Document:

Exhibit

 Exhibit 10.2

TEMPORARY WAIVER AND CONSENT

This TEMPORARY WAIVER AND CONSENT (this “Waiver and Consent”) dated as of May 14, 2020 is entered into by and among ONDECK ASSET FUNDING II, LLC, a Delaware limited liability company (“Company”), solely with respect to Section 3, On Deck Capital, Inc., a Delaware corporation (“Holdings”), the Lenders party hereto which constitute all the Lenders currently party to the Credit Agreement (defined below) and ARES AGENT SERVICES, L.P., as Administrative Agent (in such capacity, the “Administrative Agent”).
RECITALS:
WHEREAS, Company, the Lenders party thereto from time to time, the Administrative Agent, Ares Agent Services L.P., as Collateral Agent for the Secured Parties, and Wells Fargo Bank, N.A., as Paying Agent, entered into a Credit Agreement, dated as of August 8, 2018 (as may be amended, restated, supplemented or otherwise modified from time to time, the “Credit Agreement”) pursuant to which the Lenders have made advances and other financial accommodations to Company. Capitalized terms not otherwise defined in this Waiver and Consent have the same meanings as specified in the Credit Agreement;
WHEREAS, Company has advised the Lenders and the Administrative Agent that Borrowing Base Deficiencies exist as set forth in (i) the weekly Borrowing Base Reports delivered by the Company on May 1, 2020 and May 8, 2020, in each case pursuant to Section 5.1(k)(i) of the Credit Agreement, (ii) the monthly Borrowing Base Certificate delivered by the Company  with respect to the April 2020 Monthly Period pursuant to Section 5.1(f)(i) of the Credit Agreement, and (iii) the April 2020 Monthly Servicing Report delivered by the Company on May 12, 2020, pursuant to Section 5.1(f)(ii) of the Credit Agreement (such Borrowing Base Deficiencies as so reported in such Borrowing Base Reports, Borrowing Base Certificate and Monthly Servicing Report, as applicable, the “Existing Borrowing Base Deficiencies”); 
WHEREAS, Company has requested that the Lenders and the Administrative Agent grant a temporary limited waiver solely during the Waiver Period (as defined below) with respect to (i) the occurrence and existence of the Existing Borrowing Base Deficiencies and (ii) the Company’s failure to prepay the Loans in an amount sufficient to cure the Existing Borrowing Base Deficiencies as required by Section 2.9 of the Credit Agreement, (the events and circumstances described in the foregoing clauses (i) through (ii), the “Specified Events”), and the Lenders and the Administrative Agent have agreed to grant such temporary limited waiver of the Specified Events subject to the terms and conditions set forth herein; and
WHEREAS, Company has requested that on the Interest Payment Date occurring on May 15, 2020 the Lenders and the Administrative Agent agree to apply Collections for the month of April 2020 (the “April Collections”) solely with respect to items “first” through “fifth” of Section 2.11(a) of the Credit Agreement, retain the remaining April Collections in the Collection Account and apply them in accordance with Section 2.11(b) of the Credit Agreement (without duplication of payments already made in accordance with Section 2.11(a) of the Credit Agreement) at the end of the Waiver Period (as defined below) unless otherwise agreed upon in writing by Company, the Lenders and the Administrative Agent.

NOW, THEREFORE, in consideration of the premises and the agreements, provisions and covenants herein contained, the parties hereto agree as follows:
SECTION 1.    TEMPORARY WAIVER AND CONSENT
1.1    Waiver; Limitations.  Effective as of the Effective Date (defined below), subject to the satisfaction of the conditions to effectiveness set forth in Section 4.1 below, the Lenders and the Administrative Agent hereby waive the occurrence, existence or continuance of any Specified Event solely 

 

 Exhibit 10.2

during the period commencing on the Effective Date and ending at the close of business on May 19, 2020 (such period, the “Waiver Period”).  The waiver set forth in this Section 1.1 is a one-time waiver only and applies only during the Waiver Period.
Automatically upon termination of the Waiver Period, (i) the waiver granted by the Lenders and the Administrative Agent hereunder shall terminate, (ii) all rights and remedies of the Lenders and the Administrative Agent with respect to the Specified Events shall be reinstated, (iii) all obligations of the Company (including any obligation to repay the Loans) with respect to the Specified Events shall be reinstated.  For the avoidance of doubt, if any of the Existing Borrowing Base Deficiencies or any other Borrowing Base Deficiency exists upon termination of the Waiver Period, an Event of Default shall be deemed to have occurred for all purposes immediately upon such termination of the Waiver Period.
Notwithstanding anything to the contrary herein or in any other Credit Documents, neither the Lenders nor the Administrative Agent is now waiving, nor have any of them agreed to waive in the future (i) the breach of any provision of the Credit Documents (whether presently or subsequently existing or arising), (ii) any Specified Event or any consequence thereof, except solely to extent the consequences thereof have been expressly waived solely during the Waiver Period pursuant to this Section 1.1, (iii) any other Event of Default or Default (whether presently or subsequently existing or arising) or (iv) any rights, powers or remedies presently or subsequently available to any Lender, the Administrative Agent or any other Person against the Company, Holdings, the Seller, any other Person or any collateral, property or assets, under the Credit Agreement, any of the other Credit Documents, applicable law or otherwise, relating to any matter other than solely to the extent expressly waived herein, each of which rights, powers or remedies is hereby specifically and expressly reserved and shall continue.  Without limiting the generality of the foregoing, this Waiver and Consent shall not be construed as a waiver or cure of any Specified Event; and all consequences of the Specified Events (other than those expressly and temporarily waived pursuant to this Section 1.1) shall survive this Waiver and Consent; and all consequences of the Specified Events waived pursuant to this Section 1.1 shall be automatically reinstated with full force and effect immediately following the Waiver Period. 
1.2    Agreement Related to Collections.  The parties hereto agree that on the Interest Payment Date occurring on May 15, 2020 the April Collections shall be applied solely with respect to items “first” through “fifth” of Section 2.11(a) of the Credit Agreement and the remaining April Collections shall be held in the Collection Account and applied in accordance with Section 2.11(b) of the Credit Agreement (without duplication of payments already made in accordance with Section 2.11(a) of the Credit Agreement) at the end of the Waiver Period unless otherwise agreed upon in writing by Company, the Lenders and the Administrative Agent.  
1.3    No Obligation to Make Loans. During the Waiver Period the Company shall not request any Loans and the Lenders shall not be required to fund any Loans to the Company and the Company shall not be permitted to make any Restricted Junior Payments during the Waiver Period. 
1.4        Reservation of Rights.  The Lenders and the Administrative Agent hereby expressly reserve all of their rights and remedies under and with respect to the Credit Agreement and the other Credit Documents from and after the Waiver Period with respect to any Specified Events.
SECTION 2.    REPRESENTATIONS AND WARRANTIES
In order to induce the Administrative Agent and the Lenders party hereto to enter into this Waiver and Consent, Company represents and warrants to the Administrative Agent and Lenders, on the Effective Date, that the following statements are true and correct, it being understood and agreed that the representations 

 

 Exhibit 10.2

and warranties made on the Effective Date are deemed to be made concurrently with the consummation of the transactions contemplated hereby:
2.1    Due Authorization. The execution, delivery and performance of this Waiver and Consent have been duly authorized by all necessary action on the part of Company.
2.2    Binding Obligation. This Waiver and Consent has been duly executed and delivered by the Company and is the legally valid and binding obligation of the Company enforceable against the Company in accordance with its terms, except as may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws relating to or limiting creditors’ rights generally or by equitable principles relating to enforceability.
2.3    Incorporation of Representations and Warranties from Credit Agreement. The representations and warranties contained in Section 4 of the Credit Agreement are true and correct in all material respects on and as of the Effective Date as though made on and as of that date, except to the extent such representations and warranties specifically relate to an earlier date, in which case they were true and correct in all material respects on and as of such earlier date; provided that, in each case, such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof.
2.4    No Default or Event of Default.  After giving effect to the limited waiver set forth in Section 1.1, no Servicer Default, Default or Event of Default has occurred and is continuing.
SECTION 3.    RELEASE.  IN CONSIDERATION OF THE LIMITED WAIVER CONTAINED HEREIN THE SUFFICIENCY OF WHICH IS HEREBY ACKNOWLEDGED, EACH OF THE COMPANY AND HOLDINGS, ON BEHALF OF THEMSELVES AND THEIR RESPECTIVE SUBSIDIARIES, HEREBY IRREVOCABLY RELEASES AND FOREVER DISCHARGES THE ADMINISTRATIVE AGENT AND EACH LENDER AND EACH OF THEIR RESPECTIVE AFFILIATES AND ITS OFFICERS, PARTNERS, DIRECTORS, TRUSTEES, EMPLOYEES AND AGENTS (EACH, A “RELEASED PERSON”) OF AND FROM ALL DAMAGES, LOSSES, CLAIMS, DEMANDS, LIABILITIES, OBLIGATIONS, ACTIONS AND CAUSES OF ACTION WHATSOEVER WHICH ANY SUCH PERSON MAY NOW HAVE OR CLAIM TO HAVE ON AND AS OF THE DATE HEREOF AGAINST ANY RELEASED PERSON, WHETHER PRESENTLY KNOWN OR UNKNOWN, LIQUIDATED OR UNLIQUIDATED, SUSPECTED OR UNSUSPECTED, CONTINGENT OR NON-CONTINGENT, AND OF EVERY NATURE AND EXTENT WHATSOEVER WITH RESPECT TO THE CREDIT AGREEMENT AND THE OTHER CREDIT DOCUMENTS AND THE TRANSACTIONS CONTEMPLATED THEREBY (COLLECTIVELY, “CLAIMS”).  EACH OF THE COMPANY AND HOLDINGS REPRESENTS AND WARRANTS TO THE ADMINISTRATIVE AGENT AND EACH LENDER THAT NONE OF THE COMPANY, HOLDINGS OR THEIR RESPECTIVE SUBSIDIARIES HAS GRANTED OR PURPORTED TO GRANT TO ANY OTHER PERSON ANY INTEREST WHATSOEVER IN ANY CLAIM, AS SECURITY OR OTHERWISE.
SECTION 4.    MISCELLANEOUS
4.1    Conditions of Effectiveness. This Waiver and Consent shall become effective as of the date (such date, the “Effective Date”) on which the Administrative Agent has received counterparts of this Waiver and Consent executed by Company, the Administrative Agent and all Lenders currently party to the Credit Agreement.  
4.2    Fees and Expenses.  The Company shall pay or reimburse all the Administrative Agent’s and the Lenders’ respective out-of-pocket fees and expenses (including fees and expenses of counsel) 

 

 Exhibit 10.2

incurred in connection with this Waiver and Consent and the transactions contemplated hereby in accordance with Section 9.2 of the Credit Agreement.
4.3    Reference to and Effect on the Credit Agreement and the Other Credit Documents. 
(a)                Except as expressly set forth herein, no other amendments, changes or modifications to the Credit Agreement and each other Credit Document are intended or implied, and in all other respects the Credit Agreement and each other Credit Document are and shall continue to be in full force and effect and are hereby in all respects specifically ratified, restated and confirmed by all parties hereto as of the Effective Date and Company shall not be entitled to any other further amendment by virtue of the provisions of this Waiver and Consent or with respect to the subject matter of this Waiver and Consent. To the extent of conflict between the terms of this Waiver and Consent and the other Credit Documents, the terms of this Waiver and Consent shall control. The Credit Agreement and this Waiver and Consent shall be read and construed as one agreement.
(b)                The execution, delivery and effectiveness of this Waiver and Consent shall not, except as expressly provided herein, operate as a waiver of any right, power or remedy of any Lender, Administrative Agent or Agent under the Credit Agreement, nor constitute a waiver of any provision of the Credit Agreement.
4.4    Binding Effect. This Waiver and Consent shall be binding upon and inure to the benefit of each of the parties hereto and their respective successors and assigns.
4.5    Governing Law. This Waiver and Consent and the rights and obligations of the parties hereunder shall be governed by, and shall be construed and enforced in accordance with, the laws of the State of New York.
4.6    CONSENT TO JURISDICTION.  WITHOUT LIMITING SECTION 9.14 OF THE CREDIT AGREEMENT, ALL JUDICIAL PROCEEDINGS BROUGHT AGAINST ANY PARTY ARISING OUT OF OR RELATING HERETO, OR ANY OF THE OBLIGATIONS, MAY BE BROUGHT IN ANY STATE OR FEDERAL COURT OF COMPETENT JURISDICTION IN THE STATE, COUNTY AND CITY OF NEW YORK.  BY EXECUTING AND DELIVERING THIS WAIVER AND CONSENT, EACH OF COMPANY AND HOLDINGS, FOR ITSELF AND IN CONNECTION WITH ITS PROPERTIES, IRREVOCABLY (a) ACCEPTS GENERALLY AND UNCONDITIONALLY THE NONEXCLUSIVE JURISDICTION AND VENUE OF SUCH COURTS; (b) WAIVES ANY DEFENSE OF FORUM NON CONVENIENS; (c) AGREES THAT SERVICE OF ALL PROCESS IN ANY SUCH PROCEEDING IN ANY SUCH COURT MAY BE MADE BY REGISTERED OR CERTIFIED MAIL, RETURN RECEIPT REQUESTED, TO COMPANY AT ITS ADDRESS PROVIDED IN ACCORDANCE WITH SECTION 9.1 OF THE CREDIT AGREEMENT AND TO ANY PROCESS AGENT APPOINTED BY IT IS SUFFICIENT TO CONFER PERSONAL JURISDICTION OVER COMPANY OR HOLDINGS (AS THE CASE MAY BE) IN ANY SUCH PROCEEDING IN ANY SUCH COURT, AND OTHERWISE CONSTITUTES EFFECTIVE AND BINDING SERVICE IN EVERY RESPECT; AND (d) AGREES THAT AGENTS AND LENDERS RETAIN THE RIGHT TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY LAW OR TO BRING PROCEEDINGS AGAINST COMPANY IN THE COURTS OF ANY OTHER JURISDICTION.
4.7    WAIVER OF JURY TRIAL.  WITHOUT LIMITING SECTION 9.15 OF THE CREDIT AGREEMENT, EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY AGREES TO WAIVE ITS RESPECTIVE RIGHTS TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING HEREUNDER OR ANY DEALINGS BETWEEN THEM RELATING TO 

 

 Exhibit 10.2

THE SUBJECT MATTER HEREOF OR THE LENDER/BORROWER RELATIONSHIP ESTABLISHED PURSUANT TO THE CREDIT DOCUMENTS.  THE SCOPE OF THIS WAIVER IS INTENDED TO BE ALL ENCOMPASSING OF ANY AND ALL DISPUTES THAT MAY BE FILED IN ANY COURT AND THAT RELATE TO THE SUBJECT MATTER HEREOF, INCLUDING CONTRACT CLAIMS, TORT CLAIMS, BREACH OF DUTY CLAIMS AND ALL OTHER COMMON LAW AND STATUTORY CLAIMS. 
4.6    Execution in Counterparts. This Waiver and Consent may be executed in any number of counterparts, each of which when so executed and delivered shall be deemed an original, but all such counterparts together shall constitute but one and the same instrument. Delivery of an executed counterpart of a signature page of this Waiver and Consent by fax or other electronic imaging means shall be effective as delivery of a manually executed counterpart of this Waiver and Consent.
4.7    Headings. Section headings herein are included herein for convenience of reference only and shall not constitute a part hereof for any other purpose or be given any substantive effect.
4.8    Credit Document.  This Waiver and Consent shall constitute a Credit Document for all purposes.

IN WITNESS THEREOF, the parties hereto have caused this Temporary Waiver and Consent to be executed by their respective officers thereunto duly authorized, as of the date first above written.

ONDECK ASSET FUNDING II, LLC, 
as Company

By:    /s/ Kenneth A. Brause
Name:    Kenneth A. Brause
Title:    Chief Financial Officer

ON DECK CAPITAL, INC.
solely with respect to Section 3, as Holdings,

By:    /s/ Kenneth A. Brause
Name:    Kenneth A. Brause
Title:    Chief Financial Officer

ARES AGENT SERVICES, L.P., 
as Administrative Agent

By: Ares Agent Services GP LLC,
its General Partner

By:    /s/ Jeffrey W. Kramer
Name:    Jeffrey W. Kramer
Title:    Authorized Signatory
 

 

 Exhibit 10.2

LIBERTY MUTUAL INSURANCE COMPANY, 
as a Class A Lender 

By:    /s/ Christopher J. Felton
Name:    Christopher J. Felton
Title:    Executive Vice President

PEERLESS INSURANCE COMPANY, 
as a Class A Lender 

By:    /s/ Christopher J. Felton 
Name:    Christopher J. Felton 
Title:    Executive Vice President

EMPLOYERS INSURANCE COMPANY OF WAUSAU, 
as a Class A Lender 

By:    /s/ Christopher J. Felton 
Name:    Christopher J. Felton 
Title:    Executive Vice President

THE OHIO CASUALTY INSURANCE COMPANY, 
as a Class A Lender 

By:    /s/ Christopher J. Felton 
Name:    Christopher J. Felton 
Title:    Executive Vice President

LIBERTY MUTUAL FIRE INSURANCE COMPANY, 
as a Class A Lender 

By:    /s/ Christopher J. Felton 
Name:    Christopher J. Felton 
Title:    Executive Vice President

 

 Exhibit 10.2

SAFECO INSURANCE COMPANY OF AMERICA, 
as a Class A Lender 

By:    /s/ Christopher J. Felton 
Name:    Christopher J. Felton 
Title:    Executive Vice President

ARES SECURED INCOME MASTER FUND LP, 
as a Class A Lender 

By: Ares Management LLC, 
its Manager

By:    /s/ Jeffrey W. Kramer 
Name:    Jeffrey W. Kramer 
Title:    Authorized Signatory

SONORAN CACTUS PRIVATE ASSET BACKED FUND, LLC, as a Class B Lender 

By:  Ares Cactus Operating Manager GP, LLC, its Manager

By:    /s/ Jeffrey W. Kramer 
Name:    Jeffrey W. Kramer 
Title:    Authorized Signatory

GLENLAKE LOAN FUND, LLC, 
as a Class B Lender 

By:  Ares Management LLC, its Investment Manager

By:    /s/ Jeffrey W. Kramer 
Name:    Jeffrey W. Kramer 
Title:    Authorized Signatory

ARES CREDIT STRATEGIES INSURANCE DEDICATED FUND SERIES OF SALI MULTI-SERIES FUND, L.P., as a Class B Lender 

By:  Ares Management LLC, its investment subadvisor

By:    /s/ Matthew G. Jill 
Name:    Matthew G. Jill 
Title:    Authorized Signatory

 

 Exhibit 10.2

SA REAL ASSETS 20 LIMITED, 
as a Class B Lender 

By:  Ares Management LLC, its investment manager

By:    /s/ Matthew G. Jill 
Name:    Matthew G. Jill 
Title:    Authorized Signatory

ARES ASSET-BACKED LOAN FUND LP, 
as a Class B Lender 

By:  Ares Capital Management III LLC, its management company

By:    /s/ Jeffrey W. Kramer 
Name:    Jeffrey W. Kramer 
Title:    Authorized SignatoryExhibit

Exhibit 10.3

WAIVER AGREEMENT
THIS WAIVER AGREEMENT (this “Agreement”) is made as of May 14, 2020 (the “Effective Date”), by and among Deutsche Bank AG, New York Branch (“DBNY” and the “Administrative Agent”), OnDeck Account Receivables Trust 2013-1 LLC, as a borrower (the “Borrower”), and Vervent Inc., as Backup Servicer.  
W I T N E S S E T H:
WHEREAS, the Borrower and the Administrative Agent, together with various lenders, Deutsche Bank AG, New York Branch, as Collateral Agent (in such capacity, the “Collateral Agent”), Deutsche Bank Trust Company Americas, as paying agent (the “Paying Agent”), and Deutsche Bank Securities Inc., as syndication agent, documentation agent and lead arranger (“DB Securities”), are parties to the Fifth Amended and Restated Credit Agreement, dated as of March 12, 2019 (as amended as of the date hereof, the “Credit Agreement”).  The Company, the Administrative Agent, the Collateral Agent, the Paying Agent and DB Securities are sometimes referred to in this Agreement individually as a “Party” and collectively as the “Parties”, as the context may require.  Any capitalized terms used in this Agreement without definition shall have the respective meaning given to them in the Credit Agreement;
WHEREAS, Borrower has requested that the Administrative Agent (on behalf of the Requisite Class A Lenders) grant a temporary waiver with respect to potential Events of Default that may as a result of one or more Specified Events (as defined below) and the Administrative Agent (on behalf of the Requisite Class A Lenders) has agreed to grant such temporary waiver of the Specified Events subject to the terms and conditions set forth here;
NOW, THEREFORE, in consideration of the foregoing recitals and the agreements herein contained and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows:

Exhibit 10.3

1.                   Incorporation of Recitals.  The recitals set forth above are true and correct and incorporated herein by reference.
2.                   Defined Terms.  Unless otherwise defined herein, capitalized terms used herein shall have the respective meanings assigned to such terms in the Credit Agreement.
3.                   Acknowledgment of Specified Events.  The Borrower acknowledges and agrees that (a) a breach of its Obligations may soon occur due to a Borrowing Base Deficiency and such event would, with the passage of time, become an Event of Default pursuant to Section 7.1(m) of the Credit Agreement; (b) other Events of Default may occur solely as a result of any Event of Default described in clause (a) above; and (c) a Hot Backup Servicer Event may occur with respect to the Interest Payment Date occurring in May 2020 (each event specified in clause (a) through (c) above, a “Specified Event”).  Other than the waiver expressly set forth below, the Administrative Agent reserves all rights under the Credit Agreement and the other Credit Documents and the Administrative Agent's rights in such regard shall be indefinite from and after the date of this Agreement until withdrawn by the Administrative Agent in writing.  
4.                   No Novation or Release.  Except as otherwise expressly stated in this Agreement with respect to any Specified Event, neither this Agreement, nor any payments made or other actions taken pursuant to this Agreement, is intended to cure, and shall not be deemed or construed to cure any other existing defaults under the Credit Documents, or to constitute a reinstatement, novation or release of the Credit Documents or a modification, amendment, or waiver of the Credit Documents.  The Administrative Agent reserves all of its rights and remedies in connection with any such other defaults.
5.                   Waiver.  
(a)                Subject to the terms and conditions set forth herein, the Administrative Agent (on behalf of the Requisite Class A Lenders) hereby (a) waives, solely during the period commencing on the date hereof and ending on the Termination Date (as defined below), the occurrence of any Specified Event and (b) agrees that, during such period only, no Default or Event of Default shall be deemed to exist under the Credit Agreement or any other Credit Document solely as a result of any Specified Event.  The waiver set forth in this Section 5(a) is a one-time waiver only and applies only to the matters set forth in this Section 5(a).
(b)               The Borrower hereby agrees and understands that during the waiver period it shall not request any Class A Revolving Loans and no Class A Revolving Loans shall be made.
6.                   Waiver Period.     The waiver of the Specified Events shall expire on the earlier of (i) the close of business, New York City time, May 20, 2020 or (ii) the date upon which any Termination Event (as defined below) may occur (either such date, the “Termination Date”).  The Borrower acknowledges that the Administrative Agent shall have no obligation to extend the Termination Date.  The Administrative Agent shall have the right, any time after the Termination Date, to exercise any and all rights and remedies against the Borrower and the Collateral as set forth in the Credit Documents in equity or at law, to the same extent as the Administrative Agent would be entitled if the Administrative Agent had not entered into this Agreement, and the Borrower expressly consents to the Administrative Agent’s exercise of such remedies in accordance with their terms.  Upon expiration of the waiver period, all of the Administrative Agent’s rights and remedies under the Credit Documents and at law and in equity shall be available without restriction or modification, as if the waiver had not occurred.  At or after the Termination Date, the Administrative Agent may renew or extend the waiver period with respect to any Specified Event or grant additional waivers with respect to the Credit Agreement.

Exhibit 10.3

7.                   Borrower Representations and Warranties.  The Borrower hereby represents and warrants to the Administrative Agent as of the Effective Date that the representations and warranties of the Borrower contained in the Credit Agreement and each Credit Document are true and correct in all respects on and as of such day (other than any representation and warranty that is made as of a specific date). 
8.                   Termination Events.  The agreement of the Administrative Agent to forbear as provided in this Agreement shall immediately terminate and be of no further force and effect, without any notice whatsoever to the Borrower or any other party upon the occurrence of any of the following (each, a “Termination Event”):
(a)                a breach by the Borrower of any obligations set forth in this Agreement;
(b)               any representation or warranty of the Borrower in this Agreement shall be untrue or inaccurate in any material respect other than with respect to any Specified Event;
(c)                the Borrower shall, directly or indirectly, file or institute, or cause to be filed or instituted or cooperate in the filing or institution against the Administrative Agent (or any affiliate), any lawsuit, complaint, administrative claim, adversary proceeding, or other legal action relating, directly or indirectly, to the Receivables or the Credit Documents;
(d)               any Default or Event of Default shall occur under the Credit Documents other than any Specified Event; and
(e)                any creditor of the Borrower or Holdings commences an action against the Borrower or Holdings seeking to collect any debt, obligation or liability.
9.                   Administrative Agent’s Rights upon Occurrence of Termination Event.  Upon the occurrence of a Termination Event, the Administrative Agent’s agreement to refrain from the exercise of any of the remedies set forth in the Credit Documents with respect to any Specified Event shall immediately and without further notice to the Borrower, terminate and be of no further force and effect.  The Administrative Agent shall thereupon have the right, at any time and from time to time, to exercise any and all rights and remedies available against the Borrower to satisfy the Borrower’s obligations under this Agreement and the Credit Documents, in equity or at law to the same extent as the Administrative Agent would be entitled if the Administrative Agent had not entered into this Agreement.  
10.    Release of the Administrative Agent.  The Borrower, by execution of this Agreement, does waive and release, all existing defenses, setoffs, damages, claims, counterclaims, or causes of action of any kind or nature whatsoever against the Secured Parties and all of their respective past, present, and future partners, officers, directors, employees, agents, attorneys, servicers, representatives, participants, heirs, successors and assigns and their predecessors in interest (collectively, “Administrative Agent Parties”) with respect to (i) the Credit Documents, (ii) the Obligations of the Borrower, (iii) any other documents or instruments now or previously evidencing, securing or in any way relating to such Obligations, (v) the administration and funding of the Obligations and (vi) the operation or transfer of the Receivables.  To the extent required by the Credit Agreement and any other Credit Documents, the Borrower acknowledges and agrees it has received timely and proper notice of any existing defaults and the opportunity to cure (if any), in accordance with the relevant provisions of the Credit Agreement and any other Credit Documents, as applicable, or applicable law The Administrative Agent’s decision to enter into this Agreement is without prejudice to the Administrative Agent’s right to pursue any and all remedies under the Credit Documents (other than in respect of any Specified Events prior to the Termination Date), pursuant to applicable law or in equity, available to the Administrative Agent in its sole discretion upon the termination (whether upon expiration 

Exhibit 10.3

thereof, upon acceleration, or otherwise) of this Agreement. But for this Agreement, the Administrative Agent would be entitled to exercise its rights and remedies under the Credit Documents and applicable law in respect of any Specified Event, and the Borrower has no defenses, setoffs, or counterclaims against the Administrative Agent or, alternatively, to the extent that any defenses, setoffs, or counterclaims exist, the Borrower hereby waives any and all defenses, setoffs, and counterclaims which they may have or claim to have in respect of the obligations of the Borrower under the Credit Documents.
11.    Survival of Provisions.  The covenants, acknowledgements, representations, warranties, agreements and obligations in this Agreement shall survive the consummation of the transactions contemplated by this Agreement.
12.    No Limitation of Remedies.  No right, power or remedy conferred upon or reserved to or by the Administrative Agent in this Agreement is intended to be exclusive of any other right, power or remedy conferred upon or served to or by the Administrative Agent under the Credit Documents or at law, but each and every remedy shall be cumulative and concurrent, and shall be in addition to each and every other right, power and remedy given under the Credit Documents or now or subsequently existing in equity or at law.
13.    No Waivers.  Except as otherwise provided in this Agreement, nothing in this Agreement shall constitute a waiver of any rights or remedies of the Administrative Agent under the Credit Documents.  No delay or failure on the part of the Administrative Agent to exercise any right or remedy under this Agreement or the Credit Documents shall operate as a waiver.  No single or partial exercise of any right or remedy by the Administrative Agent shall preclude other or further exercise thereof or the exercise of any other right or remedy.  No action, waiver or forbearance by the Administrative Agent contrary to the provisions of this Agreement shall be construed to constitute a waiver of any of the express provisions of this Agreement.
14.    Successors or Assigns.  Whenever in this Agreement any party is named or referenced, the heirs, executors, legal representatives, successors, successors-in-title, and assigns of such party shall be included.  All covenants and agreements in this Agreement shall bind and inure to the benefit of the parties’ respective heirs, executors, legal representatives, successors, successors-in-title, and assigns, whether so expressed or not.
15.    Construction of Agreement.  No representations or warranties have been made by or on behalf of the Administrative Agent or the Borrower, or relied upon by the Borrower or the Administrative Agent, pertaining to the subject matter of this Agreement, other than those in this Agreement.  All prior statements, representations and warranties related to any Specified Event, if any, are superseded and merged into this Agreement, which represents the final and sole agreement of the parties with respect to the matters described in this Agreement.  All of the terms of this Agreement were negotiated at arm’s-length, and were prepared and executed without fraud, duress, undue influence or coercion of any kind exerted by any of the parties upon the others.  The execution and delivery of this Agreement is the free and voluntary act of each party hereto.
16.    Severability.  Any provision of this Agreement which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction.
17.    Notice.  All notices given hereunder shall be given in accordance with Section 9.1 of the Credit Agreement. 

Exhibit 10.3

18.    Governing Law.  This Agreement shall be governed and construed in accordance with the law of the State of New York as set forth in Section 19.14 of the Credit Agreement, which provision is incorporated herein by reference. 
19.    Counterparts.  This Agreement may be executed by the parties hereto in several counterparts, each of which shall be deemed to be an original but all of which shall constitute together but one and the same agreement.  Delivery of this Agreement by facsimile or electronic mail shall be equally as effective as delivery of an original executed counterpart of this Agreement.
20.    Amendment.  The terms of this Agreement and the rights and obligations of the parties hereunder may not be amended, supplemented, waived or otherwise modified except in an instrument in writing signed by the parties hereto.  
21.    Time of Essence.  Time is of the essence in this Agreement.
22.    WAIVER OF TRIAL BY JURY.  EACH OF THE PARTIES HERETO HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES ANY RIGHTS IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, THIS AGREEMENT OR ANY OTHER TRANSACTION DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF THE BORROWER, HOLDINGS, THE ADMINISTRATIVE AGENT OR ANY OTHER AFFECTED PERSON.  EACH PARTY HERETO ACKNOWLEDGES AND AGREES THAT IT HAS RECEIVED FULL AND SUFFICIENT CONSIDERATION FOR THIS PROVISION (AND EACH OTHER PROVISION OF EACH OTHER TRANSACTION DOCUMENT TO WHICH IT IS A PARTY) AND THAT THIS PROVISION IS A MATERIAL INDUCEMENT FOR ITS ENTERING INTO THIS AGREEMENT AND EACH SUCH OTHER TRANSACTION DOCUMENT.

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

Exhibit 10.3

ONDECK ACCOUNT RECEIVABLES TRUST 2013-1 LLC, as Borrower

		
	By:
	/s/ Kenneth A. Brause  

		
	Name:
	Kenneth A. Brause

		
	Title:
	Chief Financial Officer

DEUTSCHE BANK AG, NEW YORK BRANCH, as Administrative Agent

		
	By:
	/s/ Kevin Tanzer  

		
	Name:
	Kevin Tanzer

		
	Title:
	Managing Director

		
	By:
	/s/ Peter Sabino  

		
	Name:
	Peter Sabino

		
	Title:
	Director

VERVENT INC., as Backup Servicer

		
	By:
	/s/ Laurence Chiavan  

		
	Name:
	Laurence Chiavan

		
	Title:
	Executive Vice President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00309-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00309-of-00352.parquet"}]]