminated by hazardous or toxic substances or wastes, the Servicer shall
      not,
      without the prior approval of the Master Servicer, proceed with foreclosure
      or
      acceptance of a deed in lieu of foreclosure. In such instance, the Master
      Servicer shall be deemed to have approved such foreclosure or acceptance of
      a
      deed in lieu of foreclosure unless the Master Servicer notifies the Servicer
      in
      writing, within two (2) Business Days after its receipt of written notice of
      the
      proposed foreclosure or deed in lieu of foreclosure from the Servicer, that
      it
      disapproves of the related foreclosure or acceptance of a deed in lieu of
      foreclosure. The Servicer shall be reimbursed for all Servicing Advances made
      pursuant to this paragraph with respect to the related Mortgaged Property from
      the Custodial Account.

     

    Subject
      to the approval of the Master Servicer as described in this paragraph, the
      disposition of REO Property shall be carried out by the Servicer at such price,
      and upon such terms and conditions, as the Servicer deems to be in the best
      interests of the Trust Fund. Prior to acceptance by the Servicer of an offer
      to
      sell any REO Property, the Servicer shall notify the Master Servicer of such
      offer in writing which notification shall set forth all material terms of said
      offer (each, a “Notice of Sale”). The Master Servicer shall be deemed to have
      approved the sale of any REO Property unless the Master Servicer notifies the
      Servicer in writing, within two (2) Business Days after its receipt of the
      related Notice of Sale, that it disapproves of the related sale, in which case
      the Servicer shall not proceed with the sale. With respect to any REO Property,
      upon a REO Disposition, the Servicer shall be entitled to retain from REO
      Disposition Proceeds a disposition fee equal to $[____].

     

    In
      the
      event that the Trust Fund acquires any REO Property in connection with a default
      or imminent default on a Mortgage Loan, the Servicer shall dispose of such
      REO
      Property not later than the end of the third taxable year after the year of
      its
      acquisition by the Trust Fund unless the Servicer has applied for and received
      a
      grant of extension from the Internal Revenue Service to the effect that, under
      the REMIC Provisions and any relevant proposed legislation and under applicable
      state law, the applicable Trust REMIC may hold REO Property for a longer period
      without adversely affecting the REMIC status of such REMIC or causing the
      imposition of a federal or state tax upon such REMIC. If the Servicer has
      received such an extension, then the Servicer shall continue to attempt to
      sell
      the REO Property for its fair market value for such period longer than three
      years as such extension permits (the “Extended Period”). If the Servicer has not
      received such an extension and the Servicer is unable to sell the REO Property
      within the period ending 3 months before the end of such third taxable year
      after its acquisition by the Trust Fund or if the Servicer has received such
      an
      extension, and the Servicer is unable to sell the REO Property within the period
      ending three months before the close of the Extended Period, the Servicer shall,
      before the end of the three-year period or the Extended Period, as applicable,
      (i) purchase such REO Property at a price equal to the REO Property’s fair
      market value or (ii) auction the REO Property to the highest bidder (which
      may
      be the Servicer) in an auction reasonably designed to produce a fair price
      prior
      to the expiration of the three-year period or the Extended Period, as the case
      may be. The Trustee shall sign any document or take any other action reasonably
      requested by the Servicer which would enable the Servicer, on behalf of the
      Trust Fund, to request such grant of extension.

     

    
      
        
        

      

      
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    Notwithstanding
      any other provisions of this Agreement, no REO Property acquired by the Trust
      Fund shall be rented (or allowed to continue to be rented) or otherwise used
      by
      or on behalf of the Trust Fund in such a manner or pursuant to any terms that
      would: (i) cause such REO Property to fail to qualify as “foreclosure property”
within the meaning of Section 860G(a)(8) of the Code; or (ii) subject any Trust
      REMIC to the imposition of any federal income taxes on the income earned from
      such REO Property, including any taxes imposed by reason of Sections 860F or
      860G(c) of the Code, unless the Servicer has agreed to indemnify and hold
      harmless the Trust Fund with respect to the imposition of any such
      taxes.

     

    The
      Servicer shall also maintain on each REO Property fire and hazard insurance
      with
      extended coverage in amount which is at least equal to the maximum insurable
      value of the improvements which are a part of such property, liability insurance
      and, to the extent required and available under the Flood Disaster Protection
      Act of 1973, as amended, flood insurance in the amount required
      above.

     

    The
      Servicer shall withdraw from the Custodial Account funds necessary for the
      proper operation, management and maintenance of the REO Property, including
      the
      cost of maintaining any hazard insurance pursuant to the Fannie Mae Guides.
      The
      Servicer shall make monthly distributions on each Remittance Date to the Master
      Servicer of the net cash flow from the REO Property (which shall equal the
      revenues from such REO Property net of the expenses described in this Section
      3.16 and of any reserves reasonably required from time to time to be maintained
      to satisfy anticipated liabilities for such expenses).

     

    If
      the
      Servicer determines that, in accordance with Accepted Servicing Practices,
      it is
      in the best interest of the Trustee or the Trust Fund not to proceed with
      foreclosure or accept a deed in lieu of foreclosure, the Servicer shall have
      the
      right to do so with the consent of the Master Servicer, whereupon the related
      Mortgage Loan shall be deemed to be finally liquidated and the Servicer shall
      have the right to release the lien of the Mortgage on the related Mortgaged
      Property and the Servicer shall be entitled to reimbursement for all outstanding
      unreimbursed Monthly Advances and Servicing Advances from the Custodial Account
      in accordance with Sections 3.04(viii) and (ix).

     

    
      
        
        

      

      
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    Section
      3.17  Real
      Estate Owned Reports.

     

    Together
      with the statement furnished pursuant to Section 4.02, the Servicer shall
      furnish to the Master Servicer on or before the Remittance Date each month
      a
      statement with respect to any REO Property covering the operation of such REO
      Property for the previous month and the Servicer’s efforts in connection with
      the sale of such REO Property and any rental of such REO Property incidental
      to
      the sale thereof for the previous month. That statement shall be accompanied
      by
      such other information as the Master Servicer shall reasonably
      request.

     

    Section
      3.18  MERS.

     

    (a)
       The
      Servicer shall use its Best Efforts to cause the Trustee to be identified as
      the
      owner of each MERS Mortgage Loan on the records of MERS for purposes of the
      system of recording transfers of beneficial ownership of mortgages maintained
      by
      MERS.

     

    (b)
       The
      Servicer shall maintain in good standing its membership in MERS. In addition,
      the Servicer shall comply with all rules, policies and procedures of MERS,
      including the Rules of Membership, as amended, and the MERS Procedures Manual,
      as amended.

     

    (c)
       With
      respect to all MERS Mortgage Loans serviced hereunder, the Servicer shall
      promptly notify MERS as to any transfer of beneficial ownership of such Mortgage
      Loans of which the Servicer has notice.

     

    (d)
       With
      respect to all MERS Mortgage Loans serviced hereunder, the Servicer shall notify
      MERS as to any transfer of servicing pursuant to Section 3.15 or Section 9.01
      within 10 Business Days of such transfer of servicing. The Servicer shall
      cooperate with the Trustee, the Master Servicer and any successor servicer
      to
      the extent necessary to ensure that such transfer of servicing is appropriately
      reflected on the MERS system.

     

    Section
      3.19  Waiver
      of Prepayment Penalty Amounts.

     

    Except
      as
      provided below, the Servicer or any designee of the Servicer shall not waive
      any
      Prepayment Penalty Amount with respect to any Mortgage Loan. If the Servicer
      or
      its designee fails to collect a Prepayment Penalty Amount at the time of the
      related prepayment of any Mortgage Loan subject to such Prepayment Penalty
      Amount, the Servicer shall pay to the Trust Fund at such time (by deposit to
      the
      Custodial Account) an amount equal to the amount of the Prepayment Penalty
      Amount not collected; provided,
      however,
      the
      Servicer shall not have any obligation to pay the amount of any uncollected
      Prepayment Penalty Amount under this Section 3.19 if the failure to collect
      such
      amount is the result of inaccurate or incomplete information in the Prepayment
      Penalty Amount Schedule provided by the Seller and which is included as part
      of
      the Mortgage Loan Schedule attached hereto as Exhibit A. The Prepayment Penalty
      Amounts listed on the Prepayment Penalty Amount Schedule attached hereto as
      Exhibit A are complete, true and accurate and may be relied on by the Servicer
      in its calculation of Prepayment Penalty Amounts. If the Prepayment Penalty
      Amount data set forth on Exhibit A is incorrect, then the Servicer shall have
      no
      liability for any loss resulting from calculation of Prepayment Penalty Amounts
      using the data provided. Notwithstanding the above, the Servicer or its designee
      may waive a Prepayment Penalty Amount without paying to the Trust Fund the
      amount of such Prepayment Penalty Amount only if such Prepayment Penalty Amount
      (i) relates to a defaulted Mortgage Loan or a reasonably foreseeable default,
      such waiver is standard and customary in servicing similar mortgage loans to
      the
      Mortgage Loan, and such waiver, in the reasonable judgment of the Servicer
      would
      maximize recovery of total proceeds from the Mortgage Loan, taking into account
      the amount of such Prepayment Charge and the related Mortgage Loan, or (ii)
      relates to a prepayment charge the collection of which, if collected, would
      be a
      violation of applicable laws.

     

    
      
        
        

      

      
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    Section
      3.20  Safeguarding
      Customer Information.

     

    The
      Servicer has implemented and will maintain security measures designed to meet
      the objectives of the Interagency Guidelines Establishing Standards for
      Safeguarding Customer Information published in final form on February 1,
      2001, 66 Fed. Reg. 8616 and the rules promulgated thereunder, as amended from
      time to time (the “Guidelines”). 

     

    The
      Servicer shall promptly provide the Master Servicer and the Trustee information
      reasonably available to it regarding such security measures upon the reasonable
      request of the Master Servicer and the Trustee which information shall include,
      but not be limited to, any Statement on Auditing Standards (SAS) No. 70 report
      covering the Servicer’s operations, and any other audit reports, summaries of
      test results or equivalent measures taken by the Servicer with respect to its
      security measures to the extent reasonably necessary in order for the Seller
      to
      satisfy its obligations under the Guidelines.

     

    ARTICLE
      IV

     

    PAYMENTS
      TO MASTER SERVICER

     

    Section
      4.01  Remittances.

     

    On
      each
      Remittance Date the Servicer shall remit by wire transfer of immediately
      available funds to the Master Servicer (i) all amounts deposited in the
      Custodial Account as of the close of business on the last day of the related
      Due
      Period (net of charges against or withdrawals from the Custodial Account
      pursuant to Section 3.04), plus (ii) all Monthly Advances, if any, which the
      Servicer is obligated to make pursuant to Section 4.03, minus (iii) any amounts
      attributable to Principal Prepayments, Liquidation Proceeds, Insurance Proceeds,
      Condemnation Proceeds or REO Disposition Proceeds received after the applicable
      Prepayment Period, which amounts shall be remitted on the following Remittance
      Date, together with any additional interest required to be deposited in the
      Custodial Account in connection with such Principal Prepayment in accordance
      with Section 3.03(vi), and minus (iv)
      any
      amounts attributable to Monthly Payments collected but due on a Due Date or
      Due
      Dates subsequent to the first day of the month in which such Remittance Date
      occurs, which amounts shall be remitted on the Remittance Date next succeeding
      the Due Date related to such Monthly Payment.

     

    With
      respect to any remittance received by the Master Servicer after the Business
      Day
      on which such payment was due, the Servicer shall pay to the Master Servicer
      interest on any such late payment at an annual rate equal to the Prime Rate,
      adjusted as of the date of each change, plus two (2) percentage points, but
      in
      no event greater than the maximum amount permitted by applicable law. Such
      interest shall be deposited in the Custodial Account by the Servicer on the
      date
      such late payment is made and shall cover the period commencing with the day
      following such Business Day and ending with the Business Day on which such
      payment is made, both inclusive. Such interest shall be remitted along with
      the
      distribution payable on the next succeeding Remittance Date. The payment by
      the
      Servicer of any such interest shall not be deemed an extension of time for
      payment or a waiver of any Event of Default by the Servicer.

     

    
      
        
        

      

      
        27

        
          

        

      

      
        
        

      

    

     

    All
      remittances required to be made to the Master Servicer shall be made to the
      following wire account or to such other account as may be specified by the
      Master Servicer from time to time:

     

    [_______________]

    [_______________]

    [_______________]

    [_______________]

    [_______________]

    

     

    Section
      4.02  Statements
      to Master Servicer.

     

    Not
      later
      than the tenth calendar day of each month (or if such calendar day is not a
      Business Day, the immediately preceding Business Day), the Servicer shall
      furnish to the Master Servicer (i) a monthly remittance advice in the format
      set
      forth in Exhibit D-1 hereto and a monthly default loan report in the format
      set
      forth in Exhibit D-2 hereto (or in such other format mutually agreed between
      the
      Servicer and the Master Servicer) relating to the period ending on the last
      day
      of the preceding calendar month and (ii) all such information required pursuant
      to clause (i) above on a magnetic tape or other similar media reasonably
      acceptable to the Master Servicer. The Servicer shall include in the monthly
      remittance advice information regarding each Employee Mortgage Loan. The format
      of this monthly reporting may be amended from time to time to the extent
      necessary to comply with applicable law or the terms of the Pooling and
      Servicing Agreement.

     

    Not
      later
      than the seventeenth day of each month, the Servicer shall furnish to the Master
      Servicer (a) a monthly payoff remittance advice regarding any Principal
      Prepayments in full applied to the related Mortgage Loan on or after the
      seventeenth day of the month preceding the month of such reporting date, but
      on
      or before the sixteenth day of the month of such reporting date, containing
      such
      information and in such format as is mutually acceptable to the Master Servicer
      and the Servicer, and in any event containing sufficient information to permit
      the Master Servicer to properly report Principal Prepayment in full information
      to the Trustee under the Pooling and Servicing Agreement and (b) all such
      information required pursuant to clause (a) above in electronic format, on
      magnetic tape or other similar media reasonably acceptable to the Master
      Servicer. 

     

    In
      addition, no later than March 15 of each calendar year, commencing March 15,
      20[__], the Servicer shall furnish to each Person who was an owner of the
      Mortgage Loans at any time during such calendar year as required by applicable
      law or if not required by applicable law, at the request of such owner as to
      the
      aggregate of remittances for the applicable portion of such year.

     

    
      
        
        

      

      
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    The
      Master Servicer may request that the Servicer provide, at the Master Servicer’s
      expense, an appraisal or a broker price opinion on any Mortgage Loan which
      is 90
      days or more delinquent. The Servicer shall use its best efforts to deliver
      such
      appraisal or broker price opinion to the Master Servicer within 15 calendar
      days
      after such request.

     

    Such
      obligation of the Servicer shall be deemed to have been satisfied to the extent
      that substantially comparable information shall be provided by the Servicer
      pursuant to any requirements of the Internal Revenue Code as from time to time
      are in force.

     

    Beginning
      with calendar year 20[__], the Servicer shall provide the Master Servicer with
      such information concerning the Mortgage Loans as is necessary for the Master
      Servicer or the Trustee to prepare the Trust Fund’s federal income tax return as
      the Master Servicer or the Trustee may reasonably request from time to
      time.

     

    The
      Servicer shall promptly notify the Securities Administrator, the Master Servicer
      and the Depositor (i) of any legal proceedings pending against the Servicer
      of
      the type described in Item 1117 (§
      229.1117) of
      Regulation AB and (ii) if the Servicer shall become (but only to the extent
      not
      previously disclosed to the Securities Administrator, the Master Servicer and
      the Depositor) at any time an affiliate of any of the Sponsor, the Trustee,
      the
      Master Servicer, another Servicer, the Securities Administrator, any Originator
      contemplated by Item 1110 (§
      229.1110) of
      Regulation AB, any significant obligor contemplated by Item 1112 (§
      229.1112) of
      Regulation AB, any enhancement or support provider contemplated by Items 1114
      or
      1115 (§§
      229.1114-1115) of
      Regulation AB or any other material party to the Trust Fund contemplated by
      Item
      1100(d)(1) (§
      229.1100(d)(1)) of
      Regulation AB.

     

    Section
      4.03  Monthly
      Advances by Servicer.

     

    On
      the
      Business Day immediately preceding each Remittance Date, the Servicer shall
      deposit in the Custodial Account from its own funds or from amounts held for
      future distribution, or both, an amount equal to the aggregate of all Monthly
      Advances relating to Monthly Payments which were due on the Mortgage Loans
      during the applicable Due Period and which were delinquent at the close of
      business on the immediately preceding Determination Date or which were deferred
      pursuant to Section 3.01. The Servicer’s obligation to make such Monthly
      Advances as to any Mortgage Loan will continue through the last Monthly Payment
      due prior to the payment in full of the Mortgage Loan, or through the last
      Remittance Date prior to the Remittance Date for the distribution of all
      Liquidation Proceeds and other payments or recoveries (including Insurance
      Proceeds and Condemnation Proceeds) with respect to the Mortgage Loan unless
      the
      Servicer deems such Monthly Advances to be unrecoverable, as evidenced by an
      Officer’s Certificate of the Servicer delivered to the Master
      Servicer.

     

    
      
        
        

      

      
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    ARTICLE
      V

     

    GENERAL
      SERVICING PROCEDURES

     

    Section
      5.01  Servicing
      Compensation.

     

    As
      consideration for servicing the Mortgage Loans subject to this Agreement, the
      Servicer shall retain (i) the relevant Servicing Fee for each Mortgage Loan
      remaining subject to this Agreement during any month and (ii) Ancillary Income.
      In addition, if at any time the Servicer is the Retained Interest Holder with
      respect to any Mortgage Loans, then the Servicer, as the Retained Interest
      Holder, shall retain an amount equal to the Retained Interest relating to such
      Mortgage Loans; provided, that (i) the Trustee and the Master Servicer shall
      have no obligation to make payment of the Retained Interest to the Servicer
      and
      (ii) the Servicer’s right to retain the Retained Interest is limited to (and the
      Retained Interest may only be retained from) the interest portion (including
      recoveries with respect to interest from Liquidation Proceeds to the extent
      permitted by Section 3.04 of this Agreement) of the Monthly Payments collected
      by the Servicer with respect to those Mortgage Loans for which payment is in
      fact made of the entire amount of the Monthly Payment. The Servicing Fee shall
      be payable monthly. The Servicing Fees shall be payable only at the time of
      and
      with respect to those Mortgage Loans for which payment is in fact made of the
      entire amount of the Monthly Payment or as otherwise provided in Section 3.04.
      The obligation of the Trust Fund (if any) to pay the Servicing Fees is limited
      as provided in Section 3.04. The aggregate of the Servicing Fees payable to
      the
      Servicer for any month with respect to the Mortgage Loans shall be reduced
      by
      any Prepayment Interest Shortfall Amount with respect to such month. Any
      Prepayment Interest Excess Amount shall be retained by, or paid to, the Servicer
      as a part of the Servicing Fee.

     

    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
      thereof except as specifically provided for herein.

     

    Section
      5.02  Annual
      Audit Report.

     

    On
      or
      before March 1st of each year, beginning with March 1, 20[__], the Servicer
      shall, at its own expense, cause a firm of independent public accountants (who
      may also render other services to Servicer), which is a member of the American
      Institute of Certified Public Accountants, to furnish to the Seller, the
      Trustee, the Depositor and the Master Servicer (i) year-end audited (if
      available) financial statements of the Servicer and (ii) a report to the effect
      that such firm that attests to, and reports on, the assessment made by such
      asserting party pursuant to Section 5.04 below, which report shall be made
      in
      accordance with standards for attestation engagements issued or adopted by
      the
      Public Company Accounting Oversight Board.

     

    Section
      5.03  Annual
      Officer’s Certificate.

     

    (a)
       On
      or
      before March 1st of each year, beginning with March 1, 20[__], the Servicer,
      at
      its own expense, will deliver to the Seller, the Depositor, the Trustee and
      the
      Master Servicer (i) with respect to the period ending on the immediately
      preceding December 31, a Servicing Officer’s certificate stating, as to each
      signer thereof, that (1) a review of the activities of the Servicer during
      such
      preceding calendar year or portion thereof and of its performance under this
      Agreement has been made under such Servicing Officer’s supervision and (2) to
      the best of such officers’ knowledge, based on such review, the Servicer has
      fulfilled all of its obligations under this Agreement in all material respects
      throughout such year, or, if there has been a failure to fulfill any such
      obligation in any material respect, specifying each such failure known to such
      Servicing Officer’s and the nature and status thereof including the steps being
      taken by the Servicer to remedy such default and/or (ii) such other certificates
      as may be required under Item
      1123
(§
      229.1123) of
      Regulation AB
      or other
      applicable law or regulation.

     

    
      
        
        

      

      
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    (b)
       For
      so
      long as a certificate under the Sarbanes-Oxley Act of 2002, as amended,
      (“Sarbanes-Oxley”) is required to be given on behalf of the Trust Fund, no later
      than March 1st of each year (or if not a Business Day, the immediately preceding
      Business Day), beginning with March 1, 20[__], or at any other time that the
      Master Servicer or the Depositor provides a certification pursuant to
      Sarbanes-Oxley and upon thirty (30) days’ written request of such parties, a
      Servicing Officer shall execute and deliver an Officer’s Certificate to the
      Master Servicer, the Trustee and the Depositor for the benefit of the Trust
      Fund, the Master Servicer and the Depositor and their officers, directors and
      affiliates, in the form of Exhibit E hereto or as may be required by applicable
      law or regulation.

     

    (c) The
      Servicer shall indemnify and hold harmless the Master Servicer, 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 5.03 or the negligence, bad
      faith or willful misconduct of the Servicer in connection therewith. If the
      indemnification provided for herein is unavailable or insufficient to hold
      harmless the Master Servicer and/or the Depositor, then the Servicer agrees
      that
      it shall contribute to the amount paid or payable by the Master Servicer and/or
      the Depositor as a result of the losses, claims, damages or liabilities of
      the
      Master Servicer and/or the Depositor in such proportion as is appropriate to
      reflect the relative fault of the Master Servicer and/or 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 5.03 or the Servicer’s negligence, bad
      faith or willful misconduct in connection therewith.

     

    Section
      5.04  Compliance
      with Applicable Servicing Criteria.

     

    On
      or
      before March 1 of each calendar year, the Servicer shall deliver to the Trustee,
      the Master Servicer and the Depositor a report regarding its assessment of
      compliance with the servicing criteria specified in paragraph (d) of Item 1122
      of Regulation AB (§ 229.1122(d)), as of and for the period ending the end of the
      fiscal year ending no later than December 31 of the year prior to the year
      of
      delivery of the report, with respect to asset-backed security transactions
      taken
      as a whole in which the Servicer is performing any of the servicing criteria
      specified in paragraph (d) of Item 1122 of Regulation AB (§ 229.1122(d)) that it
      is performing pursuant to its obligations under this Agreement, and that are
      backed by the same asset type backing such asset-backed securities. Each such
      report shall include all of the statements required under paragraph (a) of
      Item
      1122 of Regulation AB (§ 229.1122(a)).

     

    
      
        
        

      

      
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    Section
      5.05  Transfers
      of Mortgaged Property.

     

    The
      Servicer shall use its best efforts to enforce any “due-on-sale” provision
      contained in any Mortgage or Mortgage Note and to deny assumption by the person
      to whom the Mortgaged Property has been or is about to be sold whether by
      absolute conveyance or by contract of sale, and whether or not the Mortgagor
      remains liable on the Mortgage and the Mortgage Note; provided that, if in
      the
      Servicer's prudent business judgment, it determines that an assumption of the
      Mortgage Loan is in the best interests of the Trust Fund, it shall deliver
      notice of such determination to the Master Servicer and may permit such
      assumption if approved by the Master Servicer. When the Mortgaged Property
      has
      been conveyed by the Mortgagor, the Servicer shall, to the extent it has
      knowledge of such conveyance, so long as the Master Servicer has not consented
      to an assumption in accordance with the preceding sentence, exercise its rights
      to accelerate the maturity of such Mortgage Loan under the “due-on-sale” clause
      applicable thereto, provided, however, that the Servicer shall not be required
      to take such action if the Servicer, in its prudent business judgment, believes
      it is not in the best interests of the Trust Fund and shall not exercise such
      rights if prohibited by law from doing so or if the exercise of such rights
      would impair or threaten to impair any recovery under the related PMI Policy
      or
      LPMI Policy, if any.

     

    If
      the
      Servicer reasonably believes it is unable under applicable law to enforce such
      “due-on-sale” clause or if the Master Servicer approves such assumption pursuant
      to the preceding paragraph, the Servicer shall enter into (i) an assumption
      and
      modification agreement with the person to whom such property has been conveyed,
      pursuant to which such person becomes liable under the Mortgage Note and the
      original Mortgagor remains liable thereon or (ii) in the event the Servicer
      is
      unable under applicable law to require that the original Mortgagor remain liable
      under the Mortgage Note and the Servicer has the prior consent of the primary
      mortgage guaranty insurer, a substitution of liability agreement with the owner
      of the Mortgaged Property pursuant to which the original Mortgagor is released
      from liability and the owner of the Mortgaged Property is substituted as
      Mortgagor and becomes liable under the Mortgage Note; provided that no such
      substitutions should be permitted unless such person satisfies the underwriting
      criteria of the Servicer and has a credit risk rating at least equal to that
      of
      the original Mortgagor. The Mortgage Loan, as assumed, shall conform in all
      respects to the requirements, representations and warranties of this Agreement.
      The Servicer shall notify the Master Servicer that any such assumption or
      substitution agreement has been contemplated by forwarding to the Master
      Servicer a copy of such assumption or substitution agreement (indicating the
      Mortgage File to which it relates). The Servicer shall forward an original
      copy
      of such agreement to the Custodian to be held by the Custodian with the other
      documents related to such Mortgage Loan. The Servicer shall be responsible
      for
      recording any such assumption or substitution agreements. In connection with
      any
      such assumption or substitution agreement, the Monthly Payment on the related
      Mortgage Loan shall not be changed but shall remain as in effect immediately
      prior to the assumption or substitution, the Mortgage Interest Rate, the stated
      maturity or the outstanding principal amount of such Mortgage Loan shall not
      be
      changed nor shall any required monthly payments of principal or interest be
      deferred or forgiven. Any assumption fee collected by the Servicer for entering
      into an assumption agreement shall be retained by the Servicer as additional
      servicing compensation. In connection with any such assumption, none of the
      Mortgage Interest Rate borne by the related Mortgage Note, the term of the
      Mortgage Loan or the outstanding principal amount of the Mortgage Loan shall
      be
      changed.

     

    
      
        
        

      

      
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    ARTICLE
      VI

     

    REPRESENTATIONS,
      WARRANTIES

    AND
      AGREEMENTS

     

    Section
      6.01  Representations,
      Warranties and Agreements of the Servicer.

     

    The
      Servicer, as a condition to the consummation of the transactions contemplated
      hereby, hereby makes the following representations and warranties to the Seller,
      the Master Servicer and the Trustee as of the Closing Date:

     

    (a)
       Due
      Organization and Authority.
      [The
      Servicer is a corporation duly organized, validly existing and in good standing
      under the laws of the State of Delaware and has all licenses necessary to carry
      on its business as now being conducted and is licensed, qualified and in good
      standing in each state where a Mortgaged Property is located if the laws of
      such
      state require licensing or qualification in order to conduct business of the
      type conducted by the Servicer, and in any event the Servicer is in compliance
      with the laws of any such state to the extent necessary to ensure the
      enforceability of the terms of this Agreement; the Servicer has the full power
      and authority to execute and deliver this Agreement and to perform in accordance
      herewith; the execution, delivery and performance of this Agreement (including
      all instruments of transfer to be delivered pursuant to this Agreement) by
      the
      Servicer and the consummation of the transactions contemplated hereby have
      been
      duly and validly authorized; this Agreement evidences the valid, binding and
      enforceable obligation of the Servicer and all requisite action has been taken
      by the Servicer to make this Agreement valid and binding upon the Servicer
      in
      accordance with its terms;] [May vary in accordance with
      transaction.]

     

    (b)
       Ordinary
      Course of Business.
      The
      consummation of the transactions contemplated by this Agreement are in the
      ordinary course of business of the Servicer;

     

    (c)
       No
      Conflicts.
      Neither
      the execution and delivery of this Agreement, the acquisition of the servicing
      responsibilities by the Servicer or the transactions contemplated hereby, nor
      the fulfillment of or compliance with the terms and conditions of this
      Agreement, will conflict with or result in a breach of any of the terms,
      conditions or provisions of the Servicer’s organizational documents or any legal
      restriction or any agreement or instrument to which the Servicer is now a party
      or by which it is bound, or constitute a default or result in an acceleration
      under any of the foregoing, or result in the violation of any law, rule,
      regulation, order, judgment or decree to which the Servicer or its property
      is
      subject, or impair the ability of the Servicer to service the Mortgage Loans,
      or
      impair the value of the Mortgage Loans;

     

    (d)
       Ability
      to Perform.
      The
      Servicer 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;

     

    (e)
       No
      Litigation Pending.
      There
      is no action, suit, proceeding or investigation pending or threatened against
      the Servicer which, either in any one instance or in the aggregate, may result
      in any material adverse change in the business, operations, financial condition,
      properties or assets of the Servicer, or in any material impairment of the
      right
      or ability of the Servicer to carry on its business substantially as now
      conducted, or in any material liability on the part of the Servicer, or which
      would draw into question the validity of this Agreement or of any action taken
      or to be taken in connection with the obligations of the Servicer contemplated
      herein, or which would be likely to impair materially the ability of the
      Servicer to perform under the terms of this Agreement;

     

    
      
        
        

      

      
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    (f)
       No
      Consent Required.
      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; 

     

    (g)
       Ability
      to Service.
      The
      Servicer is an approved seller/servicer of conventional residential mortgage
      loans for Fannie Mae or Freddie Mac, with the facilities, procedures and
      experienced personnel necessary for the sound servicing of mortgage loans of
      the
      same type as the Mortgage Loans. The Servicer is in good standing to service
      mortgage loans for either Fannie Mae or Freddie Mac. The Servicer is a member
      in
      good standing of the MERS system;

     

    (h)
       No
      Untrue Information.
      Neither
      this Agreement nor any statement, report or other document furnished or to
      be
      furnished pursuant to this Agreement or in connection with the transactions
      contemplated hereby contains any untrue statement of fact or omits to state
      a
      fact necessary to make the statements contained therein not
      misleading;

     

    (i)
       No
      Commissions to Third Parties.
      The
      Servicer has not dealt with any broker or agent or anyone else who might be
      entitled to a fee or commission in connection with this transaction other than
      the Seller; and

     

    (j)
       Fair
      Credit Reporting Act.
      The
      Servicer for each mortgage loan has
      fully
      furnished, 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 (three of the credit repositories), on a monthly
      basis.

     

    Section
      6.02  Remedies
      for Breach of Representations and Warranties of the Servicer.

     

    It
      is
      understood and agreed that the representations and warranties set forth in
      Section 6.01 shall survive the engagement of the Servicer to perform the
      servicing responsibilities as of the Closing Date or Servicing Transfer Date,
      as
      applicable, hereunder and the delivery of the Servicing Files to the Servicer
      and shall inure to the benefit of the Seller and the Trustee. Upon discovery
      by
      either the Servicer, the Master Servicer or the Seller of a breach of any of
      the
      foregoing representations and warranties which materially and adversely affects
      the ability of the Servicer to perform its duties and obligations under this
      Agreement or otherwise materially and adversely affects the value of the
      Mortgage Loans, the Mortgaged Property or the priority of the security interest
      on such Mortgaged Property or the interest of the Seller or the Trustee, the
      party discovering such breach shall give prompt written notice to the
      other.

     

    Within
      60
      days of the earlier of either discovery by or notice to the Servicer of any
      breach of a representation or warranty set forth in Section 6.01 which
      materially and adversely affects the ability of the Servicer to perform its
      duties and obligations under this Agreement or otherwise materially and
      adversely affects the value of the Mortgage Loans, the Mortgaged Property or
      the
      priority of the security interest on such Mortgaged Property, the Servicer
      shall
      use its Best Efforts promptly to cure such breach in all material respects
      and,
      if such breach cannot be cured, the Servicer shall, at the Trustee’s or the
      Master Servicer’s option, assign the Servicer’s rights and obligations under
      this Agreement (or respecting the affected Mortgage Loans) to a successor
      Servicer. Such assignment shall be made in accordance with Sections 9.01 and
      9.02.

     

    
      
        
        

      

      
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    In
      addition, the Servicer shall indemnify the Seller, the Trustee and the Master
      Servicer (and each of their respective directors, officers, employees and
      agents) and the Trust Fund, and hold each of them harmless against any Costs
      resulting from any claim, demand, defense or assertion based on or grounded
      upon, or resulting from, a breach of the Servicer representations and warranties
      contained in this Agreement. It is understood and agreed that the remedies
      set
      forth in this Section 6.02 constitute the sole remedies of the Seller, the
      Master Servicer and the Trustee respecting a breach of the foregoing
      representations and warranties.

     

    Any
      cause
      of action against the Servicer relating to or arising out of the breach of
      any
      representations and warranties made in Section 6.01 shall accrue upon (i)
      discovery of such breach by the Servicer or notice thereof by the Seller or
      the
      Master Servicer to the Servicer, (ii) failure by the Servicer to cure such
      breach within the applicable cure period, and (iii) demand upon the Servicer
      by
      the Seller or the Master Servicer for compliance with this
      Agreement.

     

    Section
      6.03  Additional
      Indemnification by the Servicer; Third Party Claims. 

     

    The
      Servicer shall indemnify the Seller, the Depositor, the Trustee and the Master
      Servicer (and each of their respective directors, officers, employees and
      agents) and the Trust Fund, and hold them harmless against any and all Costs
      that any such indemnified party may sustain in any way related to (i) the
      failure of the Servicer to perform its duties and service the Mortgage Loans
      in
      material compliance with the terms of this Agreement (including, but not limited
      to its obligation to provide any certification pursuant to Sections 5.03(b)
      and
      5.04 hereunder) or for any inaccurate or misleading information provided in
      the
      certifications required pursuant to Sections 5.03(b) and 5.04 or (ii) the
      failure of the Servicer to cause any event to occur or not to occur which would
      have occurred or would not have occurred, as applicable, if the Servicer were
      applying Accepted Servicing Practices under this Agreement. The Servicer shall
      immediately notify the Seller, the Depositor, the Master Servicer, the Trustee
      or any other relevant party if a claim is made by a third party with respect
      to
      this Agreement or the Mortgage Loans, assume (with the prior written consent
      of
      the indemnified party in the event of an indemnified claim) the defense of
      any
      such claim and pay all expenses in connection therewith, including counsel
      fees,
      promptly pay, discharge and satisfy any judgment or decree which may be entered
      against it or any other party in respect of such claim and follow any written
      instructions received from such indemnifying party in connection with such
      claim. Subject to the Servicer’s indemnification pursuant to Section 6.02, or
      the failure of the Servicer to service and administer the Mortgage Loans in
      material compliance with the terms of this Agreement, the Trust Fund shall
      indemnify the Servicer and hold the Servicer harmless against any and all Costs
      that the Servicer may sustain in connection with any legal action relating
      to
      this Agreement, the Certificates or the origination or Servicing of the Mortgage
      Loans by any prior owner or servicer, other than any Costs incurred by reason
      of
      the Servicer’s willful misfeasance, bad faith or negligence in the performance
      of duties hereunder or by reason of its reckless disregard of obligations and
      duties hereunder. 

     

    
      
        
        

      

      
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    Section
      6.04  [Reserved]. 

     

    Section
      6.05  Indemnification
      with Respect to Certain Taxes and Loss of REMIC Status.

     

    In
      the
      event that any REMIC fails to qualify as a REMIC, loses its status as a REMIC,
      or incurs federal, state or local taxes as a result of a prohibited transaction
      or prohibited contribution under the REMIC Provisions due to the negligent
      performance by the Servicer of its duties and obligations set forth herein,
      the
      Servicer shall indemnify the Holder of the related Residual Certificate, the
      Master Servicer, the Trustee and the Trust Fund (and each of their respective
      directors, officers, employees and agents) against any and all losses, claims,
      damages, liabilities or expenses (“Losses”) resulting from such negligence;
provided,
      however,
      that the
      Servicer shall not be liable for any such Losses attributable to the action
      or
      inaction of the Trustee, the Depositor or the Holder of such Residual
      Certificate, as applicable, nor for any such Losses resulting from
      misinformation provided by the Holder of such Residual Certificate on which
      the
      Servicer has relied. The foregoing shall not be deemed to limit or restrict
      the
      rights and remedies of the Holder of such Residual Certificate, the Trustee
      and
      the Trust Fund now or hereafter existing at law or in equity or otherwise.
      Notwithstanding the foregoing, however, in no event shall the Servicer have
      any
      liability (1) for any action or omission that is taken in accordance with and
      in
      compliance with the express terms of, or which is expressly permitted by the
      terms of, this Agreement, (2) for any Losses other than arising out of a
      negligent performance by the Servicer of its duties and obligations set forth
      herein, and (3) for any special or consequential damages to Certificateholders
      (in addition to payment of principal and interest on the
      Certificates).

     

    Section
      6.06  Reporting
      Requirements of the Commission and Indemnification.

     

    Notwithstanding
      any other provision of this Agreement, the Servicer shall (i) agree to such
      modifications and enter into such amendments to this Agreement as may be
      necessary, in the judgment of the Depositor, the Master Servicer and their
      respective counsel, to comply with any rules promulgated by the U.S. Securities
      and Exchange Commission (the “Commission”) and any interpretations thereof by
      the staff of the Commission (collectively, “SEC Rules”) and (ii) promptly upon
      request provide to the Depositor for inclusion in any periodic report required
      to be filed under the Securities Exchange Act of 1934, as amended (the “Exchange
      Act”), such items of information regarding this Agreement and matters related to
      the Servicer, including as applicable (by way of example and not limitation),
      a
      description of any material litigation or governmental action or proceeding
      involving the Servicer or its affiliates (collectively, the “Servicer
      Information”), provided,
      that
      such
      information shall be required to be provided by the Servicer only to the extent
      that such shall be determined by the Depositor in its sole discretion and its
      counsel to be necessary or advisable to comply with any SEC Rules.

    

    The
      Servicer
      hereby
      agrees to indemnify and hold harmless the Depositor, the Master Servicer, their
      respective officers and directors and each person, if any, who controls the
      Depositor or Master Servicer within the meaning of Section 15 of the Securities
      Act of 1933, as amended (the “Act”), or Section 20 of the Exchange Act, from and
      against any and all losses, claims, expenses, damages or liabilities to which
      the Depositor, the Master Servicer, their respective officers or directors
      and
      any such controlling person may become subject under the Act or otherwise,
      as
      and when such losses, claims, expenses, damages or liabilities are incurred,
      insofar as such losses, claims, expenses, damages or liabilities (or actions
      in
      respect thereof) arise out of or are based upon any untrue statement or alleged
      untrue statement of any material fact contained in the Servicer
      Information or
      arise
      out of, or are based upon, the omission or alleged omission to state therein
      any
      material fact required to be stated therein or necessary to make the statements
      therein, in light of the circumstances under which they were made, not
      misleading, and will reimburse the Depositor, the Master Servicer, their
      respective officers and directors and any such controlling person for any legal
      or other expenses reasonably incurred by it or any of them in connection with
      investigating or defending any such loss, claim, expense, damage, liability
      or
      action, as and when incurred; provided,
      however,
      that
      the Servicer
      shall
      be
      liable only insofar as such untrue statement or alleged untrue statement or
      omission or alleged omission relates solely to the information in the
Servicer
      Information
      furnished to the Depositor or Master Servicer by or on behalf of the
Servicer
      specifically
      in connection with this Agreement.

     

    
      
        
        

      

      
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    ARTICLE
      VII

     

    THE
      SERVICER

     

    Section
      7.01  Merger
      or Consolidation of the Servicer.

     

    The
      Servicer shall keep in full effect its existence, rights and franchises as
      a
      corporation, and shall 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 or any
      of
      the Mortgage Loans and to perform its duties under this Agreement.

     

    Any
      Person into which the Servicer may be merged or consolidated, or any corporation
      resulting from any merger, conversion or consolidation to which the Servicer
      shall be a party, or any Person succeeding to the business of the Servicer,
      shall be the successor of the Servicer hereunder, without the execution or
      filing of any paper or any further act on the part of any of the parties hereto,
      anything herein to the contrary notwithstanding, provided, however, that the
      successor or surviving Person shall be an institution (i) having a net worth
      of
      not less than $25,000,000, and (ii) which is a Fannie Mae or Freddie Mac
      approved servicer in good standing.

     

    Section
      7.02  Limitation
      on Liability of the Servicer and Others.

     

    Neither
      the Servicer nor any of the directors, officers, employees or agents of the
      Servicer shall be under any liability to the Seller, the Master Servicer or
      the
      Trustee 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 Servicer or any such person
      against any breach of warranties or representations made herein, or failure
      to
      perform its obligations in strict compliance with any standard of care set
      forth
      in this Agreement, or any liability which would otherwise be imposed by reason
      of any breach of the terms and conditions of this Agreement. The Servicer and
      any director, officer, employee or agent of the Servicer may rely in good faith
      on any document of any kind prima facie properly executed and submitted by
      any
      Person respecting any matters arising hereunder. The Servicer shall not be
      under
      any obligation to appear in, prosecute or defend any legal action which is
      not
      incidental to its duties to service the Mortgage Loans in accordance with this
      Agreement and which in its opinion may involve it in any expense or liability,
      provided, however, that the Servicer may, with the consent of the Master
      Servicer, undertake any such action which it may deem necessary or desirable
      in
      respect of this Agreement and the rights and duties of the parties hereto.
      In
      such event, the Servicer shall be entitled to reimbursement from the Trust
      Fund
      for the reasonable legal expenses and costs of such action.

     

    
      
        
        

      

      
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    Section
      7.03  Limitation
      on Resignation and Assignment by the Servicer.

     

    The
      Seller has entered into this Agreement with the Servicer in reliance upon the
      independent status of the Servicer, and the representations as to the adequacy
      of its servicing facilities, plant, personnel, records and procedures, its
      integrity, reputation and financial standing, and the continuance thereof.
      Therefore, the Servicer shall neither assign its rights under this Agreement
      or
      the servicing hereunder nor delegate its duties hereunder or any portion
      thereof, 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
      Seller (as owner of the servicing rights relating to the Mortgage Loans) and
      the
      Master Servicer, which consent, in the case of an assignment of rights or
      delegation of duties, shall be granted or withheld in the discretion of the
      Seller and the Master Servicer, and which consent, in the case of a sale or
      disposition of all or substantially all of the property or assets of the
      Servicer, shall not be unreasonably withheld; provided, that in each case,
      there
      must be delivered to the Master Servicer and the Trustee 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 Seller
      (as
      owner
      of the servicing rights relating to the Mortgage Loans),
      the
      Master Servicer or the Trustee, 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, that the retention of such contractors by Servicer shall
      not limit the obligation of the Servicer to service the 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 by mutual consent of the Servicer and the Master Servicer or upon the
      determination that its duties hereunder are no longer permissible under
      applicable law and such incapacity cannot be cured by the Servicer. Any such
      determination permitting the resignation of the Servicer shall be evidenced
      by
      an Opinion of Counsel to such effect delivered to the Master Servicer and the
      Trustee which Opinion of Counsel shall be in form and substance acceptable
      to
      the Master Servicer and the Trustee. No such resignation shall become effective
      until a successor shall have assumed the Servicer’s responsibilities and
      obligations hereunder in the manner provided in Section 9.01.

     

    Without
      in any way limiting the generality of this Section 7.03, in the event that
      the
      Servicer either shall assign this Agreement or the servicing responsibilities
      hereunder or delegate its duties hereunder or any portion thereof or sell or
      otherwise dispose of all or substantially all of its property or assets, without
      the prior written consent of the Seller, the Trustee and the Master Servicer,
      then the Seller, the Trustee or the Master Servicer shall have the right to
      terminate this Agreement upon notice given as set forth in Section 8.01, without
      any payment of any penalty or damages and without any liability whatsoever
      to
      the Servicer or any third party.

     

    
      
        
        

      

      
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    Section
      7.04  [Subservicing
      Agreements and Successor Subservicer.

     

    (a) The
      Servicer may enter into subservicing agreements for any servicing and
      administration of the Mortgage Loans with any institution which (i) is an
      approved Fannie Mae or Freddie Mac Seller/Servicer and (ii) which represents
      and
      warrants that it is in compliance with the laws of each state as necessary
      to
      enable it to perform its obligations under such subservicing agreement. For
      this
      purpose, subservicing shall not be deemed to include outsourcing routine tasks
      to third parties including, but not limited to, taxes, insurance, property
      inspection, reconveyance, collection or brokering REO Property. The Servicer
      shall give prior written notice to the Master Servicer, the Depositor and the
      Trustee of the appointment of any subservicer or other subcontractor and shall
      furnish to the Master Servicer a copy of such subservicing agreement. For
      purposes of this Agreement, the Servicer shall be deemed to have received
      payments on Mortgage Loans immediately upon receipt by any subservicer of such
      payments. Any such subservicing agreement shall be consistent with and not
      violate the provisions of this Agreement. Each subservicing agreement shall
      provide that a successor servicer shall have
      the
      option to terminate such agreement without payment of any fees if the
      predecessor servicer is terminated or resigns. 

     

    (b) The
      Servicer may terminate any subservicing agreement to which it is a party in
      accordance with the terms and conditions of such subservicing agreement and
      either itself directly service the related Mortgage Loans or enter
      into a subservicing agreement with a successor subservicer or subcontractor
      that
      qualifies under Section 7.04(a). 

     

    (c) Notwithstanding
      any subservicing agreement or the provisions of this Agreement relating to
      agreements or arrangements between the Servicer and a subservicer or other
      subcontractor or reference to actions taken through a subservicer or otherwise,
      (i) the Servicer shall remain obligated and primarily liable to the Trustee,
      the
      Master Servicer and the Certificateholders for the servicing and administering
      of the Mortgage Loans in accordance with the provisions hereof without
      diminution of such obligation or liability by virtue of such subservicing
      agreements or arrangements or by virtue of indemnification from the subservicer
      and to the same extent and under the same terms and conditions as if the
      Servicer alone were servicing and administering the Mortgage Loans and (ii)
      any
      subservicer or other subcontractor that performs any of the functions identified
      in Item 1122(d) of Regulation AB must agree in writing that, if the Master
      Servicer or the Depositor determines that such subcontractor was “participating
      in the servicing function” within the meaning of Item 1122, such subcontractor
      will comply with the provisions of Sections 5.02, 5.03 and 5.04 to the same
      extent as if such subservicer were the Servicer. The Servicer shall be entitled
      to enter into any agreement with a subservicer for indemnification of the
      Servicer by such subservicer and nothing contained in this Agreement shall
      be
      deemed to limit or modify such indemnification. ]

     

    
      
        
        

      

      
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    ARTICLE
      VIII

     

    TERMINATION

     

    Section
      8.01  Termination
      for Cause.

     

    This
      Agreement shall be terminable at the option of the Seller or the Master Servicer
      if any of the following events of default exist on the part of the
      Servicer:

     

    (i)
       any
      failure by the Servicer to remit to the Master Servicer any payment required
      to
      be made under the terms of this Agreement which continues unremedied for a
      period of two Business Days 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 Master Servicer; or

     

    (ii)
       failure
      by the Servicer duly to observe or perform in any material respect any other
      of
      the covenants or agreements on the part of the Servicer set forth in this
      Agreement which continues unremedied for a period of 30 days; or

     

    (iii)
       failure
      by the Servicer to maintain its license to do business or service residential
      mortgage loans in any jurisdiction, if required by such jurisdiction, where
      the
      Mortgaged Properties are located; or

     

    (iv)
       a
      decree
      or order of a court or agency or supervisory authority having jurisdiction
      for
      the appointment of a conservator or receiver or liquidator in any insolvency,
      readjustment of debt, including bankruptcy, marshaling of assets and liabilities
      or similar proceedings, 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 60 days;
      or

     

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

     

    (vi)
       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,
      bankruptcy or reorganization statute, make an assignment for the benefit of
      its
      creditors, voluntarily suspend payment of its obligations or cease its normal
      business operations for three Business Days; or

     

    (vii)
       the
      Servicer ceases to meet the qualifications of a Fannie Mae or Freddie Mac
      seller/servicer; or

     

    (viii)
       the
      Servicer attempts to assign the servicing of the Mortgage Loans or its right
      to
      servicing compensation hereunder or the Servicer attempts to sell or otherwise
      dispose of all or substantially all of its property or assets or to assign
      this
      Agreement or the servicing responsibilities hereunder or to delegate its duties
      hereunder or any portion thereof (to other than a third party in the case of
      outsourcing routine tasks including, but not limited to, taxes, insurance,
      property inspection, reconveyance, collection or brokering REO Property), in
      each case without complying fully with the provisions of Section
      7.03.

     

    
      
        
        

      

      
        40

        
          

        

      

      
        
        

      

    

     

    In
      each
      and every such case, so long as an event of default shall not have been
      remedied, in addition to whatever rights the Seller or the Master Servicer
      may
      have at law or equity to damages, including injunctive relief and specific
      performance, the Seller or the Master Servicer, by notice in writing to the
      Servicer, may terminate all the rights and obligations of the Servicer under
      this Agreement and in and to the servicing contract established hereby and
      the
      proceeds thereof.

     

    Upon
      receipt by the Servicer of such written notice, all authority and power of
      the
      Servicer under this Agreement, whether with respect to the Mortgage Loans or
      otherwise, shall pass to and be vested in a successor Servicer appointed by
      the
      Seller and the Master Servicer. Upon written request from the Seller, the
      Servicer shall prepare, execute and deliver to the successor entity designated
      by the Seller any and all documents and other instruments, place in such
      successor’s possession all Servicing Files, and do or cause to be done all other
      acts or things necessary or appropriate to effect the purposes of such notice
      of
      termination, including but not limited to the transfer and endorsement or
      assignment of the Mortgage Loans and related documents, at the Servicer’s sole
      expense. The Servicer shall cooperate with the Seller and the Master Servicer
      and such successor in effecting the termination of the Servicer’s
      responsibilities and rights hereunder, including without limitation, the
      transfer to such successor for administration by it of all cash amounts which
      shall at the time be credited by the Servicer to the Custodial Account or Escrow
      Account or thereafter received with respect to the Mortgage Loans.

     

    By
      a
      written notice, the Seller and the Master Servicer may waive any default by
      the
      Servicer in the performance of its obligations hereunder and its consequences.
      Upon any waiver of a past default, such default shall cease to exist, and any
      Event of Default arising therefrom shall be deemed to have been remedied for
      every purpose of this Agreement. No such waiver shall extend to any subsequent
      or other default or impair any right consequent thereon except to the extent
      expressly so waived.

     

    Section
      8.02  Termination
      Without Cause.

     

    This
      Agreement shall terminate upon: (i) the later of (a) the distribution of the
      final payment or liquidation proceeds on the last Mortgage Loan to the Master
      Servicer (or advances by the Servicer for the same), and (b) the disposition
      of
      all REO Property acquired upon foreclosure of the last Mortgage Loan and the
      remittance of all funds due hereunder, (ii) mutual consent of the Servicer,
      the
      Seller (as owner of the servicing rights relating to the Mortgage Loans), the
      Trustee and the Master Servicer in writing or (iii) at the sole discretion
      of
      the Seller (acting in its capacity as owner of the servicing rights relating
      to
      the Mortgage Loans). Any such termination pursuant to clause (iii) above shall
      be with 30 days’ prior notice, in writing and delivered to the Trustee, the
      Master Servicer and the Servicer by registered mail to the addresses set forth
      in Section 9.03 of this Agreement (in the case of the Servicer) or in the
      Pooling and Servicing Agreement (in the case of the Trustee or the Master
      Servicer). The Servicer shall comply with the termination procedures set forth
      in Sections 7.03, 8.01 and 9.01 hereof. The Master Servicer or the Trustee
      shall
      have no right to terminate the Servicer pursuant to this Section 8.02. In
      connection with a termination by the Seller pursuant to clause (iii) of this
      Section 8.02, the Servicer shall be reimbursed for all unreimbursed
      out-of-pocket Servicing Advances, Monthly Advances and Servicing Fees and other
      reasonable and necessary out-of-pocket costs associated with any transfer of
      servicing at the time of such transfer of servicing. Any invoices received
      by
      the Servicer after termination will be forwarded to the Seller or the successor
      servicer for payment within thirty (30) days of receipt from the Servicer.
      

     

    
      
        
        

      

      
        41

        
          

        

      

      
        
        

      

    

     

    ARTICLE
      IX

     

    MISCELLANEOUS
      PROVISIONS

     

    Section
      9.01  Successor
      to the Servicer.

     

    Simultaneously
      with the termination of the Servicer’s responsibilities and duties under this
      Agreement (a) pursuant to Sections 6.02, 7.03, 8.01 or 8.02(ii), the Master
      Servicer shall (i) succeed to and assume all of the Servicer’s responsibilities,
      rights, duties and obligations under this Agreement, or (ii) appoint a successor
      having the characteristics set forth in clauses (i) and (ii) of Section 7.01
      and
      which shall succeed to all rights and assume all of the responsibilities, duties
      and liabilities of the Servicer under this Agreement simultaneously with the
      termination of the Servicer’s responsibilities, duties and liabilities under
      this Agreement; or (b) pursuant to a termination under Section 8.02(iii), the
      Seller (as owner of the servicing rights relating to the Mortgage Loans) shall
      appoint a successor having the characteristics set forth in clauses (i) and
      (ii)
      of Section 7.01 and which shall succeed to all rights and assume all of the
      responsibilities, duties and liabilities of the Servicer under this Agreement
      simultaneously with the termination of the Servicer’s responsibilities, duties
      and liabilities under this Agreement. Any successor to the Servicer shall be
      subject to the approval of the Master Servicer and, to the extent required
      by
      the Pooling and Servicing Agreement, the Trustee and such successor, shall
      be a
      member in good standing of the MERS system (if any of the Mortgage Loans are
      MERS Eligible Mortgage Loans, unless such Mortgage Loans are withdrawn from
      MERS
      and Assignments of Mortgage are recorded in favor of the Trustee at the expense
      of the successor Servicer). Any approval of a successor servicer by the Master
      Servicer and, to the extent required by the Pooling and Servicing Agreement,
      the
      Trustee, shall, if the successor servicer is not at that time a servicer of
      other Mortgage Loans for the Trust Fund, be conditioned upon the receipt by
      the
      Master Servicer and the Trustee of a letter from each Rating Agency to the
      effect that such transfer of servicing will not result in a qualification,
      withdrawal or downgrade of the then-current rating of any of the Certificates.
      In connection with such appointment and assumption, the Master Servicer or
      the
      Seller, as applicable, may make such arrangements for the compensation of such
      successor out of payments on Mortgage Loans as it and such successor shall
      agree, provided, however, that no such compensation shall be in excess of that
      permitted the Servicer under this Agreement. In the event that the Servicer’s
      duties, responsibilities and liabilities under this Agreement should be
      terminated pursuant to the aforementioned sections, the Servicer shall discharge
      such duties and responsibilities during the period from the date it acquires
      knowledge of such termination until the effective date thereof with the same
      degree of diligence and prudence which it is obligated to exercise under this
      Agreement, and shall take no action whatsoever that might impair or prejudice
      the rights or financial condition of its successor. The resignation or removal
      of the Servicer pursuant to the aforementioned sections shall not become
      effective until a successor shall be appointed pursuant to this Section 9.01
      and
      shall in no event relieve the Servicer of the representations and warranties
      made pursuant to Sections 6.01 and the remedies available to the Master Servicer
      and the Seller under Section 6.02 and 6.03, it being understood and agreed
      that
      the provisions of such Sections 6.01, 6.02 and 6.03 shall be applicable to
      the
      Servicer notwithstanding any such resignation or termination of the Servicer,
      or
      the termination of this Agreement. Neither the Master Servicer, in its capacity
      as successor servicer, nor any other successor servicer, shall be responsible
      for the lack of information and/or documents that are not transferred to it
      by
      the Servicer and that it cannot otherwise obtain through reasonable
      efforts.

     

    
      
        
        

      

      
        42

        
          

        

      

      
        
        

      

    

     

    Within
      a
      reasonable period of time, but in no event longer than 30 days of the
      appointment of a successor entity, the Servicer shall prepare, execute and
      deliver to the successor entity any and all documents and other instruments,
      place in such successor’s possession all Servicing Files, and do or cause to be
      done all other acts or things necessary or appropriate to effect the purposes
      of
      such notice of termination, including but not limited to the transfer and
      endorsement of the Mortgage Notes and related documents, and the preparation
      and
      recordation of Assignments of Mortgage. The Servicer shall cooperate with the
      Trustee, the Master Servicer or the Seller, as applicable, and such successor
      in
      effecting the termination of the Servicer’s responsibilities and rights
      hereunder and the transfer of servicing responsibilities to the successor
      Servicer, including without limitation, the transfer to such successor for
      administration by it of all cash amounts which shall at the time be credited
      by
      the Servicer to the Custodial Account or Escrow Account or thereafter received
      with respect to the Mortgage Loans.

     

    Any
      successor appointed as provided herein shall execute, acknowledge and deliver
      to
      the Trustee, the Servicer, the Master Servicer and the Seller an instrument
      (i)
      accepting such appointment, wherein the successor shall make the representations
      and warranties set forth in Section 6.01 (including a representation that the
      successor Servicer is a member of MERS, unless none of the Mortgage Loans are
      MERS Mortgage Loans or MERS Eligible Mortgage Loans or any such Mortgage Loans
      have been withdrawn from MERS and Assignments of Mortgage are recorded in favor
      of the Trustee) and (ii) an assumption of the due and punctual performance
      and
      observance of each covenant and condition to be performed and observed by the
      Servicer under this Agreement, whereupon such successor shall become fully
      vested with all the rights, powers, duties, responsibilities, obligations and
      liabilities of the Servicer, with like effect as if originally named as a party
      to this Agreement. Any termination or resignation of the Servicer or termination
      of this Agreement pursuant to Sections 6.02, 7.03, 8.01 or 8.02 shall not affect
      any claims that the Master Servicer or the Trustee may have against the Servicer
      arising out of the Servicer’s actions or failure to act prior to any such
      termination or resignation. In addition, in the event any successor servicer
      is
      appointed pursuant to Section 8.02(iii) of this Agreement, such successor
      servicer must satisfy the conditions relating to the transfer of servicing
      set
      forth in the Pooling and Servicing Agreement.

     

    The
      Servicer shall deliver promptly to the successor servicer the funds in the
      Custodial Account and Escrow Account (and any funds thereafter received by
      it
      with respect to the Mortgage Loans) and all Mortgage Loan documents and related
      documents and statements held by it hereunder and the Servicer shall account
      for
      all funds and shall execute and deliver such instruments and do such other
      things as may reasonably be required to more fully and definitively vest in
      the
      successor all such rights, powers, duties, responsibilities, obligations and
      liabilities of the Servicer.

     

    
      
        
        

      

      
        43

        
          

        

      

      
        
        

      

    

     

    Upon
      a
      successor’s acceptance of appointment as such, the Servicer shall notify the
      Trustee, the Seller and Master Servicer of such appointment in accordance with
      the procedures set forth in Section 9.03.

     

    Section
      9.02  Costs.

     

    The
      Seller shall pay the legal fees and expenses of its attorneys. Costs and
      expenses incurred in connection with the transfer of the servicing
      responsibilities, including fees for delivering Servicing Files, shall be paid
      by the Seller. Subject to Sections 2.02 and 3.01(a), the Depositor shall pay
      the
      costs associated with the preparation, delivery and recording of Assignments
      of
      Mortgages.

     

    Section
      9.03  Notices.

     

    All
      demands, notices and communications hereunder shall be in writing and shall
      be
      deemed to have been duly given if sent by facsimile or mailed by overnight
      courier, addressed as follows (or such other address as may hereafter be
      furnished to the other party by like notice): 

     

    
      
        
        

      

      
        44

        
          

        

      

      
        
        

      

    

    
       

      (i) if
        to the
        Seller:

       

      [_______________]

      [_______________]

      [_______________]

      Attention:
        [___________]

      Telephone
        No.: [_______________]

      Telecopier
        No.: [_______________]

       

    

    (ii) if
      to the
      Servicer:

     

    [_______________]

    [_______________]

    [_______________]

    Attention:
      [___________]

    Telephone
      No.: [_______________]

    Telecopier
      No.: [_______________]

    

    (iii) if
      to the
      Master Servicer:

     

    [_______________]

    [_______________]

    [_______________]

    Attention:
      [___________]

    Telephone
      No.: [_______________]

    Telecopier
      No.: [_______________]

    

    (iv) if
      to the
      Trustee:

     

    [_______________]

    [_______________]

    [_______________]

    Attention:
      [___________]

    Telephone
      No.: [_______________]

    Telecopier
      No.: [_______________]

     

    Any
      such
      demand, notice or communication hereunder shall be deemed to have been received
      on the date delivered to or received at the premises of the addressee.

     

    Section
      9.04  Severability
      Clause.

     

    Any
      part,
      provision, representation or warranty of this Agreement which is prohibited
      or
      which 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 which is prohibited or unenforceable or is held to be void or
      unenforceable in any jurisdiction shall be ineffective, as to such jurisdiction,
      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. If the invalidity of
      any
      part, provision, representation or warranty of this Agreement shall deprive
      any
      party of the economic benefit intended to be conferred by this Agreement, the
      parties shall negotiate, in good-faith, to develop a structure the economic
      effect of which is as close as possible to the economic effect of this Agreement
      without regard to such invalidity.

     

    
      
        
        

      

      
        45

        
          

        

      

      
        
        

      

    

     

    Section
      9.05  No
      Personal Solicitation. 

     

    From
      and
      after the Closing Date, the Servicer hereby agrees that it will not take any
      action or permit or cause any action to be taken by any of its agents or
      affiliates, or by any independent contractors on the Servicer’s behalf, to
      personally, by telephone or mail, solicit the borrower or obligor under any
      Mortgage Loan (on a targeted basis) for any purposes of prepayment, refinancing
      or modification of the related Mortgage Loan, provided, however, that this
      limitation shall not prohibit Servicer from soliciting such Mortgagor for
      purposes of prepayment, refinance or modification of any loan owned or serviced
      by Servicer other than a Mortgage Loan. It is understood and agreed that, among
      other marketing activities, promotions undertaken by Servicer which are directed
      of the general public at large or which are directed generally to a segment
      of
      the then existing customers of Servicer or any of its direct or indirect
      subsidiaries (including, without limitation, the mailing of promotional
      materials to Servicer’s deposit customers by inserting such materials into
      customer account statements, mass mailings based on commercially acquired
      mailing lists and newspaper, radio and television advertisements) shall not
      constitute solicitation under this section. In the event the Servicer does
      refinance any Mortgage Loan as a result of a violation of the requirements
      set
      forth in this Section 9.05, Servicer hereby agrees to pay to the Trust Fund
      an
      amount equal to the difference, if any, between the amount that the Trust Fund
      would have received if it had sold the Mortgage Loan to a third party, and
      the
      proceeds received by the Trust Fund as a result of such
      refinancing.

     

    Section
      9.06  Counterparts.

     

    This
      Agreement may be executed simultaneously in any number of counterparts. Each
      counterpart shall be deemed to be an original, and all such counterparts shall
      constitute one and the same instrument.

     

    Section
      9.07  Place
      of Delivery and Governing Law.

     

    This
      Agreement shall be deemed in effect when a fully executed counterpart thereof
      is
      received by the Seller in the State of New York and shall be deemed to have
      been
      made in the State of New York. THIS
      AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF
      THE
      STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS (OTHER
      THAN SECTION 5-1401 OF THE GENERAL OBLIGATIONS LAW), AND THE OBLIGATIONS, RIGHTS
      AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH
      SUCH LAWS.

     

    
      
        
        

      

      
        46

        
          

        

      

      
        
        

      

    

     

    Section
      9.08  Further
      Agreements.

     

    The
      Seller and the Servicer each agree to execute and deliver to the other such
      reasonable and appropriate additional documents, instruments or agreements
      as
      may be necessary or appropriate to effectuate the purposes of this
      Agreement.

     

    Section
      9.09  Intention
      of the Parties.

     

    It
      is the
      intention of the parties that the Seller is conveying, and the Servicer is
      receiving only a contract for servicing the Mortgage Loans. Accordingly, the
      parties hereby acknowledge that the Trust Fund remains the sole and absolute
      owner of the Mortgage Loans and all rights (other than the servicing rights)
      related thereto.

     

    Section
      9.10  Successors
      and Assigns; Assignment of Servicing Agreement.

     

    This
      Agreement shall bind and inure to the benefit of and be enforceable by the
      Servicer, the Seller, the Trustee and the Master Servicer and their respective
      successors and assigns. This Agreement shall not be assigned, pledged or
      hypothecated by the Servicer to a third party except in accordance with Section
      7.03.

     

    Section
      9.11  Assignment
      by the Seller.

     

    The
      Seller shall have the right, upon notice to but without the consent of the
      Servicer, to assign, in whole or in part, its interest under this Agreement
      to
      the Depositor, which in turn shall assign such rights to the Trustee, and the
      Trustee then shall succeed to all rights (but not the obligations, except as
      set
      forth in the Pooling and Servicing Agreement) of the Seller under this Agreement
      (and in performing hereunder, the Trustee shall have all of the rights,
      protections and immunities afforded to it under the Pooling and Servicing
      Agreement). All references to the Seller in this Agreement shall be deemed
      to
      include its assignee or designee and any subsequent assignee or designee,
      specifically including the Trustee, except with respect to the Seller’s retained
      servicing rights pursuant to Section 8.02(iii).

     

    The
      Seller shall have the right, upon notice to but without the consent of the
      Servicer or the Trustee, to assign, in whole or in part, its retained servicing
      rights. All references to the Seller in this Agreement, in its capacity as
      an
      owner of servicing rights, shall be deemed to include the assignee or designee
      and any subsequent assignee or designee, of the Seller’s rights arising pursuant
      to Section 8.02(iii). 

     

    Section
      9.12  Waivers.

     

    No
      term
      or provision of this Agreement may be waived or modified unless such waiver
      or
      modification is in writing and signed by the party against whom such waiver
      or
      modification is sought to be enforced.

     

    Section
      9.13  Exhibits.

     

    The
      exhibits to this Agreement are hereby incorporated and made a part hereof and
      are an integral part of this Agreement.

     

    
      
        
        

      

      
        47

        
          

        

      

      
        
        

      

    

     

    Section
      9.14  General
      Interpretive Principles.

     

    For
      purposes of this Agreement, except as otherwise expressly provided or unless
      the
      context otherwise requires:

     

    (a)
       the
      terms
      defined in this Agreement have the meanings assigned to them in this Agreement
      and include the plural as well as the singular, and the use of any gender herein
      shall be deemed to include the other gender;

     

    (b)
       accounting
      terms not otherwise defined herein have the meanings assigned to them in
      accordance with generally accepted accounting principles;

     

    (c)
       references
      herein to “Articles,” “Sections,” “Subsections,” “Paragraphs” and other
      subdivisions without reference to a document are to designated Articles,
      Sections, Subsections, Paragraphs and other subdivisions of this
      Agreement;

     

    (d)
       a
      reference to a Subsection without further reference to a Section is a reference
      to such Subsection as contained in the same Section in which the reference
      appears, and this rule shall also apply to Paragraphs and other
      subdivisions;

     

    (e)
       the
      words
“herein,” “hereof,” “hereunder” and other words of similar import refer to this
      Agreement as a whole and not to any particular provision; and

     

    (f)
       the
      term
“include” or “including” shall mean by reason of enumeration.

     

    Section
      9.15  Reproduction
      of Documents.

     

    This
      Agreement and all documents relating thereto, including, without limitation,
      (i)
      consents, waivers and modifications which may hereafter be executed, (ii)
      documents received by any party at the closing, and (iii) financial statements,
      certificates and other information previously or hereafter furnished, may be
      reproduced by any photographic, photostatic, microfilm, micro-card, miniature
      photographic or other similar process. The parties agree that any such
      reproduction shall be admissible in evidence as the original itself in any
      judicial or administrative proceeding, whether or not the original is in
      existence and whether or not such reproduction was made by a party in the
      regular course of business, and that any enlargement, facsimile or further
      reproduction of such reproduction shall likewise be admissible in
      evidence.

     

    Section
      9.16  Protection
      of Confidential Information.  

     

    The
      Servicer shall keep confidential and shall not divulge to any party, without
      the
      Seller’s prior written consent, any nonpublic information pertaining to the
      Mortgage Loans or any borrower thereunder, except to the extent that it is
      appropriate for the Servicer to do so in working with legal counsel, auditors,
      taxing authorities or other governmental agencies or it is otherwise in
      accordance with Accepted Servicing Practices.

     

    
      
        
        

      

      
        48

        
          

        

      

      
        
        

      

    

     

    Section
      9.17  Amendment.  

     

    This
      Agreement may be amended from time to time by the written agreement signed
      by
      the Master Servicer, the Seller and the Servicer; provided
      that the
      party requesting such amendment shall, at its own expense, provide the Trustee,
      the Master Servicer and the Seller with an Opinion of Counsel that such
      amendment will not materially adversely affect the interest of the
      Certificateholders in the Mortgage Loans. Any such amendment shall be deemed
      not
      to adversely affect in any material respect any the interest of the
      Certificateholders in the Mortgage Loans, if the Trustee receives written
      confirmation from each Rating Agency that such amendment will not cause such
      Rating Agency to reduce, qualify or withdraw the then current rating assigned
      to
      the Certificates (and any Opinion of Counsel requested by the Trustee, the
      Master Servicer and the Seller in connection with any such amendment may rely
      expressly on such confirmation as the basis therefore).

     

    
      
        
        

      

      
        49

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Servicer, the Seller and the Master Servicer have caused
      their names to be signed hereto by their respective officers thereunto duly
      authorized as of the date first above written.

     

    
      	 	 	 
	 	[_________________],
              
	 	 	
              as
                Seller

            
	 	 	 
	 	By:  	
            
	 	
              

              Name:
                

              Title:
                

            

    

     

    
      	 	 	 
	 	[_________________],
              
	 	 	
              
                as
                  Servicer

              

            
	 	 	 
	 	By:  	
            
	 	
              

              Name:
                

              Title:
                

            

    

     

    
      	 	 	 
	 	[_________________],
              
	 	 	
              as
                Master Servicer

            
	 	 	 
	 	By:  	
            
	 	
              

              Name:
                

              Title:
                

            

    

     

    Acknowledged
      By:

     

    [_________________],

    as
      Trustee and not individually

     

    
      	 	 	 	 	 
	By:	 	 	 	 
	 	
              

              Name:
                

              Title:
                

            	 	 	
            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      A

    

    MORTGAGE
      LOAN SCHEDULE 

    (including
      Prepayment Penalty Schedule)

     

    
      
        
        

      

      
        A-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
      B

     

    CUSTODIAL
      ACCOUNT CERTIFICATION

     

    [_______]
      [__],
      20[__]

     

    [_______________]
      hereby
      certifies that it has established the account described below as a Custodial
      Account pursuant to Section 3.03 of the Servicing Agreement dated [_______]
      [__],
      20[__], by and between [_______________],
      as
      seller, [_______________],
      in as
      servicer and [_______________],
      as master
      servicer, and acknowledged by [_______________],
      as
      trustee.

     

    Title
      of
      Account: [_______________],
      in
      trust for the Master Servicer for Thornburg Mortgage Securities Corporation,
      [Name of Series],
      and
      various Mortgagors.

     

    Account
      Number: _______________

     

    Address
      of office or branch of the firm at which Account is maintained:

     

    
      _______________________________________________________

       

      _______________________________________________________

       

      _______________________________________________________

       

    

    
      	 	 	 
	 	 [_________________]
	 	 	
              
                 

              

            
	 	 	 
	 	By:  	
              ____________________________________________________________________

            
	 	 	
              
                 

              

            
	
               

            	
              Name:
                _______________________________________________________________

               

              Title:
                ________________________________________________________________

            

    

     

    
      
        
        

      

      
        B-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
      C

     

    ESCROW
      ACCOUNT CERTIFICATION

     

    [_______________]
      hereby
      certifies that it has established the account described below as a Custodial
      Account pursuant to Section 3.05 of the Servicing Agreement dated [_______]
      [__],
      20[__], by and between [_______________],
      as
      seller, [_______________],
      in as
      servicer and [_______________],
      as master
      servicer, and acknowledged by [_______________],
      as
      trustee.

     

    

     

    Title
      of
      Account: [_______________],
      in
      trust for the Master Servicer for Thornburg Mortgage Securities Corporation
      [Name of Series],
      and
      various Mortgagors.

     

    Account
      Number: _______________

     

    Address
      of office or branch of the firm at which Account is maintained:

     

    ______________________________________________________

     

    ______________________________________________________

     

    ______________________________________________________

     

    
      	 	 	 
	 	 [_________________]
	 	 	
              
                 

              

            
	 	 	 
	 	By:  	
              ____________________________________________________________________

            
	 	 	
               

            
	
               

            	
              Name:
                _______________________________________________________________

               

              Title:
                ________________________________________________________________

            

    

    

    
      
        
        

      

      
        C-1

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      D-1

     

    FORM
      OF MONTHLY REMITTANCE ADVICE

     

    
      
        
        

      

      
        D-1-1

        
          

        

      

      
        
        

      

       

    

    EXHIBIT
      D-2

     

    STANDARD
      LAYOUT FOR MONTHLY DEFAULTED LOAN REPORT

    

    
      
        
        

      

      
        D-2-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
      E

    

    [Date]

    

    Thornburg
      Mortgage Securities Corporation

    150
      Washington Avenue, Suite 302

    Santa
      Fe,
      New Mexico 87501

    Attention:
      [___________]

    

    [______________]

    [______________]

    [______________]

    Attention:
      [______________]

    

    [______________]

    [______________]

    [______________]

    Attention:
      [______________]

    

    Reference
      is made to the Servicing Agreement dated as of [________] [__], 20[__] (the
      “Agreement”), by and among [_______________],
      as
      seller (the “Seller”), [______________], as servicer (in such capacity, the
“Servicer”), and [______________], as master servicer (in such capacity, the
“Master Servicer”), and acknowledged by [______________], as trustee (the
“Trustee”). I, [identify the certifying individual], a [title] of the Servicer,
      hereby certify to the Master Servicer, the Trustee and Thornburg Mortgage
      Securities Corporation (the “Depositor”), 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 information required to be delivered to the Master Servicer
      pursuant to Section 5.03 of the Agreement (the “Servicing
      Information”).

     

    2. Based
      on
      my knowledge, the Servicing Information does not contain any untrue statement
      of
      a material fact information or omit to state a material fact necessary to make
      the Servicing Information, in light of the circumstances under which such
      statements were made, not misleading as of the date of this
      certification;

     

    3. Based
      on
      my knowledge, the Servicing Information has been provided to the Master Servicer
      when and as required under the Agreement; and

     

    
      
        
        

      

      
        Ex
          2 -1

        
          

        

      

      
        
        

      

    

    4. I
      am
      responsible for reviewing the activities performed by the Servicer under the
      Agreement, and based upon my knowledge and the review required under the
      Agreement, and except as disclosed in writing to you on or prior to the date
      of
      this certification either in the accountants’ report required under the
      Agreement or in disclosure a copy of which is attached hereto, the Servicer
      has,
      as of the date of this certification, fulfilled its obligations under this
      Agreement.

     

    
      	 	 	 
	 	[_________________]
	 	 	
              
                 

              

            
	 	 	 
	 	By:  	
            
	 	
              

              Name:
                

              Title:
                

            

    

     

    
      
        
        

      

      
        Ex
          2 -2Unassociated Document

     

    
      	
              Form
                of Servicing Agreement
For
                HELOC Transactions

               

            

    

     

     

    [________________],

     

    as
      Servicer

    

     

    [________________],

     

    as
      Seller

     

    and

     

    [________________],

     

    as
      Master
      Servicer

     

    _____________________________

     

    Thornburg
      Mortgage Securities Corporation

    

    [Name
      of
      Series]

    

    SERVICING
      AGREEMENT

     

    Dated
      as
      of [________] [__], 20[__]

     

    _____________________________

     

    
      	 

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	
               TABLE
                OF CONTENTS

            
	 	 	
              PAGE

            
	
              ARTICLE
                I. DEFINITIONS

            	
               2

            
	 	 	 
	
              ARTICLE
                II. SELLER’S ENGAGEMENT OF SERVICER TO PERFORM SERVICING RESPONSIBILITIES
                

            	
              11

            
	 	 	 
	
              Section
                2.01

            	
              Contract
                for Servicing; Possession of Servicing Files.

            	
              11

            
	
              Section
                2.02

            	
              Books
                and Records.

            	
              12

            
	 	 	 
	
              ARTICLE
                III. SERVICING OF THE MORTGAGE LOANS 

            	
              13

            
	 	 	 
	
              Section
                3.01

            	
              Servicer
                to Service.

            	
              13

            
	
              Section
                3.02

            	
              Collection
                of Revolving Credit Loan Payments. 

            	
              16

            
	
              Section
                3.03

            	
              Establishment
                of and Deposits to Custodial Account. 

            	
              16

            
	
              Section
                3.04

            	
              Permitted
                Withdrawals From Custodial Account. 

            	
              18

            
	
              Section
                3.05

            	
              Establishment
                of and Deposits to Escrow Account. 

            	
              19

            
	
              Section
                3.06

            	
              Permitted
                Withdrawals From Escrow Account. 

            	
              20

            
	
              Section
                3.07

            	
              Reserved.
                

            	
              20

            
	
              Section
                3.08

            	
              Fidelity
                Bond and Errors and Omissions Insurance. 

            	
              20

            
	
              Section
                3.09

            	
              Notification
                of Adjustments. 

            	
              21

            
	
              Section
                3.10

            	
              Completion
                and Recordation of Assignments of Mortgage. 

            	
              21

            
	
              Section
                3.11

            	
              Protection
                of Accounts. 

            	
              21

            
	
              Section
                3.12

            	
              Payment
                of Taxes, Insurance and Other Charges. 

            	
              22

            
	
              Section
                3.13

            	
              Maintenance
                of Hazard Insurance. 

            	
              22

            
	
              Section
                3.14

            	
              Maintenance
                of Mortgage Blanket Insurance. 

            	
              23

            
	
              Section
                3.15

            	
              Restoration
                of Mortgaged Property. 

            	
              23

            
	
              Section
                3.16

            	
              Management
                of REO Property. 

            	
              23

            
	
              Section
                3.17

            	
              Real
                Estate Owned Reports. 

            	
              24

            
	
              Section
                3.18

            	
              MERS.
                

            	
              24

            
	
              Section
                3.19

            	
              Waiver
                of Prepayment Penalty Amounts. 

            	
              25

            
	
              Section
                3.20

            	
              Safeguarding
                Customer Information. 

            	
              26

            
	
              Section
                3.21

            	
              Realization
                Upon Specially Serviced Revolving Credit Loans 

            	
              26

            
	 	 	 
	
              ARTICLE
                IV PAYMENTS TO MASTER SERVICER 

            	
              26

            
	 	 	 
	
              Section
                4.01

            	
              Remittances.
                

            	
              26

            
	
              Section
                4.02

            	
              Statements
                to Master Servicer. 

            	
              27

            
	
              Section
                4.03

            	
              Monthly
                Advances by Servicer. 

            	
              28

            
	 	 	 
	
              ARTICLE
                V. GENERAL SERVICING PROCEDURES 

            	
              29

            
	 	 	 
	
              Section
                5.01

            	
              Servicing
                Compensation. 

            	
              29

            
	
              Section
                5.02

            	
              Annual
                Audit Report. 

            	
              29

            
	
              Section
                5.03

            	
              Annual
                Officer’s Certificate. 

            	
              30

            
	
              Section
                5.04

            	
              Compliance
                with Applicable Servicing Criteria. 

            	
              30

            
	
              Section
                5.05

            	
              Transfers
                of Mortgaged Property. 

            	
              31

            
	 	 	 
	
              ARTICLE
                VI. REPRESENTATIONS, WARRANTIES AND
                AGREEMENTS

            	
              32

            
	 	 	 
	
              Section
                6.01

            	
              Representations,
                Warranties and Agreements of the Servicer. 

            	
              32

            

    

     

    
      
        
        

      

      
        ii

        
          

        

      

      
        
        

      

    

     

    
      	
              Section
                6.02

            	
              Remedies
                for Breach of Representations and Warranties of the Servicer.
                

            	
              33

            
	
              Section
                6.03

            	
              Additional
                Indemnification by the Servicer; Third Party Claims. 

            	
              34

            
	
              Section
                6.04

            	
              [Reserved].
                

            	
              35

            
	
              Section
                6.05

            	
              Indemnification
                with Respect to Certain Taxes and Loss of REMIC Status. 

            	
              35

            
	
              Section
                6.06

            	
              Reporting
                Requirements of the Commission and Indemnification.
                

            	
              35

            
	 	 	 
	
              ARTICLE
                VII. THE SERVICER 

            	
              36

            
	 	 	 
	
              Section
                7.01

            	
              Merger
                or Consolidation of the Servicer. 

            	
              36

            
	
              Section
                7.02

            	
              Limitation
                on Liability of the Servicer and Others. 

            	
              37

            
	
              Section
                7.03

            	
              Limitation
                on Resignation and Assignment by the Servicer. 

            	
              37

            
	
              Section
                7.04

            	
              Subservicing
                Agreements and Successor Subservicer. 

            	
              38

            
	 	 	 
	
              ARTICLE
                VIII. TERMINATION 

            	
              39

            
	 	 	 
	
              Section
                8.01

            	
              Termination
                for Cause. 

            	
              39

            
	
              Section
                8.02

            	
              Termination
                Without Cause. 

            	
              41

            
	 	 	 
	
              ARTICLE
                IX. MISCELLANEOUS PROVISIONS

            	
              41

            
	 	 	 
	
              Section
                9.01

            	
              Successor
                to the Servicer. 

            	
              41

            
	
              Section
                9.02

            	
              Costs.
                

            	
              43

            
	
              Section
                9.03

            	
              Notices.
                

            	
              43

            
	
              Section
                9.04

            	
              Severability
                Clause. 

            	
              45

            
	
              Section
                9.05

            	
              No
                Personal Solicitation. 

            	
              45

            
	
              Section
                9.06

            	
              Counterparts.
                

            	
              45

            
	
              Section
                9.07

            	
              Place
                of Delivery and Governing Law. 

            	
              45

            
	
              Section
                9.08

            	
              Further
                Agreements. 

            	
              46

            
	
              Section
                9.09

            	
              Intention
                of the Parties. 

            	
              46

            
	
              Section
                9.10

            	
              Successors
                and Assigns; Assignment of Servicing Agreement. 

            	
              46

            
	
              Section
                9.11

            	
              Assignment
                by the Seller. 

            	
              46

            
	
              Section
                9.12

            	
              Waivers.
                

            	
              46

            
	
              Section
                9.13

            	
              Exhibits.
                

            	
              46

            
	
              Section
                9.14

            	
              General
                Interpretive Principles. 

            	
              47

            
	
              Section
                9.15

            	
              Reproduction
                of Documents. 

            	
              47

            
	
              Section
                9.16

            	
              Protection
                of Confidential Information. 

            	
              47

            
	
              Section
                9.17

            	
              Amendment. 

            	
              48

            

    

    

    Exhibit
      D-1 1

    

    
      	
              EXHIBIT
                A

            	
              Revolving
                Credit Loan Schedule

            
	
              EXHIBIT
                B

            	
              Custodial
                Account Certification

            
	
              EXHIBIT
                C

            	
              Escrow
                Account Certification

            
	
              EXHIBIT
                D-1

            	
              Master
                Servicer Data Field Requirements (Standard Layout)

            
	
              EXHIBIT
                D-2

            	
              Master
                Servicer Default File Format

            
	
              EXHIBIT
                E

            	
              Form
                of Certification to be Provided to the Depositor, the Master Servicer
                and
                the Indenture Trustee by the
                Servicer

            

    

    

    
      
        
        

      

      
        iii

        
          

        

      

      
        
        

      

    

     

    SERVICING
      AGREEMENT

     

    THIS
      SERVICING AGREEMENT (this “Agreement”), entered into as of the [__] day of
      [________], 20[__], by and among [____________], a [____________]
      (“[____________]” or the “Seller”), [____________], a [____________] (the
“Servicer”), and [____________], as Master Servicer under the Sale and Servicing
      Agreement (as defined herein), recites and provides as follows:

     

     

    RECITALS

     

     

    [ADD
      ANY
      NECESSARY RECITALS]

     

    WHEREAS,
      the Seller has conveyed certain revolving home equity line of credit mortgage
      loans identified on Exhibit A hereto (the Revolving Credit Loans”) on a
      servicing-retained basis to Thornburg Mortgage Securities Corporation, a
      Delaware corporation (the “Depositor”), pursuant to a revolving credit loan
      purchase agreement, which in turn has conveyed the Revolving Credit Loans to
      [______________] (the “Trust”), which was created pursuant to the Trust
      Agreement (as defined herein), pursuant to the terms of the Sale and Servicing
      Agreement (as defined herein). 

     

    WHEREAS,
      from time to time certain other revolving home equity line of credit mortgage
      loans conveyed by the Depositor to the Trust under the Sale and Servicing
      Agreement on the Closing Date and serviced by other servicers may subsequent
      to
      the Closing Date be transferred to the Servicer for servicing under this
      Agreement and Exhibit A hereto will be amended to include such revolving credit
      loans which will then be “Revolving Credit Loans” under this
      Agreement.

     

    WHEREAS,
      the Seller desires that the Servicer service the Revolving Credit Loans pursuant
      to this Agreement, and the Servicer has agreed to do so, subject to the right
      of
      the Seller and of the Master Servicer to terminate the rights and obligations
      of
      the Servicer hereunder at any time and to the other conditions set forth
      herein.

     

    WHEREAS,
      the Master Servicer shall be obligated under the Sale and Servicing Agreement,
      among other things, to supervise the servicing of the Revolving Credit Loans
      on
      behalf of the Indenture Trustee, and shall have the right, under certain
      circumstances, to terminate the rights and obligations of the Servicer under
      this Servicing Agreement.

     

    WHEREAS,
      the Seller and the Servicer acknowledge and agree that the Seller will assign
      all of its rights and delegate all of its obligations hereunder (excluding
      the
      Seller’s rights and obligations as owner of the servicing rights relating to the
      Revolving Credit Loans) to the Depositor and the Depositor will assign all
      of
      its rights (but not the obligations, except as set forth in the Sale and
      Servicing Agreement) hereunder to the Trust pursuant to the Sale and Servicing
      Agreement, and that each reference herein (other than with respect to the
      Seller’s ownership of the servicing rights) to the Seller is intended, unless
      otherwise specified, to mean the Seller or the Trust, as assignee, whichever
      is
      the owner of the Revolving Credit Loans from time to time.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    NOW,
      THEREFORE, in consideration of the mutual agreements hereinafter set forth
      and
      for other good and valuable consideration, the receipt and adequacy of which
      are
      hereby acknowledged, the Seller, the Servicer and the Master Servicer hereby
      agree as follows:

     

    ARTICLE
      I.

     

    DEFINITIONS

     

    The
      following terms are defined as follows (except as otherwise agreed in writing
      by
      the parties):

     

    Accepted
      Servicing Practices:
      With
      respect to any Revolving Credit Loan, those mortgage servicing practices of
      prudent mortgage lending institutions that service mortgage loans of the same
      type as such Revolving Credit Loan in the jurisdiction where the related
      Revolving Credit Loan is located.

     

    Adjustable
      Rate Mortgage Loan:
      A
      Revolving Credit Loan serviced pursuant to this Agreement under which the
      Mortgage Interest Rate is adjusted from time to time in accordance with the
      terms and provisions of the related Mortgage Note.

     

    Aggregate
      Loan Balance:
      At any
      date of determination, the outstanding principal balance of the Revolving
      Credit Loans serviced hereunder.

     

    Agreement:
      This
      Servicing Agreement and all amendments hereof and supplements
      hereto.

     

    Ancillary
      Income:
      All
      income derived from the Revolving Credit Loans, other than Servicing Fees and
      Prepayment Penalty Amounts, 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. 

     

    Assignment
      of Mortgage:
      An
      assignment of the Mortgage, notice of transfer or equivalent instrument in
      recordable form, sufficient under the laws of the jurisdiction wherein the
      related Mortgaged Property is located to reflect the transfer of the Revolving
      Credit Loan to the party indicated therein, which assignment, notice of transfer
      or equivalent instrument may be in the form of one or more blanket assignments
      covering the Revolving Credit Loans secured by Mortgaged Properties located
      in
      the same jurisdiction, if permitted by law.

     

    Best
      Efforts:
      Efforts
      determined to be reasonably diligent by the Seller or the Servicer, as the
      case
      may be, in its sole discretion. Such efforts do not require the Seller or the
      Servicer, as the case may be, to enter into any litigation, arbitration or
      other
      legal or quasi-legal proceeding, nor do they require the Seller or the Servicer,
      as the case may be, to advance or expend fees or sums of money in addition
      to
      those specifically set forth in this Agreement.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    Business
      Day:
      Any day
      other than (i) a Saturday or a Sunday or (ii) a day on which banking
      institutions in [__________],[__________],[__________], New York, New York
      or,
      if other than New York, the city in which the corporate trust office of the
      Indenture Trustee is located.

     

    Certificates:
      Any or
      all of the Certificates issued pursuant to the Trust Agreement.

     

    Closing
      Date:
      [________] [__], 20[__].

     

    Code:
      The
      Internal Revenue Code of 1986, as it may be amended from time to time or any
      successor statute thereto, and applicable U.S. Department of the Treasury
      regulations issued pursuant thereto.

     

    Condemnation
      Proceeds:
      All
      awards of settlements in respect of a Mortgaged Property, whether permanent
      or
      temporary, partial or entire, by exercise of the power of eminent domain or
      condemnation, to the extent not required to be released to a Mortgagor in
      accordance with the terms of the related Revolving Credit Loan
      documents.

     

    Costs:
      For any
      Person, any claims, losses, damages, penalties, fines, forfeitures, reasonable
      and necessary legal fees and related costs, judgments, and other costs and
      expenses of such Person.

     

    Credit
      Advance Rate: 
      The
      related per annum interest rate set forth in the related Mortgage Note with
      respect to any Revolving Credit Loan.

     

    Credit
      Line:
      With
      respect to a Revolving Credit Loan, the maximum principal amount which may
      be
      advanced to a Mortgagor under the terms of the related Mortgage
      Note.

     

    Credit
      Line Advance:
      With
      respect to a Revolving Credit Loan, a principal disbursement to a Mortgagor
      under the terms of the related Mortgage Note (collectively, “Credit
      Line Advances”).

     

    Custodial
      Account:
      The
      separate account or accounts created and maintained pursuant to Section
      3.03.

     

    Custodian:
      Each of
      [___________],[___________] and [___________] and their respective
      successors.

     

    Depositor:
      Thornburg Mortgage Securities Corporation or any successor in
      interest.

     

    Determination
      Date:
      With
      respect to each Remittance Date, the [___] day of the month in which such
      Remittance Date occurs, or, if such [___] day is not a Business Day, the next
      succeeding Business Day.

     

    Due
      Date:
      The day
      of the month on which the Monthly Payment is due on a Revolving Credit Loan,
      exclusive of any days of grace. With respect to the Revolving Credit Loans
      for
      which payment from the Mortgagor is due on a day other than the first day of
      the
      month, such Revolving Credit Loans will be treated as if the Monthly Payment
      is
      due on the first day of the immediately succeeding month.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    Due
      Period:
      With
      respect to each Remittance Date, the period commencing on the second day of
      the
      month immediately preceding the month of the Remittance Date and ending on
      the
      first day of the month of the Remittance Date.

     

    Eligible
      Deposit Account:
      An
      account that is maintained with a federal or state-chartered depository
      institution or trust company that complies with the definition of Eligible
      Institution.

     

    Eligible
      Institution:
      Any of
      the following:

     

    
      
        (i)
          an
          institution whose:

      

    

     

    (A) commercial
      paper, short-term debt obligations, or other short-term deposits are rated
      at
      least “A-1+” or long-term unsecured debt obligations are rated at least “AA-” by
      S&P, if the amounts on deposit are to be held in the account for no more
      than 365 days; or

     

    (B) commercial
      paper, short-term debt obligations, demand deposits, or other short-term
      deposits are rated at least “A-2” by S&P, if the amounts on deposit are to
      be held in the account for no more than 30 days and are not intended to be
      used
      as credit enhancement. Upon the loss of the required rating set forth in this
      clause (ii), the accounts shall be transferred immediately to accounts which
      have the required rating. Furthermore, commingling by the Servicer is acceptable
      at the A-2 rating level if the Servicer is a bank, thrift or depository and
      provided the Servicer has the capability to immediately segregate funds and
      commence remittance to an Eligible Deposit Account upon a downgrade;
      or

     

    (ii) the
      corporate trust department of a federal depository institution or
      state-chartered depository institution subject to regulations regarding
      fiduciary funds on deposit similar to Title 12 of the U.S. Code of Federal
      Regulation Section 9.10(b), which, in either case, has corporate trust powers
      and is acting in its fiduciary capacity.

     

    Eligible
      Investments:
      Any one
      or more of the obligations and securities listed below which investment provides
      for a date of maturity not later than the Determination Date in each
      month:

     

    (i)
       direct
      obligations of, and obligations fully guaranteed as to timely payment of
      principal and interest by, the United States of America or any agency or
      instrumentality of the United States of America the obligations of which are
      backed by the full faith and credit of the United States of America (“Direct
      Obligations”);

     

    (ii)
       federal
      funds, or demand and time deposits in, certificates of deposits of, or bankers’
acceptances issued by, any depository institution or trust company (including
      U.S. subsidiaries of foreign depositories and the Indenture Trustee or any
      agent
      of the Indenture Trustee, acting in its respective commercial capacity)
      incorporated or organized under the laws of the United States of America or
      any
      state thereof and subject to supervision and examination by federal or state
      banking authorities, so long as at the time of investment or the contractual
      commitment providing for such investment the commercial paper or other
      short-term debt obligations of such depository institution or trust company
      (or,
      in the case of a depository institution or trust company which is the principal
      subsidiary of a holding company, the commercial paper or other short-term debt
      or deposit obligations of such holding company or deposit institution, as the
      case may be) have been rated by each Rating Agency in its highest short-term
      rating category or one of its two highest long-term rating
      categories;

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    (iii)
       repurchase
      agreements collateralized by Direct Obligations or securities guaranteed by
      Ginnie Mae, Fannie Mae or Freddie Mac with any registered broker/dealer subject
      to Securities Investors’ Protection Corporation jurisdiction or any commercial
      bank insured by the FDIC, if such broker/dealer or bank has an uninsured,
      unsecured and unguaranteed obligation rated by each Rating Agency in its highest
      short-term rating category;

     

    (iv)
       securities
      bearing interest or sold at a discount issued by any corporation incorporated
      under the laws of the United States of America or any state thereof which have
      a
      credit rating from each Rating Agency, at the time of investment or the
      contractual commitment providing for such investment, at least equal to one
      of
      the two highest long-term credit rating categories of each Rating Agency;
provided,
      however,
      that
      securities issued by any particular corporation will not be Eligible Investments
      to the extent that investment therein will cause the then outstanding principal
      amount of securities issued by such corporation and held as part of the Trust
      to
      exceed 20% of the sum of the Aggregate Loan Balance and the aggregate principal
      amount of all Eligible Investments in the Securities Account; provided, further,
      that such securities will not be Eligible Investments if they are published
      as
      being under review with negative implications from any Rating
      Agency;

     

    (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 180 days after the date of issuance thereof) rated by each Rating Agency
      in
      its highest short-term rating category;

     

    (vi)
       a
      Qualified GIC;

     

    (vii)
       certificates
      or receipts representing direct ownership interests in future interest or
      principal payments on obligations of the United States of America or its
      agencies or instrumentalities (which obligations are backed by the full faith
      and credit of the United States of America) held by a custodian in safekeeping
      on behalf of the holders of such receipts; and

     

    (viii)
       any
      other
      demand, money market, common trust fund or time deposit or obligation, or
      interest-bearing or other security or investment, (A) rated in the highest
      rating category by each Rating Agency or (B) that would not adversely affect
      the
      then current rating by any Rating Agency of any of the Certificates. Such
      investments in this subsection (viii) may include money market mutual funds
      or
      common trust funds, including any fund for which the Indenture Trustee, the
      Master Servicer or an affiliate thereof serves as an investment advisor,
      administrator, shareholder servicing agent, and/or custodian or subcustodian,
      notwithstanding that (x) the Indenture Trustee, the Master Servicer or an
      affiliate thereof charges and collects fees and expenses from such funds for
      services rendered, (y) the Indenture Trustee, the Master Servicer or an
      affiliate thereof charges and collects fees and expenses for services rendered
      pursuant to this Agreement, and (z) services performed for such funds and
      pursuant to this Agreement may converge at any time.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    provided,
      however,
      that no
      such instrument shall be an Eligible Investment if such instrument evidences
      either (i) a right to receive only interest payments with respect to the
      obligations underlying such instrument, or (ii) both principal and interest
      payments derived from obligations underlying such instrument and the principal
      and interest payments with respect to such instrument provide a yield to
      maturity of greater than 120% of the yield to maturity at par of such underlying
      obligations.

     

    Errors
      and Omissions Insurance:
      Errors
      and Omissions Insurance to be maintained by the Servicer in accordance with
      the
      Fannie Mae Guides.

     

    Escrow
      Account:
      The
      separate account or accounts created and maintained pursuant to Section
      3.05.

     

    Escrow
      Payments:
      With
      respect to any Revolving Credit Loan, the amounts constituting ground rents,
      taxes, assessments, water rates, sewer rents, municipal charges, mortgage
      insurance premiums, fire and hazard insurance premiums, condominium charges,
      and
      any other payments required to be escrowed by the Mortgagor with the mortgagee
      pursuant to the Mortgage or any other related document.

     

    Event
      of Default:
      Any
      event set forth in Section 8.01.

     

    Fannie
      Mae:
      Fannie
      Mae, or any successor thereto.

     

    Fannie
      Mae Guides:
      The
      Fannie Mae Selling Guide and the Fannie Mae Servicing Guide and all amendments
      or additions thereto.

     

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

     

    Fidelity
      Bond:
      A
      fidelity bond to be maintained by the Servicer in accordance with the Fannie
      Mae
      Guides.

     

    Freddie
      Mac:
      Freddie
      Mac or any successor thereto.

     

    Ginnie
      Mae:
      The
      Government National Mortgage Association or any successor thereto.

     

    Indenture:
      The
      indenture dated as of [________] [__], 20[__], between the Trust and the
      Indenture Trustee.

     

    Indenture
      Trustee:
      [_________] or any successor in interest, or if any successor trustee or
      co-trustee shall be appointed as provided in the Indenture, then such successor
      indenture trustee or such co-indenture trustee, as the case may be.

     

    
      
        
        

      

      
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    Insurance
      Proceeds:
      With
      respect to each Revolving Credit Loan, proceeds of insurance policies insuring
      the Revolving Credit Loan or the related Mortgaged Property including proceeds
      of any hazard or flood insurance policy.

     

    Liquidation
      Proceeds:
      Cash
      received in connection with the liquidation of a defaulted Revolving Credit
      Loan, whether through the sale or assignment of such Revolving Credit Loan,
      trustee’s sale, foreclosure sale or otherwise, or the sale of the related REO
      Property, if the Mortgaged Property is acquired in satisfaction of the Revolving
      Credit Loan.

     

    Master
      Servicer:
      [________________], or any successor in interest, or if any successor master
      servicer shall be appointed as provided in the Sale and Servicing Agreement,
      then such successor master servicer.

     

    MERS:
      Mortgage Electronic Registration Systems, Inc., a Delaware corporation, or
      any
      successor in interest thereto.

     

    MERS
      Eligible Revolving Credit Loan:
      Any
      Revolving Credit Loan that has been designated by the Servicer as recordable
      in
      the name of MERS.

     

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

     

    Monthly
      Advance:
      With
      respect to each Remittance Date and each Revolving Credit Loan, an amount equal
      to the Monthly Payment (with the interest portion of such Monthly Payment
      adjusted to the Revolving Credit Loan Remittance Rate) that was due on the
      Revolving Credit Loan on the Due Date in the related Due Period, and that (i)
      was delinquent at the close of business on the related Determination Date and
      (ii) was not the subject of a previous Monthly Advance, but only to the extent
      that such amount is expected, in the reasonable judgment of the Servicer, to
      be
      recoverable from collections or other recoveries in respect of such Revolving
      Credit Loan. To the extent that the Servicer determines that any such amount
      is
      not recoverable from collections or other recoveries in respect of such
      Revolving Credit Loan, such determination shall be evidenced by a certificate
      of
      a Servicing Officer delivered to the Master Servicer setting forth such
      determination and the procedures and considerations of the Servicer forming
      the
      basis of such determination.

     

    Monthly
      Payment:
      The
      scheduled monthly payment of principal and interest on a Revolving Credit
      Loan.

     

    Mortgage:
      The
      mortgage, deed of trust or other instrument securing a Mortgage Note, which
      creates a first or second lien on an unsubordinated estate in fee simple in
      real
      property securing the Mortgage Note.

     

    Mortgage
      Note:
      The
      note or other evidence of the indebtedness of a Mortgagor secured by a
      Mortgage.

     

    Mortgaged
      Property:
      The
      real property securing repayment of the debt evidenced by a Mortgage
      Note.

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     

    Mortgagor:
      The
      obligor on a Mortgage Note.

     

    Non-MERS
      Eligible Revolving Credit Loan:
      Any
      Revolving Credit Loan other than a MERS Eligible Revolving Credit
      Loan.

     

    Non-MERS
      Revolving Credit Loan:
      Any
      Revolving Credit Loan other than a MERS Revolving Credit Loan.

     

    Notes:
      The
      notes issued pursuant to the Indenture.

     

    Opinion
      of Counsel:
      A
      written opinion of counsel, who may be an employee of the Servicer, reasonably
      acceptable to the Seller, but which must be independent outside counsel with
      respect to any such opinion of counsel concerning (i) the non-recordation of
      Revolving Credit Loans pursuant to Section 2.02 hereof and (ii) federal income
      tax matters.

     

    Owner
      Trustee:
      [_________] or any successor in interest, or if any successor trustee or
      co-trustee shall be appointed as provided in the Trust Agreement, then such
      successor owner trustee or such co-owner trustee, as the case may
      be.

     

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

     

    [Prepayment
      Interest Excess Amount:
      With
      respect to any Principal Prepayment in full which is applied to the related
      Revolving Credit Loan from the first day of the month of any Remittance Date
      through the sixteenth day of the month of such Remittance Date, all amounts
      paid
      in respect of interest on such Principal Prepayment in full. A Prepayment
      Interest Excess Amount cannot result from a Principal Prepayment in part, but
      only from a Principal Prepayment in full.]

     

    [Prepayment
      Interest Shortfall Amount:
      With
      respect to any Remittance Date and any Principal Prepayment in full which is
      applied to the related Revolving Credit Loan from the seventeenth day of the
      month immediately preceding the month of such Remittance Date through the last
      day of the month immediately preceding the month of such Remittance Date, the
      amount of interest (net of the related Servicing Fee) that would have accrued
      on
      the amount of such Principal Prepayment in full from the date on which such
      Principal Prepayment was applied to such Revolving Credit Loan until the last
      day of the month immediately preceding the month of such Remittance Date,
      inclusive. With respect to any Remittance Date and any Principal Prepayment
      in
      part which is applied to the related Revolving Credit Loan during the related
      Prepayment Period, the amount of interest that would have accrued on the amount
      of such Principal Prepayment in part from the date on which such Principal
      Prepayment in part was applied to such Revolving Credit Loan until the end
      of
      the Prepayment Period, inclusive.]

     

    Prepayment
      Penalty Amount:
      With
      respect to any Remittance Date, all prepayment penalties, penalty or yield
      maintenance premiums or charges paid by the obligors under the Mortgage Notes
      due to Principal Prepayments collected by the Servicer during the immediately
      preceding Prepayment Period.

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    Prepayment
      Penalty Schedule:
      A data
      field in the Revolving Credit Loan Schedule attached hereto as Exhibit A which
      sets forth the amount or method of calculation of the Prepayment Penalty Amount
      and the term during which such Prepayment Penalty Amount is imposed with respect
      to a Revolving Credit Loan.

     

    [Prepayment
      Period:
      With
      respect to any Remittance Date and a Principal Prepayment in full, the period
      from the seventeenth day of the month immediately preceding the month of such
      Remittance Date to the sixteenth day of the month of such Remittance Date.
      With
      respect to any Remittance Date and any Principal Prepayment in part, the
      calendar month immediately preceding the month of such Remittance
      Date.]

     

    Prime
      Rate:
      The
      prime rate published from time to time, as published as the average rate in
      The
      Wall Street Journal Northeast Edition.

     

    Principal
      Prepayment:
      Any
      payment or other recovery of principal on a Revolving Credit Loan which is
      received in advance of its scheduled Due Date and which is not accompanied
      by an
      amount of interest representing scheduled interest due on any date or dates
      in
      any month or months subsequent to the month of prepayment.

     

    Prior
      Servicer:
      Any
      prior servicer (other than the Servicer) of any of the Revolving Credit
      Loans.

     

    Rating
      Agency:
      Each of
      [_______], [_______] and [_______].

     

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

     

    Remittance
      Date:
      The
      [___] day (or if such [___] day is not a Business Day, the first Business Day
      immediately following) of any month.

     

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

     

    REO
      Disposition Proceeds:
      All
      amounts received with respect to an REO Disposition pursuant to Section
      3.16.

     

    REO
      Property:
      A
      Mortgaged Property acquired by the Servicer on behalf of the Trust through
      foreclosure or by deed in lieu of foreclosure, pursuant to Section
      3.16.

     

    Retained
      Interest:
      The
      meaning set forth in the Sale and Servicing Agreement.

     

    Retained
      Interest Holder:
      The
      meaning set forth in the Sale and Servicing Agreement.

     

    Revolving
      Credit Loan Remittance Rate:
      With
      respect to each Revolving Credit Loan, the annual rate of interest remitted
      to
      the Master Servicer, which shall be equal to the Mortgage Interest Rate minus
      the applicable Servicing Fee.

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    Revolving
      Credit Loan Schedule:
      A
      schedule of the Revolving Credit Loans setting forth information with respect
      to
      such Revolving Credit Loans (including any MERS identification number (if
      available) with respect to each MERS Revolving Credit Loan or MERS Eligible
      Revolving Credit Loan and a Prepayment Penalty Schedule), attached hereto as
      Exhibit A, which may be amended from time to time to include additional mortgage
      loans which are transferred to the Servicer by a Prior Servicer in a Servicing
      Transfer.

     

    Revolving
      Credit Loan:
      An
      individual Revolving Credit Loan that is the subject of this Agreement, each
      Revolving Credit Loan subject to this Agreement being identified on the
      Revolving Credit Loan Schedule, which Revolving Credit Loan includes without
      limitation the Revolving Credit Loan documents, the Monthly Payments, Principal
      Prepayments, Liquidation Proceeds, Condemnation Proceeds, Insurance Proceeds,
      REO Disposition Proceeds, and all other rights, benefits, proceeds and
      obligations arising from or in connection with such Revolving Credit
      Loan.

     

    Sale
      and Servicing Agreement:
      The
      sale and servicing agreement dated as of [________] [__], 20[__], among
      Indenture Trustee, the Master Servicer and the Depositor.

     

    Seller:
      [____________] or its successors in interest and assigns.

     

    Servicer:
      [______________] or its successor in interest or assigns or any successor to
      the
      Servicer under this Agreement as herein provided.

     

    Servicing
      Advances:
      All
      customary, reasonable and necessary “out of pocket” costs and expenses
      (including reasonable attorneys’ fees and disbursements) incurred in the
      performance by the Servicer of its servicing obligations, including, but not
      limited to, the cost of (i) the preservation, inspection, restoration and
      protection of the Mortgaged Property, (ii) any enforcement or administrative
      or
      judicial proceedings, including foreclosures, (iii) the management and
      liquidation of the Mortgaged Property if the Mortgaged Property is acquired
      in
      satisfaction of the Mortgage, (iv) taxes, assessments, water rates, sewer rents
      and other charges which are or may become a lien upon the Mortgaged Property
      and
      fire and hazard insurance coverage, (v) any losses sustained by the Servicer
      with respect to the liquidation of the Mortgaged Property and (vi) compliance
      with the obligations pursuant to the provisions of the Fannie Mae
      Guides.

     

    Servicing
      Fee:
      An
      amount equal to (a) one-twelfth the product of (i) a rate per annum equal to
      [___]% and (ii) the outstanding principal balance of such Revolving Credit
      Loan
      and (b) any Prepayment Interest Excess Amount. The obligation of the Indenture
      Trustee to pay the Servicing Fee is limited to, and the Servicing Fee is payable
      solely from the interest portion (including recoveries with respect to interest
      from Liquidation Proceeds to the extent permitted by Section 3.04 of this
      Agreement) of such Monthly Payment collected by the Servicer or as otherwise
      provided under this Agreement.

     

    Servicing
      File:
      The
      items pertaining to a particular Revolving Credit Loan including, but not
      limited to, the computer files, data disks, books, records, data tapes, notes,
      and all additional documents generated as a result of or utilized in originating
      and/or servicing each Revolving Credit Loan, which are held in trust for the
      Indenture Trustee by the Servicer.

     

    Servicing
      Officer:
      Any
      officer of the Servicer involved in or responsible for, the administration
      and
      servicing of the Revolving Credit Loans whose name appears on a list of
      servicing officers furnished by the Servicer to the Master Servicer or the
      Seller upon request, as such list may from time to time be amended.

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

     

    Servicing
      Transfer:
      Any
      transfer of the servicing by a Prior Servicer of Revolving Credit Loans to
      the
      Servicer under this Agreement.

     

    Servicing
      Transfer Date:
      The
      date on which a Servicing Transfer occurs.

     

    Specially
      Serviced Revolving Credit Loan:
      A
      Revolving Credit Loan as to which a Servicing Event [(as defined in the Sale
      and
      Servicing Agreement)] has occurred and is continuing.

     

    S&P:
      Standard & Poor’s Ratings Services, a division of The McGraw-Hill Companies,
      Inc. or any successor in interest.

     

    Trust
      Agreement:
      The
      Trust Agreement dated as of [________] [__], 20[__], between the Indenture
      Trustee and the Owner Trustee.

     

    Any
      capitalized terms used and not defined in this Agreement shall have the meanings
      ascribed to such terms in the Sale and Servicing Agreement.

     

    ARTICLE
      II.

     

    SELLER’S
      ENGAGEMENT OF SERVICER TO PERFORM SERVICING

    RESPONSIBILITIES

     

    Section
      2.01  Contract
      for Servicing; Possession of Servicing Files.

     

    The
      Seller, by execution and delivery of this Agreement, does hereby contract with
      the Servicer, subject to the terms of this Agreement, for the servicing of
      the
      Revolving Credit Loans. On or before the Closing Date or Servicing Transfer
      Date, as applicable, the Seller shall cause to be delivered the Servicing Files
      with respect to the Revolving Credit Loans listed on the Revolving Credit Loan
      Schedule to the Servicer. Each Servicing File delivered to a Servicer shall
      be
      held in trust by such Servicer for the benefit of the Trust; provided, however,
      that the Servicer shall have no liability for any Servicing Files (or portions
      thereof) not delivered by the Seller. The Servicer’s possession of any portion
      of the Revolving Credit Loan documents shall be at the will of the Indenture
      Trustee for the sole purpose of facilitating servicing of the related Revolving
      Credit Loan pursuant to this Agreement, and such retention and possession by
      the
      Servicer shall be in a custodial capacity only. The ownership of each Mortgage
      Note, Mortgage, and the contents of the Servicing File shall be vested in the
      Trust and the ownership of all records and documents with respect to the related
      Revolving Credit Loan prepared by or which come into the possession of the
      Servicer shall immediately vest in the Trust and shall be retained and
      maintained, in trust, by the Servicer at the will of the Indenture Trustee
      in
      such custodial capacity only. The portion of each Servicing File retained by
      the
      Servicer pursuant to this Agreement shall be segregated from the other books
      and
      records of the Servicer and shall be appropriately marked to clearly reflect
      the
      ownership of the related Revolving Credit Loan by the Trust. The Servicer shall
      release from its custody the contents of any Servicing File retained by it
      only
      in accordance with this Agreement.

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    Section
      2.02  Books
      and Records.

     

    (a)
       Subject
      to Section 3.01(a) hereof, as soon as practicable after the Closing Date, the
      Servicing Transfer Date or the date on which a Qualifying Substitute Revolving
      Credit Loan is delivered pursuant to Section [___] of the Sale and Servicing
      Agreement, as applicable (but in no event more than 90 days thereafter except
      to
      the extent delays are caused by the applicable recording office), the Servicer,
      at the expense of the Depositor, shall cause the Mortgage or Assignment of
      Mortgage, as applicable, with respect to each MERS Eligible Revolving Credit
      Loan, to be properly recorded in the name of MERS in the public recording office
      in the applicable jurisdiction, or shall ascertain that such have previously
      been so recorded and, with the cooperation of the Indenture Trustee, shall
      take
      such actions as are necessary to cause the Trust to be clearly identified as
      the
      owner of each MERS Revolving Credit Loan and each MERS Eligible Revolving Credit
      Loan on the records of MERS for purposes of the system of recording transfers
      of
      beneficial ownership of mortgages maintained by MERS.

     

    (b)
       Subject
      to Section 3.01(a) hereof, an Assignment of Mortgage in favor of the Trust
      shall
      be recorded as to each Non-MERS Revolving Credit Loan unless instructions to
      the
      contrary are delivered to the Servicer, in writing, by the Seller. Subject
      to
      the preceding sentence, as soon as practicable after the Closing Date or
      Servicing Transfer Date, as applicable (but in no event more than 90 days
      thereafter except to the extent delays are caused by the applicable recording
      office), the Servicer, at the expense of the Seller, shall cause to be properly
      recorded in each public recording office where such Non-MERS Eligible Revolving
      Credit Loans are recorded each Assignment of Mortgage.

     

    (c)
       Additionally,
      the Servicer shall prepare and execute, at the direction of the Indenture
      Trustee, any note endorsements relating to any of the Non-MERS Revolving Credit
      Loans.

     

    (d)
       All
      rights arising out of the Revolving Credit Loans shall be vested in the Trust,
      subject to the Servicer’s right to service and administer the Revolving Credit
      Loans hereunder in accordance with the terms of this Agreement. All funds
      received on or in connection with a Revolving Credit Loan, other than the
      Servicing Fee and other compensation to which the Servicer is entitled as set
      forth herein, including but not limited to any and all servicing compensation
      pursuant to Section 5.01 below, shall be received and held by the Servicer
      in
      trust for the benefit of the Trust pursuant to the terms of this
      Agreement.

     

    (e)
       Any
      out-of-pocket costs incurred by the Servicer pursuant to this Section 2.02
      and
      Section 3.01(a), including any recording or other fees in connection with the
      Servicer’s obtaining the necessary powers of attorney (and which are specified
      herein to be an expense of the Seller), shall be reimbursed to the Servicer
      by
      the Seller within five (5) Business Days of receipt by the Seller of an invoice
      for reimbursement. The Trust shall not reimburse the Seller for any such
      reimbursement to the Servicer.

     

    (f)
       The
      Master Servicer and the Indenture Trustee shall have the right to examine the
      books, records and other information of the Servicer, with respect to or
      concerning this Agreement or the Revolving Credit Loans, during business hours
      or at such other times as may be reasonable under applicable circumstances,
      upon
      reasonable advance written notice to the Servicer.

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

     

    ARTICLE
      III.

     

    SERVICING
      OF THE REVOLVING CREDIT LOANS

     

    Section
      3.01  Servicer
      to Service.

     

    The
      Servicer, as an independent contractor, shall service and administer the
      Revolving Credit Loans from and after the Closing Date or Servicing Transfer
      Date, as applicable, and shall have full power and authority, acting alone,
      to
      do any and all things in connection with such servicing and administration
      which
      the Servicer may deem necessary or desirable, consistent with the terms of
      this
      Agreement and with Accepted Servicing Practices. 

     

    The
      Seller, the Master Servicer and the Servicer additionally agree that the
      Servicer will fully furnish, in accordance with the Fair Credit Reporting Act
      of
      1970, as amended (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 (three of the credit repositories), on a monthly basis.
      

     

    The
      Seller and the Servicer additionally agree as follows:

     

    (a)
       The
      Servicer shall (i) record or cause to be recorded the Mortgage or the Assignment
      of Mortgage, as applicable, with respect to all MERS Eligible Revolving Credit
      Loans, in the name of MERS, or shall ascertain that such have previously been
      so
      recorded; (ii) with the cooperation of the Indenture Trustee, take such actions
      as are necessary to cause the Trust to be clearly identified as the owner of
      each MERS Revolving Credit Loan and each MERS Eligible Revolving Credit Loan
      on
      the records of MERS for purposes of the system of recording transfers of
      beneficial ownership of mortgages maintained by MERS; (iii) prepare or cause
      to
      be prepared all Assignments of Mortgage with respect to all Non-MERS Eligible
      Revolving Credit Loans; (iv) record or cause to be recorded, subject to Section
      2.02(b) hereof, all Assignments of Mortgage with respect to Non-MERS Revolving
      Credit Loans in the name of the Trust; (v) pay the recording costs pursuant
      to
      Section 2.02 hereof; and/or (vi) track such Mortgages and Assignments of
      Mortgage to ensure they have been recorded. The Servicer shall be entitled
      to be
      paid by the Seller fees for the preparation and recordation of the Mortgages
      and
      Assignments of Mortgage. After the expenses of such recording costs pursuant
      to
      Section 2.02 hereof shall have been paid by the Servicer, the Servicer shall
      submit to the Seller a reasonably detailed invoice for reimbursement of
      recording costs and fees it incurred hereunder.

     

    (b)
       If
      applicable, the Servicer shall, in accordance with the relevant provisions
      of
      the Cranston-Gonzales National Affordable Housing Act of 1990, as the same
      may
      be amended from time to time, and the regulations provided in accordance with
      the Real Estate Settlement Procedures Act, provide notice to the Mortgagor
      of
      each Revolving Credit Loan of the transfer of the servicing thereto to the
      Servicer.

     

    (c)
       The
      Servicer shall be responsible for the preparation of and costs associated with
      notifications to Mortgagors of the assumption of servicing by the
      Servicer.

     

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

     

    (d)
       The
      Servicer shall, in accordance with the customary and usual standards of practice
      of prudent mortgage servicers of fixed and adjustable rate open-end home equity
      mortgage loans, approve and make disbursements of principal in connection with
      Mortgagor drafts upon the Credit Line approved in connection with each Revolving
      Credit Loan. The Servicer shall provide to the Mortgagors all checks, drafts
      or
      other documentation necessary for such Mortgagors to obtain a Credit Line
      Advance. On each Remittance Date, with respect to each Credit Line Advance
      disbursed by the Servicer and reported to the Indenture Trustee and the Master
      Servicer, the Servicer shall be entitled to reimburse itself, from amounts
      on
      deposit in the Custodial Account, in an amount equal to (i) the principal amount
      of each unreimbursed Credit Line Advance disbursed by Servicer with respect
      to a
      Revolving Credit Loan and (ii) interest, at the Credit Advance Rate, on the
      principal amount of each such Credit Line Advance from the date such Credit
      Line
      Advance was disbursed by Servicer to but not including such date reimbursement
      is received by the Servicer. In the event that there are insufficient funds
      on
      deposit in the Custodial Account on any Remittance Date to reimburse the
      Servicer as provided in the preceding sentence (such shortfall, an “Advance
      Reimbursement Shortfall Amount”),
      the
      Servicer shall deliver to the Indenture Trustee and the Master Servicer a
      request for reimbursement of the amount of such Advance Reimbursement Shortfall
      Amount at least three Business Days prior to such Remittance Date. The Indenture
      Trustee on behalf of the Trust shall promptly reimburse the Servicer on such
      Remittance Date for such Advance Reimbursement Shortfall Amount.

     

    (e)
       The
      Servicer, at its discretion and in accordance with the customary and usual
      standards of practice of prudent mortgage servicers of fixed and adjustable
      rate
      open-end home equity mortgage loans, may perform any of the following actions in
      connection with a Revolving Credit Loan:

     

    (i)
       with
      the
      approval of the Indenture Trustee and Master Servicer, increase the amount
      of
      the related Credit Line;

     

    (ii)
       with
      the
      approval of the Indenture Trustee and Master Servicer, terminate a dormant
      Revolving Credit Loan, to the extent permitted under the related Mortgage Note;
      

     

    (iii)
       permit
      payments from the Mortgagor of interest only during the period when Credit
      Line
      Advances may be made; or

     

    (iv)
       with
      the
      approval of the Indenture Trustee, eliminate the ability of the Mortgagor to
      make future drafts upon the Credit Line, or reduce the Credit Line, to the
      extent permitted under the related Mortgage Note. 

     

    
      
        
        

      

      
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    (f)
       Notwithstanding
      anything to the contrary contained herein, the Servicer shall, in servicing
      the
      Revolving Credit Loans, follow and comply with the servicing guidelines
      established by Fannie Mae, and the Servicer may waive, modify or vary any term
      of any Revolving Credit Loan or consent to the postponement of strict compliance
      with any such term or in any manner grant indulgence to any Mortgagor if in
      the
      Servicer’s reasonable and prudent determination such waiver, modification,
      postponement or indulgence is in the best interests of the Qualified Insurer
      and the
      Certificateholders and is consistent with the terms of this Agreement; provided,
      however, that if the Mortgagor is in default with respect to the Revolving
      Credit Loan or such default is, in the judgment of the Servicer, reasonably
      foreseeable, the Servicer shall not permit any modification of any material
      term
      of any Revolving Credit Loan that would change the Mortgage Interest Rate,
      defer
      or forgive the payment of principal or interest, reduce or increase the
      outstanding principal balance (except for actual payments of principal) or
      change the final maturity date on such Revolving Credit Loan. In the event
      of
      any such modification which permits the deferral of interest or principal
      payments on any Revolving Credit Loan, the Servicer shall, on the Business
      Day
      immediately preceding the Remittance Date in any month in which any such
      principal or interest payment has been deferred, make a Monthly Advance in
      accordance with Section 4.03, in an amount equal to the difference between
      (i)
      such month’s principal and one month’s interest at the Revolving Credit Loan
      Remittance Rate on the unpaid principal balance of such Revolving Credit Loan
      and (ii) the amount paid by the Mortgagor. The Servicer shall be entitled to
      reimbursement for such advances to the same extent as for all other advances
      made pursuant to Section 4.03. Without limiting the generality of the foregoing,
      the Servicer shall continue, and is hereby authorized and empowered, to execute
      and deliver on behalf of itself and the Indenture Trustee, all instruments
      of
      satisfaction or cancellation, or of partial or full release, discharge and
      all
      other comparable instruments, with respect to the Revolving Credit Loans and
      with respect to the Mortgaged Properties. Upon the request of the Servicer,
      the
      Indenture Trustee and the Master Servicer shall execute and deliver to the
      Servicer any powers of attorney and other documents, furnished to it by the
      Servicer and reasonably satisfactory to the Indenture Trustee and Master
      Servicer, necessary or appropriate to enable the Servicer to carry out its
      servicing and administrative duties under this Agreement. Notwithstanding
      anything contained herein to the contrary, the Servicer shall not, without
      the
      Indenture Trustee’s written consent: (i) initiate any action suit or proceeding
      solely under the Indenture Trustee’s name without indicating the Servicer’s
      representative capacity; or (ii) take any action with the intent to cause,
      and
      that actually causes, the Indenture Trustee to be registered to do business
      in
      any state. Promptly after the execution of any assumption, modification,
      consolidation or extension of any Revolving Credit Loan, the Servicer shall
      forward to the Master Servicer copies of any documents evidencing such
      assumption, modification, consolidation or extension. [Notwithstanding anything
      to the contrary contained in this Servicing Agreement, the Servicer shall not
      make or permit any modification, waiver or amendment of any term of any
      Revolving Credit Loan that would cause any REMIC created under the Indenture
      to
      fail to qualify as a REMIC or result in the imposition of any tax under Section
      860F(a) or Section 860G(d) of the Code.] Notwithstanding anything to the
      contrary herein, the Servicer shall not, without specifically notifying the
      Indenture Trustee and Master Servicer in writing and obtaining the Indenture
      Trustee’s prior written consent: 

     

    (i)
       make
      any
      future advances with respect to a Revolving Credit Loan in excess of the Credit
      Line with respect to such Revolving Credit Loan; 

     

    (ii)
       make
      any
      Servicing Advance in excess of $[ ];

     

    (iii)
       permit
      any modification with respect to any Revolving Credit Loan that would change
      the
      Mortgage Interest Rate, defer or forgive the payment of principal or interest,
      reduce or increase the outstanding principal balance or change the final
      maturity date on such Revolving Credit Loan; 

     

    (iv)
       sell
      any
      Specially Serviced Revolving Credit Loan; 

     

    
      
        
        

      

      
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    (v)
       forgive
      any principal or interest on, or permitting to be satisfied at a discount,
      any
      Revolving Credit Loan; or 

     

    (vi)
       accept
      substitute or additional collateral, or release any collateral, for a Revolving
      Credit Loan. 

     

    Notwithstanding
      anything to the contrary in this Agreement, the Servicer shall not (unless
      the
      Servicer determines, in its own discretion, that there exists a situation of
      extreme hardship to the Mortgagor), waive any premium or penalty in connection
      with a prepayment of principal of any Revolving Credit Loan, and shall not
      consent to the modification of any Mortgage Note to the extent that such
      modification relates to payment of a prepayment premium or penalty.

     

    In
      servicing and administering the Revolving Credit Loans, the Servicer shall
      employ procedures (including collection procedures) and exercise the same care
      that it customarily employs and exercises in servicing and administering
      mortgage loans for its own account, giving due consideration to Accepted
      Servicing Practices where such practices do not conflict with the requirements
      of this Agreement, the Fannie Mae Guides, and the Master Servicer’s and Seller’s
      reliance on the Servicer.

     

    Section
      3.02  Collection
      of Revolving Credit Loan Payments.

     

    Continuously
      from the Closing Date or Servicing Transfer Date, as applicable, until the
      date
      each Revolving Credit Loan ceases to be subject to this Agreement, the Servicer
      shall proceed diligently to collect all payments due under each of the Revolving
      Credit Loans when the same shall become due and payable and shall take special
      care in ascertaining and estimating Escrow Payments and all other charges that
      will become due and payable with respect to the Revolving Credit Loans and
      each
      related Mortgaged Property, 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.

     

    Section
      3.03  Establishment
      of and Deposits to Custodial Account.

     

    The
      Servicer shall segregate and hold all funds collected and received pursuant
      to
      the Revolving Credit Loans separate and apart from any of its own funds and
      general assets and shall establish and maintain one or more Custodial Accounts,
      in the form of time deposit or demand accounts, titled as directed by the Master
      Servicer. The Custodial Account shall be an Eligible Deposit Account established
      with an Eligible Institution. Any funds deposited in the Custodial Account
      may
      be invested in Eligible Investments subject to the provisions of Section 3.11
      hereof. Funds deposited in the Custodial Account may be drawn on by the Servicer
      in accordance with Section 3.04. The creation of any Custodial Account shall
      be
      evidenced by a certification in the form of Exhibit B. A copy of such
      certification shall be furnished to the Master Servicer and, upon request,
      to
      any subsequent owner of the Revolving Credit Loans.

     

    
      
        
        

      

      
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    The
      Servicer shall deposit in the Custodial Account on a daily basis, and retain
      therein, the following collections received by the Servicer and payments made
      by
      the Servicer after the Closing Date or Servicing Transfer Date, as
      applicable:

     

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

     

    (ii)
       all
      payments on account of interest on the Revolving Credit Loans adjusted to the
      Revolving Credit Loan Remittance Rate;

     

    (iii)
       all
      Liquidation Proceeds; 

     

    (iv)
       all
      Insurance Proceeds (other than amounts applied to the restoration or repair
      of
      the Mortgaged Property or immediately released to the Mortgagor in accordance
      with Accepted Servicing Practices);

     

    (v)
       all
      Condemnation Proceeds that are not applied to the restoration or repair of
      the
      Mortgaged Property or released to the Mortgagor;

     

    (vi)
       with
      respect to each Principal Prepayment in full or in part, the Prepayment Interest
      Shortfall Amount, if any, for the month of distribution. Such deposit shall
      be
      made from the Servicer’s own funds, without reimbursement therefor, up to a
      maximum amount per month of the Servicing Fee actually received for such month
      for the Revolving Credit Loans;

     

    (vii)
       all
      Monthly Advances made by the Servicer pursuant to Section 4.03;

     

    (viii)
       any
      amounts required to be deposited by the Servicer in connection with the
      deductible clause in any blanket hazard insurance policy;

     

    (ix)
       any
      amounts received with respect to or related to any REO Property or REO
      Disposition Proceeds;

     

    (x)
       any
      Prepayment Penalty Amounts; and

     

    (xi)
       any
      other
      amount required hereunder to be deposited by the Servicer in the Custodial
      Account.

     

    The
      foregoing requirements for deposit into the Custodial Account shall be
      exclusive, it being understood and agreed that, without limiting the generality
      of the foregoing, payments in the nature of the Servicing Fee and Ancillary
      Income need not be deposited by the Servicer into the Custodial
      Account.

     

    Any
      interest paid on funds deposited in the Custodial Account by the depository
      institution shall accrue to the benefit of the Servicer and the Servicer shall
      be entitled to retain and withdraw such interest from the Custodial Account
      pursuant to Section 3.04. Additionally, any other benefit derived from the
      Custodial Account associated with the receipt, disbursement and accumulation
      of
      principal, interest, taxes, hazard insurance, mortgage insurance, etc. shall
      accrue to the Servicer.

     

    
      
        
        

      

      
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    Section
      3.04  Permitted
      Withdrawals From Custodial Account.

     

    The
      Servicer shall, from time to time, withdraw funds from the Custodial Account
      for
      the following purposes:

     

    (i)
       to
      make
      payments to the Master Servicer in the amounts and in the manner provided for
      in
      Section 4.01;

     

    (ii)
       in
      the
      event the Servicer has elected not to retain the Servicing Fee out of any
      Mortgagor payments on account of interest or other recovery of interest with
      respect to a particular Revolving Credit Loan (including late collections of
      interest on such Revolving Credit Loan, or interest portions of Insurance
      Proceeds, Condemnation Proceeds or Liquidation Proceeds) prior to the deposit
      of
      such Mortgagor payment or recovery in the Custodial Account, to pay to itself
      the related Servicing Fee from all such Mortgagor payments on account of
      interest or other such recovery for interest with respect to that Revolving
      Credit Loan;

     

    (iii)
       to
      pay
      itself investment earnings on funds deposited in the Custodial
      Account;

     

    (iv)
       to
      clear
      and terminate the Custodial Account upon the termination of this Agreement;
      

     

    (v)
       to
      transfer funds to another Eligible Institution in accordance with Section 3.11
      hereof;

     

    (vi)
       to
      invest
      funds in certain Eligible Investments in accordance with Section 3.11 hereof;
      

     

    (vii)
       to
      reimburse itself for the amount of any Credit Line Advances made by Servicer
      and
      not timely reimbursed by the Indenture Trustee on behalf of the Trust in
      accordance with Section 3.01(d) hereof;

     

    (viii)
       to
      reimburse itself to the extent of funds in the Custodial Account for Monthly
      Advances of the Servicer’s funds made pursuant to Section 4.03, the Servicer's
      right to reimburse itself pursuant to this subclause (ix) with respect to any
      Revolving Credit Loan being limited to amounts received on or in respect of
      the
      related Revolving Credit Loan which represent late recoveries of payments of
      principal or interest with respect to which a Monthly Advance was made, it
      being
      understood that, in the case of any such reimbursement, the Servicer’s right
      thereto shall be prior to the rights of the Trust, provided,
      however,
      that
      following the final liquidation of a Revolving Credit Loan, the Servicer may
      reimburse itself for previously unreimbursed Monthly Advances in excess of
      Liquidation Proceeds or Insurance Proceeds with respect to such Revolving Credit
      Loan from any funds in the Custodial Account, it being understood, in the case
      of any such reimbursement, that the Servicer’s right thereto shall be prior to
      the rights of the Trust. The Servicer may recover at any time from amounts
      on
      deposit in the Custodial Account the amount of any Monthly Advances that the
      Servicer deems nonrecoverable or that remain unreimbursed to the Servicer from
      related Liquidation Proceeds after the final liquidation of the Revolving Credit
      Loan;

     

    
      
        
        

      

      
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    (ix)
       to
      reimburse itself for remaining unreimbursed Servicing Advances with respect
      to
      any defaulted Revolving Credit Loan as to which the Servicer has determined
      that
      all amounts that it expects to recover on behalf of the Trust from or on account
      of such Revolving Credit Loan have been recovered;

     

    (x)
       to
      reimburse itself for expenses incurred or reimbursable to the Servicer pursuant
      to Sections 3.12 and 6.03 to the extent not previously reimbursed under clause
      (ix) of this Section 3.04; and

     

    (xi)
       to
      withdraw funds deposited in error.

     

    Section
      3.05  Establishment
      of and Deposits to Escrow Account.

     

    The
      Servicer shall segregate and hold all funds collected and received pursuant
      to a
      Revolving Credit Loan constituting Escrow Payments separate and apart from
      any
      of its own funds and general assets and shall establish and maintain one or
      more
      Escrow Accounts, in the form of time deposit or demand accounts, titled as
      directed by the Master Servicer. Each Escrow Account shall be an Eligible
      Deposit Account established with an Eligible Institution in a manner that shall
      provide maximum available insurance thereunder. Funds deposited in the Escrow
      Account may be drawn on by the Servicer in accordance with Section 3.06. The
      creation of any Escrow Account shall be evidenced by a certification in the
      form
      of Exhibit C. A copy of such certification shall be furnished to the Master
      Servicer and, upon request, to any subsequent owner of the Revolving Credit
      Loans.

     

    The
      Servicer shall deposit in the Escrow Account or Accounts on a daily basis,
      and
      retain therein:

     

    (i)
       all
      Escrow Payments collected on account of the Revolving Credit Loans, for the
      purpose of effecting timely payment of any such items as required under the
      terms of this Agreement; and

     

    (ii)
       all
      amounts representing Insurance Proceeds or Condemnation Proceeds that are to
      be
      applied to the restoration or repair of any Mortgaged Property.

     

    The
      Servicer shall make withdrawals from the Escrow Account only to effect such
      payments as are required under this Agreement, as set forth in Section 3.06.
      The
      Servicer shall retain any interest paid on funds deposited in the Escrow Account
      by the depository institution, other than interest on escrowed funds required
      by
      law to be paid to the Mortgagor. Additionally, any other benefit derived from
      the Escrow Account associated with the receipt, disbursement and accumulation
      of
      principal, interest, taxes, hazard insurance, mortgage insurance, etc. shall
      accrue to the Servicer. To the extent required by law, the Servicer shall pay
      interest on escrowed funds to the Mortgagor notwithstanding that the Escrow
      Account may be non-interest bearing or that interest paid thereon is
      insufficient for such purposes.

     

    
      
        
        

      

      
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    Section
      3.06  Permitted
      Withdrawals From Escrow Account.

     

    Withdrawals
      from the Escrow Account or Accounts may be made by the Servicer
      only:

     

    (i)
       to
      effect
      timely payments of ground rents, taxes, assessments, water rates, sewer rents,
      mortgage insurance premiums, condominium charges, fire and hazard insurance
      premiums or other items constituting Escrow Payments for the related
      Mortgage;

     

    (ii)
       to
      refund
      to any Mortgagor any funds found to be in excess of the amounts required under
      the terms of the related Revolving Credit Loan;

     

    (iii)
       for
      transfer to the Custodial Account and application to reduce the principal
      balance of the Revolving Credit Loan in accordance with the terms of the related
      Mortgage and Mortgage Note;

     

    (iv)
       to
      reimburse the Servicer for any Servicing Advance made by the Servicer with
      respect to a related Revolving Credit Loan, but only from amounts received
      on
      the related Revolving Credit Loan which represent late collections of Escrow
      Payments; 

     

    (v)
       for
      application to restoration or repair of the Mortgaged Property in accordance
      with the Fannie Mae Guides;

     

    (vi)
       to
      pay to
      the Servicer, or any Mortgagor to the extent required by law, any interest
      paid
      on the funds deposited in the Escrow Account;

     

    (vii)
       to
      remove
      funds inadvertently placed in the Escrow Account by the Servicer;
      and

     

    (viii)
       to
      clear
      and terminate the Escrow Account on the termination of this
      Agreement.

     

    Section
      3.07  Reserved.

     

    Section
      3.08  Fidelity
      Bond and Errors and Omissions Insurance.

     

    The
      Servicer shall keep in force during the term of this Agreement a Fidelity Bond
      and Errors and Omissions Insurance Policy. Such Fidelity Bond and Errors and
      Omissions Insurance shall be maintained with recognized insurers and shall
      be in
      such form and amount as would permit the Servicer to be qualified as a Fannie
      Mae or Freddie Mac seller-servicer. 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.
      The
      Servicer shall furnish to the Master Servicer or Indenture Trustee a copy of
      each such bond and insurance policy if (i) the Master Servicer or Indenture
      Trustee so requests and (ii) the Servicer is not an affiliate of
      [______________] at the time of such request.

     

    
      
        
        

      

      
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    Section
      3.09  Notification
      of Adjustments.

     

    With
      respect to each Adjustable Rate Mortgage Loan, the Servicer shall adjust the
      Mortgage Interest Rate on the related interest rate adjustment date and shall
      adjust the Monthly Payment on the related mortgage payment adjustment date,
      if
      applicable, in compliance with the requirements of applicable law and the
      related Mortgage and Mortgage Note. The Servicer shall execute and deliver
      any
      and all necessary notices required under applicable law and the terms of the
      related Mortgage Note and Mortgage regarding the Mortgage Interest Rate and
      Monthly Payment adjustments. The Servicer shall promptly, upon written request
      therefor, deliver to the Master Servicer such notifications and any additional
      applicable data regarding such adjustments and the methods used to calculate
      and
      implement such adjustments. Upon the discovery by the Servicer or the receipt
      of
      notice from the Master Servicer that the Servicer has failed to adjust a
      Mortgage Interest Rate or Monthly Payment in accordance with the terms of the
      related Mortgage Note, the Servicer shall immediately deposit in the Custodial
      Account from its own funds the amount of any interest loss or deferral caused
      thereby.

     

    Section
      3.10  Completion
      and Recordation of Assignments of Mortgage.

     

    As
      soon
      as practicable after the Closing Date, the Servicing Transfer Date or the date
      on which a Qualifying Substitute Revolving Credit Loan is delivered pursuant
      to
      Section [___] of the Sale and Servicing Agreement, as applicable (but in no
      event more than 90 days thereafter except to the extent delays are caused by
      the
      applicable public recording office), the Servicer shall cause the endorsements
      on the Mortgage Note (if applicable), and the Assignments of Mortgage (subject
      to Section 3.01(a)) to be completed in the name of the Trust (or MERS, as
      applicable).

     

    Section
      3.11  Protection
      of Accounts.

     

    The
      Servicer may transfer the Custodial Account or any Escrow Account to a different
      Eligible Institution from time to time; provided
      that in
      the event the Custodial Account or any Escrow Account is held in a depository
      institution or trust company that ceases to be an Eligible Institution, the
      Servicer shall transfer such Custodial Account or Escrow Account, as the case
      may be, to an Eligible Institution. Such transfer shall be made only upon
      obtaining the consent of the Master Servicer, which consent shall not be
      withheld unreasonably.

     

    The
      Servicer shall bear any expenses, losses or damages sustained by the Master
      Servicer or the Indenture Trustee if the Custodial Account and/or the Escrow
      Account are not demand deposit accounts.

     

    Amounts
      on deposit in the Custodial Account and the Escrow Account may at the option
      of
      the Servicer be invested in Eligible Investments. Any such Eligible Investment
      shall mature no later than the Business Day immediately preceding the related
      Remittance Date; provided,
      however,
      that if
      such Eligible Investment is an obligation of a Qualified Depository (other
      than
      the Servicer) that maintains the Custodial Account or the Escrow Account, then
      such Eligible Investment may mature on the related Remittance Date. Any such
      Eligible Investment shall be made in the name of the Servicer in trust for
      the
      benefit of the Trust. All income on or gain realized from any such Eligible
      Investment shall be for the benefit of the Servicer and may be withdrawn at
      any
      time by the Servicer. Any losses incurred in respect of any such investment
      shall be deposited in the Custodial Account or the Escrow Account, by the
      Servicer out of its own funds immediately as realized.

     

    
      
        
        

      

      
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    Section
      3.12  Payment
      of Taxes, Insurance and Other Charges. 

     

    With
      respect to each Revolving Credit Loan, the Servicer shall maintain accurate
      records reflecting the status of ground rents, taxes, assessments, water rates,
      sewer rents, and other charges which are or may become a lien upon the Mortgaged
      Property and fire and hazard insurance coverage and shall obtain, from time
      to
      time, all bills for the payment of such charges (including renewal premiums)
      and
      shall effect payment thereof prior to the applicable penalty or termination
      date, employing for such purpose deposits of the Mortgagor in the Escrow Account
      which shall have been estimated and accumulated by the Servicer in amounts
      sufficient for such purposes, as allowed under the terms of the Mortgage. The
      Servicer assumes full responsibility for the timely payment of all such bills,
      shall effect timely payment of all such charges irrespective of each Mortgagor’s
      faithful performance in the payment of same or the making of the Escrow
      Payments, and shall make advances from its own funds to effect such payments.
      With regard to any Revolving Credit Loans for which the Mortgagor is not
      required to escrow Escrow Payments with the Servicer, the Servicer shall use
      reasonable efforts consistent with Accepted Servicing Practices to determine
      that any such payments are made by the Mortgagor at the time they first became
      due and shall insure that the Mortgaged Property is not lost to a tax lien
      as a
      result of nonpayment and that such Mortgage is not left uninsured and shall
      make
      advances from its own funds to effect any such delinquent payments to avoid
      the
      lapse of insurance coverage on the Mortgaged Property or to avoid the imposition
      of a tax lien.

     

    Section
      3.13  Maintenance
      of Hazard Insurance. 

     

    The
      Servicer shall cause to be maintained for each Revolving Credit Loan hazard
      insurance such that all buildings upon the Mortgaged Property are insured by
      a
      generally acceptable insurer against loss by fire, hazards of extended coverage
      and such other hazards as are customary in the area where the Mortgaged Property
      is located, in an amount which is at least equal to the greater of (i) the
      outstanding principal balance of the Revolving Credit Loan and (ii) an amount
      such that the proceeds thereof shall be sufficient to prevent the Mortgagor
      or
      the loss payee from becoming a co-insurer.

     

    If
      upon
      origination of the Revolving Credit Loan, the related Mortgaged Property was
      located in an area identified in the Federal Register by the Flood 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 with
      a
      generally acceptable insurance carrier in an amount representing coverage equal
      to the lesser of (i) the minimum amount required, under the terms of coverage,
      to compensate for any damage or loss on a replacement cost basis (or the unpaid
      balance of the mortgage if replacement cost coverage is not available for the
      type of building insured) and (ii) the maximum amount of insurance which is
      available under the Flood Disaster Protection Act of 1973, as amended. If at
      any
      time during the term of the Revolving Credit Loan, the Servicer determines
      in
      accordance with applicable law and pursuant to the Fannie Mae Guides that a
      Mortgaged Property is located in a special flood hazard area and is not covered
      by flood insurance or is covered in an amount less than the amount required
      by
      the Flood Disaster Protection Act of 1973, as amended, the Servicer shall notify
      the related Mortgagor that the Mortgagor must obtain such flood insurance
      coverage, and if said Mortgagor fails to obtain the required flood insurance
      coverage within forty-five (45) days after such notification, the Servicer
      shall
      force place the required flood insurance on the Mortgagor’s behalf.

     

    
      
        
        

      

      
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    Section
      3.14  Maintenance
      of Mortgage Blanket Insurance. 

     

    The
      Servicer shall obtain and maintain a blanket policy insuring against losses
      arising from fire and hazards covered under extended coverage on all of the
      Revolving Credit Loans. To the extent such policy provides coverage in an amount
      equal to the amount required pursuant to Section 3.12 and otherwise complies
      with all other requirements of Section 3.12, it shall conclusively be deemed
      to
      have satisfied its obligations as set forth in Section 3.12. Any amounts
      collected by the Servicer under any such policy relating to a Revolving Credit
      Loan shall be deposited in the Custodial Account or Escrow Account subject
      to
      withdrawal pursuant to Sections 3.04 or 3.06. Such policy may contain a
      deductible clause, in which case, in the event that there shall not have been
      maintained on the related Mortgaged Property a policy complying with Section
      3.12, and there shall have been a loss which would have been covered by such
      policy, the Servicer shall deposit in the Custodial Account at the time of
      such
      loss the amount not otherwise payable under the blanket policy because of such
      deductible clause, such amount to be deposited from the Servicer’s funds,
      without reimbursement therefor.

     

    Section
      3.15  Restoration
      of Mortgaged Property. 

     

    The
      Servicer need not obtain the approval of the Indenture Trustee or the Master
      Servicer prior to releasing any Insurance Proceeds or Condemnation 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, with respect to claims greater than $10,000, the Servicer shall
      comply with the following conditions in connection with any such release of
      Insurance Proceeds or Condemnation Proceeds:

     

    (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 or
      Condemnation Proceeds in the Escrow Account.

     

    Section
      3.16  Management
      of REO Property.

     

    (a)
       If
      title
      to any Mortgaged Property is acquired in foreclosure or by deed in lieu of
      foreclosure (each, an “REO
      Property”),
      the
      Servicer shall dispose of such REO Property not later than the end of the third
      taxable year after the year of its acquisition by the Trust unless the Servicer
      has applied for and received a grant of extension from the Internal Revenue
      Service to the effect that, under the REMIC Provisions and any relevant proposed
      legislation and under applicable state law, the applicable Trust may hold REO
      Property for a longer period without adversely affecting the REMIC status of
      such REMIC or causing the imposition of a federal or state tax upon such REMIC
      and has notified the Master Servicer of such extension being granted by
      providing a copy of the application and the grant of such extension to the
      Master Servicer. If the Servicer has received such an extension, then the
      Servicer shall continue to attempt to sell the REO Property for its fair market
      value for such period longer than three years as such extension permits (the
      “Extended Period”). If the Servicer has not received such an extension and the
      Servicer is unable to sell the REO Property within the period ending 3 months
      before the end of such third taxable year after its acquisition by the Trust
      or
      if the Servicer has received such an extension, and the Servicer is unable
      to
      sell the REO Property within the period ending three months before the close
      of
      the Extended Period, the Servicer shall, before the end of the three year period
      or the Extended Period, as applicable, (i) purchase such REO Property at a
      price
      equal to the REO Property’s fair market value as acceptable to the Master
      Servicer or (ii) auction the REO Property to the highest bidder (which may
      be
      the Servicer) in an auction reasonably designed to produce a fair price prior
      to
      the expiration of the three-year period or the Extended Period, as the case
      may
      be. The Indenture Trustee shall (i) sign any document prepared or delivered
      to
      it by the Servicer or (ii) take any other action, in the case of each of (i)
      and
      (ii) reasonably requested by the Servicer, which would enable the Servicer,
      on
      behalf of the Trust, to request such grant of extension.

     

    
      
        
        

      

      
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    (b)
       Notwithstanding
      any other provisions of this Agreement, no REO Property acquired by the Trust
      shall be rented (or allowed to continue to be rented) or otherwise used by
      or on
      behalf of the Trust in such a manner or pursuant to any terms that would: (i)
      cause such REO Property to fail to qualify as “foreclosure property” within the
      meaning of Section 860G(a)(8) of the Code; or (ii) subject any Trust to the
      imposition of any federal income taxes on the income earned from such REO
      Property, including any taxes imposed by reason of Sections 860F or 860G(c)
      of
      the Code, unless the Servicer has agreed to indemnify and hold harmless the
      Trust with respect to the imposition of any such taxes.

     

    (c)
       Prior
      to
      acceptance by the Servicer of an offer to sell any REO Property, the Servicer
      shall notify the Master Servicer of such offer in writing which notification
      shall set forth all material terms of said offer (each a “Notice
      of
      Sale”).
      The
      Master Servicer shall be deemed to have approved the sale of any REO Property
      unless the Master Servicer notifies the Servicer in writing, within five (5)
      days after its receipt of the related Notice of Sale, that it disapproves of
      the
      related sale, in which case the Servicer shall not proceed with such
      sale.

     

    Section
      3.17  Real
      Estate Owned Reports.

     

    Together
      with the statement furnished pursuant to Section 4.02, the Servicer shall
      furnish to the Master Servicer on or before the Remittance Date each month
      a
      statement with respect to any REO Property covering the operation of such REO
      Property for the previous month and the Servicer’s efforts in connection with
      the sale of such REO Property and any rental of such REO Property incidental
      to
      the sale thereof for the previous month. That statement shall be accompanied
      by
      such other information as the Master Servicer shall reasonably
      request.

     

    Section
      3.18  MERS.

     

    (a)
       The
      Servicer shall use its Best Efforts to cause the Trust to be identified as
      the
      owner of each MERS Revolving Credit Loan on the records of MERS for purposes
      of
      the system of recording transfers of beneficial ownership of mortgages
      maintained by MERS.

     

    
      
        
        

      

      
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    (b)
       The
      Servicer shall maintain in good standing its membership in MERS. In addition,
      the Servicer shall comply with all rules, policies and procedures of MERS,
      including the Rules of Membership, as amended, and the MERS Procedures Manual,
      as amended.

     

    (c)
       With
      respect to all MERS Revolving Credit Loans serviced hereunder, the Servicer
      shall promptly notify MERS as to any transfer of beneficial ownership of such
      Revolving Credit Loans of which the Servicer has notice.

     

    (d)
       With
      respect to all MERS Revolving Credit Loans serviced hereunder, the Servicer
      shall notify MERS as to any transfer of servicing pursuant to Section 3.15
      or
      Section 9.01 within 10 Business Days of such transfer of servicing. The Servicer
      shall cooperate with the Indenture Trustee, the Master Servicer and any
      successor servicer to the extent necessary to ensure that such transfer of
      servicing is appropriately reflected on the MERS system.

     

    Section
      3.19  Waiver
      of Prepayment Penalty Amounts.

     

    Except
      as
      provided below, the Servicer or any designee of the Servicer shall not waive
      any
      Prepayment Penalty Amount with respect to any Revolving Credit Loan. If the
      Servicer or its designee fails to collect a Prepayment Penalty Amount at the
      time of the related prepayment of any Revolving Credit Loan subject to such
      Prepayment Penalty Amount, the Servicer shall pay to the Trust at such time
      (by
      deposit to the Custodial Account) an amount equal to the amount of the
      Prepayment Penalty Amount not collected; provided,
      however,
      the
      Servicer shall not have any obligation to pay the amount of any uncollected
      Prepayment Penalty Amount under this Section 3.19 if the failure to collect
      such
      amount is the result of inaccurate or incomplete information in the Prepayment
      Penalty Amount Schedule provided by the Seller and which is included as part
      of
      the Revolving Credit Loan Schedule attached hereto as Exhibit A. The Prepayment
      Penalty Amounts listed on the Prepayment Penalty Amount Schedule attached hereto
      as Exhibit A are complete, true and accurate and may be relied on by the
      Servicer in its calculation of Prepayment Penalty Amounts. If the Prepayment
      Penalty Amount data set forth on Exhibit A is incorrect, then the Servicer
      shall
      have no liability for any loss resulting from calculation of Prepayment Penalty
      Amounts using the data provided. Notwithstanding the above, the Servicer or
      its
      designee may waive a Prepayment Penalty Amount without paying to the Trust
      the
      amount of such Prepayment Penalty Amount only if such Prepayment Penalty Amount
      (i) relates to a defaulted Revolving Credit Loan or a reasonably foreseeable
      default, such waiver is standard and customary in servicing similar mortgage
      loans to the Revolving Credit Loan, and such waiver, in the reasonable judgment
      of the Servicer would maximize recovery of total proceeds from the Revolving
      Credit Loan, taking into account the amount of such Prepayment Charge and the
      related Revolving Credit Loan, or (ii) relates to a prepayment charge the
      collection of which, if collected, would be a violation of applicable
      laws.

     

    
      
        
        

      

      
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    Section
      3.20  Safeguarding
      Customer Information.

     

    The
      Servicer has implemented and will maintain security measures designed to meet
      the objectives of the Interagency Guidelines Establishing Standards for
      Safeguarding Customer Information published in final form on February 1,
      2001, 66 Fed. Reg. 8616 and the rules promulgated thereunder, as amended from
      time to time (the “Guidelines”). 

     

    The
      Servicer shall promptly provide the Master Servicer and the Indenture Trustee
      information reasonably available to it regarding such security measures upon
      the
      reasonable request of the Master Servicer and the Indenture Trustee which
      information shall include, but not be limited to, any Statement on Auditing
      Standards (SAS) No. 70 report covering the Servicer’s operations, and any other
      audit reports, summaries of test results or equivalent measures taken by the
      Servicer with respect to its security measures to the extent reasonably
      necessary in order for the Seller to satisfy its obligations under the
      Guidelines.

     

    Section
      3.21  Realization
      Upon Specially Serviced Revolving Credit Loans.

     

    Subject
      to Section 3.01(f),
      the Servicer shall foreclose upon or otherwise comparably convert the ownership
      of properties securing such of the Specially Serviced Revolving Credit Loans
      as
      come into and continue in default and as to which (a) in the reasonable
      judgment of the Servicer, no satisfactory arrangements can, in accordance with
      prudent lending practices, be made for collection of delinquent payments
      pursuant to Section 3.01 and (b) such foreclosure or other conversion
      is otherwise in accordance with Section 3.01. The Servicer shall not be
      required to expend its own funds in connection with any foreclosure or towards
      the restoration, repair, protection or maintenance of any property unless it
      shall determine that such expenses will be recoverable to it as Servicing
      Advances either through Liquidation Proceeds or through Insurance Proceeds
      (in
      accordance with Section 3.03) or from any other source relating to the
      Specially Serviced Revolving Credit Loan. The Servicer shall be required to
      advance funds for all other costs and expenses incurred by it in any such
      foreclosure proceedings (including funds necessary to pay off the first lien,
      if
      any, on the related Mortgaged Property; provided
      that it
      shall be entitled to reimbursement thereof from the proceeds of liquidation
      of
      the related Mortgaged Property, as contemplated by
      Section 3.03.

     

    ARTICLE
      IV.

     

    PAYMENTS
      TO MASTER SERVICER

     

    Section
      4.01  Remittances.

     

    On
      each
      Remittance Date the Servicer shall remit by wire transfer of immediately
      available funds to the Master Servicer (i) all amounts deposited in the
      Custodial Account as of the close of business on the last day of the related
      Due
      Period (net of charges against or withdrawals from the Custodial Account
      pursuant to Section 3.04), plus (ii) all Monthly Advances, if any, which the
      Servicer is obligated to make pursuant to Section 4.03, minus (iii) any amounts
      attributable to Principal Prepayments, Liquidation Proceeds, Insurance Proceeds,
      Condemnation Proceeds or REO Disposition Proceeds received after the applicable
      Prepayment Period, which amounts shall be remitted on the following Remittance
      Date, together with any additional interest required to be deposited in the
      Custodial Account in connection with such Principal Prepayment in accordance
      with Section 3.03(vi), and minus (iv)
      any
      amounts attributable to Monthly Payments collected but due on a Due Date or
      Due
      Dates subsequent to the first day of the month in which such Remittance Date
      occurs, which amounts shall be remitted on the Remittance Date next succeeding
      the Due Date related to such Monthly Payment.

     

    
      
        
        

      

      
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    With
      respect to any remittance received by the Master Servicer after the Business
      Day
      on which such payment was due, the Servicer shall pay to the Master Servicer
      interest on any such late payment at an annual rate equal to the Prime Rate,
      adjusted as of the date of each change, plus two (2) percentage points, but
      in
      no event greater than the maximum amount permitted by applicable law. Such
      interest shall be deposited in the Custodial Account by the Servicer on the
      date
      such late payment is made and shall cover the period commencing with the day
      following such Business Day and ending with the Business Day on which such
      payment is made, both inclusive. Such interest shall be remitted along with
      the
      distribution payable on the next succeeding Remittance Date. The payment by
      the
      Servicer of any such interest shall not be deemed an extension of time for
      payment or a waiver of any Event of Default by the Servicer.

     

    All
      remittances required to be made to the Master Servicer shall be made to the
      following wire account or to such other account as may be specified by the
      Master Servicer from time to time:

     

    [_______________]

    [_______________]

    [_______________]

    [_______________]

    [_______________]

     

    Section
      4.02  Statements
      to Master Servicer.

     

    Not
      later
      than the tenth calendar day of each month (or if such calendar day is not a
      Business Day, the immediately preceding Business Day), the Servicer shall
      furnish to the Master Servicer (i) a monthly remittance advice in the format
      set
      forth in Exhibit D-1 hereto and a monthly default loan report in the format
      set
      forth in Exhibit D-2 hereto (or in such other format mutually agreed between
      the
      Servicer and the Master Servicer) relating to the period ending on the last
      day
      of the preceding calendar month and (ii) all such information required pursuant
      to clause (i) above on a magnetic tape or other similar media reasonably
      acceptable to the Master Servicer. The Servicer shall include in the monthly
      remittance advice information regarding each Employee Mortgage Loan. The format
      of this monthly reporting may be amended from time to time to the extent
      necessary to comply with applicable law or the terms of the Sale and Servicing
      Agreement.

     

    Not
      later
      than the seventeenth day of each month, the Servicer shall furnish to the Master
      Servicer (a) a monthly payoff remittance advice regarding any Principal
      Prepayments in full applied to the related Revolving Credit Loan on or after
      the
      seventeenth day of the month preceding the month of such reporting date, but
      on
      or before the sixteenth day of the month of such reporting date, containing
      such
      information and in such format as is mutually acceptable to the Master Servicer
      and the Servicer, and in any event containing sufficient information to permit
      the Master Servicer to properly report Principal Prepayment in full information
      to the Indenture Trustee under the Sale and Servicing Agreement and (b) all
      such
      information required pursuant to clause (a) above in electronic format, on
      magnetic tape or other similar media reasonably acceptable to the Master
      Servicer.

     

    
      
        
        

      

      
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    In
      addition, no later than March 15 of each calendar year, commencing March 15,
      20[__], the Servicer shall furnish to each Person who was an owner of the
      Revolving Credit Loans at any time during such calendar year as required by
      applicable law or if not required by applicable law, at the request of such
      owner as to the aggregate of remittances for the applicable portion of such
      year.

     

    The
      Master Servicer may request that the Servicer provide, at the Master Servicer’s
      expense, an appraisal or a broker price opinion on any Revolving Credit Loan
      which is 90 days or more delinquent. The Servicer shall use its best efforts
      to
      deliver such appraisal or broker price opinion to the Master Servicer within
      15
      calendar days after such request.

     

    Such
      obligation of the Servicer shall be deemed to have been satisfied to the extent
      that substantially comparable information shall be provided by the Servicer
      pursuant to any requirements of the Internal Revenue Code as from time to time
      are in force.

     

    Beginning
      with calendar year 20[__], the Servicer shall provide the Master Servicer with
      such information concerning the Revolving Credit Loans as is necessary for
      the
      Master Servicer or the Indenture Trustee to prepare the Trust’s federal income
      tax return as the Master Servicer or the Indenture Trustee may reasonably
      request from time to time.

     

    The
      Servicer shall promptly notify the Securities Administrator, the Master Servicer
      and the Depositor (i) of any legal proceedings pending against the Servicer
      of
      the type described in Item 1117 (§
      229.1117) of
      Regulation AB and (ii) if the Servicer shall become (but only to the extent
      not
      previously disclosed to the Securities Administrator, the Master Servicer and
      the Depositor) at any time an affiliate of any of the Sponsor, the Indenture
      Trustee, the Master Servicer, another Servicer, the Securities Administrator,
      any Originator contemplated by Item 1110 (§
      229.1110) of
      Regulation AB, any significant obligor contemplated by Item 1112 (§
      229.1112) of
      Regulation AB, any enhancement or support provider contemplated by Items 1114
      or
      1115 (§§
      229.1114-1115) of
      Regulation AB or any other material party to the Trust contemplated by Item
      1100(d)(1) (§
      229.1100(d)(1)) of
      Regulation AB.

     

    Section
      4.03  Monthly
      Advances by Servicer.

     

    On
      the
      Business Day immediately preceding each Remittance Date, the Servicer shall
      deposit in the Custodial Account from its own funds or from amounts held for
      future distribution, or both, an amount equal to the aggregate of all Monthly
      Advances relating to Monthly Payments which were due on the Revolving
      Credit
      Loans
      during the applicable Due Period and which were delinquent at the close of
      business on the immediately preceding Determination Date or which were deferred
      pursuant to Section 3.01. The Servicer’s obligation to make such Monthly
      Advances as to any Revolving
      Credit
      Loan
      will continue through the last Monthly Payment due prior to the payment in
      full
      of the Revolving
      Credit
      Loan, or
      through the last Remittance Date prior to the Remittance Date for the
      distribution of all Liquidation Proceeds and other payments or recoveries
      (including Insurance Proceeds and Condemnation Proceeds) with respect to the
      Revolving
      Credit
      Loan
      unless the Servicer deems such Monthly Advances to be unrecoverable, as
      evidenced by an Officer’s Certificate of the Servicer delivered to the Master
      Servicer.

     

    
      
        
        

      

      
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    ARTICLE
      V.

     

    GENERAL
      SERVICING PROCEDURES

     

    Section
      5.01  Servicing
      Compensation.

     

    As
      consideration for servicing the Revolving Credit Loans subject to this
      Agreement, the Servicer shall retain (i) the relevant Servicing Fee for each
      Revolving Credit Loan remaining subject to this Agreement during any month
      and
      (ii) Ancillary Income. In addition, if at any time the Servicer is the Retained
      Interest Holder with respect to any Revolving Credit Loans, then the Servicer,
      as the Retained Interest Holder, shall retain an amount equal to the Retained
      Interest relating to such Revolving Credit Loans; provided, that (i) the
      Indenture Trustee and the Master Servicer shall have no obligation to make
      payment of the Retained Interest to the Servicer and (ii) the Servicer’s right
      to retain the Retained Interest is limited to (and the Retained Interest may
      only be retained from) the interest portion (including recoveries with respect
      to interest from Liquidation Proceeds to the extent permitted by Section 3.04
      of
      this Agreement) of the Monthly Payments collected by the Servicer with respect
      to those Revolving Credit Loans for which payment is in fact made of the entire
      amount of the Monthly Payment. The Servicing Fee shall be payable monthly.
      The
      Servicing Fees shall be payable only at the time of and with respect to those
      Revolving Credit Loans for which payment is in fact made of the entire amount
      of
      the Monthly Payment or as otherwise provided in Section 3.04. The obligation
      of
      the Trust (if any) to pay the Servicing Fees is limited as provided in Section
      3.04. The aggregate of the Servicing Fees payable to the Servicer for any month
      with respect to the Revolving Credit Loans shall be reduced by any Prepayment
      Interest Shortfall Amount with respect to such month. Any Prepayment Interest
      Excess Amount shall be retained by, or paid to, the Servicer as a part of the
      Servicing Fee.

     

    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
      thereof except as specifically provided for herein.

     

    Section
      5.02  Annual
      Audit Report.

     

    On
      or
      before March 1st of each year, beginning with March 1, 20[__], the Servicer
      shall, at its own expense, cause a firm of independent public accountants (who
      may also render other services to Servicer), which is a member of the American
      Institute of Certified Public Accountants, to furnish to the Seller, the
      Indenture Trustee, the Depositor and the Master Servicer (i) year-end audited
      (if available) financial statements of the Servicer and (ii) a report to the
      effect that such firm that attests to, and reports on, the assessment made
      by
      such asserting party pursuant to Section 5.04 below, which report shall be
      made
      in accordance with standards for attestation engagements issued or adopted
      by
      the Public Company Accounting Oversight Board.

     

    
      
        
        

      

      
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    Section
      5.03  Annual
      Officer’s Certificate.

     

    (a)
       On
      or
      before March 1st of each year, beginning with March 1, 20[__], the Servicer,
      at
      its own expense, will deliver to the Seller, the Depositor, the Indenture
      Trustee and the Master Servicer (i) with respect to the period ending on the
      immediately preceding December 31, a Servicing Officer’s certificate stating, as
      to each signer thereof, that (1) a review of the activities of the Servicer
      during such preceding calendar year or portion thereof and of its performance
      under this Agreement has been made under such Servicing Officer’s supervision
      and (2) to the best of such officers’ knowledge, based on such review, the
      Servicer has fulfilled all of its obligations under this Agreement in all
      material respects throughout such year, or, if there has been a failure to
      fulfill any such obligation in any material respect, specifying each such
      failure known to such Servicing Officer’s and the nature and status thereof
      including the steps being taken by the Servicer to remedy such default and/or
      (ii) such other certificates as may be required under Item
      1123
(§
      229.1123) of
      Regulation AB
      or other
      applicable law or regulation.

     

    (b)
       For
      so
      long as a certificate under the Sarbanes-Oxley Act of 2002, as amended,
      (“Sarbanes-Oxley”) is required to be given on behalf of the Trust, no later than
      March 1st of each year (or if not a Business Day, the immediately preceding
      Business Day), beginning with March 1, 20[__], or at any other time that the
      Master Servicer or the Depositor provides a certification pursuant to
      Sarbanes-Oxley and upon thirty (30) days’ written request of such parties, a
      Servicing Officer of the Servicer shall execute and deliver an Officer’s
      Certificate to the Master Servicer, the Indenture Trustee and the Depositor
      for
      the benefit of the Trust, the Master Servicer and the Depositor and their
      officers, directors and affiliates, in the form of Exhibit E hereto or as may
      be
      required by applicable law or regulation.

     

    (c) The
      Servicer shall indemnify and hold harmless the Master Servicer, 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 5.03 or the negligence, bad
      faith or willful misconduct of the Servicer in connection therewith. If the
      indemnification provided for herein is unavailable or insufficient to hold
      harmless the Master Servicer and/or the Depositor, then the Servicer agrees
      that
      it shall contribute to the amount paid or payable by the Master Servicer and/or
      the Depositor as a result of the losses, claims, damages or liabilities of
      the
      Master Servicer and/or the Depositor in such proportion as is appropriate to
      reflect the relative fault of the Master Servicer and/or 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 5.03 or the Servicer’s negligence, bad
      faith or willful misconduct in connection therewith.

     

    Section
      5.04  Compliance
      with Applicable Servicing Criteria.

     

    On
      or
      before March 1 of each calendar year, the Servicer shall deliver to the
      Indenture Trustee, the Master Servicer and the Depositor a report regarding
      its
      assessment of compliance with the servicing criteria specified in paragraph
      (d)
      of Item 1122 of Regulation AB (§ 229.1122(d)), as of and for the period ending
      the end of the fiscal year ending no later than December 31 of the year prior
      to
      the year of delivery of the report, with respect to asset-backed security
      transactions taken as a whole in which the Servicer is performing any of the
      servicing criteria specified in paragraph (d) of Item 1122 of Regulation AB
      (§
229.1122(d)) that it is performing pursuant to its obligations under this
      Agreement, and that are backed by the same asset type backing such asset-backed
      securities. Each such report shall include all of the statements required under
      paragraph (a) of Item 1122 of Regulation AB (§ 229.1122(a)).

     

    
      
        
        

      

      
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    Section
      5.05  Transfers
      of Mortgaged Property.

     

    The
      Servicer shall use its best efforts to enforce any “due-on-sale” provision
      contained in any Mortgage or Mortgage Note and to deny assumption by the person
      to whom the Mortgaged Property has been or is about to be sold whether by
      absolute conveyance or by contract of sale, and whether or not the Mortgagor
      remains liable on the Mortgage and the Mortgage Note; provided that, if in
      the
      Servicer's prudent business judgment, it determines that an assumption of the
      Revolving Credit Loan is in the best interests of the Trust, it shall deliver
      notice of such determination to the Master Servicer and may permit such
      assumption if approved by the Master Servicer. When the Mortgaged Property
      has
      been conveyed by the Mortgagor, the Servicer shall, to the extent it has
      knowledge of such conveyance, so long as the Master Servicer has not consented
      to an assumption in accordance with the preceding sentence, exercise its rights
      to accelerate the maturity of such Revolving Credit Loan under the “due-on-sale”
clause applicable thereto, provided, however, that the Servicer shall not be
      required to take such action if the Servicer, in its prudent business judgment,
      believes it is not in the best interests of the Trust and shall not exercise
      such rights if prohibited by law from doing so.

     

    If
      the
      Servicer reasonably believes it is unable under applicable law to enforce such
      “due-on-sale” clause or if the Master Servicer approves such assumption pursuant
      to the preceding paragraph, the Servicer shall enter into (i) an assumption
      and
      modification agreement with the person to whom such property has been conveyed,
      pursuant to which such person becomes liable under the Mortgage Note and the
      original Mortgagor remains liable thereon or (ii) in the event the Servicer
      is
      unable under applicable law to require that the original Mortgagor remain liable
      under the Mortgage Note and the Servicer has the prior consent of the primary
      mortgage guaranty insurer, a substitution of liability agreement with the owner
      of the Mortgaged Property pursuant to which the original Mortgagor is released
      from liability and the owner of the Mortgaged Property is substituted as
      Mortgagor and becomes liable under the Mortgage Note; provided that no such
      substitutions should be permitted unless such person satisfies the underwriting
      criteria of the Servicer and has a credit risk rating at least equal to that
      of
      the original Mortgagor. The Revolving Credit Loan, as assumed, shall conform
      in
      all respects to the requirements, representations and warranties of this
      Agreement. The Servicer shall notify the Master Servicer that any such
      assumption or substitution agreement has been contemplated by forwarding to
      the
      Master Servicer a copy of such assumption or substitution agreement (indicating
      the Mortgage File to which it relates). The Servicer shall forward an original
      copy of such agreement to the Custodian to be held by the Custodian with the
      other documents related to such Revolving Credit Loan. The Servicer shall be
      responsible for recording any such assumption or substitution agreements. In
      connection with any such assumption or substitution agreement, the Monthly
      Payment on the related Revolving Credit Loan shall not be changed but shall
      remain as in effect immediately prior to the assumption or substitution, the
      Mortgage Interest Rate, the stated maturity or the outstanding principal amount
      of such Revolving Credit Loan shall not be changed nor shall any required
      monthly payments of principal or interest be deferred or forgiven. Any
      assumption fee collected by the Servicer for entering into an assumption
      agreement shall be retained by the Servicer as additional servicing
      compensation. In connection with any such assumption, none of the Mortgage
      Interest Rate borne by the related Mortgage Note, the term of the Revolving
      Credit Loan or the outstanding principal amount of the Revolving Credit Loan
      shall be changed.

     

    
      
        
        

      

      
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    ARTICLE
      VI.

     

    REPRESENTATIONS,
      WARRANTIES

    AND
      AGREEMENTS

     

    Section
      6.01  Representations,
      Warranties and Agreements of the Servicer.

     

    The
      Servicer, as a condition to the consummation of the transactions contemplated
      hereby, hereby makes the following representations and warranties to the Seller,
      the Master Servicer and the Indenture Trustee as of the Closing
      Date:

     

    (a)
       Due
      Organization and Authority.
      The
      Servicer is a corporation duly organized, validly existing and in good standing
      under the laws of the State of [__] and has all licenses necessary to carry
      on
      its business as now being conducted and is licensed, qualified and in good
      standing in each state where a Mortgaged Property is located if the laws of
      such
      state require licensing or qualification in order to conduct business of the
      type conducted by the Servicer, and in any event the Servicer is in compliance
      with the laws of any such state to the extent necessary to ensure the
      enforceability of the terms of this Agreement; the Servicer has the full power
      and authority to execute and deliver this Agreement and to perform in accordance
      herewith; the execution, delivery and performance of this Agreement (including
      all instruments of transfer to be delivered pursuant to this Agreement) by
      the
      Servicer and the consummation of the transactions contemplated hereby have
      been
      duly and validly authorized; this Agreement evidences the valid, binding and
      enforceable obligation of the Servicer and all requisite action has been taken
      by the Servicer to make this Agreement valid and binding upon the Servicer
      in
      accordance with its terms;

     

    (b)
       Ordinary
      Course of Business.
      The
      consummation of the transactions contemplated by this Agreement are in the
      ordinary course of business of the Servicer;

     

    (c)
       No
      Conflicts.
      Neither
      the execution and delivery of this Agreement, the acquisition of the servicing
      responsibilities by the Servicer or the transactions contemplated hereby, nor
      the fulfillment of or compliance with the terms and conditions of this
      Agreement, will conflict with or result in a breach of any of the terms,
      conditions or provisions of the Servicer’s organizational documents or any legal
      restriction or any agreement or instrument to which the Servicer is now a party
      or by which it is bound, or constitute a default or result in an acceleration
      under any of the foregoing, or result in the violation of any law, rule,
      regulation, order, judgment or decree to which the Servicer or its property
      is
      subject, or impair the ability of the Servicer to service the Revolving Credit
      Loans, or impair the value of the Revolving Credit Loans;

     

    (d)
       Ability
      to Perform.
      The
      Servicer 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;

     

    
      
        
        

      

      
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    (e)
       No
      Litigation Pending.
      There
      is no action, suit, proceeding or investigation pending or threatened against
      the Servicer which, either in any one instance or in the aggregate, may result
      in any material adverse change in the business, operations, financial condition,
      properties or assets of the Servicer, or in any material impairment of the
      right
      or ability of the Servicer to carry on its business substantially as now
      conducted, or in any material liability on the part of the Servicer, or which
      would draw into question the validity of this Agreement or of any action taken
      or to be taken in connection with the obligations of the Servicer contemplated
      herein, or which would be likely to impair materially the ability of the
      Servicer to perform under the terms of this Agreement;

     

    (f)
       No
      Consent Required.
      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; 

     

    (g)
       Ability
      to Service.
      The
      Servicer is an approved seller/servicer for Fannie Mae or Freddie Mac, with
      the
      facilities, procedures and experienced personnel necessary for the sound
      servicing of mortgage loans of the same type as the Revolving Credit Loans.
      The
      Servicer is in good standing to service mortgage loans for either Fannie Mae
      or
      Freddie Mac. The Servicer is a member in good standing of the MERS
      system;

     

    (h)
       No
      Untrue Information.
      Neither
      this Agreement nor any statement, report or other document furnished or to
      be
      furnished pursuant to this Agreement or in connection with the transactions
      contemplated hereby contains any untrue statement of fact or omits to state
      a
      fact necessary to make the statements contained therein not
      misleading;

     

    (i)
       No
      Commissions to Third Parties.
      The
      Servicer has not dealt with any broker or agent or anyone else who might be
      entitled to a fee or commission in connection with this transaction other than
      the Seller; and

     

    (j)
       Fair
      Credit Reporting Act.
      The
      Servicer for each mortgage loan has
      fully
      furnished, 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 (three of the credit repositories), on a monthly
      basis.

     

    Section
      6.02  Remedies
      for Breach of Representations and Warranties of the Servicer.

     

    It
      is
      understood and agreed that the representations and warranties set forth in
      Section 6.01 shall survive the engagement of the Servicer to perform the
      servicing responsibilities as of the Closing Date or Servicing Transfer Date,
      as
      applicable, hereunder and the delivery of the Servicing Files to the Servicer
      and shall inure to the benefit of the Seller, the Trust and the Indenture
      Trustee. Upon discovery by either the Servicer, the Master Servicer or the
      Seller of a breach of any of the foregoing representations and warranties which
      materially and adversely affects the ability of the Servicer to perform its
      duties and obligations under this Agreement or otherwise materially and
      adversely affects the value of the Revolving Credit Loans, the Mortgaged
      Property or the priority of the security interest on such Mortgaged Property
      or
      the interest of the Seller, the Trust or the Indenture Trustee, the party
      discovering such breach shall give prompt written notice to the
      other.

     

    
      
        
        

      

      
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    Within
      60
      days of the earlier of either discovery by or notice to the Servicer of any
      breach of a representation or warranty set forth in Section 6.01 which
      materially and adversely affects the ability of the Servicer to perform its
      duties and obligations under this Agreement or otherwise materially and
      adversely affects the value of the Revolving Credit Loans, the Mortgaged
      Property or the priority of the security interest on such Mortgaged Property,
      the Servicer shall use its Best Efforts promptly to cure such breach in all
      material respects and, if such breach cannot be cured, the Servicer shall,
      at
      the Indenture Trustee’s or the Master Servicer’s option, assign the Servicer’s
      rights and obligations under this Agreement (or respecting the affected
      Revolving Credit Loans) to a successor Servicer. Such assignment shall be made
      in accordance with Sections 9.01 and 9.02.

     

    In
      addition, the Servicer shall indemnify the Seller, Trust, the Indenture Trustee
      and the Master Servicer (and each of their respective directors, officers,
      employees and agents) and the Trust, and hold each of them harmless against
      any
      Costs resulting from any claim, demand, defense or assertion based on or
      grounded upon, or resulting from, a breach of the Servicer representations
      and
      warranties contained in this Agreement. It is understood and agreed that the
      remedies set forth in this Section 6.02 constitute the sole remedies of the
      Seller, the Master Servicer and the Trustee respecting a breach of the foregoing
      representations and warranties.

     

    Any
      cause
      of action against the Servicer relating to or arising out of the breach of
      any
      representations and warranties made in Section 6.01 shall accrue upon (i)
      discovery of such breach by the Servicer or notice thereof by the Seller or
      the
      Master Servicer to the Servicer, (ii) failure by the Servicer to cure such
      breach within the applicable cure period, and (iii) demand upon the Servicer
      by
      the Seller or the Master Servicer for compliance with this
      Agreement.

     

    Section
      6.03  Additional
      Indemnification by the Servicer; Third Party Claims. 

     

    The
      Servicer shall indemnify the Seller, the Depositor, the Trustee and the Master
      Servicer (and each of their respective directors, officers, employees and
      agents) and the Trust Fund, and hold them harmless against any and all Costs
      that any such indemnified party may sustain in any way related to (i) the
      failure of the Servicer to perform its duties and service the Revolving Credit
      Loans in material compliance with the terms of this Agreement (including, but
      not limited to its obligation to provide any certification pursuant to Sections
      5.03(b) and 5.04 hereunder) or for any inaccurate or misleading information
      provided in the certifications required pursuant to Sections 5.03(b) and 5.04
      or
      (ii) the failure of the Servicer to cause any event to occur or not to occur
      which would have occurred or would not have occurred, as applicable, if the
      Servicer were applying Accepted Servicing Practices under this Agreement. The
      Servicer shall immediately notify the Seller, the Depositor, the Master
      Servicer, the Trustee or any other relevant party if a claim is made by a third
      party with respect to this Agreement or the Revolving Credit Loans, assume
      (with
      the prior written consent of the indemnified party in the event of an
      indemnified claim) the defense of any such claim and pay all expenses in
      connection therewith, including counsel fees, promptly pay, discharge and
      satisfy any judgment or decree which may be entered against it or any other
      party in respect of such claim and follow any written instructions received
      from
      such indemnifying party in connection with such claim. Subject to the Servicer’s
      indemnification pursuant to Section 6.02, or the failure of the Servicer to
      service and administer the Revolving Credit Loans in material compliance with
      the terms of this Agreement, the Trust Fund shall indemnify the Servicer and
      hold the Servicer harmless against any and all Costs that the Servicer may
      sustain in connection with any legal action relating to this Agreement, the
      Certificates or the origination or Servicing of the Revolving Credit Loans
      by
      any prior owner or servicer, other than any Costs incurred by reason of the
      Servicer’s willful misfeasance, bad faith or negligence in the performance of
      duties hereunder or by reason of its reckless disregard of obligations and
      duties hereunder. 

     

    
      
        
        

      

      
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    Section
      6.04  [Reserved]. 

     

    Section
      6.05  Indemnification
      with Respect to Certain Taxes and Loss of REMIC Status.

     

    In
      the
      event that any REMIC fails to qualify as a REMIC, loses its status as a REMIC,
      or incurs federal, state or local taxes as a result of a prohibited transaction
      or prohibited contribution under the REMIC Provisions due to the negligent
      performance by the Servicer of its duties and obligations set forth herein,
      the
      Servicer shall indemnify the Holder of the related Residual Certificate, the
      Master Servicer, the Trustee and the Trust Fund (and each of their respective
      directors, officers, employees and agents) against any and all losses, claims,
      damages, liabilities or expenses (“Losses”) resulting from such negligence;
provided,
      however,
      that the
      Servicer shall not be liable for any such Losses attributable to the action
      or
      inaction of the Trustee, the Depositor or the Holder of such Residual
      Certificate, as applicable, nor for any such Losses resulting from
      misinformation provided by the Holder of such Residual Certificate on which
      the
      Servicer has relied. The foregoing shall not be deemed to limit or restrict
      the
      rights and remedies of the Holder of such Residual Certificate, the Trustee
      and
      the Trust Fund now or hereafter existing at law or in equity or otherwise.
      Notwithstanding the foregoing, however, in no event shall the Servicer have
      any
      liability (1) for any action or omission that is taken in accordance with and
      in
      compliance with the express terms of, or which is expressly permitted by the
      terms of, this Agreement, (2) for any Losses other than arising out of a
      negligent performance by the Servicer of its duties and obligations set forth
      herein, and (3) for any special or consequential damages to Certificateholders
      (in addition to payment of principal and interest on the
      Certificates).

     

    Section
      6.06  Reporting
      Requirements of the Commission and Indemnification.

     

    Notwithstanding
      any other provision of this Agreement, the Servicer shall (i) agree to such
      modifications and enter into such amendments to this Agreement as may be
      necessary, in the judgment of the Depositor, the Master Servicer and their
      respective counsel, to comply with any rules promulgated by the U.S. Securities
      and Exchange Commission (the “Commission”) and any interpretations thereof by
      the staff of the Commission (collectively, “SEC Rules”) and (ii) promptly upon
      request provide to the Depositor for inclusion in any periodic report required
      to be filed under the Securities Exchange Act of 1934, as amended (the “Exchange
      Act”), such items of information regarding this Agreement and matters related to
      the Servicer, including as applicable (by way of example and not limitation),
      a
      description of any material litigation or governmental action or proceeding
      involving the Servicer or its affiliates (collectively, the “Servicer
      Information”), provided,
      that
      such
      information shall be required to be provided by the Servicer only to the extent
      that such shall be determined by the Depositor in its sole discretion and its
      counsel to be necessary or advisable to comply with any SEC Rules.

     

    
      
        
        

      

      
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    The
      Servicer
      hereby
      agrees to indemnify and hold harmless the Depositor, the Master Servicer, their
      respective officers and directors and each person, if any, who controls the
      Depositor or Master Servicer within the meaning of Section 15 of the Securities
      Act of 1933, as amended (the “Act”), or Section 20 of the Exchange Act, from and
      against any and all losses, claims, expenses, damages or liabilities to which
      the Depositor, the Master Servicer, their respective officers or directors
      and
      any such controlling person may become subject under the Act or otherwise,
      as
      and when such losses, claims, expenses, damages or liabilities are incurred,
      insofar as such losses, claims, expenses, damages or liabilities (or actions
      in
      respect thereof) arise out of or are based upon any untrue statement or alleged
      untrue statement of any material fact contained in the Servicer
      Information or
      arise
      out of, or are based upon, the omission or alleged omission to state therein
      any
      material fact required to be stated therein or necessary to make the statements
      therein, in light of the circumstances under which they were made, not
      misleading, and will reimburse the Depositor, the Master Servicer, their
      respective officers and directors and any such controlling person for any legal
      or other expenses reasonably incurred by it or any of them in connection with
      investigating or defending any such loss, claim, expense, damage, liability
      or
      action, as and when incurred; provided,
      however,
      that
      the Servicer
      shall
      be
      liable only insofar as such untrue statement or alleged untrue statement or
      omission or alleged omission relates solely to the information in the
Servicer
      Information
      furnished to the Depositor or Master Servicer by or on behalf of the
Servicer
      specifically
      in connection with this Agreement.

     

    ARTICLE
      VII.

     

    THE
      SERVICER

     

    Section
      7.01  Merger
      or Consolidation of the Servicer.

     

    The
      Servicer shall keep in full effect its existence, rights and franchises as
      a
      corporation, and shall 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 or any
      of
      the Revolving Credit Loans and to perform its duties under this
      Agreement.

     

    Any
      Person into which the Servicer may be merged or consolidated, or any corporation
      resulting from any merger, conversion or consolidation to which the Servicer
      shall be a party, or any Person succeeding to the business of the Servicer,
      shall be the successor of the Servicer hereunder, without the execution or
      filing of any paper or any further act on the part of any of the parties hereto,
      anything herein to the contrary notwithstanding, provided, however, that the
      successor or surviving Person shall be an institution (i) having a net worth
      of
      not less than $25,000,000, and (ii) which is a Fannie Mae or Freddie Mac
      approved servicer in good standing.

     

    
      
        
        

      

      
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    Section
      7.02  Limitation
      on Liability of the Servicer and Others.

     

    Neither
      the Servicer nor any of the directors, officers, employees or agents of the
      Servicer shall be under any liability to the Seller, the Master Servicer or
      the
      Trustee 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 Servicer or any such person
      against any breach of warranties or representations made herein, or failure
      to
      perform its obligations in strict compliance with any standard of care set
      forth
      in this Agreement, or any liability which would otherwise be imposed by reason
      of any breach of the terms and conditions of this Agreement. The Servicer and
      any director, officer, employee or agent of the Servicer may rely in good faith
      on any document of any kind prima facie properly executed and submitted by
      any
      Person respecting any matters arising hereunder. The Servicer shall not be
      under
      any obligation to appear in, prosecute or defend any legal action which is
      not
      incidental to its duties to service the Revolving Credit Loans in accordance
      with this Agreement and which in its opinion may involve it in any expense
      or
      liability, provided, however, that the Servicer may, with the consent of the
      Master Servicer, undertake any such action which it may deem necessary or
      desirable in respect of this Agreement and the rights and duties of the parties
      hereto. In such event, the Servicer shall be entitled to reimbursement from
      the
      Trust Fund for the reasonable legal expenses and costs of such
      action.

     

    Section
      7.03  Limitation
      on Resignation and Assignment by the Servicer.

     

    The
      Seller has entered into this Agreement with the Servicer in reliance upon the
      independent status of the Servicer, and the representations as to the adequacy
      of its servicing facilities, plant, personnel, records and procedures, its
      integrity, reputation and financial standing, and the continuance thereof.
      Therefore, the Servicer shall neither assign its rights under this Agreement
      or
      the servicing hereunder nor delegate its duties hereunder or any portion
      thereof, 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
      Seller (as owner of the servicing rights relating to the Revolving Credit Loans)
      and the Master Servicer, which consent, in the case of an assignment of rights
      or delegation of duties, shall be granted or withheld in the discretion of
      the
      Seller and the Master Servicer, and which consent, in the case of a sale or
      disposition of all or substantially all of the property or assets of the
      Servicer, shall not be unreasonably withheld; provided, that in each case,
      there
      must be delivered to the Master Servicer and the Trustee 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 Seller
      (as
      owner
      of the servicing rights relating to the Revolving Credit Loans),
      the
      Master Servicer or the Trustee, 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, that the retention of such contractors by Servicer shall
      not limit the obligation of the Servicer to service the Revolving
      Credit Loans
      pursuant to the terms and conditions of this Agreement.

     

    
      
        
        

      

      
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    The
      Servicer shall not resign from the obligations and duties hereby imposed on
      it
      except by mutual consent of the Servicer and the Master Servicer or upon the
      determination that its duties hereunder are no longer permissible under
      applicable law and such incapacity cannot be cured by the Servicer. Any such
      determination permitting the resignation of the Servicer shall be evidenced
      by
      an Opinion of Counsel to such effect delivered to the Master Servicer and the
      Trustee which Opinion of Counsel shall be in form and substance acceptable
      to
      the Master Servicer and the Trustee. No such resignation shall become effective
      until a successor shall have assumed the Servicer’s responsibilities and
      obligations hereunder in the manner provided in Section 9.01.

     

    Without
      in any way limiting the generality of this Section 7.03, in the event that
      the
      Servicer either shall assign this Agreement or the servicing responsibilities
      hereunder or delegate its duties hereunder or any portion thereof or sell or
      otherwise dispose of all or substantially all of its property or assets, without
      the prior written consent of the Seller, the Trustee and the Master Servicer,
      then the Seller, the Trustee or the Master Servicer shall have the right to
      terminate this Agreement upon notice given as set forth in Section 8.01, without
      any payment of any penalty or damages and without any liability whatsoever
      to
      the Servicer or any third party.

     

    Section
      7.04  [Subservicing
      Agreements and Successor Subservicer.

     

    (a) The
      Servicer may enter into subservicing agreements for any servicing and
      administration of the Revolving Credit Loans with any institution which (i)
      is
      an approved Fannie Mae or Freddie Mac Seller/Servicer and (ii) which represents
      and warrants that it is in compliance with the laws of each state as necessary
      to enable it to perform its obligations under such subservicing agreement.
      For
      this purpose, subservicing shall not be deemed to include outsourcing routine
      tasks to third parties including, but not limited to, taxes, insurance, property
      inspection, reconveyance, collection or brokering REO Property. The Servicer
      shall give prior written notice to the Master Servicer, the Depositor and the
      Trustee of the appointment of any subservicer or other subcontractor and shall
      furnish to the Master Servicer a copy of such subservicing agreement. For
      purposes of this Agreement, the Servicer shall be deemed to have received
      payments on Revolving Credit Loans immediately upon receipt by any subservicer
      of such payments. Any such subservicing agreement shall be consistent with
      and
      not violate the provisions of this Agreement. Each subservicing agreement shall
      provide that a successor servicer shall have
      the
      option to terminate such agreement without payment of any fees if the
      predecessor servicer is terminated or resigns. 

     

    (b) The
      Servicer may terminate any subservicing agreement to which it is a party in
      accordance with the terms and conditions of such subservicing agreement and
      either itself directly service the related Revolving Credit Loans or
enter
      into a subservicing agreement with a successor subservicer or subcontractor
      that
      qualifies under Section 7.04(a). 

     

    (c) Notwithstanding
      any subservicing agreement or the provisions of this Agreement relating to
      agreements or arrangements between the Servicer and a subservicer or other
      subcontractor or reference to actions taken through a subservicer or otherwise,
      (i) the Servicer shall remain obligated and primarily liable to the Trustee,
      the
      Master Servicer and the Certificateholders for the servicing and administering
      of the Revolving Credit Loans in accordance with the provisions hereof without
      diminution of such obligation or liability by virtue of such subservicing
      agreements or arrangements or by virtue of indemnification from the subservicer
      and to the same extent and under the same terms and conditions as if the
      Servicer alone were servicing and administering the Revolving Credit Loans
      and
      (ii) any subservicer or other subcontractor that performs any of the functions
      identified in Item 1122(d) of Regulation AB must agree in writing that, if
      the
      Master Servicer or the Depositor determines that such subcontractor was
“participating in the servicing function” within the meaning of Item 1122, such
      subcontractor will comply with the provisions of Sections 5.02, 5.03 and 5.04
      to
      the same extent as if such subservicer were the Servicer. The Servicer shall
      be
      entitled to enter into any agreement with a subservicer for indemnification
      of
      the Servicer by such subservicer and nothing contained in this Agreement shall
      be deemed to limit or modify such indemnification.] 

     

    
      
        
        

      

      
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    ARTICLE
      VIII.

     

    TERMINATION

     

    Section
      8.01  Termination
      for Cause.

     

    This
      Agreement shall be terminable at the option of the Seller or the Master Servicer
      if any of the following events of default exist on the part of the
      Servicer:

     

    (i)
       any
      failure by the Servicer to remit to the Master Servicer any payment required
      to
      be made under the terms of this Agreement which continues unremedied for a
      period of two Business Days 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 Master Servicer; or

     

    (ii)
       failure
      by the Servicer duly to observe or perform in any material respect any other
      of
      the covenants or agreements on the part of the Servicer set forth in this
      Agreement which continues unremedied for a period of 30 days; or

     

    (iii)
       failure
      by the Servicer to maintain its license to do business or service residential
      mortgage loans in any jurisdiction, if required by such jurisdiction, where
      the
      Mortgaged Properties are located; or

     

    (iv)
       a
      decree
      or order of a court or agency or supervisory authority having jurisdiction
      for
      the appointment of a conservator or receiver or liquidator in any insolvency,
      readjustment of debt, including bankruptcy, marshaling of assets and liabilities
      or similar proceedings, 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 60 days;
      or

     

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

     

    (vi)
       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,
      bankruptcy or reorganization statute, make an assignment for the benefit of
      its
      creditors, voluntarily suspend payment of its obligations or cease its normal
      business operations for three Business Days; or

     

    
      
        
        

      

      
        39

        
          

        

      

      
        
        

      

    

     

    (vii)
       the
      Servicer ceases to meet the qualifications of a Fannie Mae or Freddie Mac
      seller/servicer; 

     

    (viii)
       the
      Servicer attempts to assign the servicing of the Revolving Credit Loans or
      its
      right to servicing compensation hereunder or the Servicer attempts to sell
      or
      otherwise dispose of all or substantially all of its property or assets or
      to
      assign this Agreement or the servicing responsibilities hereunder or to delegate
      its duties hereunder or any portion thereof (to other than a third party in
      the
      case of outsourcing routine tasks including, but not limited to, taxes,
      insurance, property inspection, reconveyance, collection or brokering REO
      Property), in each case without complying fully with the provisions of Section
      7.03; and

     

    (ix)
       [applicable
      trigger events].

     

    In
      each
      and every such case, so long as an event of default shall not have been
      remedied, in addition to whatever rights the Seller or the Master Servicer
      may
      have at law or equity to damages, including injunctive relief and specific
      performance, the Seller or the Master Servicer, by notice in writing to the
      Servicer, may terminate all the rights and obligations of the Servicer under
      this Agreement and in and to the servicing contract established hereby and
      the
      proceeds thereof.

     

    Upon
      receipt by the Servicer of such written notice, all authority and power of
      the
      Servicer under this Agreement, whether with respect to the Revolving Credit
      Loans or otherwise, shall pass to and be vested in a successor Servicer
      appointed by the Seller and the Master Servicer. Upon written request from
      the
      Seller, the Servicer shall prepare, execute and deliver to the successor entity
      designated by the Seller any and all documents and other instruments, place
      in
      such successor’s possession all Servicing Files, and do or cause to be done all
      other acts or things necessary or appropriate to effect the purposes of such
      notice of termination, including but not limited to the transfer and endorsement
      or assignment of the Revolving Credit Loans and related documents, at the
      Servicer’s sole expense. The Servicer shall cooperate with the Seller and the
      Master Servicer and such successor in effecting the termination of the
      Servicer’s responsibilities and rights hereunder, including without limitation,
      the transfer to such successor for administration by it of all cash amounts
      which shall at the time be credited by the Servicer to the Custodial Account
      or
      Escrow Account or thereafter received with respect to the Revolving Credit
      Loans.

     

    By
      a
      written notice, the Seller and the Master Servicer may waive any default by
      the
      Servicer in the performance of its obligations hereunder and its consequences.
      Upon any waiver of a past default, such default shall cease to exist, and any
      Event of Default arising therefrom shall be deemed to have been remedied for
      every purpose of this Agreement. No such waiver shall extend to any subsequent
      or other default or impair any right consequent thereon except to the extent
      expressly so waived.

     

    
      
        
        

      

      
        40

        
          

        

      

      
        
        

      

    

     

    Section
      8.02  Termination
      Without Cause.

     

    This
      Agreement shall terminate upon: (i) the later of (a) the distribution of the
      final payment or liquidation proceeds on the last Revolving Credit Loan to
      the
      Master Servicer (or advances by the Servicer for the same), and (b) the
      disposition of all REO Property acquired upon foreclosure of the last Revolving
      Credit Loan and the remittance of all funds due hereunder, (ii) mutual consent
      of the Servicer, the Seller (as owner of the servicing rights relating to the
      Revolving Credit Loans), the Trustee and the Master Servicer in writing or
      (iii)
      at the sole discretion of the Seller (acting in its capacity as owner of the
      servicing rights relating to the Revolving Credit Loans). Any such termination
      pursuant to clause (iii) above shall be with 30 days’ prior notice, in writing
      and delivered to the Trustee, the Master Servicer and the Servicer by registered
      mail to the addresses set forth in Section 9.03 of this Agreement (in the case
      of the Servicer) or in the Trust Agreement (in the case of the Trustee or the
      Master Servicer). The Servicer shall comply with the termination procedures
      set
      forth in Sections 7.03, 8.01 and 9.01 hereof. The Master Servicer or the Trustee
      shall have no right to terminate the Servicer pursuant to this Section 8.02.
      In
      connection with a termination by the Seller pursuant to clause (iii) of this
      Section 8.02, the Servicer shall be reimbursed for all unreimbursed
      out-of-pocket Servicing Advances, Monthly Advances and Servicing Fees and other
      reasonable and necessary out-of-pocket costs associated with any transfer of
      servicing at the time of such transfer of servicing. Any invoices received
      by
      the Servicer after termination will be forwarded to the Seller or the successor
      servicer for payment within thirty (30) days of receipt from the Servicer.
      

     

    ARTICLE
      IX.

     

    MISCELLANEOUS
      PROVISIONS

     

    Section
      9.01  Successor
      to the Servicer.

     

    Simultaneously
      with the termination of the Servicer’s responsibilities and duties under this
      Agreement (a) pursuant to Sections 6.02, 7.03, 8.01 or 8.02(ii), the Master
      Servicer shall (i) succeed to and assume all of the Servicer’s responsibilities,
      rights, duties and obligations under this Agreement, or (ii) appoint a successor
      having the characteristics set forth in clauses (i) and (ii) of Section 7.01
      and
      which shall succeed to all rights and assume all of the responsibilities, duties
      and liabilities of the Servicer under this Agreement simultaneously with the
      termination of the Servicer’s responsibilities, duties and liabilities under
      this Agreement; or (b) pursuant to a termination under Section 8.02(iii), the
      Seller (as owner of the servicing rights relating to the Revolving Credit Loans)
      shall appoint a successor having the characteristics set forth in clauses (i)
      and (ii) of Section 7.01 and which shall succeed to all rights and assume all
      of
      the responsibilities, duties and liabilities of the Servicer under this
      Agreement simultaneously with the termination of the Servicer’s
      responsibilities, duties and liabilities under this Agreement. Any successor
      to
      the Servicer shall be subject to the approval of the Master Servicer and, to
      the
      extent required by the Trust Agreement, the Trustee and such successor, shall
      be
      a member in good standing of the MERS system (if any of the Revolving Credit
      Loans are MERS Eligible Revolving Credit Loans, unless such Revolving Credit
      Loans are withdrawn from MERS and Assignments of Mortgage are recorded in favor
      of the Trustee at the expense of the successor Servicer). Any approval of a
      successor servicer by the Master Servicer and, to the extent required by the
      Trust Agreement, the Trustee, shall, if the successor servicer is not at that
      time a servicer of other Revolving Credit Loans for the Trust Fund, be
      conditioned upon the receipt by the Master Servicer and the Trustee of a letter
      from each Rating Agency to the effect that such transfer of servicing will
      not
      result in a qualification, withdrawal or downgrade of the then-current rating
      of
      any of the Certificates. In connection with such appointment and assumption,
      the
      Master Servicer or the Seller, as applicable, may make such arrangements for
      the
      compensation of such successor out of payments on Revolving Credit Loans as
      it
      and such successor shall agree, provided, however, that no such compensation
      shall be in excess of that permitted the Servicer under this Agreement. In
      the
      event that the Servicer’s duties, responsibilities and liabilities under this
      Agreement should be terminated pursuant to the aforementioned sections, the
      Servicer shall discharge such duties and responsibilities during the period
      from
      the date it acquires knowledge of such termination until the effective date
      thereof with the same degree of diligence and prudence which it is obligated
      to
      exercise under this Agreement, and shall take no action whatsoever that might
      impair or prejudice the rights or financial condition of its successor. The
      resignation or removal of the Servicer pursuant to the aforementioned sections
      shall not become effective until a successor shall be appointed pursuant to
      this
      Section 9.01 and shall in no event relieve the Servicer of the representations
      and warranties made pursuant to Sections 6.01 and the remedies available to
      the
      Master Servicer and the Seller under Section 6.02 and 6.03, it being understood
      and agreed that the provisions of such Sections 6.01, 6.02 and 6.03 shall be
      applicable to the Servicer notwithstanding any such resignation or termination
      of the Servicer, or the termination of this Agreement. Neither the Master
      Servicer, in its capacity as successor servicer, nor any other successor
      servicer, shall be responsible for the lack of information and/or documents
      that
      are not transferred to it by the Servicer and that it cannot otherwise obtain
      through reasonable efforts.

     

    
      
        
        

      

      
        41

        
          

        

      

      
        
        

      

    

     

    Within
      a
      reasonable period of time, but in no event longer than 30 days of the
      appointment of a successor entity, the Servicer shall prepare, execute and
      deliver to the successor entity any and all documents and other instruments,
      place in such successor’s possession all Servicing Files, and do or cause to be
      done all other acts or things necessary or appropriate to effect the purposes
      of
      such notice of termination, including but not limited to the transfer and
      endorsement of the Mortgage Notes and related documents, and the preparation
      and
      recordation of Assignments of Mortgage. The Servicer shall cooperate with the
      Trustee, the Master Servicer or the Seller, as applicable, and such successor
      in
      effecting the termination of the Servicer’s responsibilities and rights
      hereunder and the transfer of servicing responsibilities to the successor
      Servicer, including without limitation, the transfer to such successor for
      administration by it of all cash amounts which shall at the time be credited
      by
      the Servicer to the Custodial Account or Escrow Account or thereafter received
      with respect to the Revolving Credit Loans.

     

    Any
      successor appointed as provided herein shall execute, acknowledge and deliver
      to
      the Trustee, the Servicer, the Master Servicer and the Seller an instrument
      (i)
      accepting such appointment, wherein the successor shall make the representations
      and warranties set forth in Section 6.01 (including a representation that the
      successor Servicer is a member of MERS, unless none of the Revolving Credit
      Loans are MERS Revolving Credit Loans or MERS Eligible Revolving Credit Loans
      or
      any such Revolving Credit Loans have been withdrawn from MERS and Assignments
      of
      Mortgage are recorded in favor of the Trustee) and (ii) an assumption of the
      due
      and punctual performance and observance of each covenant and condition to be
      performed and observed by the Servicer under this Agreement, whereupon such
      successor shall become fully vested with all the rights, powers, duties,
      responsibilities, obligations and liabilities of the Servicer, with like effect
      as if originally named as a party to this Agreement. Any termination or
      resignation of the Servicer or termination of this Agreement pursuant to
      Sections 6.02, 7.03, 8.01 or 8.02 shall not affect any claims that the Master
      Servicer or the Trustee may have against the Servicer arising out of the
      Servicer’s actions or failure to act prior to any such termination or
      resignation. In addition, in the event any successor servicer is appointed
      pursuant to Section 8.02(iii) of this Agreement, such successor servicer must
      satisfy the conditions relating to the transfer of servicing set forth in the
      Trust Agreement.

     

    
      
        
        

      

      
        42

        
          

        

      

      
        
        

      

    

     

    The
      Servicer shall deliver promptly to the successor servicer the funds in the
      Custodial Account and Escrow Account (and any funds thereafter received by
      it
      with respect to the Revolving Credit Loans) and all Revolving Credit Loan
      documents and related documents and statements held by it hereunder and the
      Servicer shall account for all funds and shall execute and deliver such
      instruments and do such other things as may reasonably be required to more
      fully
      and definitively vest in the successor all such rights, powers, duties,
      responsibilities, obligations and liabilities of the Servicer.

     

    Upon
      a
      successor’s acceptance of appointment as such, the Servicer shall notify the
      Trustee, the Seller and Master Servicer of such appointment in accordance with
      the procedures set forth in Section 9.03.

     

    Section
      9.02  Costs.

     

    [____________]
      shall pay the legal fees and expenses of its attorneys. Costs and expenses
      incurred in connection with the transfer of the servicing responsibilities,
      including fees for delivering Servicing Files, shall be paid by [____________].
      Subject to Sections 2.02 and 3.01(a), the Depositor shall pay the costs
      associated with the preparation, delivery and recording of Assignments of
      Mortgages.

     

    Section
      9.03  Notices.

     

    All
      demands, notices and communications hereunder shall be in writing and shall
      be
      deemed to have been duly given if sent by facsimile or mailed by overnight
      courier, addressed as follows (or such other address as may hereafter be
      furnished to the other party by like notice): 

     

    
      
        
        

      

      
        43

        
          

        

      

      
        
        

      

    

     

    (i) if
      to the
      Seller:

     

    [____________]

    [____________]

    [____________]

    Attention:
      [_________]

    Telephone
      No.: [____________]

    Facsimile:
      [____________]

    

    (ii) if
      to the
      Servicer:

     

    [_______________]

    [_______________]

    [_______________]

    Attention:
      [___________]

    Telephone
      No.: [_______________]

    Telecopier
      No.: [_______________]

    

    (iii) if
      to the
      Master Servicer:

     

    [_______________]

    [_______________]

    [_______________]

    Attention:
      [___________]

    Telephone
      No.: [_______________]

    Telecopier
      No.: [_______________]

    

    (iv) if
      to the
      Trustee:

     

    [_______________]

    [_______________]

    [_______________]

    Attention:
      [___________]

    Telephone
      No.: [_______________]

    Telecopier
      No.: [_______________]

     

    Any
      such
      demand, notice or communication hereunder shall be deemed to have been received
      on the date delivered to or received at the premises of the addressee.

     

    
      
        
        

      

      
        44

        
          

        

      

      
        
        

      

    

     

    Section
      9.04  Severability
      Clause.

     

    Any
      part,
      provision, representation or warranty of this Agreement which is prohibited
      or
      which 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 which is prohibited or unenforceable or is held to be void or
      unenforceable in any jurisdiction shall be ineffective, as to such jurisdiction,
      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 Revolving Credit 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. If the invalidity of
      any
      part, provision, representation or warranty of this Agreement shall deprive
      any
      party of the economic benefit intended to be conferred by this Agreement, the
      parties shall negotiate, in good-faith, to develop a structure the economic
      effect of which is as close as possible to the economic effect of this Agreement
      without regard to such invalidity.

     

    Section
      9.05  No
      Personal Solicitation. 

     

    From
      and
      after the Closing Date, the Servicer hereby agrees that it will not take any
      action or permit or cause any action to be taken by any of its agents or
      affiliates, or by any independent contractors on the Servicer’s behalf, to
      personally, by telephone or mail, solicit the borrower or obligor under any
      Revolving Credit Loan (on a targeted basis) for any purposes of prepayment,
      refinancing or modification of the related Revolving Credit Loan, provided,
      however, that this limitation shall not prohibit Servicer from soliciting such
      Mortgagor for purposes of prepayment, refinance or modification of any loan
      owned or serviced by Servicer other than a Revolving Credit Loan. It is
      understood and agreed that, among other marketing activities, promotions
      undertaken by Servicer which are directed of the general public at large or
      which are directed generally to a segment of the then existing customers of
      Servicer or any of its direct or indirect subsidiaries (including, without
      limitation, the mailing of promotional materials to Servicer’s deposit customers
      by inserting such materials into customer account statements, mass mailings
      based on commercially acquired mailing lists and newspaper, radio and television
      advertisements) shall not constitute solicitation under this section. In the
      event the Servicer does refinance any Revolving Credit Loan as a result of
      a
      violation of the requirements set forth in this Section 9.05, Servicer hereby
      agrees to pay to the Trust Fund an amount equal to the difference, if any,
      between the amount that the Trust Fund would have received if it had sold the
      Revolving Credit Loan to a third party, and the proceeds received by the Trust
      Fund as a result of such refinancing.

     

    Section
      9.06  Counterparts.

     

    This
      Agreement may be executed simultaneously in any number of counterparts. Each
      counterpart shall be deemed to be an original, and all such counterparts shall
      constitute one and the same instrument.

     

    Section
      9.07  Place
      of Delivery and Governing Law.

     

    This
      Agreement shall be deemed in effect when a fully executed counterpart thereof
      is
      received by the Seller in the State of New York and shall be deemed to have
      been
      made in the State of New York. THIS
      AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF
      THE
      STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS (OTHER
      THAN SECTION 5-1401 OF THE GENERAL OBLIGATIONS LAW), AND THE OBLIGATIONS, RIGHTS
      AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH
      SUCH LAWS.

     

    
      
        
        

      

      
        45

        
          

        

      

      
        
        

      

    

     

    Section
      9.08  Further
      Agreements.

     

    The
      Seller and the Servicer each agree to execute and deliver to the other such
      reasonable and appropriate additional documents, instruments or agreements
      as
      may be necessary or appropriate to effectuate the purposes of this
      Agreement.

     

    Section
      9.09  Intention
      of the Parties.

     

    It
      is the
      intention of the parties that the Seller is conveying, and the Servicer is
      receiving only a contract for servicing the Revolving Credit Loans. Accordingly,
      the parties hereby acknowledge that the Trust Fund remains the sole and absolute
      owner of the Revolving Credit Loans and all rights (other than the servicing
      rights) related thereto.

     

    Section
      9.10  Successors
      and Assigns; Assignment of Servicing Agreement.

     

    This
      Agreement shall bind and inure to the benefit of and be enforceable by the
      Servicer, the Seller, the Trustee and the Master Servicer and their respective
      successors and assigns. This Agreement shall not be assigned, pledged or
      hypothecated by the Servicer to a third party except in accordance with Section
      7.03.

     

    Section
      9.11  Assignment
      by the Seller.

     

    The
      Seller shall have the right, upon notice to but without the consent of the
      Servicer, to assign, in whole or in part, its interest under this Agreement
      to
      the Depositor, which in turn shall assign such rights to the Trustee, and the
      Trustee then shall succeed to all rights (but not the obligations, except as
      set
      forth in the Trust Agreement) of the Seller under this Agreement (and in
      performing hereunder, the Trustee shall have all of the rights, protections
      and
      immunities afforded to it under the Trust Agreement). All references to the
      Seller in this Agreement shall be deemed to include its assignee or designee
      and
      any subsequent assignee or designee, specifically including the Trustee, except
      with respect to the Seller’s retained servicing rights pursuant to Section
      8.02(iii).

     

    The
      Seller shall have the right, upon notice to but without the consent of the
      Servicer or the Trustee, to assign, in whole or in part, its retained servicing
      rights. All references to the Seller in this Agreement, in its capacity as
      an
      owner of servicing rights, shall be deemed to include the assignee or designee
      and any subsequent assignee or designee, of the Seller’s rights arising pursuant
      to Section 8.02(iii). 

     

    Section
      9.12  Waivers.

     

    No
      term
      or provision of this Agreement may be waived or modified unless such waiver
      or
      modification is in writing and signed by the party against whom such waiver
      or
      modification is sought to be enforced.

     

    Section
      9.13  Exhibits.

     

    The
      exhibits to this Agreement are hereby incorporated and made a part hereof and
      are an integral part of this Agreement.

     

    
      
        
        

      

      
        46

        
          

        

      

      
        
        

      

    

     

    Section
      9.14  General
      Interpretive Principles.

     

    For
      purposes of this Agreement, except as otherwise expressly provided or unless
      the
      context otherwise requires:

     

    (a)
       the
      terms
      defined in this Agreement have the meanings assigned to them in this Agreement
      and include the plural as well as the singular, and the use of any gender herein
      shall be deemed to include the other gender;

     

    (b)
       accounting
      terms not otherwise defined herein have the meanings assigned to them in
      accordance with generally accepted accounting principles;

     

    (c)
       references
      herein to “Articles,” “Sections,” “Subsections,” “Paragraphs” and other
      subdivisions without reference to a document are to designated Articles,
      Sections, Subsections, Paragraphs and other subdivisions of this
      Agreement;

     

    (d)
       a
      reference to a Subsection without further reference to a Section is a reference
      to such Subsection as contained in the same Section in which the reference
      appears, and this rule shall also apply to Paragraphs and other
      subdivisions;

     

    (e)
       the
      words
“herein,” “hereof,” “hereunder” and other words of similar import refer to this
      Agreement as a whole and not to any particular provision; and

     

    (f)
       the
      term
“include” or “including” shall mean by reason of enumeration.

     

    Section
      9.15  Reproduction
      of Documents.

     

    This
      Agreement and all documents relating thereto, including, without limitation,
      (i)
      consents, waivers and modifications which may hereafter be executed, (ii)
      documents received by any party at the closing, and (iii) financial statements,
      certificates and other information previously or hereafter furnished, may be
      reproduced by any photographic, photostatic, microfilm, micro-card, miniature
      photographic or other similar process. The parties agree that any such
      reproduction shall be admissible in evidence as the original itself in any
      judicial or administrative proceeding, whether or not the original is in
      existence and whether or not such reproduction was made by a party in the
      regular course of business, and that any enlargement, facsimile or further
      reproduction of such reproduction shall likewise be admissible in
      evidence.

     

    Section
      9.16  Protection
      of Confidential Information.  

     

    The
      Servicer shall keep confidential and shall not divulge to any party, without
      the
      Seller’s prior written consent, any nonpublic information pertaining to the
Revolving
      Credit Loans
      or
      any borrower thereunder, except to the extent that it is appropriate for the
      Servicer to do so in working with legal counsel, auditors, taxing authorities
      or
      other governmental agencies or it is otherwise in accordance with Accepted
      Servicing Practices.

     

    
      
        
        

      

      
        47

        
          

        

      

      
        
        

      

    

     

    Section
      9.17  Amendment.  

     

    This
      Agreement may be amended from time to time by the written agreement signed
      by
      the Master Servicer, the Seller and the Servicer; provided
      that the
      party requesting such amendment shall, at its own expense, provide the Trustee,
      the Master Servicer and the Seller with an Opinion of Counsel that such
      amendment will not materially adversely affect the interest of the
      Certificateholders in the Revolving
      Credit Loans.
      Any such amendment shall be deemed not to adversely affect in any material
      respect any the interest of the Certificateholders in the Revolving
      Credit Loans,
      if
      the Trustee receives written confirmation from each Rating Agency that such
      amendment will not cause such Rating Agency to reduce, qualify or withdraw
      the
      then current rating assigned to the Certificates (and any Opinion of Counsel
      requested by the Trustee, the Master Servicer and the Seller in connection
      with
      any such amendment may rely expressly on such confirmation as the basis
      therefore).

     

    
      
        
        

      

      
        48

        
          

        

      

      
        
        

      

    

     

    IN
      WITNESS WHEREOF, the Servicer, the Seller and the Master Servicer have caused
      their names to be signed hereto by their respective officers thereunto duly
      authorized as of the date first above written.

     

     

    
      	 	 	 
	 	[_______ _____],
              
	 	
              as
                Seller

            
	 
 	 
 	 
 
	 	By:  	 
	 	
              

              Name:
                

              Title:
                

            
	 	 

    

    
       

      
        	 	 	 
	 	[_______ _____],
                
	 	
                as
                  Servicer

              
	 
 	 
 	 
 
	 	By:  	 
	 	
                

                Name:
                  

                Title:
                  

              
	 	 

      

      
         

        
          	 	 	 
	 	[_______ _____],
                  
	 	
                  as
                    Master Servicer

                
	 
 	 
 	 
 
	 	By:  	 
	 	
                  

                  Name:
                    

                  Title:
                    

                
	 	 

        

         

      

    

    Acknowledged
      By:

     

    [_________________],

    as
      Trustee and not individually

     

    By:                                                                 
      

    Name:
      

    Title:
      

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

       

    

    EXHIBIT
      A

    

    REVOLVING
      CREDIT LOAN
      SCHEDULE 

     

    (including
      Prepayment Penalty Schedule)

    

    
      
        
        

      

      
        A-1

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      B

     

    CUSTODIAL
      ACCOUNT CERTIFICATION

     

    [_______]
      [__],
      20[__]

     

    

     

    [_______________]
      hereby
      certifies that it has established the account described below as a Custodial
      Account pursuant to Section 3.03 of the Servicing Agreement dated [_______]
      [__],
      20[__], by and between [____________],
      as
      seller, [_______________],
      in as
      servicer and [_______________],
      as master
      servicer, and acknowledged by [_______________],
      as
      trustee.

     

    Title
      of
      Account: [_______________],
      in
      trust for the Master Servicer for [_______________],
      Home
      Equity Loan Mortgage Pass-Through Certificates, Series 20[__]-[__],
      and
      various Mortgagors.

    

    Account
      Number: _______________

     

    Address
      of office or branch of the firm at which Account is maintained:

     

    
      
        

      

    

     

    
      
        

      

    

     

    
      
        

      

    

    
       

      
        	 	 	 
	 	[_______ _____],
                
	 	
                 

              
	 
 	 
 	 
 
	 	By:  	                                                                         
                              
                
	 	
                Name:                                                                             
                  

                Title:                                                                               
                  

              
	 	 

      

      
           

      

    

    
      
        
        

      

      
        B-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
      C

     

    ESCROW
      ACCOUNT CERTIFICATION

     

    [_______________]
      hereby
      certifies that it has established the account described below as a Custodial
      Account pursuant to Section 3.05 of the Servicing Agreement dated [_______]
      [__],
      20[__], by and between [____________],
      as
      seller, [_______________],
      in as
      servicer and [_______________],
      as master
      servicer, and acknowledged by [_______________],
      as
      trustee.

     

    

     

    Title
      of
      Account: [_______________],
      in
      trust for the Master Servicer for [______________] Certificates, Series
      20[__]-[__],
      and
      various Mortgagors.

     

    Account
      Number: _______________

     

    Address
      of office or branch of the firm at which Account is maintained:

     

    
       

      
        
          

        

      

       

      
        
          

        

      

       

      
        
          

        

      

      
         

        
          	 	 	 
	 	[_______ _____],
                  
	 	
                   

                
	 
 	 
 	 
 
	 	By:  	                                                                         
                                
                  
	 	
                  Name:                                                                             
                    

                  Title:                                                                               
                    

                
	 	 

        

         

        
          
            
            

          

          
            C-1

            
              

            

          

          
            
            

          

        

      

    

     

    EXHIBIT
      D-1

     

    FORM
      OF MONTHLY REMITTANCE ADVICE

     

    
      
        
        

      

      
        D-1-1

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      D-2

     

    STANDARD
      LAYOUT FOR MONTHLY DEFAULTED LOAN REPORT

    

    

    
      
        
        

      

      
        D-2-1

        
          

        

      

      
        
        

      

       

    

    EXHIBIT
      E

     

    

    [Date]

    

    Thornburg
      Mortgage Securities Corporation

    150
      Washington Avenue, Suite 302

    Santa
      Fe,
      New Mexico 87501

    Attention:
      Deborah Burns

    

    [______________]

    [______________]

    [______________]

    Attention:
      [______________]

    

    [______________]

    [______________]

    [______________]

    Attention:
      [______________]

    

    Reference
      is made to the Servicing Agreement dated as of [________] [__], 20[__] (the
      “Agreement”), by and among [______________], as seller (the “Seller”),
      [______________], as servicer (in such capacity, the “Servicer”), and
      [______________], as master servicer (in such capacity, the “Master Servicer”),
      and acknowledged by [______________], as trustee (the “Trustee”). I, [identify
      the certifying individual], a [title] of the Servicer, hereby certify to the
      Master Servicer, the Trustee and Thornburg Mortgage Securities Corporation
      (the
“Depositor”), 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 information required to be delivered to the Master Servicer
      pursuant to Section 5.03 of the Agreement (the “Servicing
      Information”).

     

    2. Based
      on
      my knowledge, the Servicing Information does not contain any untrue statement
      of
      a material fact information or omit to state a material fact necessary to make
      the Servicing Information, in light of the circumstances under which such
      statements were made, not misleading as of the date of this
      certification;

     

    3. Based
      on
      my knowledge, the Servicing Information has been provided to the Master Servicer
      when and as required under the Agreement; and

     

    
      
        
        

      

      
        E-1

        
          

        

      

      
        
        

      

    

     

    4. I
      am
      responsible for reviewing the activities performed by the Servicer under the
      Agreement, and based upon my knowledge and the review required under the
      Agreement, and except as disclosed in writing to you on or prior to the date
      of
      this certification either in the accountants’ report required under the
      Agreement or in disclosure a copy of which is attached hereto, the Servicer
      has,
      as of the date of this certification, fulfilled its obligations under this
      Agreement.

     

     

    
      
         

        
          	 	 	 
	 	[_______ _____],
                  
	 	
                   

                
	 
 	 
 	 
 
	 	By:  	                                                                         
                                
                  
	 	
                  Name: 

                  Title: 

                
	 	 

        

        
            

        

      

    

     

    
      
        
        

      

      
        E-2

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      F

     

    ASSIGNMENT
      AND ASSUMPTION AGREEMENT

     

    
      
        
        

      

      
        F-1

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