Document:

Exhibit 10.17

                             ASSET SALE AGREEMENT

                                  dated as of

                                 June 30, 1999

                                    between

                      PHH VEHICLE MANAGEMENT SERVICES LLC

                                      and

                        PHH PERSONAL LEASE CORPORATION,

                                  as Sellers

                                      and

                              RAVEN FUNDING LLC,

                                 as Purchaser

<PAGE>

                               TABLE OF CONTENTS
                               -----------------

                                                                         Page
                                                                         ----

ARTICLE I

    CERTAIN DEFINITIONS...................................................1

    Section 1.1  Definitions..............................................1

ARTICLE II

    SALE OF ASSETS........................................................1

    Section 2.1 Sale of Vehicles and Leases...............................1
    Section 2.2 Sale of the Existing Interests............................3
    Section 2.3  Payment for the Sold Assets..............................3
    Section 2.4  Assumption...............................................3
    Section 2.5  Release of the Seller....................................3
    Section 2.6  The Closing..............................................3
    Section 2.7  Security Interest in the Transferred Assets..............3

ARTICLE III

    REPRESENTATIONS AND WARRANTIES........................................4

    Section 3.1  Representations and Warranties of the Purchaser..........4
    Section 3.2  Representations and Warranties of the Sellers............5

ARTICLE IV

    CONDITIONS............................................................7

    Section 4.1  Conditions to Obligation of the Purchaser................7
    Section 4.2  Conditions to Obligation of the Sellers..................8

ARTICLE V

    COVENANTS OF THE SELLERS .............................................8

    Section 5.1  Protection of Right, Title And Interest..................8
    Section 5.2  Other Liens or Interests.................................9
    Section 5.3  Costs and Expenses.......................................9
    Section 5.4  Indemnification.........................................10

                                     (i)
<PAGE>

    Section 5.5  Absolute Transfer; Sale or Exchange.....................10

ARTICLE VI

    MISCELLANEOUS PROVISIONS.............................................11

    Section 6.1  Obligations of the Sellers..............................11
    Section 6.2  Amendment...............................................11

Exhibit A - Schedule of Sold Vehicles
Exhibit B - Schedule of Sold Leases
Exhibit C - Schedule of Existing Interests
Exhibit D - Existing Leases
Exhibit E - Existing Vehicles

Schedule 3.2(a)(viii) Executive Offices of Sellers

                                     (ii)

<PAGE>

          ASSET SALE AGREEMENT (the "Agreement"), dated as of June 30, 1999,
between PHH Vehicle Management Services LLC ("VMS"), a Delaware limited
liability company, as seller, PHH Personal Lease Corporation, a Maryland
corporation, as seller, ("PHH PLC", and together with VMS, the "Sellers") and
Raven Funding LLC, a Delaware limited liability company, as purchaser (the
"Purchaser").

          WHEREAS, the Sellers own certain Leases, Vehicles and interests in
the D.L. Peterson Trust, a Maryland business trust (the "Origination Trust").

          WHEREAS, the Sellers propose to sell and Purchaser proposes to
purchase the Leases, the Vehicles and the interests in the Origination Trust
from the Sellers for cash equal to the Purchase Price.

          NOW, THEREFORE, the Sellers and Purchaser hereby agree as follows:

                                   ARTICLE I

                              CERTAIN DEFINITIONS

          Section 1.1 Definitions. (a) Capitalized terms used in the above
recitals and in this Agreement, and not defined in this Agreement, shall have
the respective meanings assigned to them in the Definitions List attached to
the Base Indenture, dated as of the date hereof, between the Issuer and The
Chase Manhattan Bank, as indenture trustee, as the same may be amended,
supplemented or otherwise modified from time to time, exclusive of Indenture
Supplements creating a new Series of Investor Notes (the "Base Indenture").

          (b) All references herein to "this Agreement" are to this Asset Sale
Agreement, and all references herein to Articles, Exhibits, Sections and
subsections are to Articles, Exhibits, Sections and subsections of this
Agreement unless otherwise specified.

                                  ARTICLE II

                                SALE OF ASSETS

          Section 2.1 Sale of Vehicles and Leases. The Sellers do hereby sell,
warrant, pledge, convey, transfer and set over unto the Purchaser all of their
respective present and future right, title and interest in, to and under the
rights, interests, powers, privileges and other benefits, in each case whether
now owned or existing or hereafter acquired or arising and wherever the same
may be located in all of the following, (all of which rights, being hereby
assigned and pledged, or intended so to be, are hereinafter collectively
referred to as the "Auto Assets", together with the Existing Interests (as
defined below), the "Sold Assets"):

          (a) all automobiles, trucks, truck chassis, truck bodies, truck
tractors, truck trailers or other type of motorized vehicle or equipment set
forth in Exhibit A hereto (the "Sold Vehicles"), together with: (i) all
substitutions, renewals or replacements of the Sold Vehicles or any part
included therein, (ii) all proceeds, rents, income, revenues and profits to
the Seller

<PAGE>

therefor, (iii) all accessories, additions and parts from time to
time in or to such Sold Vehicles or equipment and all accessories thereto,
(iv) all logs, books, records and other written materials pertaining to the
Sold Vehicles or any part included therein and all warranties of any kind
relating to the Sold Vehicles and (v) all security interests in such Vehicles
or any of the foregoing;

          (b) all the right, title, interest, claims and demands now held or
hereafter acquired by the Sellers, as lessors, in, to and under the leases set
forth in Exhibit B hereto (the "Sold Leases"), together with all rights,
powers, privileges, options, licenses and other benefits of the Sellers, as
lessors, under each thereof, whether arising under the Sold Leases, by law or
in equity, including, without limitation:

               (i) the immediate and continuing right to receive and collect
          all payments, insurance and disposition proceeds, condemnation
          awards and other payments, tenders and security of any kind now or
          hereafter payable or receivable by, or for the benefit or account
          of, the Seller, as lessor, under the Sold Leases;

               (ii) the right to (1) give or receive any instrument, notice or
          other communication, (2) exercise any election or option or accept
          any surrender of the Sold Vehicle or any part thereof or grant any
          waiver, consent or other approval, and (3) enter into any amendment,
          supplement or other modification or agreement relating to the Sold
          Leases;

               (iii) the right to take such action and exercise such rights
          and remedies upon the occurrence of a default under a Sold Lease,
          including the commencement, conduct and consummation of legal,
          administrative or other proceedings, as shall be permitted by the
          Sold Leases, or by any other law or in equity, and to do any and all
          other things whatsoever which the Seller is or may be entitled to do
          under the Sold Leases;

it being the intent and purpose hereof that the assignment and transfer to the
Purchaser of said rights, powers, privileges, options, licenses and other
benefits shall be effective and operative immediately and shall continue in
full force and effect;

          (c) each certificate of title or other evidence of ownership of a
Sold Vehicle issued by any applicable department, agency or official
responsible for accepting applications for, and maintaining records regarding,
certificates of title in the respective jurisdiction in which such Sold
Vehicle is registered;

          (d) any insurance policy and rights thereunder or proceeds
therefrom, including without limitation, any policy of comprehensive,
collision, public liability, physical damage or personal liability insurance
to the extent that any such policy applies to any Sold Lease or Sold Vehicle;
and

          (e) all proceeds (as such term is defined in the Uniform Commercial
Code of the State of New York, or any other applicable Uniform Commercial
Code, each as in effect from

                                     -2-
<PAGE>

time to time) of the foregoing, and in any event shall include, without
limitation: (i) "cash proceeds," (ii) "non-cash proceeds," (iii) all amounts
payable as proceeds of insurance, as an award or otherwise in connection with
any confiscation, condemnation, requisition or other taking of any Auto
Assets, and (iv) all amounts payable to the Sellers by any manufacturer,
supplier or vendor of any of the Auto Assets or any component thereof pursuant
to any warranty or indemnity covering any of the Auto Assets, in each case
whether now owned or existing or hereafter acquired or arising, or acquired or
arising before or after the commencement of any bankruptcy proceeding by or
against the Sellers; and (v) all monies and securities deposited or required
to be deposited with the Sellers pursuant to any term of the Sold Leases or
required to be held by the Sellers hereunder or thereunder.

          Section 2.2 Sale of the Existing Interests. VMS does hereby sell,
warrant, pledge, convey, transfer and set over unto the Purchaser all of VMS'
present and future right, title and interest in, to and under the rights,
interests, powers, privileges and other benefits, in each case whether now
owned or existing or hereafter acquired or arising in the interests in the
Origination Trust set forth in Exhibit C hereto, but in all instances subject
to the Loan (as hereinafter defined) (the "Existing Interests"). For the
purposes of this Agreement, the "Loan" shall mean the loan in the amount of
$914,160,108.23 from The Chase Manhattan Bank made to the Seller and evidenced
by a Note dated as of June 30, 1999 made by the Seller, as borrower.

          Section 2.3 Payment for the Sold Assets. Contemporaneously with the
execution and delivery hereof, and in consideration for the purchase of (a)the
Auto Assets hereunder, the Purchaser shall deliver to the Seller
$1,922,476,093, which amount the parties hereto agree is equal to the fair
market value of the Auto Assets (the "Auto Assets Purchase Price").
Contemporaneously with the execution and delivery hereof, and in consideration
for the purchase of (b)the Existing Interests, hereunder, subject to the Loan,
the Purchaser shall deliver to VMS $167,561,262,which amount the parties
hereto agree is equal to the fair market value of the Existing Interests,
subject to the Loan, (the "Existing Interests Purchase Price" and together
with the Auto Assets Purchase Price, the "Purchase Price").

          Section 2.4 Assumption. In consideration of the transfers set forth
in Sections 2.1 and 2.2, the Purchaser hereby accepts the Sold Leases and
assumes and undertakes and agrees to perform and discharge all of the duties
and obligations of the Sellers with respect to the Sold Assets whenever and
wherever accrued.

          Section 2.5 Release of the Seller. As of the date hereof, the
Sellers shall be relieved of their respective liabilities under the Sold
Leases.

          Section 2.6 The Closing. Subject to the conditions set forth in
Article IV, the sale of the Sold Leases, Sold Vehicles and the Existing
Interests shall take place at a closing at the offices of Simpson Thacher &
Bartlett, 425 Lexington Avenue, New York, New York 10017 on or about June 30,
1999 (the "Closing Date").

          Section 2.7 Security Interest in the Transferred Assets. The parties
to this Agreement intend that the transactions contemplated by Article II
shall be, and shall be treated as, absolute sale, assignment, transfer, and
conveyance by the Sellers of the Sold Assets and not

                                     -3-
<PAGE>

as a lending transaction. If this Agreement does not constitute a valid
assignment, transfer and conveyance of all right, title and interest of the
Sellers in, to and under the Sold Assets despite the intent of the parties
hereto, the Sellers hereby grant a first priority "security interest" (as
defined in the UCC as in effect in the State of New York) in the Sold Assets
and all proceeds thereof to the Purchaser and the parties agree that this
Agreement shall constitute a security agreement under the UCC in effect in New
York.

                                  ARTICLE III

                        REPRESENTATIONS AND WARRANTIES

          Section 3.1 Representations and Warranties of the Purchaser. The
Purchaser hereby represents and warrants to the Sellers as of the date hereof
and as of the Closing Date:

          (a) Organization and Good Standing. The Purchaser is a limited
liability company duly organized, validly existing and in good standing under
the laws of the State of Delaware.

          (b) Power and Authority. The Purchaser has full power, authority and
legal right to execute, deliver and perform this Agreement, and has taken all
necessary action to authorize the execution, delivery and performance by it of
this Agreement.

          (c) No Violation. The execution, delivery and performance by it of
this Agreement (i) shall not violate any provision of any law or regulation or
any order, writ, judgment or decree of any court, arbitrator or Governmental
Authority applicable to the Purchaser or any of its assets, (ii) shall not
violate any provision of the Purchaser's Limited Liability Company Agreement,
and (iii) shall not violate any provision of, or constitute, with or without
notice or lapse of time, a default under, any mortgage, indenture, contract,
agreement or other undertaking to which the Purchaser is a party.

          (d) Governmental Approvals. The execution, delivery and performance
by the Purchaser of this Agreement shall not require the authorization,
consent or approval of, the giving of notice to, the filing or registration
with, or the taking of any other action in respect of, any Governmental
Authority or agency in the jurisdiction in which the Purchaser was formed.

          (e) Validity; Binding Obligation. This Agreement has been duly
executed and delivered by the Purchaser and constitutes the legal, valid and
binding agreement of the Purchaser enforceable in accordance with its terms,
except as enforceability may be limited by bankruptcy, insolvency,
reorganization, or other similar laws affecting the enforcement of creditors'
rights in general and by general principles of equity, regardless of whether
such enforceability is considered in a proceeding in equity or at law.

          (f) No Litigation. No legal or governmental proceedings are pending
to which the Purchaser is a party or of which any property of
the Purchaser is the subject, and no such proceedings are threatened or
contemplated by any Governmental Authorities or threatened by others.

                                     -4-
<PAGE>

          Section 3.2 Representations and Warranties of the Sellers. (a) The
Sellers hereby represent and warrant to the Purchaser as of the date hereof
and as of the Closing Date:

               (i) Organization. VMS has been duly organized and is validly
          existing as a limited liability company in good standing under the
          laws of the State of Delaware, with power and authority to own its
          properties and to conduct its business as such properties are
          presently owned and such business is presently conducted. PHH PLC
          has been duly organized and is validly existing as a corporation in
          good standing under the laws of the State of Maryland, with power
          and authority to own its properties and to conduct its business as
          such properties are presently owned and such business is presently
          conducted.

               (ii) Good Standing. VMS is duly qualified to do business as a
          foreign limited liability company in good standing, and has obtained
          all necessary licenses and approvals in all jurisdictions in which
          the ownership or lease of property or the conduct of its business
          requires such qualifications. PHH PLC is duly qualified to do
          business as a foreign corporation in good standing, and has obtained
          all necessary licenses and approvals in all jurisdictions in which
          the ownership or lease of property or the conduct of its business
          requires such qualifications.

               (iii) Power and Authority. Each of the Sellers has the full
          power and authority to execute and deliver this Agreement, to carry
          out its terms, and to sell and assign the property sold and assigned
          by it to the Purchaser hereunder and has duly authorized such sale
          and assignment by all necessary corporate action.

               (iv) No Violation. The consummation of the transactions
          contemplated by this Agreement and the fulfillment of the terms of
          this Agreement do not conflict with, result in any breach of any of
          the terms and provisions of or constitute (with or without notice or
          lapse of time) a default under, VMS's limited liability company
          agreement or PHH PLC's certificate of incorporation or by-laws, or
          any indenture, mortgage, deed of trust, lease, agreement or other
          instrument to which either of VMS and PHH PLC is a party or by which
          either of VMS and PHH PLC is bound (an "Applicable Agreement"), or
          result in the creation or imposition of any Lien upon any of its
          properties pursuant to the terms of any such Applicable Agreement,
          or violate any law, rule or regulation or, to the best of each of
          VMS' and the PHH PLC's knowledge, any order applicable to it of any
          court or of any federal or state regulatory body, administrative
          agency or other governmental instrumentality having jurisdiction
          over it or any of its properties.

               (v) Validity; Binding Obligation. This Agreement has been duly
          authorized, executed and delivered by it and constitutes the legal,
          valid and binding agreement of the Sellers, enforceable in
          accordance with its terms, except as enforceability may be limited
          by bankruptcy, insolvency, reorganization, or other similar laws
          affecting the enforcement of creditors' rights in general and by
          general principles of equity, regardless of whether such
          enforceability is considered in a proceeding in equity or at law.

               (vi) No Litigation. No legal or governmental proceedings are
          pending to which the Sellers are a party or of which any property of
          the Sellers is the subject, and no

                                     -5-
<PAGE>

          such proceedings are threatened or contemplated by any Governmental
          Authorities or threatened by others, other than such proceedings
          which will not have a material adverse effect upon the general
          affairs, financial position, net worth or results of operations (on
          an annual basis) of such Seller and its subsidiaries considered as a
          whole and will not materially and adversely affect the performance
          by such Seller of its obligations under, or the validity and
          enforceability of, this Agreement.

               (vii) No Consent. No consent, action by or in respect of,
          approval or other authorization of, or registration, declaration or
          filing with, any Governmental Authority or other Person is required
          for the valid execution and delivery of this Agreement or for the
          performance of any of Sellers' obligations hereunder or thereunder
          or under any Transaction Document other than such consents,
          approvals, authorizations, registrations, declarations or filing as
          shall have been obtained by the Sellers prior to the Closing Date.

               (viii) Executive Offices. As of the Closing Date, the current
          location of VMS's and PHH PLC's chief executive offices, principal
          places of business, and the locations of their records concerning
          the Sold Assets are set forth in Schedule 3.2(a)(viii).

               (ix) Other Representations. All representations and warranties
          of each of the Sellers made in each Transaction Document to which it
          is a party are true and correct and are repeated herein as though
          fully set forth herein.

          (b) The Sellers make the following representations and warranties as
to the Sold Leases, on which the Purchaser relies in accepting the Sold
Leases. Such representations and warranties speak as of the Closing Date, but
shall survive the transfer and assignment of the Sold Leases to the Purchaser
and the transfer thereof by the Purchaser to the Origination Trust pursuant to
the Contribution Agreement:

               (i) All right, title and interest to and in each Sold Lease has
          been validly transferred by the Sellers directly to the Purchaser
          under and in accordance with this Agreement, and the Purchaser has
          good and marketable title thereto free and clear of any adverse
          claim ("Adverse Claim").

               (ii) Each Sold Lease and Sold Vehicle and each Lease (the
          "Existing Leases") and Vehicle (the "Existing Vehicles") a
          beneficial interest in which is represented by the Existing
          Interests on the date hereof is listed on Exhibits A, B, D and E
          attached hereto, respectively.

          (c) The Sellers make the following representations and warranties as
to the Sold Vehicles, on which the Purchaser relies in accepting the Sold
Vehicles. Such representations and warranties speak as of the Closing Date,
but shall survive the transfer and assignment of the Sold Vehicles to the
Purchaser and the transfer thereof by the Purchaser to the Origination Trust
pursuant to the Contribution Agreement:

               (i) All right, title and interest to and in each Sold Vehicle
          has been validly transferred by the Sellers directly to the
          Purchaser under and in accordance with this

                                     -6-
<PAGE>

          Agreement, and the Purchaser has good and marketable title thereto
          free and clear of any Adverse Claim.

               (ii) The transfer of each Sold Vehicle to Purchaser hereunder
          complies with and does not contravene any Applicable Law in any
          material respect.

          (d) VMS makes the following representations and warranties as to the
Existing Interests, on which the Purchaser relies in accepting the Existing
Interests. Such representations and warranties speak as of the Closing Date,
but shall survive the transfer and assignment of the Existing Interests to the
Purchaser and the transfer thereof by the Purchaser to the Origination Trust
pursuant to the Contribution Agreement:

               (i) All right, title and interest to and in the Existing
          Interests have been validly transferred by the Seller directly to
          the Purchaser under and in accordance with this Agreement, and the
          Purchaser has good and marketable title thereto free and clear of
          any Adverse Claim.

               (ii) The Existing Interests represent 100% of the beneficial
          interest in the Origination Trust Assets.

          (e) VMS makes the following representations and warranties as to the
Existing Leases and Existing Vehicles, on which the Purchaser relies in
accepting the Existing Interests. Such representations shall speak as of the
Closing Date, but shall survive the transfer and assignment of the Existing
Interests to the Purchaser and the transfer thereof by the Purchaser to the
Origination Trust pursuant to the Contribution Agreement:

               (i) The Origination Trust has good and marketable title to all
          Existing Leases and Existing Vehicles, free of any Adverse Claim;

               (ii) Each Existing Lease is an Eligible Lease; and

               (iii) Each Master Lease Agreement included in the Existing
          Leases is an Eligible Master Lease and no adverse selection
          procedures were employed in selecting such Master Lease Agreement
          when such Master Lease Agreement was transferred to the Origination
          Trust.

                                  ARTICLE IV

                                  CONDITIONS

          Section 4.1 Conditions to Obligation of the Purchaser. The
obligation of the Purchaser to acquire the Sold Leases, Sold Vehicles and
Existing Interests and assume any obligations thereunder is subject to the
satisfaction of the following conditions:

          (a) Representations and Warranties True. The representations and
warranties of the Sellers hereunder shall be true and correct on the Closing
Date with the same effect as if

                                     -7-
<PAGE>

then made, and the Sellers shall have performed all obligations to be
performed by the Sellers hereunder on or prior to the Closing Date.

          (b) Delivery of Sold Leases, Sold Vehicles and Existing Interests.
The Sellers shall deliver the Sold Leases, titles to the Sold Vehicles and all
certificates representing the Existing Interests to the Purchaser.

          (c) Other Transactions. On or prior to the Closing Date (i) each of
the Transaction Documents shall have been executed and delivered by the
parties thereto, and (ii) each of the parties to the Transaction Documents
shall have performed all of their respective obligations thereunder required
to be performed on or prior to the Closing Date.

          (d) Closing Certifications. In connection with the Purchaser's
transfer of the Sold Assets to the Origination Trust pursuant to the
Contribution Agreement, the Sellers shall have delivered to the Origination
Trust the Certificate in the form attached as Exhibit A to the Series 1999-1
SUBI Servicing Supplement making the representations and warranties as of the
Closing Date set forth therein with respect to the Sold Vehicles and the
Existing Vehicles (the "Vehicles") and the Sold Leases and the Existing Leases
(the "Leases").

          Section 4.2 Conditions to Obligation of the Sellers. The obligation
of the Sellers to sell the Sold Assets to the Purchaser on the Closing Date is
subject to each representation and warranty of the Purchaser hereunder being
true and correct on the Closing Date as if such representation and warranty
was then made, and each obligation to be performed by the Purchaser by the
Closing Date having been performed.

                                   ARTICLE V

                           COVENANTS OF THE SELLERS

          The Sellers hereby agrees with the Purchaser as follows:

          Section 5.1 Protection of Right, Title And Interest. (a) The Sellers
shall take such actions as are required by law to preserve, maintain, and
protect fully the interest of the Purchaser in the Sold Assets and in the
proceeds thereof. Each of the Sellers shall, at its sole cost and expense,
promptly and duly execute and deliver any and all further instruments and
documents and take such further actions that may be necessary or desirable or
that the Purchaser may request to carry out more effectively the provisions
and purposes of this Agreement or any other Transaction Document or to obtain
the full benefits of this Agreement and of the rights and powers herein
granted, including (i) using its best efforts to secure all consents and
approvals necessary or appropriate for the sale to or for the benefit of the
Purchaser of any Sold Assets, (ii) perfecting, protecting, preserving,
continuing and maintaining fully the purchase by, and the assignments,
security interests and other Liens granted or purported to be granted to, the
Purchaser under this Agreement (including the filing any financing or
continuation statements under the UCC with respect to the ownership interests
or Liens granted hereunder or under any other Transaction Document) and (iii)
enabling the Purchaser, the Issuer or the Indenture Trustee to exercise or
enforce its rights under this Agreement or any of the other Transaction
Documents.

                                     -8-
<PAGE>

Each of the Sellers hereby authorizes the Purchaser, the Issuer or
the Indenture Trustee to file any such financing or continuation statements
without the signature of the Sellers to the extent permitted by applicable
law. A carbon, photographic or other reproduction of this Agreement or of any
notice or financing statement covering the Sold Assets shall be sufficient as
a notice or financing statement where permitted by law. If any amount payable
under or in connection with any of the Sold Assets is or shall become
evidenced by any instrument, such instrument, other than checks and notes
received in the ordinary course of business, shall be duly endorsed in a
manner satisfactory to the Purchaser immediately upon the Sellers' receipt
thereof and promptly delivered to or at the direction of the Purchaser. If
either of the Sellers fail to perform any agreement or obligation under this
Section 5.1(a), the Purchaser, the Issuer or the Indenture Trustee may (but
shall not be required to) itself perform, or cause performance of, such
agreement or obligation, and the reasonable expenses of the Purchaser, the
Issuer or the Indenture Trustee incurred in connection therewith shall be
payable by such Seller upon demand of the Purchaser.

          (b) The Sellers shall not change their respective names, identities,
or corporate structures in any manner that would, could, or might make any
financing statement or continuation statement filed by the Sellers, in
accordance with Section 5.1(a) seriously misleading within the meaning of
Section 9-402(7) of the New York Uniform Commercial Code, unless such Seller
shall have given the Purchaser at least 30 days' prior written notice thereof
and shall have promptly, but in no event later than 10 days after such change,
filed appropriate amendments to all previously filed financing statements or
continuation statements.

          (c) The Sellers shall give the Purchaser, the Issuer and the
Indenture Trustee at least 30 days' prior written notice of any relocation of
their principal executive offices if, as a result of such relocation, the
applicable provisions of the Uniform Commercial Code would require the filing
of any amendment of any previously filed financing or continuation statement
or of any new financing statement and shall promptly, but in no event later
than 10 days after such relocation, file any such amendment or new financing
statement.

          (d) The Sellers shall permit the Purchaser and its agents at any
time during normal business hours to inspect, audit, and make copies of and
abstracts from the Sellers' records regarding the Sold Assets.

          (e) On the Closing Date, the Sellers shall furnish to the Purchaser,
a list of all Sold Leases and Sold Vehicles (by vehicle registration number
and account number).

          Section 5.2 Other Liens or Interests. Except for the conveyances
hereunder, the Sellers will not sell, pledge, assign or transfer the Sold
Assets to any other Person, or grant, create, incur, assume or suffer to exist
any Lien on any Sold Assets and the Sellers shall defend the right, title, and
interest of the Purchaser in, to and under the Sold Assets against all claims
of third parties claiming through or under the Sellers.

          Section 5.3 Costs and Expenses. The Sellers agree to pay all
reasonable costs and disbursements in connection with the perfection, as
against all third parties, of the Purchaser's right, title and interest in and
to the Sold Assets.

                                     -9-
<PAGE>

          Section 5.4 Indemnification. The Sellers shall defend, indemnify and
hold harmless the Purchaser from and against:

          (a) any and all costs, expenses, losses, damages, claims, and
liabilities, arising out of or resulting from the failure of a Sold Lease or
Sold Vehicle to be originated in compliance with all requirements of law and
for any breach of any of either of the Sellers' respective representations and
warranties contained herein;

          (b) any and all taxes that may at any time be asserted against the
Purchaser with respect to the transactions contemplated herein, including,
without limitation, any sales, use, gross receipts, transfer taxes, general
corporation, tangible personal property, privilege, license or income taxes,
taxes on or measured by income, or any state or local taxes assessed on the
Purchaser resulting from the transfer of the Sold Assets hereunder, the
location of assets of the Purchaser and costs and expenses in defending
against the same;

          (c) any and all costs, expenses, losses, claims, damages, and
liabilities to the extent that such cost, expense, loss, claim, damage, or
liability arose out of, or was imposed upon the Purchaser through, the breach
of any covenants of the Sellers hereunder or the inaccuracy of any of the
representations and warranties of the Sellers hereunder, the negligence,
willful misfeasance, or bad faith of the Sellers in the performance of its
duties under this Agreement or by reason of reckless disregard of the Sellers'
obligations and duties under this Agreement;

          (d) the failure of the transfer of the Sold Assets by the Sellers to
the Purchaser to convey to the Purchaser an ownership interest in the Sold
Assets free and clear of Adverse Claims;

          (e) any attempt by any person to void the transfer of any portion of
the Sold Assets under statutory provisions or common law or equitable action,
including, without limitation, any provision of the federal Bankruptcy Code,
11 U.S.C. Section 101 et seq; and

          (f) any dispute, claim, offset or defense of any Obligor under a
Lease (including a defense based on such Lease not being a legal, valid and
binding obligation of such Obligor).

          These indemnity obligations shall be in addition to any obligation
that the Sellers may otherwise have.

          Section 5.5 Absolute Transfer; Sale or Exchange. The Sellers agree
to treat this conveyance for all purposes (including, without limitation, tax
and financial accounting purposes) as an absolute transfer on all relevant
books, records, tax returns, financial statements and other applicable
documents.

                                     -10-
<PAGE>

                                  ARTICLE VI

                           MISCELLANEOUS PROVISIONS

          Section 6.1 Obligations of the Sellers. The obligations of the
Sellers under this Agreement shall not be affected by reason of any
invalidity, illegality or irregularity of any Leases or any Vehicles and the
Existing Interests.

          Section 6.2 Amendment. (a) This Agreement may be amended from time
to time by a written amendment duly executed and delivered by the Sellers and
the Purchaser, but without the consent of any other Person, to correct any
inconsistency or cure any ambiguity or errors in this Agreement only in a
manner that would have no adverse effect on any Investor Noteholder or any
Preferred Member.

          (b) This Agreement may be amended from time to time by a written
amendment duly executed and delivered by the Sellers and the Purchaser, with
the consent of the Indenture Trustee so long as any Series of Investor Notes
is outstanding.

          (c) Prior to the execution of any such amendment or consent, the
Seller shall furnish at least five (5) Business Days prior written
notification of the substance of such amendment or consent to each Rating
Agency with respect to each Series of Investor Notes and each series of
Preferred Membership Interests. No later than ten (10) Business Days after the
execution of such amendment or consent, the Seller shall furnish a copy of
such amendment or consent to each Rating Agency with respect to each Series of
Investor Notes and each series of Preferred Membership Interests and the
Indenture Trustee.

          Section 6.3 Waivers. No failure or delay on the part of the
Purchaser in exercising any power, right or remedy under this Agreement shall
operate as a waiver thereof, nor shall any single or partial exercise of any
such power, right or remedy preclude any other or further exercise thereof or
the exercise of any other power, right or remedy.

          Section 6.4 Costs and Expenses. The Sellers and the Purchaser will
pay their respective expenses incident to the performance of their obligations
under this Agreement.

          Section 6.5 Representations of the Sellers. The respective
agreements, representations, warranties and other statements by the Sellers
set forth in or made pursuant to this Agreement shall remain in full force and
effect and will survive the closing under Section 2.6.

          Section 6.6 Notices. All demands, notices and communications upon or
to the Sellers and the Purchaser shall be in writing, and shall be personally
delivered, sent by electronic facsimile or overnight delivery service or
mailed by certified mail-return receipt requested, and shall be deemed to have
been duly given to the intended recipient upon receipt at the respective
addresses listed below, or at such other address as shall be designated by
such Person in a written notice to the other parties to this Agreement.

                                     -11-
<PAGE>

               (i) In the case of the Sellers:

                   PHH Vehicle Management Services LLC
                   PHH Personal Lease Corporation
                   900 Old Country Road
                   Garden City, NY  11530
                   Attn:  General Counsel
                   Fax:  516-222-3751

               (ii) In the case of the Purchaser:

                    Raven Funding LLC
                    900 Old Country Road
                    Garden City, NY  11530
                    Attn:  General Counsel
                    Fax:  516-222-3751

          Section 6.7 Severability. If any one or more of the covenants,
agreements, provisions or terms of this Agreement shall be for any reason
whatsoever held invalid, then such covenants, agreements, provisions or terms
shall be deemed severable from the remaining covenants, agreements, provisions
or terms of this Agreement and shall in no way affect the validity or
enforceability of the other provisions of this Agreement.

          Section 6.8 Counterparts. This Agreement may be executed by the
parties hereto in separate counterparts, each of which when so executed and
delivered shall be an original, but all such counterparts shall together
constitute one and the same instrument.

          Section 6.9 Headings. The headings of the various Articles and
Sections herein are for convenience of reference only and shall not define or
limit any of the terms or provisions hereof.

          Section 6.10 Governing Law. THIS AGREEMENT SHALL BE CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS
CONFLICT OF LAW PROVISIONS.

          Section 6.11 No Petition Covenants. The Sellers, by entering into
this Agreement, covenant and agree that it will not at any time institute
against, or join any other Person in instituting against, the Purchaser any
bankruptcy, reorganization, arrangement, insolvency, or liquidation or other
similar proceedings under any U.S. Federal or state bankruptcy or similar law.

          Section 6.12 Sucessors and Assigns. This Agreement shall be binding
upon and shall inure to the benefit of the Sellers and the Purchaser and their
respective successors and permitted assigns, except as otherwise provided
herein. The Sellers may assign, transfer, hypothecate or otherwise convey its
rights, benefits, obligations or duties hereunder without the

                                     -12-
<PAGE>

prior express written consent of the Purchaser, the Issuer and the Indenture
Trustee. Any such purported assignment, transfer, hypothecation or other
conveyance by either of the Sellers without the prior express written consent
of the Purchaser, the Issuer and the Indenture Trustee shall be void. The
Sellers acknowledge that the Purchaser may assign its rights granted hereunder
and any Sold Assets acquired hereunder to the Origination Trust pursuant to
the Contribution Agreement and that the Purchaser will transfer the Lease SUBI
Certificate (representing a beneficial interest in Origination Trust assets
consisting of rights under this Agreement (including rights to indemnities and
to Sold Assets)) to the Issuer pursuant to the Transfer Agreement. The Issuer
shall pledge the Lease SUBI Certificate to the Indenture Trustee for the
benefit of the Investor Noteholders under the Indenture. The Sellers
acknowledge that, upon such assignments and pledges, the Issuer or the
Indenture Trustee, as the case may be, may enforce directly, without joinder
of the Purchaser, the rights set forth in this Agreement. All such assignees,
including parties to the Indenture in the case of any assignment to such
parties, shall be third-party beneficiaries of, and shall be entitled to
enforce the Purchaser's rights and remedies under, this Agreement to the same
extent as if they were parties hereto.

                                     -13-
<PAGE>

          IN WITNESS WHEREOF, the parties hereby have caused this Asset Sale
Agreement to be executed by their respective officers thereunto duly
authorized as of the date and year first above written.

                                PHH VEHICLE MANAGEMENT SERVICES LLC,
                                     as Seller

                                By:
                                   ---------------------------------------
                                     Name:
                                     Title:

                                PHH PERSONAL LEASE CORPORATION,
                                     as Seller

                                By:
                                   ---------------------------------------
                                     Name:
                                     Title:

                                RAVEN FUNDING LLC,
                                     as the Purchaser

                                By:
                                   ---------------------------------------
                                     Name:
                                     Title:

                                     -14-
<PAGE>

                                                                     Exhibit A

                           Schedule of Sold Vehicles
                           -------------------------

          See the computer tape delivered to the UTI Trustee and the Indenture
          Trustee.

<PAGE>

                                                                     Exhibit B

                            Schedule of Sold Leases
                            -----------------------

          See the computer tape delivered to the UTI Trustee and the Indenture
          Trustee.

<PAGE>

                                                                     Exhibit C

                        Schedule of Existing Interests
                        ------------------------------

                  Exchangeable Beneficial Certificate
                  Series 1998-A   Special Beneficial Certificate
                  Series 1998-B   Special Beneficial Certificate
                  Series 1998-C   Special Beneficial Certificate

<PAGE>

                                                                     Exhibit D

                                Existing Leases
                                ---------------

          See the computer tape delivered to the UTI Trustee and the Indenture
          Trustee.

<PAGE>

                                                                     Exhibit E

                               Existing Vehicles

          See the computer tape delivered to the UTI Trustee and the Indenture
          Trustee.

<PAGE>

                             Schedule 3.2(a)(viii)
                         Executive Offices of Sellers

     1.   PHH Vehicle Management Services LLC
          900 Old Country Road
          Garden City, New York  11530

     2.   PHH Personal Lease Corporation
          900 Old Country Road
          Garden City, New York  11530Exhibit 10.18

===============================================================================

                        RECEIVABLES PURCHASE AGREEMENT

                           Dated as of June 30, 1999

                                by and between

                      PHH VEHICLE MANAGEMENT SERVICES LLC

                                      and

                               RAVEN FUNDING LLC

===============================================================================

<PAGE>

                              TABLE OF CONTENTS

                                                                        Page

ARTICLE I.

         DEFINITIONS AND INTERPRETATION.....................................1

         Section 1.1  Definitions...........................................1
         Section 1.2  Rules of Construction.................................1

ARTICLE II.

         TRANSFERS OF FLEET RECEIVABLES.....................................1

         Section 2.1  Agreement to Transfer.................................1
         Section 2.2  Grant of Security Interest............................2

ARTICLE III.

         CONDITIONS PRECEDENT...............................................3

         Section 3.1  Conditions to Initial Transfer........................3
         Section 3.2  Conditions to all Transfers...........................3

ARTICLE IV.

         REPRESENTATIONS, WARRANTIES AND COVENANTS..........................4

         Section 4.1  Representations and Warranties of the Originator......4
         Section 4.2  Affirmative Covenants of the Originator...............7
         Section 4.3  Negative Covenants of the Originator.................12
         Section 4.4  Breach of Representations, Warranties or Covenants...13

ARTICLE V.

         INDEMNIFICATION...................................................14

         Section 5.1  Indemnification......................................14

ARTICLE VI.

         MISCELLANEOUS.....................................................15

         Section 6.1  Notices..............................................15
         Section 6.2  No Waiver; Remedies..................................16
         Section 6.3  Successors and Assigns...............................16
         Section 6.4  Termination; Survival of Obligations.................17
         Section 6.5  Complete Agreement, Modification of Agreement........17
         Section 6.6  Amendments and Waivers...............................17
         Section 6.7  GOVERNING LAW; CONSENT TO JURISDICTION; WAIVER OF
                        JURY TRIAL.........................................18
         Section 6.8  Counterparts.........................................19

<PAGE>

INDEX OF APPENDICES

Exhibit 2.1(a)   Form of Receivables Assignment
Schedule 4.1(b)  Executive Offices; Collateral Locations; Names of Originator

<PAGE>

          THIS RECEIVABLES PURCHASE AGREEMENT ("Agreement") is entered into as
of June 30, 1999, by and between PHH VEHICLE MANAGEMENT SERVICES LLC, a
Delaware limited liability company (the "Originator" or "VMS"), and RAVEN
FUNDING LLC, a Delaware limited liability company ("SPV").

                                   RECITALS

          A. The Originator owns all of the outstanding membership interests
of SPV.

          B. The Originator intends to sell, and SPV intends to purchase,
certain Fleet Receivables, from time to time, as described herein.

          C. In addition, the Originator, as sole member of SPV may, from time
to time, contribute capital to SPV in the form of Contributed Fleet
Receivables or cash.

                                   AGREEMENT

          NOW, THEREFORE, in consideration of the premises and the mutual
covenants hereinafter contained, and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged,
the parties hereto agree as follows:

                                  ARTICLE I.

                        DEFINITIONS AND INTERPRETATION

          Section 1.1 Definitions. Capitalized terms used and not otherwise
defined herein shall have the meanings ascribed to them in Annex X.

          Section 1.2 Rules of Construction. For purposes of this Agreement,
the rules of construction set forth in Annex X shall govern. All annexes,
schedules and exhibits hereto, or expressly identified in this Agreement, are
incorporated herein by reference and, taken together with this Agreement,
shall constitute but a single agreement.

                                  ARTICLE II.

                        TRANSFERS OF FLEET RECEIVABLES

                      Section 2.1 Agreement to Transfer.

                  (a) Fleet Receivables Transfers. Subject to the terms and
         conditions hereof, the Originator agrees to sell (without recourse
         except to the extent specifically provided herein) or contribute to
         SPV on the Closing Date and on each Settlement Date thereafter (each
         such date, a "Transfer Date") all Fleet Receivables owned by it as of
         the close of business on the first Business Day of the calendar month
         during which such Transfer Date occurred (or, in the case of the
         initial Transfer Date, as of June 29, 1999), together with

                                      -2-
<PAGE>

          all of the Originator's right, title and interest in and to the
          Receivables Property, and SPV agrees to purchase or accept as a
          capital contribution all such Fleet Receivables and Receivables
          Property on each such date. Each such Transfer shall be evidenced by
          a certificate of assignment substantially in the form of Exhibit
          2.1(a) (the "Receivables Assignment"), and the Originator and SPV
          shall execute and deliver a Receivables Assignment on or before the
          Closing Date and each other Transfer Date.

                  (b) Determination of Sold Fleet Receivables. On and as of
         each Transfer Date, Fleet Receivables sold to, and purchased by, SPV
         shall consist of those Fleet Receivables owned by the Originator and
         identified by the Originator on Schedule I to the Receivables
         Assignment for sale to SPV (each such Fleet Receivable individually,
         a "Sold Fleet Receivable," and collectively, the "Sold Fleet
         Receivables"). The "Sale Price" of all Sold Fleet Receivables shall
         be equal to the fair market value thereof as agreed upon from time to
         time by the Originator and SPV.

                  (c) Payment of Purchase Price. In consideration for each
         Sale of Sold Fleet Receivables hereunder, subject to the conditions
         set forth in Article III, SPV shall pay to the Originator on the
         Transfer Date therefor the Sale Price therefor in Dollars in
         immediately available funds. All payments by SPV under this Section
         2.1(c) shall be effected by means of a wire transfer not later than
         3:00 p.m. (New York time) on the day when due to Account No. 175 803
         71, ABA No. 052 000113, Reference: Raven Funding for PHH VMS LLC.

                  (d) Determination of Contributed Fleet Receivables. On and
         as of each Transfer Date, the Originator shall contribute to SPV a
         capital contribution of all Fleet Receivables owned by the Originator
         as of such Transfer Date that have not been identified as Sold Fleet
         Receivables pursuant to Section 2.1(b) (each such contributed Fleet
         Receivable individually, a "Contributed Fleet Receivable," and
         collectively, the "Contributed Fleet Receivables").

                  (e) Ownership of Transferred Fleet Receivables. On and after
         each Transfer Date and after giving effect to the Transfers to be
         made on each such date, SPV shall own the Transferred Fleet
         Receivables and the Originator shall not take any action inconsistent
         with such ownership nor shall the Originator claim any ownership
         interest in such Transferred Fleet Receivables.

                  (f) Servicing of Transferred Fleet Receivables. The parties
         hereto acknowledge that, in accordance with the terms of the
         Servicing Agreement, as supplemented by the Sold SUBI Supplement
         1999-1 to the Servicing Agreement, the Servicer shall conduct the
         servicing and administration of and collection of the Transferred
         Fleet Receivables.

          Section 2.2 Grant of Security Interest. The parties hereto intend
that each Transfer shall constitute a purchase and sale or capital
contribution, as applicable, and not a loan. Notwithstanding anything to the
contrary set forth in this Section 2.2, if a court of competent jurisdiction
determines that any transaction provided for herein constitutes a loan and not

                                      -3-
<PAGE>

a purchase and sale or capital contribution, as applicable, then the parties
hereto intend that this Agreement shall constitute a security agreement under
applicable law and that the Originator shall be deemed to have granted, and
the Originator does hereby grant, to SPV a first priority Lien in and to all
of the Originator's right, title and interest in, to and under the Transferred
Fleet Receivables and the Receivables Property.

                                 ARTICLE III.

                             CONDITIONS PRECEDENT

          Section 3.1 Conditions to Initial Transfer. The initial Transfer
hereunder shall be subject to satisfaction of each of the following conditions
precedent:

                  (a) Agreement; Other Documents. This Agreement or
         counterparts hereof shall have been duly executed by, and delivered
         to, the Originator and SPV, and SPV shall have received such
         documents, instruments, agreements and legal opinions as SPV shall
         reasonably request in connection with the transactions contemplated
         by this Agreement, each in form and substance reasonably satisfactory
         to SPV.

                  (b) Governmental Approvals. SPV shall have received (i)
         satisfactory evidence that the Originator has obtained all required
         consents and approvals of all Persons, including all requisite
         Governmental Authorities, to the execution, delivery and performance
         of this Agreement and the other Transaction Documents to which the
         Originator is a party and the consummation of the transactions
         contemplated hereby and thereby or (ii) an Officer's Certificate from
         the Originator in form and substance satisfactory to SPV affirming
         that no such consents or approvals are required.

                  (c) Compliance with Laws. The Originator shall be in
         compliance with all applicable foreign, federal, state and local laws
         and regulations, except to the extent that the failure to so comply,
         individually or in the aggregate, could not reasonably be expected to
         have a Material Adverse Effect.

                  (d) The Effective Date. The Effective Date (as defined in the
          Indenture) shall have occurred.

          Section 3.2 Conditions to all Transfers. Each Transfer hereunder
(including the initial Transfer) shall be subject to satisfaction of the
following further conditions precedent as of the Transfer Date therefor:

                  (a) the representations and warranties of the Originator
         contained herein shall be true and correct in all material respects
         as of such Transfer Date, both before and after giving effect to such
         Transfer and to the application of any Sale Price therefor, except to
         the extent that any such representation or warranty expressly relates
         to an earlier date (in which case it shall be true and correct in all
         material respects as of such earlier date);

                                      -3-
<PAGE>

                  (b) no Servicer Termination Event, Receivables Purchase
         Termination Event or Potential Receivables Purchase Termination Event
         shall have occurred and be continuing or would result after giving
         effect to such Transfer or the application of any Sale Price
         therefor; and

                  (c) the Originator shall have taken such other action,
         including delivery of approvals, consents, opinions, documents and
         instruments to SPV as SPV may reasonably request.

The acceptance by the Originator of the Sale Price for any Sold Fleet
Receivables on any Transfer Date shall be deemed to constitute, as of any such
Transfer Date, a representation and warranty by the Originator that the
conditions in this Section 3.2 have been satisfied.

                                  ARTICLE IV.

                   REPRESENTATIONS, WARRANTIES AND COVENANTS

          Section 4.1 Representations and Warranties of the Originator. To
induce SPV to purchase the Sold Fleet Receivables and to accept the
Contributed Fleet Receivables, the Originator makes the following
representations and warranties to SPV as of each Transfer Date, each and all
of which shall survive the execution and delivery of this Agreement.

                  (a) Existence; Compliance with Law. The Originator (i) is a
         limited liability company duly organized, validly existing and in
         good standing under the laws of its jurisdiction of organization;
         (ii) is duly qualified to conduct business and is in good standing in
         each other jurisdiction where its ownership or lease of property or
         the conduct of its business requires such qualification except when
         the failure to be so qualified could not reasonably be expected to
         have a Material Adverse Effect; (iii) has the requisite limited
         liability company power and authority and the legal right to own,
         pledge, mortgage or otherwise encumber and operate its properties, to
         lease the property it operates under lease, and to conduct its
         business as now, heretofore and proposed to be conducted; (iv) has
         all licenses, permits, consents or approvals from or by, and has made
         all filings with, and has given all notices to, all Governmental
         Authorities having jurisdiction, to the extent required for such
         ownership, operation and conduct, except to the extent that any
         failure with respect to any such license, permit, consent, approval,
         filing or notice, individually or in the aggregate, could not
         reasonably be expected to have a Material Adverse Effect; (v) is in
         compliance with its certificate of formation and limited liability
         company agreement; and (vi) is in compliance with all Applicable Law,
         except where the failure to comply, individually or in the aggregate,
         could not reasonably be expected to have a Material Adverse Effect.

                  (b) Executive Offices; Collateral Locations; Company Names.
         As of the Closing Date, the current location of the Originator's
         chief executive office, principal place of business, and the
         locations of its records concerning the Transferred Fleet Receivables
         are set forth in Schedule 4.1(b). During the prior five years, except
         as set

                                      -4-
<PAGE>

          forth in Schedule 4.1(b), the Originator has not been known as or
          used any corporate, fictitious or trade name other than PHH Vehicle
          Management Services Corporation.

                  (c) Power, Authorization, Enforceable Obligations. The
         execution, delivery and performance by the Originator of this
         Agreement and the other Transaction Documents to which it is a party,
         the creation and perfection of all Liens and ownership interests
         provided for herein and therein and, solely with respect to clause
         (g) below, the exercise by SPV or any assignee or transferee thereof
         of any of its rights and remedies under any Transaction Document to
         which it is a party: (i) are within the Originator's limited
         liability company power; (ii) have been duly authorized by all
         necessary or proper company or member action; (iii) do not contravene
         any provision of the Originator's limited liability company agreement
         or certificate of formation; (iv) do not violate any law or
         regulation, or any order or decree of any court or Governmental
         Authority; (v) do not conflict with or result in the breach or
         termination of, constitute a default under or accelerate or permit
         the acceleration of any performance required by, any indenture,
         mortgage, deed of trust, lease, agreement or other instrument to
         which the Originator is a party or by which the Originator or any of
         its property is bound; (vi) do not result in the creation or
         imposition of any Adverse Claim upon any of the property of the
         Originator; and (vii) do not require the consent or approval of, or
         filing with or notice to, any Governmental Authority or any other
         Person, except those referred to in Section 3.1(b), all of which will
         have been duly obtained, made or complied with prior to the Closing
         Date. On or prior to the Closing Date, each of the Transaction
         Documents to which the Originator is party shall have been duly
         executed and delivered by the Originator and each such Transaction
         Document shall then constitute a legal, valid and binding obligation
         of the Originator enforceable against it in accordance with its
         terms.

                  (d) No Litigation. No Litigation is now pending or, to the
         knowledge of the Originator, threatened against the Originator that
         (i) challenges the Originator's right or power to enter into or
         perform any of its obligations under the Transaction Documents to
         which it is a party, or the validity or enforceability of any
         Transaction Document or any action taken thereunder, (ii) seeks to
         prevent the Transfer, purchase or pledge of any Fleet Receivable or
         the consummation of any of the transactions contemplated under this
         Agreement or the other Transaction Documents or (iii) has a
         reasonable risk of being determined adversely to the Originator and
         that, if so determined, could have a Material Adverse Effect.

                  (e) Solvency. Both before and after giving effect to (i) the
         transactions contemplated by this Agreement and the other Transaction
         Documents and (ii) the payment and accrual of all transaction costs
         in connection with the foregoing, the Originator is and will be
         Solvent.

                  (f) Material Adverse Effect. Between December 31, 1998 and
          the Closing Date, no event has occurred that alone or together with
          other events could reasonably be expected to have a Material Adverse
          Effect.

                                      -5-
<PAGE>

                  (g) Liens. The Liens granted to SPV pursuant to Section 2.2
         are fully perfected first priority Liens in and to the Transferred
         Fleet Receivables and the Receivables Property, subject only to
         Permitted Liens.

                  (h) Margin Regulations. The use of all funds acquired by the
         Originator under this Agreement will not conflict with or contravene
         any of Regulations T, U, and X of the Board of Governors of the
         Federal Reserve System, as the same may from time to time be amended,
         supplemented or otherwise modified.

                  (i) Nonapplicability of Bulk Sales Laws. No transaction
          contemplated by this Agreement requires compliance with any bulk
          sales act or similar law.

                  (j) Government Regulation. The Originator is not, and is not
         controlled by, an "investment company" registered or required to be
         registered under (and as such term is defined in) the Investment
         Company Act. The Originator is not subject to regulation under the
         Public Utility Holding Company Act of 1935, the Federal Power Act, or
         any other federal or state statute that restricts or limits its
         ability to incur Indebtedness or to perform its obligations
         hereunder. The purchase or acquisition of the Transferred Fleet
         Receivables by SPV hereunder, the application of the Sale Price
         therefor and the consummation by the Originator and SPV of the
         transactions contemplated by this Agreement and the other Transaction
         Documents will not violate any provision of any such statute or any
         rule, regulation or order issued by the Securities and Exchange
         Commission.

                  (k) Fleet Receivables. With respect to each Transferred Fleet
          Receivable, as of the Transfer Date of such Transferred Fleet
          Receivable:

                    (i) such Fleet Receivable satisfies the criteria for an
               Eligible Receivable;

                    (ii) immediately prior to its Transfer to SPV such Fleet
               Receivable was owned by the Originator free and clear of any
               Adverse Claim (other than Permitted Liens), and the Originator
               has had at all relevant times the full right, power and
               authority to sell, contribute, assign, transfer and pledge its
               interest therein as contemplated under this Agreement and the
               other Transaction Documents and, upon such Transfer, SPV will
               acquire valid and properly perfected title to and the sole
               record and beneficial ownership interest in such Fleet
               Receivable, free and clear of any Adverse Claim and, following
               such Transfer, such Fleet Receivable will not be subject to any
               Adverse Claim as a result of any action or inaction on the part
               of the Originator;

                    (iii) the Transfer of each such Fleet Receivable and
               Receivables Property pursuant to this Agreement and the
               Receivables Assignments constitutes, as applicable, a valid
               sale or contribution, transfer, assignment, setover and
               conveyance to SPV of all right, title and interest of the
               Originator in and to such Fleet Receivable and Receivables
               Property, which transfer is perfected and of first priority
               under Applicable Law; and

                                      -6-
<PAGE>

                    (iv) the Originator has no knowledge of any fact
               (including any defaults by the Obligor thereunder on any other
               Fleet Receivable) that would cause it or should have caused it
               to expect that any payments on such Fleet Receivable will not
               be paid in full when due or that is reasonably likely to cause
               or result in any other Material Adverse Effect with respect to
               such Fleet Receivable.

                  (l) ERISA. No notice of a Lien arising under Title IV of
         ERISA has been filed under Section 6323(a) of the Internal Revenue
         Code of 1986, as amended (or any successor provision) against, or
         otherwise affecting, the assets of the Originator.

                  (m) Tax filings and Expenses. The Originator has filed all
         federal, state and local tax returns and all other tax returns which,
         to the knowledge of the Originator, are required to be filed (whether
         informational returns or not), and has paid all taxes due, if any,
         pursuant to said returns or pursuant to any assessment received by
         the Originator, except such taxes, if any, as are being contested in
         good faith and for which adequate reserves have been set aside on its
         books. The Originator has paid all fees and expenses required to be
         paid by it in connection with the conduct of its business, the
         maintenance of its existence and its qualification as a foreign
         limited liability company authorized to do business in each state in
         which it is required to so qualify.

                  (n) Other Representations. All representations and warranties
          of the Originator made in each Transaction Document to which it is a
          party are true and correct and are repeated herein as though fully
          set forth herein.

The representations and warranties described in this Section 4.1 shall survive
the Transfer of the Transferred Fleet Receivables to SPV, any subsequent
assignment of the Transferred Fleet Receivables by SPV, and the termination of
this Agreement and the other Transaction Documents and shall continue until
the indefeasible payment in full of all Transferred Fleet Receivables.

          Section 4.2 Affirmative Covenants of the Originator. The Originator
covenants and agrees that, unless otherwise consented to by SPV, from and
after the Closing Date:

                  (a) Offices and Records. The Originator shall maintain its
         principal place of business and chief executive office and the office
         at which it keeps its Records at the respective locations specified
         in Schedule 4.1(b) or, upon 30 days' prior written notice to SPV, at
         such other location in a jurisdiction where all action required to be
         taken pursuant to Section 6.13 shall have been taken with respect to
         the Transferred Fleet Receivables. The Originator shall at its own
         cost and expense, for not less than three years from the date on
         which each Transferred Fleet Receivable was originated, or for such
         longer period as may be required by law, maintain adequate Records
         with respect to such Transferred Fleet Receivable, including records
         of all payments received, credits granted and merchandise returned
         with respect thereto.

                  (b) Access. At any reasonable time and from time to time at
         the reasonable request of SPV, any Holder of a Fleet Receivable SUBI
         Certificate or any pledgee or

                                      -7-
<PAGE>

          assignee thereof, the Originator shall permit such Person as SPV or
          such Holder or pledgee or assignee, as the case may be, may
          designate, at such Person's expense, to conduct audits or visit and
          inspect any of the properties of the Originator to examine the
          Records, internal controls and procedures maintained by the
          Originator with respect to the Transferred Fleet Receivables and
          take copies and extracts therefrom, and to discuss matters relating
          to the Transferred Fleet Receivables or the Originator's performance
          under this Agreement or the Originator's affairs, finances and
          accounts with its officers, employees, agents and, upon notice to
          the Originator, independent accountants. The Originator hereby
          authorizes such officers, employees, agents and independent
          accountants to discuss with SPV and any Holder of a Fleet SUBI or
          any pledgee or assignee thereof and their designees such matters and
          the affairs, finances and accounts of the Originator. Any audit
          provided for herein shall be conducted in accordance with the
          Originator's rules respecting safety and security on its premises
          and without materially disrupting operations.

                  (c) Compliance With Policies. The Originator shall originate
         the Fleet Receivables in accordance with the Policies and comply in
         all material respects with the Policies applicable to each
         Transferred Fleet Receivable and the Fleet Service Contracts
         therefor, and with the terms of such Fleet Receivables and Fleet
         Service Contracts.

                  (d) Assignment. The Originator agrees that SPV may assign
         all of its right, title and interest in, to and under the Transferred
         Fleet Receivables, the Receivables Property and this Agreement,
         including its right to exercise the remedies set forth in Section
         4.4, to the Origination Trust pursuant to the Contribution Agreement
         and agrees that the Origination Trust may create and issue to SPV a
         special unit of beneficial interest in the Transferred Fleet
         Receivables, the Receivables Property and this Agreement (the "Fleet
         Receivable SUBI"), a portion of which will be represented by a
         certificate issued by the Origination Trust and retained by SPV (the
         "SPV Fleet Receivable SUBI Certificate") and a portion of which will
         be represented by another certificate issued by the Origination Trust
         (the "Fleet Receivable SUBI Certificate") which will be transferred
         by SPV to the Issuer pursuant to the Transfer Agreement and pledged
         by the Issuer to the Indenture Trustee under the Indenture. The
         Originator agrees that, upon any such assignment and pledge to the
         Issuer, as holder of the Fleet Receivables SUBI Certificate, or the
         Indenture Trustee, as the pledgee thereof, may enforce directly,
         without joinder of SPV, all of the obligations of such Originator
         hereunder, including any obligations of the Originator set forth in
         Sections 4.2(j), 4.4, 5.1 and 6.13.

                  (e) Compliance With Agreements and Applicable Laws. The
         Originator shall perform each of its obligations under this Agreement
         and the other Transaction Documents and comply with all federal,
         state and local laws and regulations applicable to it and the Fleet
         Receivables, including those relating to truth in lending, retail
         installment sales, fair credit billing, fair credit reporting, equal
         credit opportunity, fair debt collection practices, privacy,
         licensing, taxation, ERISA and labor matters, except to the extent
         that the failure to so comply, individually or in the aggregate,
         could not reasonably be expected to have a Material Adverse Effect.

                                     -8-
<PAGE>

                  (f) Maintenance of Existence and Conduct of Business. The
         Originator shall preserve and maintain its limited liability company
         existence, rights, franchise and privileges in the jurisdiction of
         its organization, and qualify and remain qualified in good standing
         as a foreign limited liability company in each jurisdiction where the
         failure to preserve and maintain such existence, rights, franchises,
         privileges and qualification would have a Material Adverse Effect.

                  (g) Notice of Material Event. The Originator shall promptly
         inform SPV, the Issuer and the Indenture Trustee in writing of the
         occurrence of any of the following, in each case setting forth the
         details thereof and what action, if any, the Originator proposes to
         take with respect thereto:

                          (i) any Litigation commenced or threatened against
                  the Originator which could reasonably be expected to have a
                  Material Adverse Effect or with respect to or in connection
                  with all or any portion of the Transferred Fleet
                  Receivables;

                         (ii) the commencement of a case or proceeding by or
                  against the Originator seeking a decree or order in respect
                  of the Originator (A) under the Bankruptcy Code or any other
                  applicable federal, state or foreign bankruptcy or other
                  similar law, (B) appointing a custodian, receiver,
                  liquidator, assignee, trustee or sequestrator (or similar
                  official) for the Originator or for any substantial part of
                  such Person's assets, or (C) ordering the winding-up or
                  liquidation of the affairs of the Originator;

                        (iii) the receipt of notice that (A) the Originator is
                  being placed under regulatory supervision, (B) any license,
                  permit, charter, registration or approval is to be, or may
                  be, suspended or revoked, which suspension or revocation may
                  have a Material Adverse Effect, or (C) the Originator is to
                  cease and desist any practice, procedure or policy employed
                  by the Originator in the conduct of its business if such
                  cessation which could reasonably be expected to have a
                  Material Adverse Effect;

                         (iv) (A) any Adverse Claim made or asserted against
                  any of the Transferred Fleet Receivables of which it becomes
                  aware or (B) any determination that a Transferred Fleet
                  Receivable was not an Eligible Receivable on the Transfer
                  Date therefor; or

                          (v) any other event, circumstance or condition that
                  has had or could reasonably be expected to have a Material
                  Adverse Effect.

                  (h) Separate Identity. The Originator shall take all actions
         required to maintain SPV's status as a separate legal entity,
         including (i) not holding SPV out to third parties as other than an
         entity with assets and liabilities distinct from the Originator and
         the Originator's other Subsidiaries; (ii) not holding itself out to
         be responsible for the Indebtedness of SPV or, other than by reason
         of owning, membership interests in SPV,

                                     -9-
<PAGE>

          for any decisions or actions relating to SPV; (iii) preparing
          separate financial statements for SPV; (iv) taking such other
          actions as are necessary on its part to ensure that all procedures
          required by its and SPV's respective limited liability company
          agreement and certificate of formation are duly and validly taken;
          (v) keeping correct and complete records and books of account and
          minutes; and (vi) not acting in any manner that could foreseeably
          mislead others with respect to SPV's separate identity. In addition
          to the foregoing, the Originator and SPV shall take such actions as
          shall be required in order that:

                          (i) The Originator shall maintain records and books
                  of account separate from those of SPV.

                         (ii) The resolutions, agreements and other
                  instruments underlying the transactions described in this
                  Agreement shall be continuously maintained by the Originator
                  as official records.

                        (iii) The Originator shall maintain an arm's-length
                  relationship with SPV and shall not hold itself out as being
                  liable for the Indebtedness of SPV.

                         (iv) The Originator shall keep its assets and
                  liabilities wholly separate from those of SPV.

                          (v) The Originator shall not mislead third parties
                  by conducting or appearing to conduct business on behalf of
                  SPV or expressly or impliedly representing or suggesting
                  that the Originator is liable or responsible for the
                  Indebtedness of SPV or that the assets of the Originator are
                  available to pay the creditors of SPV.

                         (vi) The Originator shall at all times have
                  stationery and other business forms and a mailing address
                  and telephone number separate from those of SPV.

                        (vii) The Originator shall at all times limit its
                  transactions with SPV only to those expressly permitted
                  hereunder or under any other Transaction Document.

                       (viii) The Originator shall comply with (and cause to
                  be true and correct) each of the facts and assumptions
                  relating to the Originator and SPV contained in the no
                  substantive consolidation opinion of White & Case LLC
                  delivered on the Closing Date.

                 (i) Payment, Performance and Discharge of Obligations. (i)
         Subject to Section 4.2(i)(ii), the Originator shall pay, perform and
         discharge or cause to be paid, performed and discharged all of its
         obligations and liabilities, including all taxes, assessments and
         governmental charges upon its income and properties and all lawful
         claims for labor, materials, supplies and services, promptly when
         due, except to the extent that the failure to so act, individually or
         in the aggregate, could not reasonably be expected to have a Material
         Adverse Effect.

                                     -10-
<PAGE>

                         (ii) The Originator may in good faith contest, by
                  appropriate proceedings, the validity or amount of any
                  charges or claims described in Section 4.2(i)(i); provided,
                  that (A) adequate reserves with respect to such contest are
                  maintained on the books of the Originator, in accordance
                  with GAAP, (B) such contest is maintained and prosecuted
                  continuously and with diligence, (C) none of the Transferred
                  Fleet Receivables may become subject to forfeiture or loss
                  as a result of such contest, and (D) no Lien may be imposed
                  to secure payment of such charges or claims other than
                  inchoate tax liens.

                  (j) Adjustments to Sale Price. If on any day the Billed
         Amount of any Sold Fleet Receivable or Contributed Fleet Receivable
         is reduced as a result of any Dilutions, the Originator shall, on or
         prior to the next following Settlement Date, make a cash payment to
         SPV in the amount of such reduction by remitting such amount to the
         Collection Account.

                  (k) Annual Opinion of Counsel. On or before March 31 of each
         calendar year, commencing with March 31, 2000, Originator shall
         furnish to the SPV, the Issuer and the Indenture Trustee an Opinion
         of Counsel either stating that, in the opinion of such counsel, such
         action has been taken with respect to the recording, filing,
         re-recording and refiling of this Agreement, the Receivables
         Assignments and any other requisite documents and with respect to the
         execution and filing of any financing statements and continuation
         statements as are necessary to maintain SPV's perfected ownership
         interest in the Transferred Fleet Receivables and Receivables
         Property sold by this Agreement and the Receivables Assignments and
         reciting the details of such action or stating that in the opinion of
         such counsel no such action is necessary to maintain the perfection
         of such ownership interest. Such Opinion of Counsel shall also
         describe the recording, filing, re-recording and refiling of this
         Agreement and the Receivables Assignments and any other requisite
         documents and the execution and filing of any financing statements
         and continuation statements that will, in the opinion of such
         counsel, be required to maintain the perfection of the SPV's
         ownership interest in the Transferred Fleet Receivables and
         Receivables Property until March 31 in the following calendar year.

                  (l) Protection of Title. (i) Originator shall execute and
         file such financing statements, and cause to be executed and filed
         such continuation and other statements, all in such manner and in
         such places as may be required by law fully to perfect and preserve
         the transfer, assignment and conveyance hereunder to the SPV of the
         Transferred Fleet Receivables and Receivables Property and in the
         proceeds thereof. The Originator shall deliver (or cause to be
         delivered) to the SPV, the Issuer and the Indenture Trustee file
         stamped copies of, or filing receipts for, any document filed as
         provided above, as soon as available following such filing.

                         (ii) The Originator shall not change its name,
                  identity or limited liability company structure in any
                  manner that would, could or might make any financing
                  statement or continuation statement or continuation
                  statement filed by the Originator in accordance with this
                  Agreement seriously misleading within the meaning of Section
                  9-402(7) of the New York UCC, unless it shall have given

                                     -11-
<PAGE>

                  SPV, the Issuer and the Indenture Trustee at least 30 days
                  prior written notice thereof and shall file such financing
                  statements or amendments as may be necessary to continue
                  the perfection of the Issuer's interest in all Transferred
                  Fleet Receivables and Receivables Property sold,
                  transferred, conveyed and assigned hereunder.

                        (iii) The Originator shall give SPV, the Issuer and
                  the Indenture Trustee at least 30 days prior written notice
                  of any relocation of its principal executive office if, as a
                  result of such relocation, the applicable provisions of the
                  UCC would require the filing of any amendment of any
                  previously filed financing or continuation statement or of
                  any new financing statement. The Originator shall at all
                  times maintain its principal executive office within the
                  United States of America.

                  (m) Computer Files Marked. The Originator shall, at its own
         expense, on or prior to each Transfer Date, indicate in its computer
         files created in connection with the Transferred Fleet Receivables
         and Receivables Property for such Transfer Date that such Transferred
         Fleet Receivables and Receivables Property have been transferred,
         assigned and conveyed to SPV pursuant to this Agreement.

          Section 4.3 Negative Covenants of the Originator. The Originator
covenants and agrees that, without the prior written consent of SPV, from and
after the Closing Date:

                  (a) Sale of Assets. The Originator shall not sell, transfer,
         convey, assign (by operation of law or otherwise) or otherwise
         dispose of, or assign any Transferred Fleet Receivable, Receivables
         Property or Fleet Service Contract therefor (except as otherwise
         expressly permitted by this Agreement or any of the other Transaction
         Documents).

                  (b) Liens. The Originator shall not create, incur, assume or
         permit to exist any Adverse Claim on or with respect to the
         Transferred Fleet Receivables or the Receivables Property except for
         Permitted Liens.

                  (c) Modifications of Fleet Receivables or Fleet Service
         Contracts. The Originator shall not extend, amend, forgive,
         discharge, compromise, cancel or otherwise modify the terms of any
         Transferred Fleet Receivable, or amend, modify or waive any payment
         term or condition of any Fleet Service Contract therefor as it
         applies to any outstanding Fleet Receivable except in accordance with
         the Policies to the extent permitted by Section 4.2(j).

                  (d) Sale Characterization. The Originator shall not make
         statements or disclosures or prepare any financial statements for any
         purpose, including for federal income tax, reporting or accounting
         purposes, that shall account for the transactions contemplated by
         this Agreement in any manner other than, with respect to the Sale of
         each Sold Fleet Receivable and the Transfer of each Contributed Fleet
         Receivable, as a true sale and/or absolute assignment of its full
         right, title and ownership interest in such Transferred Fleet
         Receivable and the Receivables Property to SPV.

                                     -12-
<PAGE>

                  (e) Actions Affecting Rights. The Originator shall not (i)
         take any action, or fail to take any action, if such action or
         failure to take action may interfere with the enforcement of any
         material rights hereunder or under the other Transaction Documents,
         including rights with respect to the Transferred Fleet Receivables
         and the Receivables Property (except as provided in clause (ii)
         below); (ii) waive or alter any rights with respect to the
         Transferred Fleet Receivables (or any agreement or instrument
         relating thereto) except in accordance with the Policies; or (iii)
         fail to pay any tax, assessment, charge, fee or other obligation of
         the Originator with respect to the Transferred Fleet Receivables and
         the Receivables Property , or fail to defend any action, if such
         failure to pay or defend may adversely affect the priority or
         enforceability of the perfected title of SPV to and the sole record
         and beneficial ownership interest of SPV in the Transferred Fleet
         Receivables and the Receivables Property, or prior to their Transfer
         hereunder, the Originator's right, title or interest therein.

                  (f) Change to Policies. No change that in any respect
         materially adversely affects the collectibility of the Fleet
         Receivables or otherwise has a Material Adverse Effect shall be made
         to the Policies without the prior written consent of SPV, the Issuer
         and, while any Series of Investor Notes are outstanding, the
         Indenture Trustee.

                  (g) No Proceedings. From and after the Closing Date and
         until the date one year plus one day following the date on which each
         Series of Investor Notes and each series of Preferred Membership
         Interests have been indefeasibly paid in full in cash, the Originator
         shall not, directly or indirectly, institute or cause to be
         instituted against SPV any bankruptcy, insolvency or other similar
         proceeding.

                  (h) Separate Identity. The Originator shall not take any
         action that is inconsistent with the terms of Section 4.2(h) hereof,
         Section 6.18 of the Transfer Agreement, Section 9.6 of the
         Origination Trust Agreement or Section 8.24 of the Indenture.

          Section 4.4 Breach of Representations, Warranties or Covenants. Upon
discovery by the Originator, SPV, the Issuer or the Indenture Trustee of any
breach of any representation, warranty or covenant described in Sections 4.1,
4.2 or 4.3, which breach is reasonably likely to have a material adverse
effect on the value of a Transferred Fleet Receivable or the interests of SPV
or the Issuer therein, the party discovering the same shall give prompt
written notice thereof to the other party hereto. The Originator shall, on or
prior to the next succeeding Settlement Date upon the Originator's, SPV's or
the Issuer's discovery of (or otherwise obtaining actual knowledge of) any
breach of such representation, warranty or covenant, either (a) repurchase
such Transferred Fleet Receivable from the Origination Trust for cash, by
remitting the purchase price to the Servicer in such manner as will permit the
Servicer to deposit the same on such date into the Collection Account in
accordance with the terms of the Servicing Agreement (or if the Originator is
then the Servicer, by remitting the purchase price to the Collection Account),
(b) transfer ownership of a new Eligible Receivable or new Eligible
Receivables to SPV on such Settlement Date (or such Business Day in exchange
for such Transferred Fleet Receivable), or (c) make a capital contribution in
cash to SPV by remitting the amount of such capital contribution to the
Collection Account, in each case in an amount

                                     -13-
<PAGE>

(the "Rejected Amount") equal to the Billed Amount of such Transferred Fleet
Receivable minus the Collections received by SPV or its assignees in respect
thereof.

                                  ARTICLE V.

                                INDEMNIFICATION

          Section 5.1 Indemnification. Without limiting any other rights that
SPV or the Issuer or any of their respective officers, directors, employees,
attorneys, agents or representatives (each, an "SPV Indemnified Person") may
have hereunder or under applicable law, the Originator hereby agrees to
indemnify and hold harmless each SPV Indemnified Person from and against any
and all Indemnified Amounts that may be claimed or asserted against or
incurred by any such SPV Indemnified Person, including any and all legal costs
and expenses arising out of or incurred in connection with disputes between or
among any parties to any of the Transaction Documents, relating to or
resulting from:

                  (a) reliance on any representation or warranty made or
         deemed made by the Originator (or any of its officers) under or in
         connection with this Agreement or any other Transaction Document to
         which it is a party or on any other information delivered by the
         Originator pursuant hereto or thereto that shall have been incorrect
         in any material respect when made or deemed made or delivered;

                  (b) the failure by the Originator to comply with any term,
         provision or covenant contained in this Agreement, any other
         Transaction Document to which it is a party or any agreement executed
         in connection herewith or therewith, any applicable law, rule or
         regulation with respect to any Transferred Fleet Receivable or Fleet
         Service Contract therefor or other Receivables Property, or the
         nonconformity of any Transferred Fleet Receivable or the Fleet
         Service Contract therefor with any such applicable law, rule or
         regulation;

                  (c) the failure to vest and maintain vested in SPV, or to
         Transfer to SPV, valid and properly perfected title to and sole
         record and beneficial ownership of the Fleet Receivables that
         constitute Transferred Fleet Receivables, together with all
         Collections and in respect thereof or other Receivables Property,
         free and clear of any Adverse Claim;

                  (d) any dispute, claim, offset or defense of any Obligor
         (other than its discharge in bankruptcy) to the payment of any Fleet
         Receivable that is the subject of a Transfer hereunder (including a
         defense based on such Fleet Receivable or the Fleet Service Contract
         therefor not being a legal, valid and binding obligation of such
         Obligor enforceable against it in accordance with its terms, or any
         other claim resulting from the sale of the merchandise or services
         giving rise to such Fleet Receivable or the furnishing or failure to
         furnish such merchandise or services or relating to collection
         activities with respect to such Fleet Receivable (if such collection
         activities were performed by the Originator acting as Servicer),
         except to the extent that such dispute, claim, offset or defense
         results solely from any action or inaction on the part of SPV;

                                     -14-
<PAGE>

                  (e) any  products  liability  claim or other  claim
         arising  out of or in  connection  with merchandise, insurance or
         services that is the subject of any Fleet Service Contract;

                  (f) any failure by the Originator to cause the filing of, or
         any delay in filing, financing statements or other similar
         instruments or documents under the UCC of any applicable jurisdiction
         or any other applicable laws with respect to any Fleet Receivable and
         any other Receivables Property that is the subject of a Transfer
         hereunder, whether at the time of any such Transfer or at any
         subsequent time;

                  (g) any failure by the Originator or the Servicer to
         perform, keep or observe any of their respective duties or
         obligations hereunder, under any other Transaction Document to which
         it is a party or under any Fleet Service Contract related to a
         Transferred Fleet Receivable, including the commingling of
         Collections with respect to Transferred Fleet Receivables by the
         Originator or the Servicer at any time with the funds of any other
         Person;

                  (h) any investigation, Litigation or proceeding related to
         this Agreement or the use of the Sale Price obtained in connection
         with any Sale or the ownership of Fleet Receivables or Collections or
         any other Receivables Property with respect thereto or in respect of
         any Fleet Receivable or Fleet Service Contract or any other
         Receivables Property, except to the extent any such investigation,
         Litigation or proceeding relates to a matter involving an SPV
         Indemnified Person for which neither the Originator nor any of its
         Affiliates is at fault, as finally determined by a court of competent
         jurisdiction; or

                  (i) any claim brought by any Person other than an SPV
         Indemnified Person arising from any activity by the Originator or any
         of its Affiliates in servicing, administering or collecting any
         Transferred Fleet Receivables or any other Receivables Property;

provided, that the Originator shall not be liable for any indemnification to
an SPV Indemnified Person to the extent that any such Indemnified Amounts
result from (i) such SPV Indemnified Person's gross negligence or willful
misconduct, (ii) recourse for uncollectible or uncollected Transferred Fleet
Receivables (except to the extent resulting from a breach or default by
Obligor under this Agreement) or (iii) any income tax or franchise tax
incurred by any SPV Indemnified Person, except to the extent that the
incurrence of any such tax results from a breach of or default by the
Originator under this Agreement or any other Transaction Document to which it
is a party.

                                  ARTICLE VI.

                                 MISCELLANEOUS

          Section 6.1 Notices. Except as otherwise provided herein, whenever
it is provided herein that any notice, demand, request, consent, approval,
declaration or other communication shall or may be given to or served upon any
of the parties by any other parties, or whenever any of the parties desires to
give or serve upon any other parties any communication with respect to this
Agreement, each such notice, demand, request, consent, approval, declaration

                                     -15-
<PAGE>

or other communication shall be in writing and shall be deemed to have been
validly served, given or delivered (a) upon the earlier of actual receipt and
three Business Days after deposit in the United States mail, registered or
certified mail, return receipt requested, with proper postage prepaid, (b)
upon transmission, when sent by telecopy or other similar facsimile
transmission (with such telecopy or facsimile promptly confirmed by delivery
of a copy by personal delivery or United States mail as otherwise provided in
this Section 6.1, (c) one Business Day after deposit with a reputable
overnight courier with all charges prepaid or (d) when delivered, if
hand-delivered by messenger, all of which shall be addressed to the party to
be notified and sent to the address or facsimile number set forth under its
name on the signature page hereof or to such other address (or facsimile
number) as may be substituted by notice given as herein provided. The giving
of any notice required hereunder may be waived in writing by the party
entitled to receive such notice. Failure or delay in delivering copies of any
notice, demand, request, consent, approval, declaration or other communication
to any Person (other than SPV) designated in any written communication
provided hereunder to receive copies shall in no way adversely affect the
effectiveness of such notice, demand, request, consent, approval, declaration
or other communication. Notwithstanding the foregoing, whenever it is provided
herein that a notice is to be given to any other party hereto by a specific
time, such notice shall only be effective if actually received by such party
prior to such time, and if such notice is received after such time or on a day
other than a Business Day, such notice shall only be effective on the
immediately succeeding Business Day.

          Section 6.2 No Waiver; Remedies. SPV's failure, at any time or
times, to require strict performance by the Originator of any provision of
this Agreement or the Receivables Assignments shall not waive, affect or
diminish any right of SPV thereafter to demand strict compliance and
performance herewith or therewith. Any suspension or waiver of any breach or
default hereunder shall not suspend, waive or affect any other breach or
default whether the same is prior or subsequent thereto and whether the same
or of a different type. None of the undertakings, agreements, warranties,
covenants and representations of the Originator contained in this Agreement or
the Receivables Assignments, and no breach or default by the Originator
hereunder or thereunder, shall be deemed to have been suspended or waived by
SPV unless such waiver or suspension is by an instrument in writing signed by
an officer of or other duly authorized signatory of SPV and directed to the
Originator specifying such suspension or waiver. SPV's rights and remedies
under this Agreement shall be cumulative and nonexclusive of any other rights
and remedies that SPV may have under any other agreement, including the other
Transaction Documents, by operation of law or otherwise.

          Section 6.3 Successors and Assigns. This Agreement shall be binding
upon and shall inure to the benefit of the Originator and SPV and their
respective successors and permitted assigns, except as otherwise provided
herein. The Originator may not assign, transfer, hypothecate or otherwise
convey its rights, benefits, obligations or duties hereunder without the prior
express written consent of SPV, the Issuer and the Indenture Trustee. Any such
purported assignment, transfer, hypothecation or other conveyance by the
Originator without the prior express written consent of SPV, the Issuer and
the Indenture Trustee shall be void. The Originator acknowledges that SPV may
assign its rights granted hereunder, including the benefit of any indemnities
under Article V and any Transferred Fleet Receivables and Receivables Property
acquired hereunder to the Origination Trust pursuant to the Contribution
Agreement and

                                     -16-
<PAGE>

that SPV will transfer the Fleet Receivable SUBI Certificate (representing a
beneficial interest in Origination Trust assets consisting of rights under
this Agreement (including rights to indemnities and to Transferred Fleet
Receivables and Receivables Property)) to the Issuer pursuant to the Transfer
Agreement. The Issuer shall pledge the Fleet Receivable SUBI Certificate to
the Indenture Trustee for the benefit of the Investor Noteholders under the
Indenture. The Originator acknowledges that, upon such assignments and
pledges, the Issuer or the Indenture Trustee, as the case may be, may enforce
directly, without joinder of SPV, the rights set forth in this Agreement All
such assignees, including parties to the Indenture in the case of any
assignment to such parties, shall be third-party beneficiaries of, and shall
be entitled to enforce SPV's rights and remedies under, this Agreement to the
same extent as if they were parties hereto.

          Section 6.4 Termination; Survival of Obligations. (a) This Agreement
shall create and constitute the continuing obligations of the parties hereto
in accordance with its terms, and shall remain in full force and effect until
the payment in full of each series of Investor Notes and each series of
Preferred Membership Interests.

          (b) Except as otherwise expressly provided herein or in any other
Transaction Document, no termination or cancellation (regardless of cause or
procedure) of any commitment made by SPV under this Agreement shall in any way
affect or impair the obligations, duties and liabilities of the Originator or
the rights of SPV relating to any unpaid portion of any and all recourse and
indemnity obligations of the Originator to SPV, including those set forth in
Sections 4.2(j), 4.4, 5.1 and 6.14, due or not due, liquidated, contingent or
unliquidated or any transaction or event occurring prior to such termination,
or any transaction or event, the performance of which is required after the
Termination Date. Except as otherwise expressly provided herein or in any
other Transaction Document, all undertakings, agreements, covenants,
warranties and representations of or binding upon the Originator, and all
rights of SPV hereunder, all as contained in the Transaction Documents, shall
not terminate or expire, but rather shall survive any such termination or
cancellation and shall continue in full force and effect until the Termination
Date; provided, that the rights and remedies pursuant to Sections 4.2(j), 4.4,
the indemnification and payment provisions of Article V, and the provisions of
Sections 4.3(h), 6.3, and 6.13 shall be continuing and shall survive any
termination of this Agreement.

          Section 6.5 Complete Agreement, Modification of Agreement. This
Agreement and the other Transaction Documents constitute the complete
agreement between the parties with respect to the subject matter hereof and
thereof, supersede all prior agreements and understandings relating to the
subject matter hereof and thereof, and may not be modified, altered or amended
except as set forth in Section 6.6.

          Section 6.6 Amendments and Waivers. (a) This Agreement may be
amended from time to time by a written amendment duly executed and delivered
by the Originator and SPV, but without the consent of any other Person, to
correct any inconsistency or cure any ambiguity or errors in this Agreement
only in a manner that would have no adverse effect on any Investor Noteholder
or any Preferred Member.

                                     -17-
<PAGE>

          (b) This Agreement may be amended from time to time by a written
amendment duly executed and delivered by the Originator and SPV, with the
consent of the Indenture Trustee so long as any Series of Investor Notes is
outstanding.

          (c) Prior to the execution of any such amendment or consent, the
Originator shall furnish at least five (5) Business Days' prior written
notification of the substance of such amendment or consent to each Rating
Agency with respect to each Series of Investor Notes and each series of
Preferred Membership Interests. No later than ten (10) Business Days after the
execution of such amendment or consent, the Originator shall furnish a copy of
such amendment or consent to each Rating Agency with respect to each Series of
Investor Notes and each series of Preferred Membership Interests and the
Indenture Trustee.

          Section 6.7 GOVERNING LAW; CONSENT TO JURISDICTION; WAIVER OF JURY
TRIAL. (a) THIS AGREEMENT AND EACH RECEIVABLES ASSIGNMENT AND THE OBLIGATIONS
ARISING HEREUNDER AND THEREUNDER SHALL IN ALL RESPECTS, INCLUDING ALL MATTERS
OF CONSTRUCTION, VALIDITY AND PERFORMANCE, BE GOVERNED BY, AND CONSTRUED AND
ENFORCED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK

          (b) EACH PARTY HERETO HEREBY CONSENTS AND AGREES THAT THE STATE OR
FEDERAL COURTS LOCATED IN THE BOROUGH OF MANHATTAN IN NEW YORK CITY SHALL HAVE
EXCLUSIVE JURISDICTION TO HEAR AND DETERMINE ANY CLAIMS OR DISPUTES BETWEEN
THEM PERTAINING TO THIS AGREEMENT OR TO ANY MATTER ARISING OUT OF OR RELATING
TO THIS AGREEMENT OR ANY RELATED DOCUMENT; PROVIDED, THAT EACH PARTY HERETO
ACKNOWLEDGES THAT ANY APPEALS FROM THOSE COURTS MAY HAVE TO BE HEARD BY A
COURT LOCATED OUTSIDE OF THE BOROUGH OF MANHATTAN IN NEW YORK CITY; PROVIDED
FURTHER, THAT NOTHING IN THIS AGREEMENT SHALL BE DEEMED OR OPERATE TO PRECLUDE
SPV FROM BRINGING SUIT OR TAKING OTHER LEGAL ACTION IN ANY OTHER JURISDICTION
TO REALIZE ON THE TRANSFERRED FLEET RECEIVABLES OR ANY OTHER SECURITY FOR THE
OBLIGATIONS OF THE ORIGINATOR ARISING HEREUNDER, OR TO ENFORCE A JUDGMENT OR
OTHER COURT ORDER IN FAVOR OF SPV. EACH PARTY HERETO SUBMITS AND CONSENTS IN
ADVANCE TO SUCH JURISDICTION IN ANY ACTION OR SUIT COMMENCED IN ANY SUCH
COURT, AND EACH PARTY HERETO HEREBY WAIVES ANY OBJECTION THAT SUCH PARTY MAY
HAVE BASED UPON LACK OF PERSONAL JURISDICTION, IMPROPER VENUE OR FORUM NON
CONVENIENS AND HEREBY CONSENTS TO THE GRANTING OF SUCH LEGAL OR EQUITABLE
RELIEF AS IS DEEMED APPROPRIATE BY SUCH COURT. EACH PARTY HERETO HEREBY WAIVES
PERSONAL SERVICE OF THE SUMMONS, COMPLAINT AND OTHER PROCESS ISSUED IN ANY
SUCH ACTION OR SUIT AND AGREES THAT SERVICE OF SUCH SUMMONS, COMPLAINT AND
OTHER PROCESS MAY BE MADE BY REGISTERED OR CERTIFIED MAIL ADDRESSED TO SUCH
PARTY AT THE ADDRESS SET FORTH BENEATH ITS NAME ON THE SIGNATURE PAGES

                                     -18-
<PAGE>

HEREOF AND THAT SERVICE SO MADE SHALL BE DEEMED COMPLETED UPON THE EARLIER OF
SUCH PARTY'S ACTUAL RECEIPT THEREOF OR THREE DAYS AFTER DEPOSIT IN THE UNITED
STATES MAIL, PROPER POSTAGE PREPAID. NOTHING IN THIS SECTION SHALL AFFECT THE
RIGHT OF ANY PARTY HERETO TO SERVE LEGAL PROCESS IN ANY OTHER MANNER PERMITTED
BY LAW.

          (c) BECAUSE DISPUTES ARISING IN CONNECTION WITH COMPLEX FINANCIAL
TRANSACTIONS ARE MOST QUICKLY AND ECONOMICALLY RESOLVED BY AN EXPERIENCED AND
EXPERT PERSON AND THE PARTIES WISH APPLICABLE STATE AND FEDERAL LAWS TO APPLY
(RATHER THAN ARBITRATION RULES), THE PARTIES DESIRE THAT THEIR DISPUTES BE
RESOLVED BY A JUDGE APPLYING SUCH APPLICABLE LAWS. THEREFORE, TO ACHIEVE THE
BEST COMBINATION OF THE BENEFITS OF THE JUDICIAL SYSTEM AND OF ARBITRATION,
THE PARTIES HERETO WAIVE ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, SUIT, OR
PROCEEDING BROUGHT TO RESOLVE ANY DISPUTE, WHETHER SOUNDING IN CONTRACT, TORT
OR OTHERWISE, ARISING OUT OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL TO THE
RELATIONSHIP ESTABLISHED AMONG THEM IN CONNECTION WITH THIS AGREEMENT OR ANY
RELATED DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY.

          Section 6.8 Counterparts. This Agreement may be executed in any
number of separate counterparts, each of which shall collectively and
separately constitute one agreement.

          Section 6.9 Severability. Wherever possible, each provision of this
Agreement shall be interpreted in such a manner as to be effective and valid
under applicable law, but if any provision of this Agreement shall be
prohibited by or invalid under applicable law, such provision shall be
ineffective only to the extent of such prohibition or invalidity without
invalidating the remainder of such provision or the remaining provisions of
this Agreement.

          Section 6.10 Section Titles. The section titles and table of
contents contained in this Agreement are provided for ease of reference only
and shall be without substantive meaning or content of any kind whatsoever and
are not a part of the agreement between the parties hereto.

          Section 6.11 No Setoff. The Originator's obligations under this
Agreement shall not be affected by any right of setoff, counterclaim,
recoupment, defense or other right the Originator might have against SPV, the
Issuer or the Indenture Trustee, all of which rights are hereby expressly
waived by the Originator.

          Section 6.12 Further Assurances. (a) The Originator shall, at its
sole cost and expense, promptly and duly execute and deliver any and all
further instruments and documents and take such further actions that may be
necessary or desirable or that SPV or the Indenture Trustee may request to
carry out more effectively the provisions and purposes of this Agreement or
any other Transaction Document or to obtain the full benefits of this
Agreement and of the rights and powers herein granted, including (i) securing
all consents and approvals necessary or

                                     -19-
<PAGE>

appropriate for the assignment to or for the benefit of SPV of any Transferred
Fleet Receivable and the Receivables Property, (ii) perfecting, protecting,
preserving, continuing and maintaining fully the purchase by, and the
assignments, security interests and other Liens granted or purported to be
granted to, SPV under this Agreement (including the filing any financing or
continuation statements under the UCC with respect to the ownership interests
or Liens granted hereunder or under any other Transaction Document) and (iii)
enabling SPV, the Issuer or the Indenture Trustee to exercise or enforce its
rights under this Agreement or any of the other Transaction Documents. The
Originator hereby authorizes SPV, the Issuer or the Indenture Trustee to file
any such financing or continuation statements without the signature of the
Originator to the extent permitted by applicable law. A carbon, photographic
or other reproduction of this Agreement or of any notice or financing
statement covering the Transferred Fleet Receivables or any part thereof and
the Receivables Property shall be sufficient as a notice or financing
statement where permitted by law. If any amount payable under or in connection
with any of the Transferred Fleet Receivables or Receivables Property is or
shall become evidenced by any instrument, such instrument, other than checks
and notes received in the ordinary course of business, shall be duly endorsed
in a manner satisfactory to SPV immediately upon the Originator's receipt
thereof and promptly delivered to or at the direction of SPV.

          (b) If the Originator fails to perform any agreement or obligation
under this Section 6.12, SPV, the Issuer or the Indenture Trustee may (but
shall not be required to) itself perform, or cause performance of, such
agreement or obligation, and the reasonable expenses of SPV, the Issuer or the
Indenture Trustee incurred in connection therewith shall be payable by such
Originator upon demand of SPV, the Issuer or the Indenture Trustee.

          Section 6.13 Fees, Expenses and Taxes. In addition to its
indemnification obligations pursuant to Article V, the Originator agrees to
pay all costs and expenses, if any (including attorneys' fees and expenses but
excluding any costs of enforcement or collection of the Transferred Fleet
Receivables), in connection with the enforcement of, or any actual or claimed
breach of, this Agreement. The Originator shall pay all filing fees, stamp
taxes and other similar taxes and expenses, if any, which may be incurred on
account of or arise out of this Agreement and the documents and transactions
entered into pursuant to this Agreement.

                                     -20-
<PAGE>

          IN WITNESS WHEREOF, the parties have caused this Receivables
Purchase Agreement to be executed by their respective duly authorized
representatives, as of the date first above written.

                                   PHH VEHICLE MANAGEMENT SERVICES LLC

                                   By  ________________________________
                                       Name:
                                       Title:

                                    Address:          900 Old Country Road
                                                      Garden City, NY  11530
                                    Attention:        General Counsel
                                    Facsimile:        (516) 222-3751

                                    RAVEN FUNDING LLC

                                    By  _________________________________
                                        Name:
                                        Title:

                                    Address:          900 Old Country Road
                                                      Garden City, NY  11530
                                    Attention:        General Counsel
                                    Facsimile:        (516) 222-3751

<PAGE>

                                                             EXHIBIT 2.1(a)
                                                                     to the
                                             Receivables Purchase Agreement

                        FORM OF RECEIVABLES ASSIGNMENT

          THIS RECEIVABLES ASSIGNMENT (the "Receivables Assignment") is
entered into as of __________, ____, by and between PHH Vehicle Management
Services LLC ("VMS") and Raven Funding LLC ("SPV").

          1. We refer to that certain Receivables Purchase Agreement
(as the same may from time to time be amended, restated, supplemented or
otherwise modified, the "Transfer Agreement") dated as of June 30, 1999
between VMS and SPV. All of the terms, covenants and conditions of the
Transfer Agreement are hereby made a part of this Receivables Assignment and
are deemed incorporated herein in full. Unless otherwise defined herein,
capitalized terms or matters of construction defined or established in the
Transfer Agreement shall be applied herein as defined or established therein.

          2. [For good and valuable consideration, the receipt of which is
hereby acknowledged, VMS hereby sells, assigns, transfers and conveys to SPV,
without recourse, except as provided in the Transfer Agreement, all of VMS's
right, title and interest in, to and under all Fleet Receivables identified on
Schedule I hereto as "Sold Receivables" and the Receivables Property with
respect thereto.]

          [For good and valuable consideration, the receipt of which is hereby
acknowledged, VMS hereby assigns, transfers and conveys to SPV as a capital
contribution, without recourse, except as provided in the Transfer Agreement,
all of VMS's right, title and interest in, to and under all Fleet Receivables
identified on Schedule I hereto as "Contributed Receivables" and the
Receivables Property with respect thereto.]

          3. The Fleet Receivables being transferred by this Receivables
Assignment consist of [$______ in face amount of Sold Fleet Receivables for a
purchase price of $______] [$______ in face amount of Contributed Fleet
Receivables].

          4. Subject to the terms and conditions of the Transfer Agreement,
VMS hereby covenants and agrees to sell or contribute, as applicable, execute
and deliver, or cause to be signed, sold or contributed, executed and
delivered, and to do or make, or cause to be done or made, upon request of SPV
and at VMS's expense, any and all agreements, instruments, papers, deeds, acts
or things, supplemental, confirmatory or otherwise, as may be reasonably
required by SPV for the purpose of or in connection with acquiring or more
effectively vesting in SPV or evidencing the vesting in SPV of the property,
rights, title and interests of VMS sold or contributed hereunder or intended
to be sold or contributed hereunder.

          5. Wherever possible, each provision of this Receivables Assignment
shall be interpreted in such a manner as to be effective and valid under
applicable law, but if any

<PAGE>

provision of this Receivables Assignment shall be prohibited by or invalid
under applicable law, such provision shall be ineffective only to the extent
of such prohibition or invalidity, without invalidating the remainder of such
provision or the remaining provisions of this Receivables Assignment.

          6. THIS RECEIVABLES ASSIGNMENT SHALL BE GOVERNED BY, AND CONSTRUED
AND ENFORCED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

          7. The foregoing [sale,] assignment, transfer and conveyance does
not constitute and is not intended to result in any assumption by SPV of any
obligation of the undersigned to any other Person in connection with the
Transferred Fleet Receivables and Receivables Property described above or any
agreement or instrument relating to any of them.

          8. The SPV and VMS intend that the transactions contemplated by this
assignment shall be treated as a [sale,] assignment, transfer and conveyance
by VMS of the Transferred Fleet Receivables and Receivables Property described
above and not a lending transaction. If this Assignment does not constitute a
valid [sale,] assignment, transfer and conveyance of all right, title and
interest of, in, to and under the Transferred Fleet Receivables and
Receivables Property described above despite the intent of the parties hereto,
VMS hereby grants a first priority "security interest" (as defined in the UCC
as in effect in the State of New York) in the Transferred Fleet Receivables
and Receivables Property and all proceeds thereof to the SPV and the parties
agree that this Assignment shall constitute a security agreement under the UCC
in effect in New York.

          9. This Assignment is made pursuant to and based upon the
representations, warranties and agreements on the part of the undersigned
contained in the Transfer Agreement and is to be governed by the Transfer
Agreement.

          IN WITNESS WHEREOF, the parties have caused this Receivables
Assignment to be executed by their respective officers thereunto duly
authorized, as of the day and year first above written.

                                    PHH VEHICLE MANAGEMENT SERVICES LLC

                                    By  _______________________________
                                        Name:
                                        Title:

                                     RAVEN FUNDING LLC

                                     By  _____________________________
                                         Name:
                                         Title:

                                     -21-
<PAGE>

                     Schedule I to Receivables Assignment

Sold Fleet Receivables

Contributed Fleet Receivables

<PAGE>

                                                             SCHEDULE 4.1(b)

                  Executive Offices; Collateral Locations and
                              Names of Originator

1.   Executive Office:

     900 Old Country Road
     Garden City, New York  11530

2.   Collateral Locations:

     307 International Circle
     Mail Code-CP
     Hunt Valley, Maryland  21030-1337

3.   Names:

     PHH Vehicle Management Services LLC
     PHH Vehicle Management Services Corporation
     PHH Fleet America Corporation
     Avis Leasing Corporation

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