Document:

exv10w49

Exhibit 10 (49)

ADMINISTRATIVE SERVICES AGREEMENT

THIS ADMINISTRATIVE SERVICES AGREEMENT (“Agreement”) is made effective as of January 1, 2010 by and
between Continental Casualty Company (“CCC”), an Illinois insurance company, and CNA Surety
Corporation, a Delaware corporation (“Surety”).

W I T N E S S E T H:

     WHEREAS, CNA Financial Corporation, a Delaware corporation (“CNAF”), indirectly owns all of
the issued and outstanding common stock of CCC and CCC owns the majority of the issued and
outstanding common stock of Surety;

     WHEREAS, CCC is the employer of the individuals who perform services for CNAF, along with
CNAF’s subsidiaries and affiliates (collectively, the “CNA Companies”), and is the primary CNAF
subsidiary that contracts with third parties to obtain goods and services on behalf of the CNA
Companies;

     WHEREAS, both parties acknowledge and agree that it is to their mutual benefit to have CCC
provide certain administrative services to Surety in exchange for fair and reasonable compensation,
all in accordance with the terms and conditions set forth herein; and

     WHEREAS, both parties acknowledge and agree that it is to their mutual benefit to have Surety
provide certain administrative services to CCC in exchange for fair and reasonable compensation,
all in accordance with the terms and conditions set forth herein;

     NOW THEREFORE, for and in consideration of the mutual covenants and agreements set forth
herein, the receipt and sufficiency of which the parties hereby acknowledge, the parties agree as
follows:

1. Administrative Services To Be Provided by CCC. In exchange for the CCC Administrative Services
Fee (as defined in Section 6), CCC shall provide to Surety certain administrative services which
shall include, but not be limited to, the services described below (collectively, the “CCC
Administrative Services”):

     (a) Corporate Insurance. CCC will place certain corporate insurance policies for the
protection of the assets and revenues of CNAF and will assist in coordinating coverage between CCC
and Surety.

     (b) Internal Audit. CCC will perform various operating, claims, underwriting, information
technology systems, designated underwriting authority and financial and premium audits annually or
as otherwise mutually determined.

     (c) Financial Accounting & Reporting. CCC will assist Surety with various accounting/financial
reporting issues, including monthly and quarterly financial close activities, as well as with other
related matters as needed.

     (d) Information Technology. Where permitted by the underlying license or use agreements, CCC
will provide Surety access to CCC’s voice and data networks, as well as access to CCC’s enterprise
software, obtaining any necessary permission or licensing as may be required.

     (e) Business Reports. Where permitted by the underlying license or subscription agreements,
CCC will provide Surety access to certain third party business reports to which CCC subscribes,
obtaining any necessary permission or licensing as may be required.

 

 

     (f) Compliance. CCC will assist Surety with its Sarbanes-Oxley compliance program, as well as
other compliance programs, and periodically provide compliance auditing services. Surety may also
utilize CCC’s online Risk Control Tracking System (RCTS) for Sarbanes-Oxley compliance reporting
purposes.

     (g) Contract Administration. CCC will provide contract administration services to Surety,
including, without limitation, sourcing, procurement and negotiation services, as needed.

     (h) Real Estate Services. CCC will procure and provide office space to Surety including the
negotiation of rents and lease terms, as well as the provision of facilities planning and
management services, all as needed.

     (i) Human Resources. CCC will provide associate survey and compensation survey materials and
other various human resource materials to Surety on an annual basis. In addition, CCC will make
available to Surety CCC’s web-based training.

     (j) Legal. CCC will provide contract review and legal counsel to Surety as needed.

     (k) Marketing. CCC will provide marketing services to Surety as needed.

     (l) Organizational Development and Training. CCC will provide Surety with access to hard-copy
and on-line training materials and standard talent review tools for succession planning.

     (m) Tax Preparation. CCC will assist Surety with state and federal income tax preparation and
provide tax consulting services as needed.

Surety may, from time to time, elect to expand or otherwise modify the specific CCC Administrative
Services enumerated above at mutually acceptable rates determined in accordance with the
methodologies applicable to the calculation of the CCC Administrative Services Fee, as further
described in Section 6.

2. Services To Be Provided By Surety. In exchange for the Surety Administrative Services Fee (as
defined in Section 7), Surety, through its subsidiary Western Surety Company, shall provide to CCC
certain administrative services which shall include, but not be limited to, the services described
below (collectively, the “Surety Administrative Services”):

     (a) Agency Licensing Services. Surety will assist CCC, along with other subsidiaries and
affiliates of CCC, with the provision of certain agency licensing, appointment and related agent
record-keeping services, as needed.

     (b) Agency Contracts. Surety will assist CCC, along with other subsidiaries and affiliates of
CCC, with the maintenance of agency contracts, as needed.

CCC may, from time to time, elect to expand or otherwise modify the specific Surety Administrative
Services enumerated above at mutually acceptable rates determined in accordance with the
methodologies applicable to the calculation of the Surety Administrative Services Fee, as further
described in Section 7.

3. Employees. CCC authorizes its employees (collectively, the “CCC Employees”) to perform the CCC
Administrative Services for Surety and Surety consents to receive the CCC Administrative Services
through the CCC Employees. Similarly, Surety authorizes its employees (collectively, the “Surety
Employees”) to perform the Surety Administrative Services for CCC and CCC consents to receive the
Surety Administrative Services through the Surety Employees. Notwithstanding any provision in this
Agreement to the contrary, however, CCC shall continue to remain the sole employer of the CCC
Employees and Surety shall continue to remain the sole employer of the Surety Employees.

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4. Control & Responsibility. CCC shall provide all CCC Administrative Services under the sole
ultimate direction and control of Surety’s senior management. Similarly, Surety shall provide all
Surety Administrative Services under the sole ultimate direction and control of CCC’s senior
management. As a result, notwithstanding any provision in this Agreement to the contrary, Surety
shall retain ultimate liability and responsibility for the CCC Administrative Services and CCC
shall retain ultimate liability and responsibility for the Surety Administrative Services.

5. Term. The term of this Agreement (“Term”) shall commence effective as of January 1, 2010 and
shall automatically renew each year until the earlier to occur of the following: (a) either party
elects to terminate this Agreement by providing written notice to the remaining party at least
thirty (30) days in advance of the date on which the termination is to take effect; or (b) a change
in control occurs as to either party such that it is no longer ultimately owned, in whole or in
part, by CNAF, in which event this Agreement shall automatically terminate immediately upon the
date on which the change in control takes effect.

6. CCC Administrative Services Fee.

     (a) In exchange for the CCC Administrative Services, Surety hereby covenants and agrees to
remit to CCC compensation in the manner set forth in Appendix A attached hereto and
incorporated herein (“CCC Administrative Services Fee”). The CCC Administrative Services Fee shall
be: (1) substantially equivalent to the parties’ good faith estimate of Surety’s anticipated usage
of the then current definition of the CCC Administrative Services; (2) based on an equitable
allocation of the actual costs incurred by CCC in providing the CCC Administrative Services
including, without limitation, salaries, rent, utility charges, legal expenses and auditing fees,
as well as sales, excise, value added and real estate taxes; and (3) in conformity with customary
insurance accounting practices consistently applied in compliance with applicable governmental
rules and regulations in a manner that reflects the reasonable, customary and usual charges for the
CCC Administrative Services established in accordance with prudent and rational cost accounting
methodologies and in conformity with applicable arm’s length pricing regulations. The CCC
Administrative Services Fee shall also include reimbursement to CCC for any and all third party
charges CCC incurs in connection with the CCC Administrative Services, plus an arm’s length markup
of certain costs to the extent they involve any of the CCC Administrative Services that are not
eligible for allocation to Surety under the services cost method (SCM), as defined by the U.S.
Internal Revenue Service from time to time (see e.g., Treasury Regulation §1.482-9T(b)).

     (b) The portion of the CCC Administrative Services Fee related to procuring and providing
office space, along with related real estate services, to Surety pursuant to Section 1(h) (“CCC
Real Estate Services Fee”) is initially calculated based on Surety’s percentage of rentable square
feet in each office location as negotiated between both parties at the time the lease is executed.
For the purpose of calculating the CCC Real Estate Services Fee, Surety’s percentage of rentable
square feet will remain unchanged until any one of the following conditions is met: (1) Surety
request to occupy and subsequently occupies additional space in the office location; (2) the
percentage is renegotiated between both parties due to a significant change in the number of
occupants in the office location; (3) the lease term is modified; or (4) the lease expires.
Although CCC shall monitor periodic changes to Surety’s percentage of rentable square feet, for
administrative convenience, the parties shall true up the CCC Real Estate Services Fee on an annual
basis through the ordinary course of reconciling accounts between the parties. The results of the
true up shall be mutually agreed by the parties, as evidenced by the approval of CCC’s Controller
and Surety’s Chief Financial Officer (or their respective designees), which approval need not be in
writing. Except as provided in this Section 6(b) and Sections 6(c) and 6(d), the CCC
Administrative Services Fee shall be fixed and shall not be subject to any true up or other
modification, regardless of Surety’s use or non-use of the CCC Administrative Services.

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     (c) The addition or deletion of any recurring CCC Administrative Services that are material in
nature or dollar amount shall be provided at mutually acceptable rates determined in accordance
with the methodologies applicable to the calculation of the CCC Administrative Services Fee, as
described in this Section 6. The adjustment to the CCC Administrative Services Fee shall be
evidenced by a mutually executed updated version of Appendix A which shall automatically
supersede and replace in its entirety the then current version of Appendix A.

     (d) The addition or deletion of any non-recurring CCC Administrative Services, whether or not
material in nature or dollar amount, shall be provided at mutually acceptable rates determined in
accordance with the methodologies applicable to the calculation of the CCC Administrative Services
Fee, as described in this Section 6. The adjustment to the CCC Administrative Services Fee shall
be mutually approved by CCC’s Controller and Surety’s Chief Financial Officer (or their respective
designees), which approval need not be in writing.

7. Surety Administrative Services Fee.

     (a) In exchange for the Surety Administrative Services, CCC hereby covenants and agrees to
remit to Surety compensation in the manner set forth in Appendix B attached hereto and
incorporated herein (“Surety Administrative Services Fee”). The Surety Administrative Services Fee
shall be: (1) substantially equivalent to the parties’ good faith estimate of CCC’s anticipated
usage of the then current definition of the Surety Administrative Services; (2) based on an
equitable allocation of the actual costs incurred by Surety in providing the Surety Administrative
Services including, without limitation, salaries, rent, utility charges, legal expenses and
auditing fees, as well as sales, excise, value added and real estate taxes; and (3) in conformity
with customary insurance accounting practices consistently applied in compliance with applicable
governmental rules and regulations in a manner that reflects the reasonable, customary and usual
charges for the Surety Administrative Services established in accordance with prudent and rational
cost accounting methodologies. The Surety Administrative Services Fee shall also include
reimbursement to Surety for any and all third party charges Surety incurs in connection with the
Surety Administrative Services including, but not limited to, those imposed by state insurance
regulators, plus an arm’s length markup of certain costs to the extent they involve any of the
Surety Administrative Services that are not eligible for allocation to CCC at cost. Except as
provided in Sections 7(b) and 7(c), the Surety Administrative Services Fee shall be fixed and shall
not be subject to any true up or other modification, regardless of CCC’s use or non-use of the
Surety Administrative Services.

     (b) The addition or deletion of any recurring Surety Administrative Services that are material
in nature or dollar amount shall be provided at mutually acceptable rates determined in accordance
with the methodologies applicable to the calculation of the Surety Administrative Services Fee, as
described in this Section 7. The adjustment to the Surety Administrative Services Fee shall be
evidenced by a mutually executed updated version of Appendix B which shall automatically
supersede and replace in its entirety the then current version of Appendix B.

     (c) The addition or deletion of any non-recurring Surety Administrative Services, whether or
not material in nature or dollar amount, shall be provided at mutually acceptable rates determined
in accordance with the methodologies applicable to the calculation of the Surety Administrative
Services Fee, as described in this Section 7. The adjustment to the Surety Administrative Services
Fee shall be mutually approved by CCC’s Controller and Surety’s Chief Financial Officer (or their
respective designees), which approval need not be in writing.

8. Compliance with Laws. Both parties shall comply with applicable laws in effect from time to time
including, without limitation, the Foreign Corrupt Practices Act of 1977 and the Patriot Act, as
well as regulations and restrictions imposed by the U.S. Treasury’s Office of Foreign Assets
Control.

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9. Choice of Law; Severability. This Agreement shall be governed by and construed in accordance
with the laws of the state of Illinois without regard to conflict or choice of law principles. If
any covenant, condition, or provision herein is held to be invalid, the invalidity thereof shall be
severable from the remainder of this Agreement and shall not in any way affect any other covenant,
condition or provision herein.

10. Entire Agreement. This Agreement constitutes the entire agreement between CCC and Surety
relating to the administrative services they provide to one another, and any prior agreements
whether verbal or written have been superseded, merged and integrated into this Agreement
including, without limitation, that certain Restated Administrative Services Agreement, dated as of
July 1, 2004, by and between the parties, which agreement shall be automatically be terminated and
of no further force and effect immediately upon the date upon which this Agreement takes effect.
Notwithstanding the foregoing, however, any reinsurance agreements between the parties shall
continue to remain in full force and effect and shall not be superseded, merged or integrated into
this Agreement.

11. Successors & Assigns; No Third Party Beneficiaries. This Agreement shall be binding on and
inure to the benefit of both parties and their respective successors and permitted assigns and may
not be modified or amended orally, but only in a writing signed by all parties. Surety may not
assign its rights or obligations under this Agreement without the prior written consent of CCC,
which consent may be withheld in CCC’s sole and absolute discretion. This Agreement shall be
solely for the benefit of the parties hereto and no other person or entity (with the exception of
successors and permitted assigns) shall be a third-party beneficiary.

12. Non-Waiver. No failure or delay by either party in exercising any right with respect to this
Agreement shall operate as a waiver thereof, nor shall any single or partial exercise thereof
preclude any other or further exercise thereof or the exercise of any other right.

13. Counterparts. This Agreement may be executed in counterparts, each of which shall constitute an
original, but all of which together shall constitute one and the same instrument. In addition,
this Agreement may be executed via facsimile and that facsimile signatures shall be valid and
binding for all purposes

     IN WITNESS WHEREOF, the parties have executed and delivered this Administrative Services
Agreement as of the date first above written.

	 	 	 	 	 	 	 	 	 	 	 

	Continental Casualty Company	 	 	 	CNA Surety Corporation	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	 
 

	 	 
	 	By:
	 	 
 

	 	 
	Printed Name:

	 	 
	 	 	 	Printed Name:
	 	 	 	 
	 

	 	 
	 	 	 	 	 	 	 	 
	Title:

	 	 
 

	 	 	 	Title:
	 	 
 

	 	 

	 	 	 	 	 

	Attest:	 	 
	 
	 	 	 	 
	By:

	 	 
 

	 	 
	Printed Name:

	 	 
 

	 	 
	Title:

	 	 
 

	 	 

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Appendix A

Administrative Services Agreement by and between Continental Casualty Company and

CNA Surety Corporation (“Agreement”)

Administrative Services Fee

Pursuant to Section 6 of the Agreement, the CCC Administrative Services Fee shall be four million
four hundred sixty-nine thousand one hundred forty dollars ($4,469,140). The CCC Administrative
Services Fee shall be payable in twelve (12) equal installments on or before the last day of each
month during the Term, either through cash or an inter-company credit. If the Term ends during the
course of a calendar year, the CCC Administrative Services Fee shall be equitably pro-rated.

Based on surveys conducted by CCC to identify all planned activities to be performed by CCC for the
benefit of Surety, the estimated cost of providing the CCC Administrative Services was determined
by using time and cost estimates developed by subject matter experts during the 2010 annual
corporate planning cycle. Hourly cost rates are based on average employee cost rates by pay grade
and include, without limitation, the cost of employee salaries, benefits, payroll taxes, space
utilization, end-user computing, corporate insurance, and human resources support.

As provided in Section 6(b) of the Agreement, the parties shall true up the CCC Real Estate
Services Fee on an annual basis through the ordinary course of reconciling accounts between the
parties. The results of the true up shall be mutually agreed by the parties, as evidenced by the
approval of CCC’s Controller and Surety’s Chief Financial Officer (or their respective designees),
which approval need not be in writing. Except as provided in Section 6(b) and Sections 6(c) and
6(d) of the Agreement, the CCC Administrative Services Fee shall be fixed and shall not be subject
to any true up or other modification, regardless of Surety’s use or non-use of the CCC
Administrative Services.

The expansion or other modification of the specific CCC Administrative Services shall be provided
at mutually acceptable rates determined in accordance with the methodologies applicable to the
calculation of the CCC Administrative Services Fee, as further described in Section 6 of the
Agreement. The addition or deletion of any non-recurring CCC Administrative Services shall be
mutually approved by CCC’s Controller and Surety’s Chief Financial Officer (or their respective
designees), which approval need not be in writing, but the addition or deletion of any recurring
CCC Administrative Services that are material in nature or dollar amount shall be evidenced by a
mutually executed updated version of Appendix A which shall automatically supersede and
replace in its entirety the then current version of Appendix A.

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Appendix B

Administrative Services Agreement by and between Continental Casualty Company and

CNA Surety Corporation (“Agreement”)

Surety Administrative Services Fee

Pursuant to Section 7 of the Agreement, the Surety Administrative Services Fee shall initially be
set at one million three hundred thirty-five thousand fifty-five dollars ($1,335,055).

The Surety Administrative Services Fee shall be payable in twelve (12) equal installments on or
before the last day of each month during the Term, either through cash or an inter-company credit.
If the Term ends during the course of a calendar year, the Surety Administrative Services Fee shall
be equitably pro-rated. On or before the last day of each month, Surety shall provide CCC with a
statement of all third party fees it incurred during such month in connection with the Surety
Administrative Services. Reimbursement of such fees shall be payable, either through cash or an
inter-company credit, within ten (10) business days.

Based on surveys conducted by Surety to identify all planned activities to be performed by Surety
for the benefit of CCC, the estimated cost of providing the Surety Administrative Services was
determined by using time and cost estimates developed by subject matter experts during the 2010
annual corporate planning cycle. Hourly cost rates are based on an average employee cost rate, and
include, without limitation, the cost of employee salaries, benefits, payroll taxes, space
utilization, end-user computing, corporate insurance, and human resources support.

Except as provided in Sections 7(b) and 7(c) of the Agreement, the Surety Administrative Services
Fee shall be fixed and shall not be subject to any true up or other modification, regardless of
CCC’s use or non-use of the Surety Administrative Services.

The expansion or other modification of the specific Surety Administrative Services shall be
provided at mutually acceptable rates determined in accordance with the methodologies applicable to
the calculation of the Surety Administrative Services Fee, as further described in Section 7 of the
Agreement. The addition or deletion of any non-recurring Surety Administrative Services shall be
mutually approved by CCC’s Controller and Surety’s Chief Financial Officer (or their respective
designees), which approval need not be in writing, but the addition or deletion of any recurring
Surety Administrative Services that are material in nature or dollar amount shall be evidenced by a
mutually executed updated version of Appendix B which shall automatically supersede and
replace in its entirety the then current version of Appendix B.

7exv10w1

Exhibit 10.1

Prepared by and return to:

Wyndham Vacation Resorts, Inc.

Office of the General Counsel

8427 South Park Circle

Orlando, Florida 32819

Attn: George Hewes, Esq.

SECOND AMENDMENT TO THE SECOND AMENDED

AND RESTATED FAIRSHARE VACATION PLAN 

USE MANAGEMENT TRUST AGREEMENT

     This Second Amendment to the Second Amended and Restated FairShare Vacation Plan Use
Management Trust Agreement (this “Second Amendment”) is made effective as of the 15th day of
February, 2010 by and between the Fairshare Vacation Owners Association, an Arkansas nonprofit
corporation (the “Trustee” or, alternatively, the “Association”) and Wyndham Vacation Resorts,
Inc., a Delaware corporation (“Wyndham”).

WITNESSETH THAT:

WHEREAS, the Second Amended and Restated FairShare Vacation Plan Use Management Trust Agreement
dated as of March 14, 2008 (the “Trust Agreement”) amended and restated that certain Amended and
Restated FairShare Vacation Plan Use Management Trust Agreement dated January 1, 1996, as amended,
and said Amended and Restated FairShare Vacation Plan Management Use Trust Agreement amended and
restated that certain FairShare Vacation Plan Use Management Trust Agreement dated June 26, 1991
which established a trust to permit the Beneficiaries to use and exchange Use Rights available
through the Trust;

WHEREAS, the Trustee and Wyndham executed the First Amendment to the Second Amended and Restated
FairShare Vacation Plan Use Management Trust Agreement dated March 16, 2009 (the “First Amendment”
and the Trust Agreement as amended by the First Amendment is hereinafter called the “Amended Trust
Agreement”);

WHEREAS, the Trustee is the entity responsible for certain duties and obligations in connection
with the operation and administration of the Trust, as set forth in the Amended Trust Agreement;

WHEREAS, the Trustee has determined, after thorough consideration and analysis, that the Amended
Trust Agreement warrants being amended to clarify the Trustee’s and the Plan Manager’s authority to
assess fees against those Members whose installment payment or annual payment of the Club Wyndham
Plus Assessment, whose payment of fees for special requested services and/or whose payment of any
other amount due to the Trustee or the Plan Manager is delinquent and to clarify other matters; and

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WHEREAS, the parties hereto desire, in accordance with the terms and provisions of Section 14.05 of
the Amended Trust Agreement, to modify the terms of the Amended Trust Agreement as set forth in
this Second Amendment.

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto mutually agree as follows:

1. This Second Amendment and the Amended Trust Agreement shall, for all purposes, be deemed to be
one instrument. In the event of any conflict between the terms and provisions of this Second
Amendment and the terms and provisions of the Amended Trust Agreement, the terms and provision of
this Second Amendment shall, in all instances, control and prevail. Except as expressly defined
herein, all words and phrases which are defined in the Amended Trust Agreement shall have the same
meanings in this Second Amendment as are ascribed to them in the Amended Trust Agreement.

2. All references in the Amended Trust Agreement to “FairShare Plus” or “Club Wyndham Plus” shall
be revised to read “CLUB WYNDHAM Plus.” Thus, for example, the second sentence of the definition
of the term “Plan” in Article I of the Amended Trust Agreement shall read as follows:

“The Plan is also known as the CLUB WYNDHAM Plus Program.”

3. The definition of Program Fund set forth in Article I is deleted in its entirety and the
following is substituted in lieu thereof:

“‘Program Fund’ means the account or accounts in which the Program Fee and all other
amounts (other than OA Fees) paid to the Trustee or the Plan Manager under this Trust
Agreement or the Directory are deposited to pay the expenses incurred in connection with the
operation and administration of the Plan.”

4. The following defined term shall be added to Article I of the Amended Trust Agreement,
Definitions:

“‘CLUB WYNDHAM Plus Account’ means the sum of all assessments, fees, charges and
other amounts payable by a Member to the Trustee or the Plan Manager, including, without
limitation, a Member’s CLUB WYNDHAM Plus Assessment or installments thereof and fees payable
to the Trustee or the Plan Manager for special services requested by the Member.”

5. Section 3.04 of the Amended Trust Agreement is deleted in its entirety and the following is
substituted in lieu thereof:

“3.04 Wyndham. Wyndham, in its capacity as the developer of resort communities and
Vacation Plans or as the sales and marketing agent of Property Interests for Third Parties,
shall have the right to sell Property Interests to purchasers who, after such purchase,
voluntarily elect to subject such Property Interests (or the Use Rights therein) to this

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Trust Agreement or to sell Property Interests which have been subjected to this Trust
Agreement prior to such sale, in either case for cash or other terms acceptable to Wyndham.
With respect to the Property Interests subjected to this Trust Agreement which it owns (and
therefore prior to the sale thereof by Wyndham), Wyndham, as such developer, may finance,
with one or more lenders, such Property Interests, and may deliver to any such lender, deeds
of trust, mortgages or other security instruments or liens against such Property Interests.
Wyndham, as such developer, may also pledge to one or more lenders the Purchase Agreements
or promissory notes given by Members secured by UCC-1 Financing Statements, mortgages, deeds
of trust, or other security instruments. Any such liens or security interests shall contain
subordination language which subordinates the lenders’ interest in the Property Interest
encumbered by such lien or security interest to that of the Member so long as such Member is
not in default of the contractual obligations under the Member’s Purchase Agreement or
promissory note.”

6. Section 5.03 of the Amended Trust Agreement is deleted in its entirety and the following is
substituted in lieu thereof:

“5.03 Addition of Accommodations. Wyndham, in its sole and absolute discretion, or
the Plan Manager (with Wyndham’s consent) may, from time to time, (a) cause resort
communities and Vacation Plans (whether developed by Wyndham or Third Parties) to enter into
affiliation arrangements with the Trust with the intention, as noted in Section 3.04, that
either (i) the purchaser of a Property Interest therein would have the right, on a voluntary
basis, to assign the Use Rights therein to the Trust after such purchase or (ii) the
Property Interests therein would have been previously subjected to this Trust Agreement and
therefore, the purchaser thereof would automatically become a Member, and (b) cause the
Property Interests in additional Accommodations, interests or rights in other real or
personal property and/or rights in or to services to be transferred or otherwise made
available to the Members through the Plan, all of such actions to occur without the consent
of any of the other Members or the Trustee; but under no circumstances shall Wyndham or the
Plan Manager be required to make any such transfers. The addition to the Plan of Property
Interests (or the Use Rights therein) in Accommodations, interests or rights in other real
and personal property and/or rights in or to services may result in the addition of new
Members who will compete with existing Members in making reservations for the use of the
Trust Properties, and may also result in an increase in the Program Fee.”

7. Section 8.01 of the Amended Trust Agreement is deleted in its entirety and the following is
substituted in lieu thereof:

“8.01 Restrictions on Encumbrances. Trustee, in its capacity as Trustee under this
Trust Agreement, shall not encumber any of the Trust Properties or other assets of the Plan
(including the escrowed OA Fees), except to the extent of the lien or security interest in
favor of the Trustee for the outstanding balance of each Member’s CLUB WYNDHAM Plus Account
(other than the portion thereof constituting OA Fees) (as provided in Section 10.07 below);
provided, however, the Trustee shall not be restricted

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from accepting on behalf of the Trust a conveyance of a Property Interest (or the Use Rights
therein) which Property Interest has encumbrances or other interests which are or may be
prior to those of any Beneficiary provided the provisions of ARTICLE VI, Section 6.01
(b) have been met.”

8. Section 10.07 of the Amended Trust Agreement is deleted in its entirety and the following is
substituted in lieu thereof:

“10.07 Delinquent CLUB WYNDHAM Plus Account. A Member’s CLUB WYNDHAM Plus Account
shall be deemed to be delinquent if (1) such Member shall fail to pay when due (a) his CLUB
WYNDHAM Plus Assessment, or any installment thereof, (b) any fees charged by the Trustee or
the Plan Manager for specially requested services pursuant to this Trust Agreement or the
Directory, or (c) any other amount due the Trustee or the Plan Manager and (2) such failure
shall continue for thirty (30) days after the date that the Trustee (or the Plan Manager on
behalf of the Trustee) sends written notice thereof. A past due notice or a notice of
failure of collection shall be deemed to satisfy the requirement for such written notice.
Once a Member’s CLUB WYNDHAM Plus Account becomes delinquent, (i) such Member shall no
longer be entitled to use his Points in the Plan unless and until such delinquency is cured
and (ii) the Trustee (or the Plan Manager on behalf of the Trustee) shall have the right, to
the extent not expressly prohibited by applicable law, to assess against and collect from
such Member and add to his CLUB WYNDHAM Plus Account (x) a late fee in an amount determined
by the Plan Manager as reasonable compensation for the additional administrative burden
created by the delinquency, to be assessed against each payment, installment, fee or other
amount that is so delinquent and (y) collection costs and expenses incurred by the Plan
Manager in collecting from a Member late fees and the delinquent portion of his CLUB WYNDHAM
Plus Account, which costs and expenses shall reasonably approximate the Plan Manager’s
actual collection costs and expenses. Further, the Trustee shall have (and each Member, by
acquiring a Property Interest subject to this Trust Agreement or by assigning to the Trust
the Use Rights in his Property Interest, shall be deemed to have granted to the Trustee) a
lien or security interest in such Member’s Use Rights (or Property Interest) to the extent
of the outstanding balance of such Member’s CLUB WYNDHAM Plus Account (except for the
portion thereof constituting OA Fees), which lien or security interest shall, in all
respects, be subordinate to both (A) the lien or security interest of the underlying OA with
respect to the OA Fees owed to it and (B) the lien or security interest of any lender who
has a provided purchase money financing in connection with such Member’s Property Interest.
Upon the occurrence of such a delinquency, the Trustee is hereby authorized to take all
steps necessary to perfect its lien or security interest and to enforce its lien or security
interest in any manner permitted by applicable law, including, but not limited to, a suit at
law or a power of sale or enforcement of its lien or security interest in the manner
provided for under applicable law.”

9. Section 10.08 of the Amended Trust Agreement is deleted in its entirety and the following is
substituted in lieu thereof:

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“10.08 Withdrawal from Trust. In the event a Member withdraws his Property
Interest (or the Use Rights therein) from the Trust for any reason, such Member shall be
entitled to receive a refund of the prepaid OA Fee held in the Escrow Account on his behalf.
The amount of the refund shall equal the balance of the withdrawing Member’s prepaid OA
Fees less any administrative fees charged by the Trustee and/or the Plan Manager in
connection with such withdrawal. The portion of such Member’s CLUB WYNDHAM Plus Account not
constituting OA Fees is not refundable.”

10. Section 11.07 of the Amended Trust Agreement is deleted in its entirety and the following is
substituted in lieu thereof:

“11.07 Delinquent Payments. The Trustee reserves the right to prohibit a Member
from utilizing his Points to reserve or use Accommodations, in the event of a delinquency in
the payment of any amounts due to Wyndham or any other seller, lender or lienholder related
to such Member’s Property Interest or Points, or in the event of a delinquency in such
Member’s CLUB WYNDHAM Plus Account.”

11. Section 12.01 of the Amended Trust Agreement is deleted in its entirety and the following is
substituted in lieu thereof:

“12.01 Sale or Transfer. A Member may sell or otherwise transfer his Property
Interest and Points provided such Member gives notice to the Trustee at the address
specified herein and provided further that the Points allocated to a Property Interest (or
the Use Rights therein) may not be sold separate from such Property Interest. A Member may
not transfer his Property Interest nor permit others to use the Points associated therewith
unless such Member is current in his payment of all amounts due under his CLUB WYNDHAM Plus
Account and such Member is current in the payment of any other financial obligation to the
Trust or to any OA. The transfer of a Property Interest and the Points associated therewith
may not result in a Member owning less than the minimum number of Points needed to reserve
one week in an Accommodation. A Member desiring to transfer his Property Interest must also
obtain the written consent of Wyndham, which consent may be withheld if the Member is
delinquent in the payment of any obligations then due Wyndham under his Purchase Agreement,
or under a mortgage, deed of trust or other security instrument encumbering his Property
Interest, or if the terms and conditions of the Member’s Assignment Agreement prohibit or
condition the sale, conveyance or transfer of the Membership to persons other than Wyndham.
Wyndham and/or the Plan Manager has the right, in its discretion, to charge an enrollment
fee for the purchaser to join the Plan with respect to the Property Interest being
transferred, and a reasonable transfer fee for documenting the transfer of a Property
Interest and the appurtenant Points.”

12. Section 13.03 of the Amended Trust Agreement is deleted in its entirety and the following is
substituted in lieu thereof:

5

 

“13.03 Payment of Delinquencies. Neither the Plan Manager, the Trustee, the
Association nor Wyndham shall be responsible for paying any CLUB WYNDHAM Plus Assessments or
any delinquencies in any Member’s CLUB WYNDHAM Plus Account.”

13. The modifications to the Amended Trust Agreement contained in this Second Amendment shall
become effective on the date first written above, unless otherwise specifically noted.

14. The Amended Trust Agreement shall remain in full force and effect except as hereby amended, and
the Amended Trust Agreement, as amended by this Second Amendment, is hereby approved, ratified and
confirmed.

[SIGNATURES ON FOLLOWING PAGE]

6

 

     IN WITNESS WHEREOF, the parties have executed this Second Amendment to the Second Amended and
Restated FairShare Vacation Plan Use Management Trust Agreement as of the date set forth above.

WYNDHAM VACATION RESORTS, INC.,

a Delaware corporation

	 	 	 	 	 

	By:

	 	/s/ Gary T. Byrd	 	 
	 

	 	Its: Executive Vice President	 	 
	 

	 	Name (Printed) Gary T. Byrd
	 	(SEAL)
	 
	 	 	 	 
	FAIRSHARE VACATION OWNERS ASSOCIATION	 	 
	an Arkansas nonprofit corporation, in its capacity as TRUSTEE	 	 
	 
	 	 	 	 
	By:

	 	/s/ Terri Dost
	 	(SEAL)
	 

	 	Its: President	 	 
	 

	 	Name (Printed) Terri Dost	 	 

7

 

ACKNOWLEDGEMENT

	 	 	 

	STATE OF Florida)
	 	 
	 

	 	) SS.
	COUNTY OF Orange )
	 	 

     On January 5, 2010 before me, the undersigned, a Notary Public in and for said State,
personally appeared Gary T. Byrd personally known to me or proved to me on the basis of
satisfactory evidence to be the person who executed the within named instrument as Executive Vice
President of Wyndham Vacation, Resorts Inc., a Delaware corporation, executed same in accordance
with a resolution of the Board of Directors of the corporation or the corporate by-laws.

     WITNESS my hand and official seal.

Signature /s/ Anna L. Walton

Anna L. Walton

Notary’s Name (Typed or Printed)

	 	 	 

	STATE OF Florida)
	 	 
	 

	 	) SS.
	COUNTY OF Orange)
	 	 

     On January 5, 2010 before me, the undersigned, a Notary Public in and for said State,
personally appeared Terri Dost personally known to me or proved to me on the basis of satisfactory
evidence to be the person who executed the within named instrument as President of FairShare
Vacation Owners Association, an Arkansas non-profit corporation, in its capacity as “Trustee”,
executed same in accordance with a resolution of the Board of Directors of the corporation or the
corporate by-laws.

     WITNESS my hand and official seal.

Signature Anna L. Walton

Anna L. Walton

Notary’s Name (Typed or Printed)

8

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