Document:

<PAGE>
                                                                    EXHIBIT 10.3

                                IDM PHARMA, INC.
                                 2000 STOCK PLAN

                       FRENCH ANNEX STOCK OPTION AGREEMENT
                            (QUALIFIED STOCK OPTIONS)

      Pursuant to your Stock Option Grant Notice ("Grant Notice") and this Stock
Option Agreement, IDM Pharma, Inc. (the "Company") has granted you an option
under the French Annex to its 2000 Stock Plan (the "Plan") to purchase the
number of shares of the Company's Common Stock indicated in your Grant Notice at
the exercise price indicated in your Grant Notice. Defined terms not explicitly
defined in this Stock Option Agreement but defined in the Plan shall have the
same definitions as in the Plan.

      The details of your option are as follows:

      1. VESTING. Subject to the limitations contained herein, your option will
vest as provided in your Grant Notice, provided that vesting will cease upon the
termination of your Continuous Service.

      2. NUMBER OF SHARES AND EXERCISE PRICE. The number of shares of Common
Stock subject to your option and your exercise price per share referenced in
your Grant Notice may be adjusted from time to time for Capitalization
Adjustments, as provided in the Plan, to the extent allowed by French law.
Additionally, as provided in Section 12 of the French Annex, the Board shall
make any adjustment to the number of shares of Common Stock subject to your
option and your exercise price per share referenced in your Grant Notice in
compliance with French law.

      3. METHOD OF PAYMENT. Payment of the exercise price is due in full upon
exercise of all or any part of your option. You may elect to make payment of the
exercise price in cash or by check or in any other manner permitted by your
Grant Notice, which may include one or more of the following:

            (a) In the Company's sole discretion at the time your option is
exercised and provided that at the time of exercise the Common Stock is publicly
traded and quoted regularly in The Wall Street Journal, pursuant to a program
developed under Regulation T as promulgated by the Federal Reserve Board that,
prior to the issuance of Common Stock, results in either the receipt of cash (or
check) by the Company or the receipt of irrevocable instructions to pay the
aggregate exercise price to the Company from the sales proceeds.

            (b) Provided that at the time of exercise the Common Stock is
publicly traded and quoted regularly in The Wall Street Journal, by delivery of
already-owned shares of Common Stock either that you have held for the period
required to avoid a charge to the Company's reported earnings (generally six
months) or that you did not acquire, directly or indirectly from the Company,
that are owned free and clear of any liens, claims, encumbrances or security
interests, and that are valued at Fair Market Value on the date of exercise.
"Delivery" for these purposes, in the sole discretion of the Company at the time
you exercise your option,

                                       1.

<PAGE>

shall include delivery to the Company of your attestation of ownership of such
shares of Common Stock in a form approved by the Company. Notwithstanding the
foregoing, you may not exercise your option by tender to the Company of Common
Stock to the extent such tender would violate the provisions of any law,
regulation or agreement restricting the redemption of the Company's stock.

            (c) Pursuant to the following deferred payment alternative:

                  (i) Not less than one hundred percent (100%) of the aggregate
exercise price, plus accrued interest, shall be due four (4) years from date of
exercise or, at the Company's election, upon termination of your Continuous
Service.

                  (ii) Interest shall be compounded at least annually and shall
be charged at the minimum rate of interest necessary to avoid the treatment as
interest, under any applicable provisions of the Code, of any portion of any
amounts other than amounts stated to be interest under the deferred payment
arrangement.

                  (iii) At any time that the Company is incorporated in
Delaware, payment of the Common Stock's "par value," as defined in the Delaware
General Corporation Law, shall be made in cash and not by deferred payment.

                  (iv) In order to elect the deferred payment alternative, you
must, as a part of your written notice of exercise, give notice of the election
of this payment alternative and, in order to secure the payment of the deferred
exercise price to the Company hereunder, if the Company so requests, you must
tender to the Company a promissory note and a security agreement covering the
purchased shares of Common Stock, both in form and substance satisfactory to the
Company, or such other or additional documentation as the Company may request.

      4. WHOLE SHARES. You may exercise your option only for whole shares of
Common Stock.

      5. SECURITIES LAW COMPLIANCE. Notwithstanding anything to the contrary
contained herein, you may not exercise your option unless the shares of Common
Stock issuable upon such exercise are then registered under the Securities Act
or, if such shares of Common Stock are not then so registered, the Company has
determined that such exercise and issuance would be exempt from the registration
requirements of the Securities Act. The exercise of your option must also comply
with other applicable laws and regulations governing your option, and you may
not exercise your option if the Company determines that such exercise would not
be in material compliance with such laws and regulations.

      6. TERM. The term of your option commences on the Date of Grant and
expires upon the earliest of the following:

            (a) three (3) months after the termination of your Continuous
Service for any reason other than your Disability or death, provided that if
during any part of such three- (3-) month period your option is not exercisable
solely because of the condition set forth in the preceding paragraph relating to
"Securities Law Compliance," your option shall not expire until

                                       2.

<PAGE>

the earlier of the Expiration Date or until it shall have been exercisable for
an aggregate period of three (3) months after the termination of your Continuous
Service;

            (b) twelve (12) months after the termination of your Continuous
Service due to your Disability;

            (c) six (6) months after your death if you die either during your
Continuous Service or within three (3) months after your Continuous Service
terminates;

            (d) the Expiration Date indicated in your Grant Notice; or

            (e) the tenth (10th) anniversary of the Date of Grant.

      7. EXERCISE.

            (a) You may exercise the vested portion of your option (and the
unvested portion of your option if your Grant Notice so permits) during its term
by delivering a Notice of Exercise (in a form designated by the Company)
together with the exercise price to the Secretary of the Company, or to such
other person as the Company may designate, during regular business hours,
together with such additional documents as the Company may then require.

            (b) By exercising your option you agree that, as a condition to any
exercise of your option, the Company may require you to enter into an
arrangement providing for the payment by you to the Company of any tax or
employee social security charges withholding obligation of the Company arising
by reason of (1) the exercise of your option, or (2) the disposition of shares
of Common Stock acquired upon such exercise.

      8. TRANSFERABILITY. Your option is not transferable, except by will or by
the laws of descent and distribution, and is exercisable during your life only
by you. Notwithstanding the foregoing, by delivering written notice to the
Company, in a form satisfactory to the Company, you may designate a third party
who, in the event of your death, shall thereafter be entitled to exercise your
option.

      9. LOCK-UP PERIOD. In the event of an exercise of your option prior to the
fourth (4th) anniversary of the date of grant (as indicated in your Grant
Notice), the shares of Common Stock received upon exercise of such option shall
be held in a separate account with a Company brokerage firm and may not be sold,
assigned, donated or otherwise disposed of until the fourth (4th) anniversary of
the date of grant. This lock-up period may be extended, accelerated or reduced
by the Board.

      However, this lock-up period shall not apply in the case of you die or
become disabled (as defined under in the second and third categories of Articles
L.341-4 of the French social security code). In addition, if you retire or are
dismissed, this lock-up period shall not apply to any shares of Common Stock
received upon exercise of your option, provided that your option was exercised
at least three months prior to the date of your retirement or dismissal.

                                       3.
<PAGE>

      10. RIGHT OF REPURCHASE. To the extent provided in the Company's bylaws as
amended from time to time, the Company shall have the right to repurchase all or
any part of the shares of Common Stock you acquire pursuant to the exercise of
your option.

      11. OPTION NOT A SERVICE CONTRACT. Your option is not an employment or
service contract, and nothing in your option shall be deemed to create in any
way whatsoever any obligation on your part to continue in the employ of the
Company or an Affiliate, or of the Company or an Affiliate to continue your
employment. In addition, nothing in your option shall obligate the Company or an
Affiliate, their respective shareholders, Boards of Directors, Officers or
Employees to continue any relationship that you might have as a Director or
Consultant for the Company or an Affiliate.

      12. WITHHOLDING OBLIGATIONS.

            (a) At the time you exercise your option, in whole or in part, or at
any time thereafter as requested by the Company, you hereby authorize
withholding from payroll and any other amounts payable to you, and otherwise
agree to make adequate provision for (including by means of a "cashless
exercise" pursuant to a program developed under Regulation T as promulgated by
the Federal Reserve Board to the extent permitted by the Company), any sums
required to satisfy any applicable taxes and employee social security charges,
if any, and/or if you have become a US resident for tax purposes after the grant
of options, federal, state, local and foreign tax withholding obligations of the
Company or an Affiliate, if any, which arise in connection with your option.

            (b) At the time of the sale, assignment, donation or other
disposition of your shares (including a transfer from your separate brokerage
account referenced in Section 9 of this Stock Option Agreement to another
account) and in compliance with any applicable conditions or restrictions of
law, you hereby authorize withholding from payroll and any other amounts
payable to you, and/or from the shares of Common Stock which are being sold,
assigned, donated or otherwise disposed of by you from your separate brokerage
account referenced in Section 9 of this Stock Option Agreement, a number of
whole shares of Common Stock having a Fair Market Value, determined by the
Company as of the date of sale, not in excess of the minimum amount of any
applicable taxes and employee social security charges, if any, required to be
withheld by law. Any adverse consequences to you arising in connection with
such share withholding procedure shall be your sole responsibility.

            (c) If you are no longer a resident of France for tax purposes after
the grant of options, upon your request and subject to approval by the Company,
in its sole discretion, and compliance with any applicable conditions or
restrictions of law, the Company may withhold from fully vested shares of Common
Stock otherwise issuable to you upon the exercise of your option a number of
whole shares of Common Stock having a Fair Market Value, determined by the
Company as of the date of exercise, not in excess of the minimum amount of tax
required to be withheld by law. Any adverse consequences to you arising in
connection with such share withholding procedure shall be your sole
responsibility.

            (d) If you are no longer a resident of France for tax purposes after
the grant of options, you may not exercise your option unless the tax
withholding obligations of the Company and/or any Affiliate are satisfied.
Accordingly, you may not be able to exercise your option when desired even
though your option is vested, and the Company shall have no

                                       4.

<PAGE>

obligation to issue a certificate for such shares of Common Stock or release
such shares of Common Stock from any escrow provided for herein.

      13. NOTICES. Any notices provided for in your option or the Plan shall be
given in writing and shall be deemed effectively given upon receipt or, in the
case of notices delivered by mail by the Company to you, fifteen (15) days after
deposit in the United States mail, postage prepaid, addressed to you at the last
address you provided to the Company.

      14. GOVERNING PLAN DOCUMENT. Your option is subject to all the provisions
of the Plan, the provisions of which are hereby made a part of your option, and
is further subject to all interpretations, amendments, rules and regulations
which may from time to time be promulgated and adopted pursuant to the Plan. In
the event of any conflict between the provisions of your option and those of the
Plan, the provisions of the Plan shall control.

                                       5.exv10w1

 

Exhibit 10.1

SALE AND SERVICING AGREEMENT

among

OPTION ONE OWNER TRUST 2005-6

as Issuer

and

OPTION ONE LOAN WAREHOUSE CORPORATION

as Depositor

and

OPTION ONE MORTGAGE CORPORATION

as Loan Originator and Servicer

and

WELLS FARGO BANK, N.A.

as Indenture Trustee

Dated as of June 1, 2005

OPTION ONE OWNER TRUST 2005-6

MORTGAGE-BACKED NOTES

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	ARTICLE I DEFINITIONS	 	 	6	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 1.01
	 	Definitions
	 	 	6	 
	 

	 	Section 1.02
	 	Other Definitional Provisions
	 	 	31	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE II CONVEYANCE OF THE TRUST ESTATE; ADDITIONAL NOTE PRINCIPAL BALANCES	 	 	32	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 2.01
	 	Conveyance of the Trust Estate; Additional Note Principal Balances
	 	 	32	 
	 

	 	Section 2.02
	 	Ownership and Possession of Loan Files
	 	 	33	 
	 

	 	Section 2.03
	 	Books and Records; Intention of the Parties
	 	 	34	 
	 

	 	Section 2.04
	 	Delivery of Loan Documents
	 	 	35	 
	 

	 	Section 2.05
	 	Acceptance by the Indenture Trustee of the Loans; Certain Substitutions and
Repurchases; Certification by the Custodian
	 	 	35	 
	 

	 	Section 2.06
	 	Conditions to Transfer
	 	 	37	 
	 

	 	Section 2.07
	 	Termination of Revolving Period
	 	 	39	 
	 

	 	Section 2.08
	 	Correction of Errors
	 	 	40	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE III REPRESENTATIONS AND WARRANTIES	 	 	40	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 3.01
	 	Representations and Warranties of the Depositor
	 	 	40	 
	 

	 	Section 3.02
	 	Representations and Warranties of the Loan Originator
	 	 	42	 
	 

	 	Section 3.03
	 	Representations, Warranties and Covenants of the Servicer
	 	 	45	 
	 

	 	Section 3.04
	 	Reserved
	 	 	47	 
	 

	 	Section 3.05
	 	Representations and Warranties Regarding Loans
	 	 	47	 
	 

	 	Section 3.06
	 	Purchase and Substitution
	 	 	48	 
	 

	 	Section 3.07
	 	Dispositions
	 	 	50	 
	 

	 	Section 3.08
	 	Servicer Put; Servicer Call
	 	 	53	 
	 

	 	Section 3.09
	 	Modification of Underwriting Guidelines
	 	 	53	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE IV ADMINISTRATION AND SERVICING OF THE LOANS	 	 	54	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 4.01
	 	Servicer’s Servicing Obligations
	 	 	54	 
	 

	 	Section 4.02
	 	Financial Statements
	 	 	54	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE V ESTABLISHMENT OF TRUST ACCOUNTS; TRANSFER OBLIGATION	 	 	55	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 5.01
	 	Collection Account and Distribution Account
	 	 	55	 
	 

	 	Section 5.02
	 	Payments to Securityholders
	 	 	59	 
	 

	 	Section 5.03
	 	Trust Accounts; Trust Account Property
	 	 	60	 
	 

	 	Section 5.04
	 	Advance Account
	 	 	62	 
	 

	 	Section 5.05
	 	Transfer Obligation Account
	 	 	63	 
	 

	 	Section 5.06
	 	Transfer Obligation
	 	 	64	 

- 2 -

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	ARTICLE VI STATEMENTS AND REPORTS; SPECIFICATION OF TAX MATTERS	 	 	65	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 6.01
	 	Statements
	 	 	65	 
	 

	 	Section 6.02
	 	Specification of Certain Tax Matters
	 	 	68	 
	 

	 	Section 6.03
	 	Valuation of Loans, Hedge Value and Retained Securities Value; Market Value
Agent
	 	 	68	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE VII HEDGING; FINANCIAL COVENANTS	 	 	69	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 7.01
	 	Hedging Instruments
	 	 	69	 
	 

	 	Section 7.02
	 	Financial Covenants
	 	 	70	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE VIII THE SERVICER	 	 	71	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 8.01
	 	Indemnification; Third Party Claims
	 	 	71	 
	 

	 	Section 8.02
	 	Merger or Consolidation of the Servicer
	 	 	73	 
	 

	 	Section 8.03
	 	Limitation on Liability of the Servicer and Others
	 	 	73	 
	 

	 	Section 8.04
	 	Servicer Not to Resign; Assignment
	 	 	73	 
	 

	 	Section 8.05
	 	Relationship of Servicer to Issuer and the Indenture Trustee
	 	 	74	 
	 

	 	Section 8.06
	 	Servicer May Own Securities
	 	 	74	 
	 

	 	Section 8.07
	 	Indemnification of the Indenture Trustee and the Noteholder Agent
	 	 	74	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE IX SERVICER EVENTS OF DEFAULT	 	 	75	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 9.01
	 	Servicer Events of Default
	 	 	75	 
	 

	 	Section 9.02
	 	Appointment of Successor
	 	 	77	 
	 

	 	Section 9.03
	 	Waiver of Defaults
	 	 	78	 
	 

	 	Section 9.04
	 	Accounting Upon Termination of Servicer
	 	 	78	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE X TERMINATION; PUT OPTION	 	 	79	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 10.01
	 	Termination
	 	 	79	 
	 

	 	Section 10.02
	 	Optional Termination
	 	 	79	 
	 

	 	Section 10.03
	 	Notice of Termination
	 	 	80	 
	 

	 	Section 10.04
	 	Put Option
	 	 	80	 
	 
	 	 	 	 	 	 	 	 
	ARTICLE XI MISCELLANEOUS PROVISIONS	 	 	80	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Section 11.01
	 	Acts of Securityholders
	 	 	80	 
	 

	 	Section 11.02
	 	Amendment
	 	 	80	 
	 

	 	Section 11.03
	 	Recordation of Agreement
	 	 	81	 
	 

	 	Section 11.04
	 	Duration of Agreement
	 	 	81	 
	 

	 	Section 11.05
	 	Governing Law
	 	 	81	 
	 

	 	Section 11.06
	 	Notices
	 	 	82	 
	 

	 	Section 11.07
	 	Severability of Provisions
	 	 	82	 
	 

	 	Section 11.08
	 	No Partnership
	 	 	82	 
	 

	 	Section 11.09
	 	Counterparts
	 	 	83	 

- 3 -

 

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Page
	 

	 	Section 11.10
	 	Successors and Assigns
	 	 	83	 
	 

	 	Section 11.11
	 	Headings
	 	 	83	 
	 

	 	Section 11.12
	 	Actions of Securityholders
	 	 	83	 
	 

	 	Section 11.13
	 	Non-Petition Agreement
	 	 	83	 
	 

	 	Section 11.14
	 	Holders of the Securities
	 	 	84	 
	 

	 	Section 11.15
	 	Due Diligence Fees, Due Diligence
	 	 	84	 
	 

	 	Section 11.16
	 	No Reliance
	 	 	85	 
	 

	 	Section 11.17
	 	Confidential Information
	 	 	85	 
	 

	 	Section 11.18
	 	Conflicts
	 	 	86	 
	 

	 	Section 11.19
	 	Limitation on Liability
	 	 	86	 
	 

	 	Section 11.20
	 	No Agency
	 	 	87	 

- 4 -

 

	 
	EXHIBITS

	 

	EXHIBIT A Form of Notice of Additional Note Principal Balance

	 

	EXHIBIT B Form of Servicer’s Remittance Report to Indenture Trustee

	 

	EXHIBIT C Form of S&SA Assignment

	 

	EXHIBIT D Loan Schedule

	 

	EXHIBIT E Representations and Warranties Regarding the Loans

	 

	EXHIBIT F Servicing Addendum

	 

	EXHIBIT G Capital Adequacy Test

- 5 -

 

AMENDED AND RESTATED SALE AND SERVICING AGREEMENT

     This Sale and Servicing Agreement is entered into effective as of June 1, 2005, among OPTION
ONE OWNER TRUST 2005-6, a Delaware statutory trust (the “Issuer”
or the “Trust”), OPTION ONE LOAN WAREHOUSE CORPORATION, a Delaware corporation, as Depositor
(in such capacity, the “Depositor”), OPTION ONE MORTGAGE CORPORATION, a California corporation
(“Option One”), as Loan Originator (in such capacity, the “Loan Originator”) and as Servicer (in
such capacity, the “Servicer”), and WELLS FARGO BANK, N.A., a national banking association, as
Indenture Trustee on behalf of the Noteholders (in such capacity, the “Indenture Trustee”).

W I T N E S S E T H:

     In consideration of the mutual agreements herein contained, the Issuer, the Depositor, the
Loan Originator, the Servicer and the Indenture Trustee hereby agree as follows for the benefit of
each of them and for the benefit of the holders of the Securities:

ARTICLE I

DEFINITIONS

Section 1.01
Definitions.

     Whenever used in this Agreement, the following words and phrases, unless the context otherwise
requires, shall have the meanings specified in this Article. Unless otherwise specified, all
calculations of interest described herein shall be made on the basis of a 360-day year and the
actual number of days elapsed in each Accrual Period.

     Accepted Servicing Practices: The Servicer’s normal servicing practices in servicing and
administering similar mortgage loans for its own account, which in general will conform to the
mortgage servicing practices of prudent mortgage lending institutions which service for their own
account mortgage loans of the same type as the Loans in the jurisdictions in which the related
Mortgaged Properties are located and will give due consideration to the Noteholders’ reliance on
the Servicer.

     Accrual Period: With respect to the Notes, the period commencing on and including the
preceding Payment Date (or, in the case of the first Payment Date, the period commencing on and
including the first Transfer Date (which first Transfer Date is the first date on which the Note
Principal Balance is greater than zero)) and ending on the day preceding the related Payment Date.

     Act or Securities Act: The Securities Act of 1933, as amended.

     Additional LIBOR Margin: As defined in the Pricing Letter.

     Additional Note Principal Balance: With respect to each Transfer Date, the aggregate Sales
Prices of all Loans conveyed on such date.

- 6 -

 

     Adjustment Date: With respect to each ARM, the date set forth in the related Promissory Note
on which the Loan Interest Rate on such ARM is adjusted in accordance
with the terms of the related Promissory Note.

     Administration Agreement: The Administration Agreement, dated as of June 1, 2005, between the
Issuer and the Administrator.

     Administrator: Option One Mortgage Corporation, in its capacity as Administrator under the
Administration Agreement.

     Advance Account: The account established and maintained pursuant to Section 5.04.

     Affiliate: With respect to any specified Person, any other Person controlling or controlled by
or under common control with such specified Person. For the purposes of this definition, “control”
when used with respect to any specified Person means the power to direct the management and
policies of such Person, directly or indirectly, whether through the ownership of voting
securities, by contract or otherwise, and the terms “controlling” and “controlled” have meanings
correlative to the foregoing.

     Agreement: This Agreement, as the same may be amended and supplemented from time to time.

     ALTA: The American Land Title Association and its successors in interest.

     Appraised Value: With respect to any Loan, and the related Mortgaged Property, the lesser of:

     (i) the lesser of (a) the value thereof as determined by an appraisal made for the originator
of the Loan at the time of origination of the Loan by an appraiser who met the minimum requirements
of Fannie Mae or Freddie Mac and (b) the value thereof as determined by a review appraisal process
which may include an automated appraisal consistent with the Underwriting policies and guidelines
conducted by the Loan Originator in the event any such review appraisal determines an appraised
value more than 10% lower than the value thereof, in the case of a Loan with a Loan-to-Value Ratio
less than or equal to 80%, or more than 5% lower than the value thereof, in the case of a Loan with
a Loan-to-Value Ratio greater than 80%, as determined by the appraisal referred to in clause (i)(a)
above; and

     (ii) the purchase price paid for the related Mortgaged Property by the Borrower with the
proceeds of the Loan; provided, however, that in the case of a refinanced Loan (which is a Loan the
proceeds of which were not used to purchase the related Mortgaged Property) or a Loan originated in
connection with a “lease option purchase” if the “lease option purchase price” was set 12 months or
more prior to origination, such value of the Mortgaged Property is based solely upon clause (i)
above.

     ARM: Any Loan, the Loan Interest Rate with respect to which is subject to adjustment during
the life of such Loan.

- 7 -

 

     Assignment: An LPA Assignment or S&SA Assignment.

     Assignment of Mortgage: With respect to any Loan, an assignment of the related Mortgage in
blank or to Wells Fargo Bank, N.A., as custodian or trustee under the applicable custodial
agreement or trust agreement, and notice of transfer or equivalent instrument in recordable form,
sufficient under the laws of the jurisdiction wherein the related Mortgaged Property is located to
reflect the assignment and pledge of such Mortgage.

     Basic Documents: This Agreement, the Administration Agreement, the Custodial Agreement, the
Indenture, the Loan Purchase and Contribution Agreement, the Master Disposition Confirmation
Agreement, the Note Purchase Agreement, the Trust Agreement, each Hedging Instrument, if any, and,
as and when required to be executed and delivered, the Assignments.

     Borrower: The obligor or obligors on a Promissory Note.

     Business Day: Any day other than (i) a Saturday or Sunday, or (ii) a day on which banking
institutions in New York City, California, Maryland, Minnesota, Pennsylvania, Delaware or in the
city in which the corporate trust office of the Indenture Trustee is located or the city in which
the Servicer’s servicing operations are located are authorized or obligated by law or executive
order to be closed.

     Certificateholder: A holder of a Trust Certificate.

     Change of Control: As defined in the Indenture.

     Clean-up Call Date: The first Payment Date occurring after the end of the Revolving Period
and the date on which the Note Principal Balance declines to 10% or less of the aggregate Note
Principal Balance as of the end of the Revolving Period.

     Closing Date: June 30, 2005.

     Code: The Internal Revenue Code of 1986, as amended from time to time, and the regulations
promulgated by the United States Treasury thereunder.

     Collateral Percentage: As defined in the Pricing Letter.

     Collateral Value: As defined in the Pricing Letter.

     Collection Account: The account designated as such, established and maintained by the Servicer
in accordance with Section 5.01(a)(1) hereof.

     Combined LTV or CLTV: With respect to any Second Lien Loan, the ratio of the outstanding
Principal Balance on the related date of origination of (a) (i) such Loan plus (ii) the loan
constituting the first lien, to (b) the lesser of (x) the Appraised Value of the Mortgaged Property
at origination or (y) if the Mortgaged Property was purchased within 12 months of the origination
of the Loan, the purchase price of the Mortgaged Property, expressed as a percentage.

- 8 -

 

     Commission: The Securities and Exchange Commission.

     Convertible Loan: A Loan that by its terms and subject to certain conditions contained in the
related Mortgage or Promissory Note allows the Borrower to convert the adjustable Loan Interest
Rate on such Loan to a fixed Loan Interest Rate.

     Credit Score: With respect to each Borrower, the credit score for such Borrower from a
nationally recognized credit repository; provided, however, in the event that a credit score for
such Borrower was obtained from two repositories, the “Credit Score” shall be the lower of the two
scores; provided, further, in the event that a credit score for such Borrower was obtained from
three repositories, the “Credit Score” shall be the middle score of the three scores.

     Custodial Agreement: The custodial agreement dated as of June 1, 2005, among the Issuer, the
Servicer, the Indenture Trustee and the Custodian, providing for the retention of the Custodial
Loan Files by the Custodian on behalf of the Indenture Trustee.

     Custodial Loan File: As defined in the Custodial Agreement.

     Custodian: The custodian named in the Custodial Agreement, which custodian shall not be
affiliated with the Servicer, the Loan Originator, the Depositor or any Subservicer. Wells Fargo
Bank, N.A., a national banking association, shall be the initial Custodian pursuant to the terms of
the Custodial Agreement.

     Custodian Fee: For any Payment Date, the fee payable to the Custodian on such Payment Date as
set forth in the Custodian Fee Notice for such Payment Date, which fee shall be calculated in
accordance with the separate fee letter between the Custodian and the Servicer.

     Custodian Fee Notice: For any Payment Date, the written notice provided by the Custodian to
the Servicer and the Indenture Trustee pursuant to Section 6.01, which notice shall specify the
amount of the Custodian Fee payable on such Payment Date.

     Daily Interest Accrual Amount: With respect to each day and the related Accrual Period,
interest accrued at the Note Interest Rate with respect to such Accrual Period on the Note
Principal Balance as of the preceding Business Day after giving effect to all changes to the Note
Principal Balance on or prior to such preceding Business Day.

     Deemed Cured: With respect to the occurrence of a Performance Trigger or Rapid Amortization
Trigger, when the condition that originally gave rise to the occurrence of such trigger has not
continued for 20 consecutive days, or if the occurrence of such Performance Trigger or Rapid
Amortization Trigger has been waived in writing by the Noteholder Agent.

     Default: Any occurrence that is, or with notice or the lapse of time or both would become, an
Event of Default.

     Defaulted Loan: With respect to any Determination Date, any Loan, including, without
limitation, any Liquidated Loan with respect to which any of the following has occurred as of the
end of the related Remittance Period: (a) foreclosure or similar proceedings have been

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commenced; or (b) the Servicer or any Subservicer has determined in good faith and in accordance
with the servicing standard set forth in Section 4.01 of the Servicing Addendum that such Loan is
in default or imminent default.

     Deleted Loan: A Loan replaced or to be replaced by one or more Qualified Substitute Loans.

     Delinquent: A Loan is “Delinquent” if any Monthly Payment due thereon is not made by the close
of business on the day such Monthly Payment is required to be paid. A Loan is “30 days Delinquent”
if any Monthly Payment due thereon has not been received by the close of business on the
corresponding day of the month immediately succeeding the month in which such Monthly Payment was
required to be paid or, if there is no such corresponding day (e.g., as when a 30-day month follows
a 31-day month in which a payment was required to be paid on the 31st day of such month), then on
the last day of such immediately succeeding month. The determination of whether a Loan is “60 days
Delinquent,” “90 days Delinquent”, etc., shall be made in like manner.

     Delivery: When used with respect to Trust Account Property means:

          (a) with respect to bankers’ acceptances, commercial paper, negotiable certificates of deposit
and other obligations that constitute “instruments” within the meaning of Section 9-102(a)(47) of
the UCC and are susceptible of physical delivery (except with respect to Trust Account Property
consisting of certificated securities (as defined in Section 8-102(a)(4) of the UCC)), physical
delivery to the Indenture Trustee or its custodian (or the related Securities Intermediary)
endorsed to the Indenture Trustee or its custodian (or the related Securities Intermediary) or
endorsed in blank (and if delivered and endorsed to the Securities Intermediary, by continuous
credit thereof by book-entry to the related Trust Account);

          (b) with respect to a certificated security (i) delivery of such certificated security
endorsed to, or registered in the name of, the Indenture Trustee or endorsed in blank to its
custodian or the related Securities Intermediary and the making by such Securities Intermediary of
appropriate entries in its records identifying such certificated securities as credited to the
related Trust Account, or (ii) by delivery thereof to a “clearing corporation” (as defined in
Section 8-102(a)(5) of the UCC) and the making by such clearing corporation of appropriate entries
in its records crediting the securities account of the related Securities Intermediary by the
amount of such certificated security and the making by such Securities Intermediary of appropriate
entries in its records identifying such certificated securities as credited to the related
Trust Account (all of the Trust Account Property described in
Subsections (a) and (b), “Physical Property”);

          and, in any event, any such Physical Property in registered form shall be in the
name of the Indenture Trustee or its nominee or custodian (or the related Securities Intermediary);
and such additional or alternative procedures as may hereafter become appropriate to effect the
complete transfer of ownership of any such Trust Account Property to the Indenture Trustee or its
nominee or custodian, consistent with changes in applicable law or regulations or the
interpretation thereof;

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          (c) with respect to any security issued by the U.S. Treasury, Fannie Mae or Freddie Mac that
is a book-entry security held through the Federal Reserve System pursuant to federal book-entry
regulations, the following procedures, all in accordance with applicable law, including applicable
federal regulations and Articles 8 and 9 of the UCC: the making by a Federal Reserve Bank of an
appropriate entry crediting such Trust Account Property to an account of the related Securities
Intermediary or the securities intermediary that is (x) also a “participant” pursuant to applicable
federal regulations and (y) is acting as securities intermediary on behalf of the Securities
Intermediary with respect to such Trust Account Property; the making by such Securities
Intermediary or securities intermediary of appropriate entries in its records crediting such
book-entry security held through the Federal Reserve System pursuant to federal book-entry
regulations and Articles 8 and 9 of the UCC to the related Trust Account; and such additional or
alternative procedures as may hereafter become appropriate to effect complete transfer of ownership
of any such Trust Account Property to the Indenture Trustee or its nominee or custodian, consistent
with changes in applicable law or regulations or the interpretation thereof; and

          (d) with respect to any item of Trust Account Property that is an uncertificated security (as
defined in Section 8-102(a)(18) of the UCC) and that is not governed by clause (c) above,
registration in the records of the issuer thereof in the name of the related Securities
Intermediary, and the making by such Securities Intermediary of appropriate entries in its records
crediting such uncertificated security to the related Trust Account.

     Designated Depository Institution: With respect to an Eligible Account, an institution whose
deposits are insured by the Bank Insurance Fund or the Savings Association Insurance Fund of the
FDIC, the long-term deposits of which shall be rated A or better by S&P or A2 or better by Moody’s
and the short-term deposits of which shall be rated P-1 or better by Moody’s and A-1 or better by
S&P, unless otherwise approved in writing by the Noteholder Agent and which is any of the
following: (A) a federal savings and loan association duly organized, validly existing and in good
standing under the federal banking laws, (B) an institution duly organized, validly existing and in
good standing under the applicable banking laws of any state, (C) a national banking
association duly organized, validly existing and in good standing under the federal banking
laws, (D) a principal subsidiary of a bank holding company or (E) approved in writing by the
Noteholder Agent and, in each case acting or designated by the Servicer as the depository
institution for the Eligible Account; provided, however, that any such institution or association
shall have combined capital, surplus and undivided profits of at least $50,000,000.

     Depositor: Option One Loan Warehouse Corporation, a Delaware corporation, and any successors
thereto.

     Determination Date: With respect to any Payment Date occurring on the 10th day of a month, the
last calendar day of the month immediately preceding the month of such Payment Date, and with
respect to any other Payment Date, as mutually agreed by the Servicer and the Noteholders.

     Disposition: A Securitization, Whole Loan Sale transaction, or other disposition of Loans.

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     Disposition Agent: Lehman Brothers Bank and its successors and assigns acting at the
direction, and as agent, of the Majority Noteholders.

     Disposition Participant: As applicable, with respect to a Disposition, any “depositor” with
respect to such Disposition, the Disposition Agent, the Majority Noteholders, the Issuer, the
Servicer, the related trustee and the related custodian, any nationally recognized credit rating
agency, the related underwriters, the related placement agent, the related credit enhancer, the
related whole-loan purchaser, the related purchaser of securities and/or any other party necessary
or, in the good faith belief of any of the foregoing, desirable to effect a Disposition.

     Disposition Proceeds: With respect to a Disposition, (x) the proceeds of the Disposition
remitted to the Trust in respect of the Loans transferred on the date of and with respect to such
Disposition, including without limitation, any cash and Retained Securities created in any related
Securitization less all costs, fees and expenses incurred in connection with such Disposition,
including, without limitation, all amounts deposited into any reserve accounts upon the closing
thereof plus or minus (y) the net positive or net negative value of all Hedging Instruments
terminated in connection with such Disposition minus (z) all other amounts agreed upon in writing
by the Noteholder Agent, the Trust and the Servicer.

     Distribution Account: The account established and maintained pursuant to Section 5.01(a)(2)
hereof.

     Due Date: The day of the month on which the Monthly Payment is due from the Borrower with
respect to a Loan.

     Due Diligence Fees: Shall have the meaning provided in Section 11.15 hereof.

     Eligible Account: At any time, a deposit account or a securities account which is: (i)
maintained with a Designated Depository Institution; (ii) fully insured by either the Bank
Insurance Fund or the Savings Association Insurance Fund of the FDIC; (iii) a trust account (which
shall be a “segregated trust account”) maintained with the corporate trust department of a federal
or state chartered depository institution or trust company with trust powers and acting in its
fiduciary capacity for the benefit of the Indenture Trustee and the Issuer, which depository
institution or trust company shall have capital and surplus of not less than $50,000,000; or (iv)
with the prior written consent of the Noteholder Agent, any other deposit account or a securities
account.

     Eligible Servicer: (a) Option One or (b) any other Person to which the Majority Noteholders
may consent in writing.

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

     Event of Default: Either a Servicer Event of Default or an Event of Default under the
Indenture.

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     Exceptions: The meaning set forth in the Custodial Agreement.

     Exceptions Report: The meaning set forth in the Custodial Agreement.

     Exchange Act: The Securities Exchange Act of 1934, as amended.

     Fannie Mae: The Federal National Mortgage Association and any successor thereto.

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

     Fidelity Bond: As described in Section 4.10 of the Servicing Addendum.

     Final Put Date: The Put Date following the end of the Revolving Period on which the Majority
Noteholders (or the Market Value Agent on their behalf) exercises the Put Option with respect to
the entire outstanding Note Principal Balance.

     Final Recovery Determination: With respect to any defaulted Loan or any Foreclosure Property,
a determination made by the Servicer that all Mortgage Insurance Proceeds, Liquidation Proceeds and
other payments or recoveries which the Servicer, in its reasonable good faith judgment, expects to
be finally recoverable in respect thereof have been so recovered. The Servicer shall maintain
records, prepared by a servicing officer of the Servicer, of each Final Recovery Determination.

     First Lien Loan: A Loan secured by the lien on the related Mortgaged Property, subject to no
prior liens on such Mortgaged Property.

     First Payment Default Loan: A Loan with respect to which the first Monthly
Payment due following either the date of origination of such Loan or the related Transfer Date
is not paid by the related Borrower and received by the Servicer within 45 days after date on which
it is or was due.

     Foreclosed Loan: As of any Determination Date, any Loan that as of the end of the preceding
Remittance Period has been discharged as a result of (i) the completion of foreclosure or
comparable proceedings by the Servicer on behalf of the Issuer; (ii) the acceptance of the deed or
other evidence of title to the related Mortgaged Property in lieu of foreclosure or other
comparable proceeding; or (iii) the acquisition of title to the related Mortgaged Property by
operation of law.

     Foreclosure Property: Any real property securing a Foreclosed Loan that has been acquired by
the Servicer on behalf of the Issuer through foreclosure, deed in lieu of foreclosure or similar
proceedings in respect of the related Loan.

     Freddie Mac: The Federal Home Loan Mortgage Corporation and any successor thereto.

     GAAP: Generally Accepted Accounting Principles as in effect in the United States.

     Gross Margin: With respect to each ARM, the fixed percentage amount set forth in the related
Promissory Note.

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     Hedge Funding Requirement: With respect to any day, all amounts required to be paid or
delivered by the Issuer under any Hedging Instrument, whether in respect of payments thereunder or
in order to meet margin, collateral or other requirements thereof. Such amounts shall be calculated
by the Market Value Agent and the Indenture Trustee shall be notified of such amount by the Market
Value Agent.

     Hedge Value: With respect to any Business Day and a specific Hedging Instrument, the positive
amount, if any, that is equal to the amount that would be paid to the Issuer in consideration of an
agreement between the Issuer and an unaffiliated third party, that would have the effect of
preserving for the Issuer the net economic equivalent, as of such Business Day, of all payment and
delivery requirements payable to and by the Issuer under such Hedging Instrument until the
termination thereof, as determined by the Market Value Agent in accordance with Section 6.03
hereof.

     Hedging Counterparty: A Person (i) (A) the long-term and commercial paper or short-term
deposit ratings of which are acceptable to the Majority Noteholders and (B) which shall agree in
writing that, in the event that any of its long-term or commercial paper or short-term deposit
ratings cease to be at or above the levels deemed acceptable by the Majority Noteholders, it shall
secure its obligations in accordance with the request of the Majority Noteholders, (ii) that has
entered into a Hedging Instrument and (iii) that is acceptable to the Majority Noteholders.

     Hedging Instrument: Any interest rate cap agreement, interest rate floor agreement, interest
rate swap agreement or other interest rate hedging agreement entered into by the Issuer with a
Hedging Counterparty, and which requires the Hedging Counterparty to deposit all amounts payable
thereby directly to the Collection Account. Each Hedging Instrument shall meet the requirements set
forth in Article VII hereof with respect thereto.

     Indenture: The Indenture dated as of June 1, 2005, between the Issuer and the Indenture
Trustee and all supplements and amendments thereto.

     Indenture Trustee: Wells Fargo Bank, N.A., a national banking association, as Indenture
Trustee under the Indenture, or any successor indenture trustee under the Indenture.

     Indenture Trustee Fee: An annual fee of $5,000 payable by the Servicer in accordance with a
separate fee agreement between the Indenture Trustee and the Servicer and Section 5.01 hereof.

     Independent: When used with respect to any specified Person, such Person (i) is in fact
independent of the Loan Originator, the Servicer, the Depositor or any of their respective
Affiliates, (ii) does not have any direct financial interest in, or any material indirect financial
interest in, the Loan Originator, the Servicer, the Depositor or any of their respective Affiliates
and (iii) is not connected with the Loan Originator, the Depositor, the Servicer or any of their
respective Affiliates, as an officer, employee, promoter, underwriter, trustee, partner, director
or Person performing similar functions; provided, however, that a Person shall not fail to be
Independent of the Loan Originator, the Depositor, the Servicer or any of their respective
Affiliates merely because such Person is the beneficial owner of 1% or less of any class of

- 14 -

 

securities issued by the Loan Originator, the Depositor, the Servicer or any of their respective
Affiliates, as the case may be.

     Independent Accountants: A firm of nationally recognized certified public accountants which is
independent according to the provisions of SEC Regulation S-X, Article 2.

     Index: With respect to each ARM, the index set forth in the related Promissory Note for the
purpose of calculating the Loan Interest Rate thereon.

     Interest Carry-Forward Amount: With respect to any Payment Date, the excess, if any, of (A)
the Interest Payment Amount for such Payment Date plus the Interest Carry-Forward Amount for the
prior Payment Date over (B) the amount in respect of interest that is actually paid from the
Distribution Account on such Payment Date in respect of the interest for such Payment Date.

     Interest Payment Amount: With respect to any Payment Date, the sum of the Daily Interest
Accrual Amounts for all days in the related Accrual Period.

     LIBOR Business Day: Any day on which banks in the City of London are open and conducting
transactions in United States dollars.

     LIBOR Determination Date: With respect to each Accrual Period, each day during such Accrual
Period.

     LIBOR Margin: As defined in the Pricing Letter.

     Lien: With respect to any asset, (a) any mortgage, lien, pledge, charge, security interest,
hypothecation, option or encumbrance of any kind in respect of such asset or (b) the interest of a
vendor or lessor under any conditional sale agreement, financing lease or other title retention
agreement relating to such asset.

     Lifetime Cap: The provision in the Promissory Note for each ARM which limits the maximum Loan
Interest Rate over the life of such ARM.

     Lifetime Floor: The provision in the Promissory Note for each ARM which limits the minimum
Loan Interest Rate over the life of such ARM.

     Liquidated Loan: As defined in Section 4.03(c) of the Servicing Addendum.

     Liquidated Loan Losses: With respect to any Determination Date, the difference between (i) the
aggregate Principal Balances as of such date of all Loans that became Liquidated Loans and (ii) all
Liquidation Proceeds allocable to principal received on or prior to such date.

     Liquidation Proceeds: With respect to a Liquidated Loan, any cash amounts received in
connection with the liquidation of such Liquidated Loan, whether through trustee’s sale,
foreclosure sale or other disposition, any cash amounts received in connection with the management
of the Mortgaged Property from Defaulted Loans, any proceeds from Primary Insurance Policies and
any other amounts required to be deposited in the Collection Account

- 15 -

 

pursuant to Section 5.01(b)(1) hereof, in each case other than Mortgage Insurance Proceeds and
Released Mortgaged Property Proceeds. Liquidation Proceeds shall also include any awards or
settlements in respect of the related Mortgage Property, whether permanent or temporary, partial or
entire, by exercise of the power of eminent domain or condemnation.

     Loan: Any loan sold to the Trust hereunder and pledged to the Indenture Trustee, which loan
includes, without limitation, (i) a Promissory Note or Lost Note Affidavit and related Mortgage and
(ii) all right, title and interest of the Loan Originator in and to the Mortgaged Property covered
by such Mortgage. The term Loan shall be deemed to include the related Promissory Note or Lost Note
Affidavit, related Mortgage, all other Loan Documents and related Foreclosure Property, if any.

     Loan Documents: With respect to a Loan, the documents comprising the Loan File for such Loan.

     Loan File: With respect to each Loan, the Custodial Loan File and the Servicer’s Loan File.

     Loan Interest Rate: With respect to each Loan, the annual rate of interest borne by the
related Promissory Note, as shown on the Loan Schedule, and, in the case of an ARM, as the same may
be periodically adjusted in accordance with the terms of such Loan.

     Loan Originator: Option One and its permitted successors and assigns.

     Loan Originator Call: The optional purchase by the Loan Originator of a Loan pursuant to
Section 3.08(b) hereof.

     Loan Pool: As of any date of determination, the pool of all Loans conveyed to the Issuer
pursuant to this Agreement on all Transfer Dates up to and including such date of determination,
which Loans have not been released from the Lien of the Indenture pursuant to the terms of the
Basic Documents, together with the rights and obligations of a holder thereof, and the payments
thereon and proceeds therefrom received on and after the applicable Transfer Cut-off Date, as
identified from time to time on the Loan Schedule.

     Loan Purchase and Contribution Agreement: The Third Amended and Restated Loan Purchase and
Contribution Agreement, between Option One, as seller, and the Depositor, as purchaser, dated as of
June 1, 2005, and all supplements and amendments thereto.

     Loan Schedule: The schedule of Loans conveyed to the Issuer on the Closing Date and on each
Transfer Date and delivered to the Noteholder Agent and the Custodian in the form of a
computer-readable transmission specifying the information set forth on Exhibit D hereto and, with
respect to Wet Funded Loans, Exhibit C to the Custodial Agreement.

     Loan-to-Value Ratio or LTV: With respect to any First Lien Loan, the ratio of the original
outstanding principal amount of such Loan to the Appraised Value of the Mortgaged Property at
origination.

- 16 -

 

     Lost Note Affidavit: With respect to any Loan as to which the original Promissory Note has
been permanently lost or destroyed and has not been replaced, an affidavit from the Loan Originator
certifying that the original Promissory Note has been lost, misplaced or destroyed (together with a
copy of the related Promissory Note and indemnifying the Issuer against any loss, cost or liability
resulting from the failure to deliver the original Promissory Note) in the form of Exhibit L
attached to the Custodial Agreement

     LPA Assignment: The Assignment of Loans from Option One to the Depositor under the Loan
Purchase and Contribution Agreement.

     Majority Certificateholders: Has the meaning set forth in the Trust Agreement.

     Majority Noteholders: The holder or holders of in excess of 50% of the Note Principal Balance.
In the event of the release of the Lien of the Indenture in accordance with the terms thereof, the
Majority Noteholders shall mean the Majority Certificateholders.

     Market Value: The market value of a Loan as of any Business Day as determined by the Market
Value Agent in accordance with Section 6.03 hereof.

     Market Value Agent: Lehman Brothers Bank or an Affiliate thereof designated by Lehman Brothers
Bank in writing to the parties hereto and, in either case, its successors in interest.

     Master Disposition Confirmation Agreement: The Fourth Amended and Restated Master Disposition
Confirmation Agreement, dated as of June 1, 2005, by and among Option One, the Depositor, the
Delaware statutory trusts listed on Schedule I thereto and each of the Lenders listed on Schedule
II thereto.

     Maturity Date: With respect to the Notes, as set forth in the Indenture or such later date as
may be agreed in writing by the Majority Noteholders.

     Maximum Note Principal Balance: As defined in Section 1.01 of the Note Purchase Agreement.

     Monthly Advance: The aggregate of the advances made by the Servicer on any Remittance Date
pursuant to Section 4.14 of the Servicing Addendum.

     Monthly Payment: The scheduled monthly payment of principal and/or interest required to be
made by a Borrower on the related Loan, as set forth in the related Promissory Note.

     Monthly Remittance Amount: With respect to each Remittance Date, the sum, without duplication,
of (i) the aggregate payments on the Loans collected by the Servicer pursuant to Section
5.01(b)(1)(i) during the immediately preceding Remittance Period and (ii) the aggregate of amounts
deposited into the Collection Account pursuant to Section 5.01(b)(1)(ii) through 5.01(b)(1)(xi)
during the immediately preceding Remittance Period.

     Moody’s: Moody’s Investors Service, Inc., or any successor thereto.

- 17 -

 

     Mortgage: With respect to any Loan, the mortgage, deed of trust or other instrument securing
the related Promissory Note, which creates a first or second lien on the fee in real property
and/or a first or second lien on the leasehold estate in real property securing the Promissory Note
and the assignment of rents and leases related thereto.

     Mortgage Insurance Policies: With respect to any Mortgaged Property or Loan, the insurance
policies required pursuant to Section 4.08 of the Servicing Addendum.

     Mortgage Insurance Proceeds: With respect to any Mortgaged Property, all amounts collected in
respect of Mortgage Insurance Policies and not required either pursuant to applicable law or the
related Loan Documents to be applied to the restoration of the related Mortgaged Property or paid
to the related Borrower.

     Mortgaged Property: With respect to a Loan, the related Borrower’s fee and/or leasehold
interest in the real property (and/or all improvements, buildings, fixtures, building equipment and
personal property thereon (to the extent applicable) and all additions, alterations and
replacements made at any time with respect to the foregoing) and all other collateral securing
repayment of the debt evidenced by the related Promissory Note.

     Net Liquidation Proceeds: With respect to any Payment Date, Liquidation Proceeds received
during the prior Remittance Period, net of any reimbursements to the Servicer made from such
amounts for any unreimbursed Servicing Compensation and Servicing Advances (including
Nonrecoverable Servicing Advances) made and any other fees and expenses paid in connection with the
foreclosure, inspection, conservation and liquidation of the related Liquidated Loans or
Foreclosure Properties pursuant to Section 4.03 of the Servicing Addendum.

     Net Loan Losses: With respect to any Defaulted Loan that is subject to a modification pursuant
to Section 4.01 of the Servicing Addendum, an amount equal to the portion of the Principal Balance,
if any, released in connection with such modification.

     Net Worth: With respect to any Person, the excess of total assets of such Person, over total
liabilities of such Person, determined in accordance with GAAP.

     Nonrecoverable Monthly Advance: Any Monthly Advance previously made or proposed to be made
with respect to a Loan or Foreclosure Property that, in the good faith business judgment of the
Servicer, as evidenced by an Officer’s Certificate of a Servicing Officer delivered to the
Noteholder Agent, will not, or, in the case of a proposed Monthly Advance, would not be, ultimately
recoverable from the related late payments, Mortgage Insurance Proceeds, Liquidation Proceeds or
condemnation proceeds on such Loan or Foreclosure Property as provided herein.

     Nonrecoverable Servicing Advance: With respect to any Loan or any Foreclosure Property, (a)
any Servicing Advance previously made and not reimbursed from late collections, condemnation
proceeds, Liquidation Proceeds, Mortgage Insurance Proceeds or the Released Mortgaged Property
Proceeds on the related Loan or Foreclosure Property or (b) a Servicing Advance proposed to be made
in respect of a Loan or Foreclosure Property either of which, in

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the good faith business judgment of the Servicer, as evidenced by an Officer’s Certificate of a
Servicing Officer delivered to the Noteholder Agent, would not be ultimately recoverable.

     Nonutilization Fee: As defined in the Pricing Letter.

     Note: The meaning assigned thereto in the Indenture.

     Noteholder: The meaning assigned thereto in the Indenture.

     Noteholder Agent: Lehman Brothers Bank and its successors and assigns acting at the direction,
and as agent, of the Majority Noteholders.

     Note Interest Rate: With respect to each Accrual Period, a per annum interest rate equal to
One-Month LIBOR for the related LIBOR Determination Date plus the LIBOR Margin and, if applicable,
the Additional LIBOR Margin for such Accrual Period.

     Note Principal Balance: With respect to the Notes, as of any date of determination (a) the sum
of the Additional Note Principal Balances purchased on or prior to such date pursuant to the Note
Purchase Agreement less (b) all amounts previously distributed in respect of principal of the Notes
on or prior to such day.

     Note Purchase Agreement: The Note Purchase Agreement among the Purchaser, the Noteholder
Agent, the Issuer and the Depositor, dated as of June 1, 2005, and any amendments thereto.

     Note Redemption Amount: As of any Determination Date, an amount without
duplication equal to the sum of (i) the then outstanding Note Principal Balance of the Notes, plus
the Interest Payment Amount for the related Payment Date, (ii) any Trust Fees and Expenses due and
unpaid on the related Payment Date, (iii) any Servicing Advance Reimbursement Amount as of such
Determination Date and (iv) all amounts due to Hedging Counterparties in respect of the termination
of all related Hedging Instruments.

     Officer’s Certificate: A certificate signed by a Responsible Officer of the Depositor, the
Loan Originator, the Servicer or the Issuer, in each case, as required by this Agreement.

     One-Month LIBOR: With respect to each Accrual Period, the rate determined by
the Noteholder Agent on the related LIBOR Determination Date on the basis of the offered rate
for one-month U.S. dollar deposits, as such rate appears on Telerate Page 3750 as of 11:00 a.m.
(London time) on such LIBOR Determination Date; provided that if such rate does not appear on
Telerate Page 3750, the rate for such date will be determined on the basis of the offered rates of
the Reference Banks for one-month U.S. dollar deposits, as of 11:00 a.m. (London time) on such
LIBOR Determination Date. In such event, the Noteholder Agent will request the principal London
office of each of the Reference Banks to provide a quotation of its rate. If on such LIBOR
Determination Date, two or more Reference Banks provide such offered quotations, One-Month LIBOR
for the related Accrual Period shall be the arithmetic mean of all such offered quotations (rounded
to the nearest whole multiple of 1/16%). If on such LIBOR Determination Date, fewer than two
Reference Banks provide such offered quotations,

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One-Month LIBOR for the Accrual Period shall be the higher of (i) LIBOR as determined on the
previous LIBOR Determination Date and (ii) the Reserve Interest Rate. Notwithstanding the
foregoing, if, under the priorities described above, One-Month LIBOR for a LIBOR Determination Date
would be based on One-Month LIBOR for the previous LIBOR Determination Date for the third
consecutive LIBOR Determination Date, the Noteholder Agent shall select an alternative comparable
index (over which the Noteholder Agent has no control), used for determining one-month Eurodollar
lending rates that is calculated and published (or otherwise made available) by an independent
party.

     Opinion of Counsel: A written opinion of counsel who may be employed by the Servicer, the
Depositor, the Loan Originator or any of their respective Affiliates.

     Option One: Option One Mortgage Corporation, a California corporation.

     Overcollateralization Shortfall: With respect to any Business Day, an amount equal to the
positive difference, if any, between (a) the Note Principal Balance on such Business Day and (b)
the aggregate Collateral Value of all Loans in the Loan Pool as of such Business Day; provided,
however, that on (A) the termination of the Revolving Period, (B) the occurrence of a Rapid
Amortization Trigger, (C) the Payment Date on which the Trust is to be terminated pursuant to
Section 10.02 hereof or (D) the Final Put Date, the Overcollateralization Shortfall shall be equal
to the Note Principal Balance. Notwithstanding anything to the contrary herein, in no event shall
the Overcollateralization Shortfall, with respect to any Business Day, exceed the Note Principal
Balance as of such date. If as of such Business Day, no Rapid Amortization Trigger or Default under
this Agreement or the Indenture shall be in effect, the Overcollateralization Shortfall shall be
reduced (but in no event to an amount below zero) by all or any portion of the aggregate Hedge
Value as of such Payment Date as the Majority Noteholders may, in their sole discretion, designate
in writing.

     Owner Trustee: means Wilmington Trust Company, a Delaware banking corporation, not in its
individual capacity but solely as Owner Trustee under this Agreement, and any successor owner
trustee under the Trust Agreement.

     Owner Trustee Fee: The annual fee of $4,400 payable in equal monthly installments to the
Servicer pursuant to Section 5.01(c)(3)(i) which shall in turn pay such amount annually to the
Owner Trustee on the anniversary of the Closing Date occurring each year during the term of this
Agreement.

     Paying Agent: The meaning assigned thereto in the Indenture.

     Payment Date: Each of, (i) the 10th day of each calendar month commencing on the first such
10th day to occur after the first Transfer Date, or if any such day is not a Business Day, the
first Business Day immediately following such day, (ii) any day a Loan is sold pursuant to the
terms hereof, (iii) a Put Date as specified by the Majority Noteholders pursuant to Section 10.05
of the Indenture and (iv) an additional Payment Date pursuant to Section 5.01(c)(4)(i) and
5.01(c)(4)(iii). From time to time, the Majority Noteholders and the Issuer may agree, upon written
notice to the Owner Trustee and the Indenture Trustee, to additional Payment Dates in accordance
with Section 5.01(c)(4)(ii).

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     Payment Statement: As defined in Section 6.01(b) hereof.

     Percentage Interest: As defined in the Trust Agreement.

     Performance Trigger: Shall exist if, as of any Determination Date, the aggregate Principal
Balance of all Loans that are equal to or greater than 30 days Delinquent as of such Determination
Date (including Defaulted Loans and Foreclosed Loans) divided by the Pool Principal Balance as of
such Determination Date is greater than or equal to 10%, provided, however, that a Performance
Trigger shall not occur if such percentage is reduced to less than 10% within one Business Day of
such Determination Date as the result of the exercise of a Servicer Call.

     Periodic Cap: With respect to each ARM Loan and any Rate Change Date therefor, the annual
percentage set forth in the related Promissory Note, which is the maximum annual percentage by
which the Loan Interest Rate for such Loan may increase or decrease (subject to the Lifetime Cap or
the Lifetime Floor) on such Rate Change Date from the Loan Interest Rate in effect immediately
prior to such Rate Change Date.

     Permitted Investments: Each of the following:

          (a) Direct general obligations of the United States or the obligations of any agency or
instrumentality of the United States fully and unconditionally guaranteed, the timely payment or
the guarantee of which constitutes a full faith and credit obligation of the United States.

          (b) Federal Housing Administration debentures rated Aa2 or higher by Moody’s and AA or better
by S&P.

          (c) Freddie Mac senior debt obligations rated Aa2 or higher by Moody’s and AA or better by
S&P.

          (d) Federal Home Loan Banks’ consolidated senior debt obligations rated Aa2 or higher by
Moody’s and AA or better by S&P.

          (e) Fannie Mae senior debt obligations rated Aa2 or higher by Moody’s.

          (f) Federal funds, certificates or deposit, time and demand deposits, and
bankers’ acceptances (having original maturities of not more than 365 days) of any domestic bank,
the short-term debt obligations of which have been rated A-1 or better by S&P and P-1 or better by
Moody’s.

          (g) Investment agreements approved by the Noteholder Agent provided:

     (1) The agreement is with a bank or insurance company which has an unsecured, uninsured and
unguaranteed obligation (or claims-paying ability) rated Aa2 or better by Moody’s and AA or better
by S&P, and

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     (2) Monies invested thereunder may be withdrawn without any penalty, premium or charge upon
not more than one day’s notice (provided such notice may be amended or canceled at any time prior
to the withdrawal date), and

     (3) The agreement is not subordinated to any other obligations of such insurance company or
bank, and

     (4) The same guaranteed interest rate will be paid on any future deposits made pursuant to
such agreement, and

     (5) The Indenture Trustee and the Noteholder Agent receive an opinion of counsel that such
agreement is an enforceable obligation of such insurance company or bank.

          (h) Commercial paper (having original maturities of not more than 365 days) rated A-1 or
better by S&P and P-1 or better by Moody’s.

          (i) Investments in money market funds rated AAAM or AAAM-G by S&P and Aaa or P-1 by Moody’s.

          (j) Investments approved in writing by the Noteholder Agent;

provided that no instrument described above is permitted to evidence either the right to receive
(a) only interest with respect to obligations underlying such instrument or (b) both principal and
interest payments derived from obligations underlying such instrument and the interest and
principal payments with respect to such instrument provided a yield to maturity at par greater than
120% of the yield to maturity at par of the underlying
obligations; and provided, further, that no instrument described above may be purchased at a price
greater than par if such instrument may be prepaid or called at a price less than its purchase
price prior to stated maturity; and provided, further, that, with respect to any instrument
described above, such instrument qualifies as a “permitted investment” within the meaning of
Section 860G(a)(5) of the Code and the regulations thereunder.

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

     Physical Property: As defined in clause (b) of the definition of “Delivery” above.

     Pool Principal Balance: With respect to any Determination Date, the aggregate Principal
Balances of the Loans as of such Determination Date.

     Prepaid Installment: With respect to any Loan, any installment of principal thereof and
interest thereon received prior to the scheduled Due Date for such installment, intended by the
Borrower as an early payment thereof and not as a Prepayment with respect to such Loan.

     Prepayment: Any payment of principal of a Loan which is received by the Servicer in advance of
the scheduled due date for the payment of such principal (other than the principal

- 22 -

 

portion of any Prepaid Installment), and the proceeds of any Mortgage Insurance Policy which are to
be applied as a payment of principal on the related Loan shall be deemed to be Prepayments for all
purposes of this Agreement.

     Preservation Expenses: Expenditures made by the Servicer in connection with a foreclosed Loan
prior to the liquidation thereof, including, without limitation, expenditures for real estate
property taxes, hazard insurance premiums, property restoration or preservation.

     Pricing Letter: The pricing letter among the Issuer, the Depositor, Option One and the
Indenture Trustee, dated the date hereof and any amendments thereto.

     Primary Insurance Policy: A policy of primary mortgage guaranty insurance issued by a
Qualified Insurer pursuant to Section 4.06 of the Servicing Addendum.

     Principal Balance: With respect to any Loan or related Foreclosure Property, (i) at the
Transfer Cut-off Date, the Transfer Cut-off Date Principal Balance and (ii) with respect to any
other date of determination, the outstanding unpaid principal balance of the Loan as of the end of
the preceding Remittance Period (after giving effect to all payments received thereon and the
allocation of any Net Loan Losses with respect thereto for a Defaulted Loan prior to the end of
such Remittance Period); provided, however, that any Liquidated Loan shall be deemed to have a Principal Balance of zero.

     Proceeding: Any suit in equity, action at law or other judicial or administrative proceeding.

     Promissory Note: With respect to a Loan, the original executed promissory note or other
evidence of the indebtedness of the related Borrower or Borrowers.

     Purchaser: The meaning set forth in the Note Purchase Agreement.

     Put/Call Loan: Any (i) Loan that has become 30 or more days (but less than 60 days)
Delinquent, (ii) Loan that has become 60 or more days (but less than 90 days) Delinquent, (iii)
Loan that has become 90 or more days Delinquent, (iv) Loan that is a Defaulted Loan, (v) Loan that
has been in default for a period of 30 days or more (other than a Loan referred to in clause (i),
(ii), (iii) or (iv) hereof), (vi) Loan that does not meet criteria established by independent
rating agencies or surety agency conditions for Dispositions which criteria have been established
at the related Transfer Date and may be modified only to match changed criteria of independent
rating agencies or surety agents, or (vii) Loan that is inconsistent with the intended tax status
of a Securitization.

     Put Date: Any date on which all or a portion of the Notes are to be purchased by the Issuer as
a result of the exercise of the Put Option.

     Put Option: The right of the Majority Noteholders to require the Issuer to repurchase all or a
portion of the Notes in accordance with Section 10.04 of the Indenture.

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     QSPE Affiliate: Any of Option One Owner Trust 2001-1A, Option One Owner Trust 2001-1B, Option
One Owner Trust 2002-3, Option One Owner Trust 2003-4, Option One Owner Trust 2003-5, Option One
Owner Trust 2005-6 or any other Affiliate which is a “qualified special purpose entity” in
accordance with Financial Accounting Standards Board’s Statement No. 140 or 125.

     Qualified Insurer: An insurance company duly qualified as such under the laws of the states in
which the Mortgaged Property is located, duly authorized and licensed in such states to transact
the applicable insurance business and to write the insurance provided and that meets the
requirements of Fannie Mae and Freddie Mac.

     Qualified Substitute Loan: A Loan or Loans substituted for a Deleted Loan pursuant to Section
3.06 hereof, which (i) has or have been approved in writing by the Majority Noteholders and (ii)
complies or comply as of the date of substitution with each representation and warranty set forth
in Exhibit E and is or are not 30 or more days Delinquent as of the date of substitution for such
Deleted Loan or Loans.

     Rapid Amortization Trigger: Shall exist, as of any Determination Date, if the aggregate
Principal Balance of all Loans that are Delinquent greater than or equal to 30
days (including Defaulted Loans and Foreclosed Loans) as of such Determination Date is greater
than or equal to 15% of the Pool Principal Balance; provided, however, that a Rapid Amortization
Trigger shall not occur if such percentage is reduced to less than 15% within one Business Day of
such Determination Date as a result of the exercise of a Servicer Call. A Rapid Amortization
Trigger shall continue to exist until it is Deemed Cured.

     Rate Change Date: The date on which the Loan Interest Rate of each ARM is subject to
adjustment in accordance with the related Promissory Note.

     Rating Agencies: S&P and Moody’s or such other nationally recognized credit rating agencies
as may from time to time be designated in writing by the Majority Noteholders in their sole
discretion.

     Record Date: With respect to each Payment Date, the close of business of the immediately
preceding Business Day.

     Reference Banks: Deutsche Bank AG, Barclay’s Bank PLC, The Tokyo Mitsubishi Bank and National
Westminster Bank PLC and their successors in interest; provided, however, that if the Noteholder
Agent determines that any of the foregoing banks are not suitable to serve as a Reference Bank,
then any leading banks selected by the Noteholder Agent with the approval of the Issuer, which
approval shall not be unreasonably withheld, which are engaged in transactions in Eurodollar
deposits in the international Eurocurrency market (i) with an established place of business in
London and (ii) which have been designated as such by the Noteholder Agent with the approval of the
Issuer, which approval shall not be unreasonably withheld.

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

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     Released Mortgaged Property Proceeds: With respect to any Loan, proceeds received by the
Servicer in connection with (i) a taking of an entire Mortgaged Property by exercise of the power
of eminent domain or condemnation or (ii) any release of part of the Mortgaged Property from the
lien of the related Mortgage, whether by partial condemnation, sale or otherwise; which proceeds in
either case are not released to the Borrower in accordance with applicable law and/or Accepted
Servicing Practices.

     Remittance Date: The Business Day immediately preceding each Payment Date.

     Remittance Period: With respect to any Payment Date, the period commencing
immediately following the Determination Date for the preceding Payment Date (or, in the case of the
initial Payment Date, commencing immediately following the initial Transfer Cut-off Date) and
ending on and including the related Determination Date.

     Repurchase Price: With respect to a Loan the sum of (i), the Principal Balance thereof as of
the date of purchase or repurchase, plus (ii) all accrued and unpaid interest on such Loan to the
date of purchase or repurchase computed at the applicable Loan Interest Rate, plus (iii) the amount
of any unreimbursed Servicing Advances made by the Servicer with respect to such Loan (after
deducting therefrom any amounts received in respect of such purchased or repurchased Loan and being
held in the Collection Account for future distribution to the extent such amounts represent
recoveries of principal not yet applied to reduce the related Principal Balance or interest (net of
the Servicing Fee) for the period from and after the date of repurchase). The Repurchase Price
shall be (i) increased by the net negative value or (ii) decreased by the net positive value of all
Hedging Instruments terminated with respect to the purchase of such Loan. To the extent the
Servicer does not reimburse itself for amounts, if any, in respect of the Servicing Advance
Reimbursement Amount pursuant to Section 5.01(c)(1) hereof, with respect to such Loan, the
Repurchase Price shall be reduced by such amounts.

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

     Responsible Officer: When used with respect to the Indenture Trustee or Custodian, any officer
within the corporate trust office of such Person, including any Vice President, Assistant Vice
President, Secretary, Assistant Secretary or any other officer of such Person customarily
performing functions similar to those performed by any of the above designated officers and also,
with respect to a particular matter, any other officer to whom such matter is referred because of
such officer’s knowledge of and familiarity with the particular subject. When used with respect to
the Issuer, any officer of the Owner Trustee who is authorized to act for the Owner Trustee in
matters relating to the Issuer and who is identified on the list of Authorized Officers delivered
by the Owner Trustee to the Indenture Trustee on the date hereof (as such list

- 25 -

 

may be modified or supplemented from time to time thereafter) and, so long as the Administration
Agreement is in effect, any Vice President or more senior officer of the Administrator who is
authorized to act for the Administrator in matters relating to the Issuer and to be acted upon by
the Administrator pursuant to the Administration Agreement and who is identified on the list of
Responsible Officers delivered by the Administrator to the Owner Trustee on the date hereof (as
such list may be modified or supplemented from time to time thereafter). When used with respect to
the Depositor, the Loan Originator or the Servicer, the President, any Vice President, or the
Treasurer.

     Retained Securities: With respect to a Securitization, any subordinated securities issued or
expected to be issued, or excess collateral value retained or expected to be retained, in
connection therewith to the extent the Depositor, the Loan Originator or an Affiliate thereof
retains, instead of sells, such securities.

     Retained Securities Value: With respect to any Business Day and a Retained Security, the
market value thereof as determined by the Market Value Agent in accordance with Section 6.03(d)
hereof.

     Revolving Period: With respect to the Notes, the period commencing on June 30, 2005 and ending
on the earlier of (i) 364 days after such date, and (ii) the date on which the Revolving Period is
terminated pursuant to Section 2.07.

     Sales Price: For any Transfer Date, the sum of the Collateral Values with respect to each Loan
conveyed on such Transfer Date as of such Transfer Date.

     S&SA Assignment: An Assignment, in the form of Exhibit C hereto, of Loans and other property
from the Depositor to the Issuer pursuant to this Agreement.

     Second Lien Loan: A Loan secured by the lien on the Mortgaged Property, subject to one Senior
Lien on such Mortgaged Property.

     Securities: The Notes and the Trust Certificates.

     Securities Intermediary: A “securities intermediary” as defined in Section 8-102(a)(14) of the
UCC that is holding a Trust Account for the Indenture Trustee as the sole “entitlement holder” as
defined in Section 8-102(a)(7) of the UCC.

     Securitization: A sale or transfer of Loans by the Issuer at the direction of the Majority
Noteholders to any other Person in order to effect one or a series of structured-finance
securitization transactions, including but not limited to transactions involving the issuance of
securities which may be treated for federal income tax purposes as indebtedness of Option One or
one or more of its wholly-owned subsidiaries.

     Securityholder: Any Noteholder or Certificateholder.

     Senior Lien: With respect to any Second Lien Loan, the mortgage loan having a senior priority
lien on the related Mortgaged Property.

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     Servicer: Option One, in its capacity as the servicer hereunder, or any successor appointed
as herein provided.

     Servicer Event of Default: As described in Section 9.01 hereof.

     Servicer Put: The mandatory repurchase by the Servicer, at the option of the Majority
Noteholders, of a Loan pursuant to Section 3.08(a) hereof.

     Servicer’s Fiscal Year: May 1st of each year through April 30th of
the following year.

     Servicer’s Loan File: With respect to each Loan, the file held by the Servicer, consisting of
all documents (or electronic images thereof) relating to such Loan, including, without limitation,
copies of all of the Loan Documents included in the related Custodial Loan File.

     Servicer’s Remittance Report: A report prepared and computed by the Servicer in substantially
the form of Exhibit B attached hereto.

     Servicing Addendum: The terms and provisions set forth in Exhibit F attached hereto relating
to the administration and servicing of the Loans.

     Servicing Advance Reimbursement Amount: With respect to any Determination Date, the amount of
any Servicing Advances that have not been reimbursed as of such date, including Nonrecoverable
Servicing Advances.

     Servicing Advances: As defined in Section 4.14(b) of the Servicing Addendum.

     Servicing Compensation: The Servicing Fee and other amounts to which the Servicer is entitled
pursuant to Section 4.15 of the Servicing Addendum.

     Servicing Fee: As to each Loan (including any Loan that has been foreclosed and for which the
related Mortgaged Property has become a Foreclosure Property, but excluding any Liquidated Loan),
the fee payable monthly to the Servicer, which shall be the product of 0.50% (50 basis points), or
such other lower amount as shall be mutually agreed to in writing by the Majority Noteholders and
the Servicer, and the Principal Balance of such Loan as of the beginning of the related Remittance
Period, divided by 12. The Servicing Fee shall only be payable to the extent interest is collected
on a Loan.

     Servicing Officer: Any officer of the Servicer or Subservicer involved in, or responsible for,
the administration and servicing of the Loans whose name and specimen signature appears on a list
of servicing officers annexed to an Officer’s Certificate furnished by the Servicer or the
Subservicer, respectively, on the date hereof to the Issuer and the Indenture Trustee, on behalf of
the Noteholders, as such list may from time to time be amended.

     S&P: Standard & Poor’s Rating Services, a division of The McGraw-Hill
Companies, Inc.

     State: Means any one of the states of the United States of America or the District of
Columbia.

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     Subservicer: Any Person with which the Servicer has entered into a Subservicing Agreement and
which is an Eligible Servicer and satisfies any requirements set forth in Section 4.22 of the
Servicing Addendum in respect of the qualifications of a Subservicer.

     Subservicing Account: An account established by a Subservicer pursuant to a Subservicing Agreement, which account must be an Eligible Account.

     Subservicing Agreement: Any agreement between the Servicer and any Subservicer relating to
subservicing and/or administration of any or all Loans as provided in Section 4.22 in the Servicing
Addendum.

     Subsidiary: With respect to any Person, any corporation, partnership or other entity of which
at least a majority of the securities or other ownership interests having by the terms thereof
ordinary voting power to elect a majority of the board of directors or other persons performing
similar functions of such corporation, partnership or other entity (irrespective of whether or not
at the time securities or other ownership interests of any other class or classes of such
corporation, partnership or other entity shall have or might have voting power by reason of the
happening of any contingency) is at the time directly or indirectly owned or controlled by such
Person or one or more Subsidiaries of such Person or by such Person and one or more Subsidiaries of
such Person.

     Substitution Adjustment: As to any date on which a substitution occurs pursuant to Section
2.05 or Section 3.06 hereof, the amount, if any, by which (a) the aggregate principal balance of
any Qualified Substitute Loans (after application of principal payments received on or before the
related Transfer Cut-off Date) is less than (b) the aggregate of the Principal Balances of the
related Deleted Loans as of the first day of the month in which such substitution occurs.

     Tangible Net Worth: With respect to any Person, as of any date of determination, the
consolidated Net Worth of such Person and its Subsidiaries, less (i) the consolidated net book
value of all assets of such Person and its Subsidiaries (to the extent reflected as
an asset in the balance sheet of such Person or any Subsidiary at such date) which will be
treated as intangibles under GAAP, including, without limitation, such items as deferred financing
expenses, net leasehold improvements, good will, trademarks, trade names, service marks,
copyrights, patents, licenses and unamortized debt discount and expense; provided, that residual
securities issued by such Person or its Subsidiaries shall not be treated as intangibles for
purposes of this definition; (ii) any loans outstanding to any officer or director of Option One or
its Affiliates; and (iii) any receivables from H&R Block, Inc.

     Termination Price: As of any Determination Date, an amount without duplication equal to the
greater of (A) the Note Redemption Amount and (B) the sum of (i) the Principal Balance of each Loan
included in the Trust as of the end of the preceding Remittance Period; (ii) all unpaid interest
accrued on the Principal Balance of each such Loan at the related Loan Interest Rate to the end of
the preceding Remittance Period; and (iii) the aggregate fair market value of each Foreclosure
Property included in the Trust as of the end of the preceding Remittance Period, as determined by
an Independent appraiser acceptable to the Majority Noteholders as of a date not more than 30 days
prior to such Payment Date.

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     Transfer Cut-off Date: With respect to each Loan, (i) the first day of the month in which the
Transfer Date with respect to such Loan occurs or if originated in such month, the date of
origination or (ii) in the case of a purchase from a QSPE Affiliate, unless otherwise specified in
the confirmation delivered in accordance with the Master Disposition Confirmation Agreement in
connection with such purchase, the related Transfer Date.

     Transfer Cut-off Date Principal Balance: As to each Loan, its Principal Balance as of the
opening of business on the Transfer Cut-off Date (after giving effect to any payments received on
the Loan before the Transfer Cut-off Date).

     Transfer Date: With respect to each Loan, the day such Loan is either (i) sold and conveyed
to the Depositor by the Loan Originator pursuant to the Loan Purchase and Contribution Agreement
and to the Issuer by the Depositor pursuant to Section 2.01 hereof or (ii) sold to the Issuer
pursuant to the Master Disposition Confirmation Agreement, which results in an increase in the Note
Principal Balance by the related Additional Note Principal Balance. With respect to any Qualified
Substitute Loan, the Transfer Date shall be the day such Loan is conveyed to the Trust pursuant to
Section 2.05 or 3.06.

     Transfer Obligation: The obligation of the Loan Originator under Section 5.06 hereof to make
certain payments in connection with Dispositions and other related matters.

     Transfer Obligation Account: The account designated as such, established and maintained
pursuant to Section 5.05 hereof.

     Transfer Obligation Target Amount: With respect to any Payment Date, the cumulative total of
all withdrawals pursuant to Section 5.05(e), 5.05(f), 5.05(g), and 5.05(h) hereof from the Transfer
Obligation Account to but not including such Payment Date minus any amount withdrawn from the
Transfer Obligation Account to return to the Loan Originator pursuant to Section 5.05(i)(i).

     Trust: Option One Owner Trust 2005-6, the Delaware statutory trust created pursuant to the
Trust Agreement.

     Trust Agreement: The Trust Agreement dated as of June 1, 2005 between the Depositor and the
Owner Trustee.

     Trust Account Property: The Trust Accounts, all amounts and investments held from time to
time in the Trust Accounts and all proceeds of the foregoing.

     Trust Accounts: The Distribution Account, the Collection Account and the Transfer Obligation
Account.

     Trust Certificate: The meaning assigned thereto in the Trust Agreement.

     Trust Estate: Shall mean the assets subject to this Agreement, the Trust Agreement and the
Indenture and assigned to the Trust, which assets consist of: (i) such Loans as from time to time
are subject to this Agreement as listed in the Loan Schedule, as the same may be amended

- 29 -

 

or supplemented on each Transfer Date and by the removal of Deleted Loans and Unqualified Loans and
by the addition of Qualified Substitute Loans, together with the Servicer’s Loan Files and the
Custodial Loan Files relating thereto and all proceeds thereof, (ii) the Mortgages and security
interests in the Mortgaged Properties, (iii) all payments in respect of interest and principal with
respect to each Loan received on or after the related Transfer Cut-off Date, (iv) such assets as
from time to time are identified as Foreclosure Property, (v) such assets and funds as are from
time to time deposited in the Distribution Account, Collection Account and the Transfer Obligation
Account, including, without limitation, amounts on deposit in such accounts that are invested in
Permitted Investments, (vi) lenders’ rights under all Mortgage Insurance Policies and to any
Mortgage Insurance Proceeds, (vii) Net Liquidation Proceeds and Released Mortgaged Property
Proceeds, (viii) all right, title and interest of the Trust (but none of the obligations) in and to
the obligations of Hedging Counterparties under Hedging Instruments and (ix) all right, title and
interest of each of the Depositor, the Loan Originator and the Trust in and under the Basic
Documents including, without limitation, the obligations of the Loan Originator under the Loan
Purchase and Contribution Agreement and/or the Master Disposition Confirmation Agreement, and all
proceeds of any of the foregoing.

     Trust Fees and Expenses: As of each Payment Date, an amount equal to the Servicing
Compensation, the Owner Trustee Fee, the Indenture Trustee Fee and the
Custodian Fee, if any, and any expenses of the Servicer, the Owner Trustee, the Indenture
Trustee or the Custodian.

     UCC: The Uniform Commercial Code as in effect from time to time in the State of New York.

     UCC Assignment: A form “UCC 2” or “UCC 3” statement meeting the requirements of the Uniform
Commercial Code of the relevant jurisdiction to reflect an assignment of a secured party’s interest
in collateral.

     UCC-1 Financing Statement: A financing statement meeting the requirements of the Uniform
Commercial Code of the relevant jurisdiction.

     Underwriting Guidelines: The underwriting guidelines (including the loan origination
guidelines) of the Loan Originator, as the same may be amended from time to time with notice to the
Noteholder Agent.

     Unfunded Transfer Obligation: With respect to any date of determination, an amount equal to
the greater of:

     (A) the sum of (i) 10% of the aggregate Sales Prices of all Loans owned by the
Issuer at the close of business on the immediately preceding day minus all payments actually made
by the Loan Originator in respect of the Unfunded Transfer Obligation pursuant to Section 5.06 with
respect to such Loans since the related Transfer Dates plus (ii) 10% of the aggregate Sales Prices
of all Loans purchased by the Issuer on such date of determination; and

     (B) 10% of the average daily Sales Prices (as of the related Transfer Date) of all Loans owned by the Issuer over the 90
day period immediately preceding such date of determination minus all payments actually made by the
Loan Originator in respect of the Unfunded Transfer Obligation pursuant to Section 5.06 with
respect to such Loans.

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     Unfunded Transfer Obligation Percentage: As of any date of determination, an amount equal to
(x) the Unfunded Transfer Obligation as of such date, divided by (y) 100% of the aggregate
Collateral Values as of the related Transfer Date of all Loans in the Loan Pool.

     Unqualified Loan: As defined in Section 3.06(a) hereof.

     Wet Funded Custodial File Delivery Date: With respect to a Wet Funded Loan, the fifteenth
Business Day after the related Transfer Date, provided that if a Default or Event of Default shall
have occurred, the Wet Funded Custodial File Delivery Date shall be the earlier of
(x) such fifteenth Business Day and (y) the fifth day after the occurrence of such
event.

     Wet Funded Loan: A Loan for which the Custodian has not received the related
Custodial Loan File as of the related Transfer Date and for which the Custodian has
issued a Wet Funded Trust Receipt with respect thereto.

     Whole Loan Sale: A Disposition of Loans pursuant to a whole-loan sale.

			
	Section 1.02	 	Other Definitional Provisions.

          (a) Any agreement, instrument or statute defined or referred to herein or in any instrument or
certificate delivered in connection herewith means such agreement, instrument or statute as from
time to time amended, modified or supplemented and includes (in the case of agreements or
instruments) references to all attachments thereto and instruments incorporated therein; references
to a Person are also to its permitted successors and assigns.

          (b) All terms defined in this Agreement shall have the defined meanings when used in any
certificate or other document made or delivered pursuant hereto unless otherwise defined therein.

          (c) As used in this Agreement and in any certificate or other document made or delivered
pursuant hereto or thereto, accounting terms not defined in this Agreement or in any such
certificate or other document, and accounting terms partly defined in this Agreement or in any such
certificate or other document to the extent not defined, shall have the respective meanings given
to them under GAAP. To the extent that the definitions of accounting terms in this Agreement or in
any such certificate or other document are inconsistent with the meanings of such terms under GAAP,
the definitions contained in this Agreement or in any such certificate or other document shall
control.

          (d) The words “hereof,” “herein,” “hereunder” and words of similar import when used in this
Agreement shall refer to this Agreement as a whole and not to any particular provision of this
Agreement; Article, Section, Schedule and Exhibit references contained in this Agreement are
references to Articles, Sections, Schedules and Exhibits in or to this Agreement unless otherwise
specified; and the term “including” shall mean “including without limitation.”

          (e) The definitions contained in this Agreement are applicable to the singular as well as the
plural forms of such terms and to the masculine as well as to the feminine and neuter genders of
such terms.

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ARTICLE II

CONVEYANCE OF THE TRUST ESTATE; ADDITIONAL NOTE PRINCIPAL BALANCES

			
	Section 2.01	 	Conveyance of the Trust Estate; Additional Note Principal Balances.

          (a) (i) On the terms and conditions of this Agreement, on each
Transfer Date during the Revolving Period, the Depositor agrees to offer for sale and to sell
a portion of each of the Loans and contribute to the capital stock of the Issuer the balance of
each of the Loans and deliver the related Loan Documents to or at the direction of the Issuer. To
the extent the Issuer has or is able to obtain sufficient funds under the Note Purchase Agreement
and the Notes for the purchase thereof, the Issuer agrees to purchase such Loans offered for sale
by the Depositor. On the terms and conditions of this Agreement and the Master Disposition
Confirmation Agreement, on each Transfer Date during the Revolving Period, the Issuer may acquire
Loans from another QSPE Affiliate of the Loan Originator to the extent the Issuer has or is able to
obtain sufficient funds for the purchase thereof.

     (ii) In consideration of the payment of the Additional Note Principal Balance
pursuant to Section 2.06 hereof and as a contribution to the assets of the Issuer,
the Depositor as of the related Transfer Date and concurrently with the execution
and delivery hereof, hereby sells, transfers, assigns, sets over and otherwise
conveys to the Issuer, without recourse, but subject to the other terms and
provisions of this Agreement, all of the right, title and interest of the Depositor
in and to the Trust Estate.

     (iii) During the Revolving Period, on each Transfer Date, subject to the
conditions precedent set forth in Section 2.06 and in accordance with the
procedures set forth in Section 2.01(c), the Depositor, pursuant to an S&SA
Assignment, will assign to the Issuer without recourse all of its respective right,
title and interest, in and to the Loans and all proceeds thereof listed on the Loan
Schedule attached to such S&SA Assignment, including all interest and principal
received by the Loan Originator, the Depositor or the Servicer on or with respect
to the Loans on or after the related Transfer Cut-off Date, together with all
right, title and interest in and to the proceeds of any related Mortgage Insurance
Policies and all of the Depositor’s rights, title and interest in and to (but none
of its obligations under) the Loan Purchase and Contribution Agreement and all
proceeds of the foregoing.

     (iv) The foregoing sales, transfers, assignments, set overs and conveyances do
not, and are not intended to, result in a creation or an assumption by the Issuer
of any of the obligations of the Depositor, the Loan Originator or any other Person
in connection with the Trust Estate or under any agreement or instrument relating
thereto except as specifically set forth herein.

          (b) As of the Closing Date and as of each Transfer Date, the Issuer acknowledges (or will
acknowledge pursuant to the S&SA Assignment) the conveyance to it of the Trust Estate, including
all rights, title and interest of the Depositor and any QSPE Affiliate in

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and to the Trust Estate, receipt of which is hereby acknowledged by the Issuer. Concurrently with
such delivery, as of the Closing Date and as of each Transfer Date,
pursuant to the Indenture the Issuer pledges the Trust Estate to the Indenture Trustee. In
addition, concurrently with such delivery and in exchange therefor, the Owner Trustee, pursuant to
the instructions of the Depositor, has executed (not in its individual capacity, but solely as
Owner Trustee on behalf of the Issuer) and caused the Trust Certificates to be authenticated and
delivered to or at the direction of the Depositor.

          (c) (i) Pursuant to and subject to the Note Purchase Agreement, the Issuer may, at its sole
option, from time to time request advances on any Transfer Date of Additional Note Principal
Balances.

     (ii) Notwithstanding anything to the contrary herein, in no event shall the
Purchaser be required to advance Additional Note Principal Balances on a Transfer
Date if the conditions precedent to a transfer of the Loans under Section 2.06 and
the conditions precedent to the purchase of Additional Note Principal Balances set
forth in Section 3.01 of the Note Purchase Agreement have not been fulfilled.

     (iii) The Servicer shall appropriately note such Additional Note Principal
Balance (and the increased Note Principal Balance) in the next succeeding Payment
Statement; provided, however, that failure to make any such notation in such
Payment Statement or any error in such notation shall not adversely affect any
Noteholder’s rights with respect to its Note Principal Balance and its right to
receive interest and principal payments in respect of the Note Principal Balance
held by such Noteholder. Each Noteholder shall record on the schedule attached to
such Noteholder’s Note, the date and amount of any Additional Note Principal
Balance advanced by it; provided, that failure to make such recordation on such
schedule or any error in such schedule shall not adversely affect any Noteholder’s
rights with respect to its Note Principal Balance and its right to receive interest
payments in respect of the Note Principal Balance held by such Noteholder.

     (iv) Absent manifest error, the Note Principal Balance of each Note as set
forth in the Noteholder’s records shall be binding upon the Noteholders and the
Trust, notwithstanding any notation made by the Servicer in its Payment Statement
pursuant to the preceding paragraph.

			
	Section 2.02	 	Ownership and Possession of Loan Files.

          With respect to each Loan, as of the related Transfer Date the ownership of the related
Promissory Note, the related Mortgage and the contents of the related Servicer’s Loan File and
Custodial Loan File shall be vested in the Trust for the benefit of the Securityholders, although
possession of the Servicer’s Loan File on behalf of and for the benefit of the Securityholders
shall remain with the Servicer, and the Custodian shall take possession of the Custodial Loan Files
as contemplated in Section 2.05 hereof.

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	Section 2.03	 	Books and Records; Intention of the Parties.

          (a) As of each Transfer Date, the sale of each of the Loans conveyed by the Depositor on such
Transfer Date shall be reflected on the balance sheets and other financial statements of the
Depositor and the Loan Originator, as the case may be, as a sale of assets and a contribution to
capital by the Loan Originator and the Depositor, as applicable, under GAAP. Each of the Servicer
and the Custodian shall be responsible for maintaining, and shall maintain, a complete set of books
and records for each Loan which shall be clearly marked to reflect the ownership of each Loan, as
of the related Transfer Date, by the Issuer and for the benefit of the Securityholders.

          (b) It is the intention of the parties hereto that, other than for federal, state and local
income or franchise tax purposes (as to which no treatment is herein contemplated), the transfers
and assignments of the Trust Estate on the initial Closing Date, on each Transfer Date and as
otherwise contemplated by the Basic Documents and the Assignments shall constitute a sale of the
Trust Estate including, without limitation, the Loans and all other property comprising the Trust
Estate specified in Section 2.01(a) hereof, from the Depositor to the Issuer and such property
shall not be property of the Depositor. The parties hereto shall treat the Notes as indebtedness
for federal, state and local income and franchise tax purposes.

          (c) Each transfer and assignment contemplated by this Agreement shall constitute a sale in
part, and a contribution to capital in part, of the Loans from the Depositor to the Issuer. Upon
the consummation of those transactions the Loans shall be owned by and the property of the Issuer,
and not owned by or otherwise the property of, the Depositor for any purpose including without
limitation any bankruptcy, receivership, insolvency, liquidation, conservatorship or similar
proceeding relating to either the Depositor or the Issuer or any property of either. The parties
hereto hereby acknowledge that the Issuer and its creditors are relying, and its subsequent
transferees and their creditors will rely, on such sales and contributions being recognized as
such. If (A) any transfer and assignment contemplated hereby is subsequently determined for any
reason under any circumstances to constitute a transfer to secure a loan rather than a sale in
part, and a contribution in part, of the Loans or (B) any Loan is otherwise held to be property of
the Depositor, then this Agreement (i) is and shall be a security agreement within the meaning of
Articles 8 and 9 of the applicable Uniform Commercial Code and (ii) shall constitute a grant by the
Depositor to the Issuer of a security interest in all of the Depositor’s right, title and other
interest in and to the Loans and the proceeds and other distributions and payments and general
intangibles and other rights and benefits in respect thereof. For purposes of perfecting that
security interest under any applicable Uniform Commercial Code, the possession by, and notices and
other communications with respect thereto to and from, the Issuer or any agent thereof, of money,
notes and other documents evidencing ownership of and other rights with respect to the Loans shall
be “possession” by the secured party or purchaser and required notices and other communications to
and from applicable financial intermediaries, bailees and other agents.

          (d) The Depositor at its expense shall take such actions as may be necessary or reasonably
requested by the Issuer to ensure the perfection, and priority to
all other security interests, of the security interest described in the preceding paragraph
including without

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limitation the execution and delivery of such financing statements and amendments thereto,
continuation statements and other documents as the Issuer may reasonably request.

			
	Section 2.04	 	Delivery of Loan Documents.

          (a) The Loan Originator shall, prior to the related Transfer Date (or, in the case of each Wet
Funded Loan, the related Wet Funded Custodial File Delivery Date), in accordance with the terms and
conditions set forth in the Custodial Agreement, deliver or cause to be delivered to the Custodian,
as the designated agent of the Indenture Trustee, a Loan Schedule and each of the documents
constituting the Custodial Loan File with respect to each Loan. The Loan Originator shall assure
that (i) in the event that any Wet Funded Loan is not closed and funded to the order of the
appropriate Borrower on the day funds are provided to the Loan Originator by the Purchaser, on
behalf of the Issuer, such funds shall be promptly returned to the Purchaser, on behalf of the
Issuer and (ii) in the event that any Wet Funded Loan is subject to a recission, all funds received
in connection with such recission shall be promptly returned to the Purchaser, on behalf of the
Issuer.

          (b) The Loan Originator shall, on the related Transfer Date (or in the case of a Wet Funded
Loan, on or before the related Wet Funded Custodial File Delivery Date), deliver or cause to be
delivered to the Servicer the related Servicer’s Loan File (i) for the benefit of, and as agent
for, the Noteholders and (ii) for the benefit of the Indenture Trustee, on behalf of the
Noteholders, for so long as the Notes are outstanding; after the Notes are not outstanding, the
Servicer’s Loan File shall be held in the custody of the Servicer for the benefit of, and as agent
for, the Certificateholders.

          (c) The Indenture Trustee shall cause the Custodian to take and maintain continuous physical
possession of the Custodial Loan Files in the State of California (or upon prior written notice
from the Custodian to the Loan Originator and the Noteholder Agent and delivery of an Opinion of
Counsel with respect to the continued perfection of the Indenture Trustee’s security interest, in
the State of Minnesota or Utah) and, in connection therewith, shall act solely as agent for the
Noteholders in accordance with the terms hereof and not as agent for the Loan Originator, the
Servicer or any other party.

			
	Section 2.05	 	Acceptance by the Indenture Trustee of the Loans; Certain Substitutions and
Repurchases; Certification by the Custodian.

          (a) The Indenture Trustee declares that it will cause the Custodian to hold the Custodial Loan
Files and any additions, amendments, replacements or supplements to the documents contained
therein, as well as any other assets included in
the Trust Estate and delivered to the Custodian, in trust, upon and subject to the conditions
set forth herein. The Indenture Trustee further agrees to cause the Custodian to execute and
deliver such certifications as are required under the Custodial Agreement and to otherwise direct
the Custodian to perform all of its obligations with respect to the Custodial Loan Files in strict
accordance with the terms of the Custodial Agreement.

          (b) (i) With respect to any Loans which are set forth as exceptions in the Exceptions Report,
the Loan Originator shall cure such exceptions by delivering such missing

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documents to the Custodian or otherwise curing the defect no later than, in the case of (x) a
non-Wet Funded Loan, five (5) Business Days, or (y) in the case of a Wet Funded Loan one (1)
Business Day after the Wet Funded Custodial File Delivery Date, in each case, following the receipt
of the first Exceptions Report listing such exception with respect to such Loan.

     (ii) In the event that, with respect to any Loan, the Loan Originator does not comply
with the document delivery requirements of this Section 2.05 and such failure has a
material adverse effect on the value or enforceability of any Loan, or the interests of the
Securityholders in any Loan (without limiting the foregoing, if any of the documents listed
on schedule I attached hereto is not delivered in accordance with the requirements set
forth in the Basic Documents, such failure shall be deemed to have a material adverse
effect on the interests of the Securityholders in such Loans), the Loan Originator shall
repurchase such Loan within one (1) Business Day of notice thereof from the Indenture
Trustee or the Noteholder Agent at the Repurchase Price thereof with respect to such Loan
by depositing such Repurchase Price in the Collection Account. In lieu of such a
repurchase, the Depositor and Loan Originator may comply with the substitution provisions
of Section 3.06 hereof. The Loan Originator shall provide the Servicer, the Indenture
Trustee, the Issuer and the Noteholder Agent with a certification of a Responsible Officer
on or prior to such repurchase or substitution indicating that the Loan Originator intends
to repurchase or substitute such Loan.

          (iii) It is understood and agreed that the obligation of the Loan Originator to
repurchase or substitute any such Loan pursuant to this Section 2.05(b) shall constitute
the sole remedy with respect to such failure to comply with the foregoing delivery
requirements.

          (c) In performing its reviews of the Custodial Loan Files pursuant to the Custodial Agreement,
the Custodian shall have no responsibility to determine the genuineness of any document contained
therein and any signature thereon. The Custodian shall not have any responsibility for determining
whether any document is valid and binding, whether the text of any assignment or endorsement is in
proper or recordable form, whether any document has been recorded in accordance with the
requirements of any applicable jurisdiction, or whether a blanket assignment is permitted in any
applicable jurisdiction.

          (d) The Servicer’s Loan File shall be held in the custody of the Servicer (i) for the benefit
of, and as agent for, the Noteholders and (ii) for the benefit of the Indenture Trustee, on behalf
of the Noteholders, for so long as the Notes are outstanding; after the Notes are not outstanding,
the Servicer’s Loan File shall be held in the custody of the Servicer for the benefit of, and as
agent for, the Certificateholders. It is intended that, by the Servicer’s agreement pursuant to
this Section 2.05(d), the Indenture Trustee shall be deemed to have possession of the Servicer’s
Loan Files for purposes of Section 9-313 of the Uniform Commercial Code of the state in which such
documents or instruments are located. The Servicer shall promptly report to the Indenture Trustee
any failure by it to hold the Servicer’s Loan File as herein provided and shall promptly take
appropriate action to remedy any such failure. In acting as custodian of such documents and
instruments, the Servicer agrees not to assert any legal or beneficial ownership interest in the
Loans or such documents or instruments. Subject to Section 8.01(d), the Servicer

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agrees to indemnify the Securityholders and the Indenture Trustee, their officers, directors,
employees, agents and “control persons” as such term is used under the Act and under the Securities
Exchange Act of 1934, as amended for any and all liabilities, obligations, losses, damages,
payments, costs or expenses of any kind whatsoever which may be imposed on, incurred by or asserted
against the Securityholders or the Indenture Trustee as the result of the negligence or willful
misfeasance by the Servicer relating to the maintenance and custody of such documents or
instruments which have been delivered to the Servicer; provided, however, that the Servicer will
not be liable for any portion of any such amount resulting from the negligence or willful
misconduct of any Securityholders or the Indenture Trustee; and provided, further, that the
Servicer will not be liable for any portion of any such amount resulting from the Servicer’s
compliance with any instructions or directions consistent with this Agreement issued to the
Servicer by the Indenture Trustee or the Majority Noteholders. The Indenture Trustee shall have no
duty to monitor or otherwise oversee the Servicer’s performance as custodian of the Servicer Loan
File hereunder.

			
	Section 2.06	 	Conditions to Transfer.

          (a) In the case of Wet Funded Loans, by 12:00 p.m. (New York City time) on the related
Transfer Date, the Issuer shall give notice to the Noteholder Agent of such upcoming Transfer Date
and shall deliver or cause to be delivered to the Noteholder Agent: (i) an estimate of the number
of Loans and aggregate Principal Balance of such Loans to be transferred on such Transfer Date (ii)
a funding request amount and (iii) a Wet Funded Loan Schedule in computer-readable form with
respect to the Loans requested to be transferred on such Transfer Date.

          (b) In the case of non-Wet Funded Loans, two (2) Business Days prior to each Transfer Date,
the Issuer shall give notice to the Noteholder Agent of such upcoming Transfer Date and by no later
than 12:00 p.m. (New York City time) on the Business Day preceding each Transfer Date, the Issuer
shall deliver or cause to be
delivered to the Noteholder Agent: (i) an estimate of the number of Loans and aggregate
Principal Balance of such Loans to be transferred on such Transfer Date (ii) a funding request
amount and (iii) a final Loan Schedule in computer-readable form with respect to the Loans
requested to be transferred on such Transfer Date.

          (c) On each Transfer Date, the Depositor or the applicable QSPE Affiliate shall convey to the
Issuer, the Loans and the other property and rights related thereto described in the related S&SA
Assignment, and the Issuer, only upon the satisfaction of each of the conditions set forth below on
or prior to such Transfer Date, shall deposit or cause to be deposited cash in the amount of the
Additional Note Principal Balance received from the Purchaser in the Advance Account in respect
thereof, and the Paying Agent shall, promptly after such deposit, withdraw the amount deposited in
respect of applicable Additional Note Principal Balance from the Advance Account, and distribute
such amount to or at the direction of the Depositor or the applicable QSPE Affiliate.

          (d) As of the Closing Date and each Transfer Date:

     (i) the Depositor, the QSPE Affiliate and the Servicer, as applicable,
shall have delivered to the Issuer and the Noteholder Agent duly executed Assignments,
which shall have attached thereto a Loan Schedule setting forth the

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appropriate information with respect to all Loans conveyed on such Transfer Date and shall
have delivered to the Noteholder Agent a computer readable transmission of such Loan
Schedule;

     (ii) the Depositor shall have deposited, or caused to be deposited, in the Collection
Account all collections received with respect to each of the Loans on and after the
applicable Transfer Cut-off Date;

     (iii) as of such Transfer Date, none of the Loan Originator, the Depositor or the
QSPE Affiliate, as applicable, shall (A) be insolvent, (B) be made insolvent by its
respective sale of Loans or (C) have reason to believe that its insolvency is imminent;

     (iv) the Revolving Period shall not have terminated;

     (v) as of such Transfer Date (after giving effect to the sale of Loans on
such Transfer Date), there shall be no Overcollateralization Shortfall;

     (vi) Reserved;

     (vii) each of the representations and warranties made by the Loan
Originator contained in Exhibit E with respect to the Loans shall be true and correct in
all material respects as of the related Transfer Date with the same effect as if then made
and the proviso set forth in Section 3.05 with respect to Loans sold by a QSPE Affiliate
shall not be applicable to any Loans, and the Depositor or the QSPE Affiliate, as
applicable, shall have performed all obligations to be performed by it under the Basic
Documents on or prior to such Transfer Date;

     (viii) the Depositor or the QSPE Affiliate shall, at its own expense, within one
Business Day following the Transfer Date, indicate in its computer files that the Loans
identified in each S&SA Assignment have been sold to the Issuer pursuant to this Agreement
and the S&SA Assignment;

     (ix) the Depositor or the QSPE Affiliate shall have taken any action requested by the
Indenture Trustee, the Issuer or the Noteholders required to maintain the ownership
interest of the Issuer in the Trust Estate;

     (x) no selection procedures believed by the Depositor or the QSPE Affiliate to be
adverse to the interests of the Noteholders shall have been utilized in selecting the
Loans to be conveyed on such Transfer Date;

     (xi) the Depositor shall have provided the Issuer, the Indenture Trustee and the
Noteholder Agent no later than two Business Days prior to such date a notice of Additional
Note Principal Balance in the form of Exhibit A hereto;

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     (xii) after giving effect to the Additional Note Principal Balance associated
therewith, the Note Principal Balance will not exceed the Maximum Note Principal
Balance;

     (xiii) all conditions precedent to the Depositor’s purchase of Loans pursuant
to the Loan Purchase and Contribution Agreement shall have been fulfilled as of
such Transfer Date and, in the case of purchases from a QSPE Affiliate, all
conditions precedent to the Issuer’s purchase of Loans pursuant to the Master
Disposition Confirmation Agreement shall have been fulfilled as of such Transfer
Date;

     (xiv) all conditions precedent to the Noteholders’ purchase of Additional Note
Principal Balance pursuant to the Note Purchase Agreement shall have been fulfilled
as of such Transfer Date; and

     (xv) with respect to each Loan acquired from any QSPE Affiliate that has a
limited right of recourse to the Loan Originator under the terms of the applicable
loan purchase agreement, the Loan Originator has not been required to pay any
amount to or on behalf of such QSPE Affiliate that lowered the recourse to the Loan
Originator available to such QSPE Affiliate below the maximum recourse to the Loan
Originator available to
such QSPE Affiliate under the terms of the related loan purchase contract
providing for recourse by that QSPE Affiliate to the Loan Originator.

          (e) In the case of Wet Funded Loans, by no later than 9:00 p.m. (New York City time) on the
related Transfer Date, the Issuer shall deliver or cause to be delivered to the Purchaser the
related Loan Schedule as finalized, in computer-readable form acceptable to the Purchaser.

			
	Section 2.07	 	Termination of Revolving Period.

          Upon the occurrence of (i) an Event of Default or Default or (ii) the Unfunded Transfer
Obligation Percentage equals 4% or less or (iii) Option One or any of its Affiliates shall default
under, or fail to perform as requested under, or shall otherwise materially breach the terms of any
repurchase agreement, loan and security agreement or similar credit facility or agreement entered
into by Option One or any of its Affiliates, including without limitation, the Sale and Servicing
Agreement, dated as of April 1, 2001, among the Option One Owner Trust 2001-1A, the Depositor,
Option One and the Indenture Trustee, the Sale and Servicing Agreement, dated as of April 1, 2001,
among the Option One Owner Trust 2001-1B, the Depositor, Option One and the Indenture Trustee, the
Sale and Servicing Agreement, dated as of July 2, 2002, among the Option One Owner Trust 2002-3,
the Depositor, Option One and the Indenture Trustee and the Sale and Servicing Agreement, dated as
of August 8, 2003, among the Option One Owner Trust 2003-4, the Depositor, Option One and the
Indenture Trustee, and such default, failure or breach shall entitle any counterparty to declare
the Indebtedness thereunder to be due and payable prior to the maturity thereof. The Initial
Noteholder may, in any such case, in its sole discretion, terminate the Revolving Period.

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	Section 2.08	 	Correction of Errors.

          The parties hereto who have relevant information shall cooperate to reconcile any errors in
calculating the Sales Price from and after the Closing Date. In the event that an error in the
Sales Price is discovered by either party, including without limitation, any error due to
miscalculations of Market Value where insufficient information has been provided with respect to a
Loan to make an accurate determination of Market Value as of any applicable Transfer Date, any
miscalculations of Principal Balance, accrued interest, Overcollateralization Shortfall or
aggregate unreimbursed Servicing Advances attributable to the applicable Loan, or any prepayments
not properly credited, such party shall give prompt notice to the other parties hereto, and the
party that shall have benefited from such error shall promptly remit to the other, by wire transfer
of immediately available funds, the amount of such error with no interest thereon.

ARTICLE III

REPRESENTATIONS AND WARRANTIES

			
	Section 3.01	 	 Representations and Warranties of the Depositor.

          The Depositor hereby represents, warrants and covenants to the other parties hereto and the
Securityholders that as of the Closing Date and as of each Transfer Date:

          (a) The Depositor is a corporation duly organized, validly existing and in good standing under
the laws of the jurisdiction of its organization and has, and had at all relevant times, full power
to own its property, to carry on its business as currently conducted, to enter into and perform its
obligations under each Basic Document to which it is a party;

          (b) The execution and delivery by the Depositor of each Basic Document to which the Depositor
is a party and its performance of and compliance with all of the terms thereof will not violate the
Depositor’s organizational documents or constitute a default (or an event which, with notice or
lapse of time, or both, would constitute a default) under, or result in the breach or acceleration
of, any material contract, agreement or other instrument to which the Depositor is a party or which
are applicable to the Depositor or any of its assets;

          (c) The Depositor has the full power and authority to enter into and consummate the
transactions contemplated by each Basic Document to which the Depositor is a party, has duly
authorized the execution, delivery and performance of each Basic Document to which it is a party
and has duly executed and delivered each Basic Document to which it is a party; each Basic Document
to which it is a party, assuming due authorization, execution and delivery by the other party or
parties thereto, constitutes a valid, legal and binding obligation of the Depositor, enforceable
against it in accordance with the terms thereof, except as such enforcement may be limited by
bankruptcy, insolvency, reorganization, receivership, moratorium or other similar laws relating to
or affecting the rights of creditors generally, and by general equity principles (regardless of
whether such enforcement is considered in a proceeding in equity or at law);

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          (d) The Depositor is not in violation of, and the execution and delivery by the Depositor of
each Basic Document to which the Depositor is a party and its performance and compliance with the
terms of each Basic Document to which the Depositor is a party will not constitute a violation with
respect to, any order or decree of any court or any order or regulation of any federal, state,
municipal or governmental agency having jurisdiction, which violation would materially and
adversely affect the condition (financial or otherwise) or operations of the Depositor or any of
its properties or materially and adversely affect the performance of any of its duties hereunder;

          (e) There are no actions or proceedings against, or investigations of, the Depositor currently
pending with regard to which the Depositor has received service of process and no action or
proceeding against, or investigation of, the Depositor is, to the knowledge of the Depositor,
threatened or otherwise pending before any court, administrative agency or other tribunal that (A)
if determined adversely to the Depositor,
have a reasonable possibility of prohibiting or preventing its entering into any of the Basic
Documents to which it is a party or render the Securities invalid, (B) seek to prevent the issuance
of the Securities or the consummation of any of the transactions contemplated by any of the Basic
Documents to which it is a party or (C) if determined adversely to the Depositor, would prohibit or
materially and adversely affect the performance by the Depositor of its obligations under, or the
validity or enforceability of, any of the Basic Documents to which it is a party or the Securities
provided, however, that insofar as this representation relates to the Loan Originator’s
satisfaction of its financial covenants, there is also a reasonable possibility of an adverse
determination of such action, proceeding or investigation having such effect;

          (f) No consent, approval, authorization or order of any court or governmental agency or body
is required for the execution, delivery and performance by the Depositor of, or compliance by the
Depositor with, any of the Basic Documents to which the Depositor is a party or the Securities, or
for the consummation of the transactions contemplated by any of the Basic Documents to which the
Depositor is a party, except for such consents, approvals, authorizations and orders, if any, that
have been obtained prior to such date;

          (g) The Depositor is solvent, is able to pay its debts as they become due and has capital
sufficient to carry on its business and its obligations hereunder; it will not be rendered
insolvent by the execution and delivery of any of the Basic Documents to which it is a party or the
assumption of any of its obligations thereunder; no petition of bankruptcy (or similar insolvency
proceeding) has been filed by or against the Depositor;

          (h) The Depositor did not transfer the Loans sold thereon by the Depositor to the Trust with
any intent to hinder, delay or defraud any of its creditors; nor will the Depositor be rendered
insolvent as a result of such sale;

          (i) The Depositor had good title to, and was the sole owner of, each Loan sold thereon by the
Depositor free and clear of any lien other than any such lien released simultaneously with the sale
contemplated herein, and, immediately upon each transfer and assignment herein contemplated, the
Depositor will have delivered to the Trust good title to, and

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the Trust will be the sole owner of, each Loan transferred by the Depositor thereon free and clear
of any lien;

          (j) The Depositor acquired title to each of the Loans sold thereon by the Depositor in good
faith, without notice of any adverse claim;

          (k) None of the Basic Documents to which the Depositor is a party, nor any Officer’s
Certificate, statement, report or other document prepared by the Depositor and furnished or to be
furnished by it pursuant to any of the Basic Documents to which it is a party or in connection with
the transactions contemplated thereby contains any untrue statement of material fact or omits to
state a material fact necessary to make
the statements contained herein or therein not misleading;

          (l) The Depositor is not required to be registered as an “investment company,” under the
Investment Company Act of 1940, as amended;

          (m) The transfer, assignment and conveyance of the Loans by the Depositor thereon pursuant to
this Agreement is not subject to the bulk transfer laws or any similar statutory provisions in
effect in any applicable jurisdiction;

          (n) The Depositor’s principal place of business and chief executive offices are located at
Irvine, California or at such other address as shall be designated by such party in a written
notice to the other parties hereto;

          (o) The Depositor covenants that during the continuance of this Agreement it will comply in
all respects with the provisions of its organizational documents in effect from time to time; and

          (p) The representations and warranties set forth in (h), (i), (j) and (m) above were true and
correct (with respect to the applicable QSPE Affiliate) with respect to each Loan transferred to
the Trust by any QSPE Affiliate at the time such Loan was transferred to a QSPE Affiliate.

			
	Section 3.02	 	Representations and Warranties of the Loan Originator.

          The Loan Originator hereby represents and warrants to the other parties hereto and the
Securityholders that as of the Closing Date and as of each Transfer Date:

          (a) The Loan Originator is a corporation duly organized, validly existing and in good standing
under the laws of the jurisdiction of its organization and (i) is duly qualified, in good standing
and licensed to carry on its business in each state where any Mortgaged Property related to a Loan
sold by it is located and (ii) is in compliance with the laws of any such jurisdiction, in both
cases, to the extent necessary to ensure the enforceability of such Loans in accordance with the
terms thereof and had at all relevant times, full corporate power to originate such Loans, to own
its property, to carry on its business as currently conducted and to enter into and perform its
obligations under each Basic Document to which it is a party;

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          (b) The execution and delivery by the Loan Originator of each Basic Document to which it is a
party and its performance of and compliance with the terms thereof will not violate the Loan
Originator’s articles of organization or by-laws or constitute a default (or an event which, with
notice or lapse of time, or both, would constitute a default) under, or result in the breach or
acceleration of, any contract, agreement or other instrument to which the Loan Originator is a
party or which may be applicable to the Loan Originator or any of its assets;

          (c) The Loan Originator has the full power and authority to enter into
and consummate all transactions contemplated by the Basic Documents to be consummated by it,
has duly authorized the execution, delivery and performance of each Basic Document to which it is a
party and has duly executed and delivered each Basic Document to which it is a party; each Basic
Document to which it is a party, assuming due authorization, execution and delivery by each of the
other parties thereto, constitutes a valid, legal and binding obligation of the Loan Originator,
enforceable against it in accordance with the terms hereof, except as such enforcement may be
limited by bankruptcy, insolvency, reorganization, receivership, moratorium or other similar laws
relating to or affecting the rights of creditors generally, and by general equity principles
(regardless of whether such enforcement is considered in a proceeding in equity or at law);

          (d) The Loan Originator is not in violation of, and the execution and delivery of each Basic
Document to which it is a party by the Loan Originator and its performance and compliance with the
terms of each Basic Document to which it is a party will not constitute a violation with respect
to, any order or decree of any court or any order or regulation of any federal, state, municipal or
governmental agency having jurisdiction, which violation would materially and adversely affect the
condition (financial or otherwise) or operations of the Loan Originator or its properties or
materially and adversely affect the performance of its duties under any Basic Document to which it
is a party;

          (e) There are no actions or proceedings against, or investigations of, the Loan Originator
currently pending with regard to which the Loan Originator has received service of process and no
action or proceeding against, or investigation of, the Loan Originator is, to the knowledge of the
Loan Originator, threatened or otherwise pending before any court, administrative agency or other
tribunal that (A) if determined adversely to the Loan Originator, would prohibit its entering into
any Basic Document to which it is a party or render the Securities invalid, (B) seek to prevent the
issuance of the Securities or the consummation of any of the transactions contemplated by any Basic
Document to which it is a party or (C) if determined adversely to the Loan Originator, would have a
reasonable possibility of prohibiting or preventing or materially and adversely affecting the sale
of the Loans to the Depositor, the performance by the Loan Originator of its obligations under, or
the validity or enforceability of, any Basic Document to which it is a party or the Securities;
provided, however, that insofar as this representation relates to the Loan Originator’s
satisfaction of its financial covenants, there is also a reasonable possibility of an adverse
determination of such action, proceeding or investigation having such effect;

          (f) No consent, approval, authorization or order of any court or governmental agency or body
is required for: (1) the execution, delivery and performance by the Loan

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Originator of, or compliance by the Loan Originator with, any Basic Document to which it is a
party, (2) the issuance of the Securities, (3) the sale and contribution of the Loans,
or (4) the consummation of the transactions required of it by any Basic Document to which it is a
party, except such as shall have been obtained before such date;

          (g) Immediately prior to the sale of any Loan to the Depositor, the Loan Originator had good
title to the Loans sold by it on such date without notice of any adverse claim;

          (h) The information, reports, financial statements, exhibits and schedules furnished in
writing by or on behalf of the Loan Originator to the Purchaser in connection with the negotiation,
preparation or delivery of the Basic Documents to which it is a party or delivered pursuant
thereto, when taken as a whole, do not contain any untrue statement of material fact or omit to
state any material fact necessary to make the statements therein, in light of the circumstances
under which they were made, not misleading. All written information furnished after the date hereof
by or on behalf of the Loan Originator to the Noteholder Agent or any Noteholder in connection with
the Basic Documents to which it is a party and the transactions contemplated thereby will be true,
complete and accurate in every material respect, or (in the case of projections) based on
reasonable estimates, on the date as of which such information is stated or certified.

          (i) The Loan Originator is solvent, is able to pay its debts as they become due and has
capital sufficient to carry on its business and its obligations under each Basic Document to which
it is a party; it will not be rendered insolvent by the execution and delivery of this Agreement or
by the performance of its obligations under each Basic Document to which it is a party; no petition
of bankruptcy (or similar insolvency proceeding) has been filed by or against the Loan Originator
prior to the date hereof;

          (j) The Loan Originator has transferred the Loans transferred by it on or prior to such
Transfer Date without any intent to hinder, delay or defraud any of its creditors;

          (k) The Loan Originator has received fair consideration and reasonably equivalent value in
exchange for the Loans sold by it on such Transfer Date to the Depositor;

          (l) The Loan Originator has not dealt with any broker or agent or other Person who might be
entitled to a fee, commission or compensation in connection with the transaction contemplated by
this Agreement;

          (m) The Loan Originator is in compliance with each of its financial covenants set forth in
Section 7.02; and

          (n) The Loan Originator’s principal place of business and chief executive offices are located
at Irvine, California or at such other address as shall be designated by such party in a written
notice to the other parties hereto.

          It is understood and agreed that the representations and warranties set forth in this Section
3.02 shall survive delivery of the respective Custodial Loan Files to
the Custodian (as the

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agent of the Indenture Trustee) and shall inure to the benefit of the Securityholders, the
Depositor, the Servicer, the Indenture Trustee, the Owner Trustee and the Issuer. Upon discovery by
the Loan Originator, the Depositor, the Servicer, the Indenture Trustee or the Trust of a breach of
any of the foregoing representations and warranties that materially and adversely affects the value
of any Loan or the interests of the Securityholders in any Loan or in the Securities, the party
discovering such breach shall give prompt written notice (but in no event later than two Business
Days following such discovery) to the other parties. The obligations of the Loan Originator set
forth in Sections 2.05 and 3.06 hereof to cure any breach or to substitute for or repurchase an
affected Loan shall constitute the sole remedies available hereunder to the Securityholders, the
Depositor, the Servicer, the Indenture Trustee or the Trust respecting a breach of the
representations and warranties contained in this Section 3.02. The fact that the Noteholder Agent
or any Noteholder has conducted or has failed to conduct any partial or complete due diligence
investigation of the Loan Files shall not affect the Securityholders rights to demand repurchase or
substitution as provided under this Agreement.

			
	Section 3.03	 	Representations, Warranties and Covenants of the Servicer.

          The Servicer hereby represents and warrants to and covenants with the other parties hereto and
the Securityholders that as of the Closing Date and as of each Transfer Date:

          (a) The Servicer is a corporation duly organized, validly existing and in good standing under
the laws of the State of California and (i) is duly qualified, in good standing and licensed to
carry on its business in each state where any Mortgaged Property is located, and (ii) is in
compliance with the laws of any such state, in both cases, to the extent necessary to ensure the
enforceability of the Loans in accordance with the terms thereof and to perform its duties under
each Basic Document to which it is a party and had at all relevant times, full corporate power to
own its property, to carry on its business as currently conducted, to service the Loans and to
enter into and perform its obligations under each Basic Document to which it is a party;

          (b) The execution and delivery by the Servicer of each Basic Document to which it is a party
and its performance of and compliance with the terms thereof will not violate the Servicer’s
articles of incorporation or by-laws or constitute a default (or an event which, with notice or
lapse of time, or both, would constitute a default) under, or result in the breach or acceleration
of, any material contract, agreement or other instrument to which the Servicer is a party or which
are applicable to the Servicer or any of its assets;

          (c) The Servicer has the full power and authority to enter into and consummate all
transactions contemplated by each Basic Document to which it is a party, has duly authorized the
execution, delivery and performance of each Basic Document to which it is a party and has duly
executed and delivered each Basic Document to which it
is a party. Each Basic Document to which it is a party, assuming due authorization, execution
and delivery by each of the other parties thereto, constitutes a valid, legal and binding
obligation of the Servicer, enforceable against it in accordance with the terms hereof, except as
such enforcement may be limited by bankruptcy, insolvency, reorganization, receivership, moratorium
or other similar laws relating to or affecting the rights of creditors generally, and by general
equity principles (regardless of whether such enforcement is considered in a proceeding in equity
or at law);

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          (d) The Servicer is not in violation of, and the execution and delivery of each Basic Document
to which it is a party by the Servicer and its performance and compliance with the terms of each
Basic Document to which it is a party will not constitute a violation with respect to, any order or
decree of any court or any order or regulation of any federal, state, municipal or governmental
agency having jurisdiction, which violation would materially and adversely affect the condition
(financial or otherwise) or operations of the Servicer or materially and adversely affect the
performance of its duties under any Basic Document to which it is a party;

          (e) There are no actions or proceedings against, or investigations of, the Servicer currently
pending with regard to which the Servicer has received notice or service of process; and no action
or proceeding against, or investigation of, the Servicer is, to the knowledge of the Servicer,
threatened or otherwise pending before any court, administrative agency or other tribunal or local,
state or federal body or agency that (A) if determined adversely to the Servicer, would prohibit
its entering into any Basic Document to which it is a party, (B) seek to prevent the consummation
of any of the transactions contemplated by any Basic Document to which it is a party, (C) if
determined adversely to the Servicer, would have a reasonable possibility of prohibiting or
materially and adversely affect the performance by the Servicer of its obligations under, or the
validity or enforceability of, any Basic Document to which it is a party or the Securities;
provided, however, that insofar as this representation relates to the Loan Originator’s
satisfaction of its financial covenants, there is also a reasonable possibility of an adverse
determination of such action, proceeding or investigation having such effect, or (D)allege that the
Servicer has engaged in practices, with respect to any of the Loans, that are predatory, abusive,
deceptive or otherwise wrongful under an applicable statute, regulation or ordinance or that are
otherwise actionable and that have a reasonable possibility of adverse determination;

          (f) No consent, approval, authorization or order of any court or governmental agency or body
is required for the execution, delivery and performance by the Servicer of, or compliance by the
Servicer with, any Basic Document to which it is a party or the Securities, or for the consummation
of the transactions contemplated by any Basic Document to which it is a party, except for such
consents, approvals, authorizations and orders, if any, that have been obtained prior to such date;

          (g) The information, reports, financial statements, exhibits and schedules furnished in
writing by or on behalf of the Servicer to the Majority Noteholders
in connection with the negotiation, preparation or delivery of the Basic Documents to which it
is a party or delivered pursuant thereto, when taken as a whole, do not contain any untrue
statement of material fact or omit to state any material fact necessary to make the statements
therein, in light of the circumstances under which they were made, not misleading. All written
information furnished after the date hereof by or on behalf of the Servicer to the Majority
Noteholders in connection with the Basic Documents to which it is a party and the transactions
contemplated thereby will be true, complete and accurate in every material respect, or (in the case
of projections) based on reasonable estimates, on the date as of which such information is stated
or certified.

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          (h) The Servicer is solvent and will not be rendered insolvent as a result of the performance
of its obligations pursuant to under the Basic Documents to which it is a party;

          (i) The Servicer acknowledges and agrees that the Servicing Compensation represents reasonable
compensation for the performance of its services hereunder and that the entire Servicing
Compensation shall be treated by the Servicer, for accounting purposes, as compensation for the
servicing and administration of the Loans pursuant to this Agreement;

          (j) The Servicer is in compliance with each of its financial covenants set forth in Section
7.02;

          (k) Each Subservicer is an Eligible Servicer and the Servicer covenants to cause each
Subservicer to be an Eligible Servicer; and

          (l) The Servicer has not engaged in any practice or activity with respect to the Loans, or any
other loans, that is predatory, abusive, deceptive or otherwise wrongful under the statutes,
regulations and ordinances, if any, that are applicable to the particular loans, or that is
otherwise actionable.

          It is understood and agreed that the representations, warranties and covenants set forth in
this Section 3.03 shall survive delivery of the respective Custodial Loan Files to the Indenture
Trustee or the Custodian on its behalf and shall inure to the benefit of the Depositor, the
Securityholders, the Indenture Trustee and the Issuer. Upon discovery by the Loan Originator, the
Depositor, the Servicer, the Indenture Trustee, the Owner Trustee or the Issuer of a breach of any
of the foregoing representations, warranties and covenants that materially and adversely affects
the value of any Loan or the interests of the Securityholders therein or in the Securities, the
party discovering such breach shall give prompt written notice (but in no event later than two
Business Days following such discovery) to the other parties. The fact that the Noteholder Agent or
any Noteholder has conducted or has failed to conduct any partial or complete due diligence
investigation shall not affect the Securityholders, rights to exercise their remedies as provided
under this Agreement.

			
	Section 3.04	 	Reserved.

			
	Section 3.05	 	Representations and Warranties Regarding Loans.

          The Loan Originator makes each of the representations and warranties set forth on Exhibit E
hereto with respect to each Loan, provided, however, that with respect to each Loan proposed to be
transferred to the Issuer by a QSPE Affiliate, to the extent that the Loan Originator has at the
time of such transfer actual knowledge of any facts or circumstances that would render any of such
representations and warranties materially false, the Loan Originator shall notify the Noteholder
Agent of such facts or circumstances and, in such event, shall have no obligation to make such
materially false representation and warranty and the Issuer shall not purchase such Loan.

          In addition, the Loan Originator represents and warrants with respect to each Loan sold by a
QSPE Affiliate that the Loan Originator has not been required to pay any amount

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to or on behalf of such QSPE Affiliate that lowered the recourse to the Loan Originator available
to such QSPE Affiliate below the maximum recourse to the Loan Originator available to such QSPE
Affiliate under the terms of any loan purchase agreement providing for recourse by that QSPE
Affiliate to the Loan Originator.

			
	Section 3.06	 	Purchase and Substitution.

          (a) It is understood and agreed that the representations and warranties set forth in Exhibit E
hereto shall survive the conveyance of the Loans to the Indenture Trustee on behalf of the Issuer,
and the delivery of the Securities to the Securityholders. Upon discovery by the Depositor, the
Servicer, the Loan Originator, the Custodian, the Issuer, the Indenture Trustee or any
Securityholder of a breach of any of such representations and warranties or the representations and
warranties of the Loan Originator set forth in Section 3.02 which materially and adversely affects
the value or enforceability of any Loan or the interests of the Securityholders in any Loan
(notwithstanding that such representation and warranty was made to the Loan Originator’s best
knowledge) or which constitutes a breach of the representations and warranties set forth in Exhibit
E, the party discovering such breach shall give prompt written notice to the others. The Loan
Originator shall within five Business Days of the earlier of the Loan Originator’s discovery or the
Loan Originator’s receiving notice of any breach of a representation or warranty, promptly cure
such breach in all material respects. If within five Business Days after the earlier of the Loan
Originator’s discovery of such breach or the Loan Originator’s receiving notice thereof such breach
has not been remedied by the Loan Originator and such breach materially and adversely affects the
interests of the Securityholders in the related Loan (an “Unqualified Loan”), the Loan Originator
shall promptly upon receipt of written instructions from the Majority Noteholders either (i) remove
such Unqualified Loan from the Trust (in which case it shall become a Deleted Loan) and substitute
one or more Qualified Substitute Loans in the manner and subject to the conditions set forth in
this Section 3.06 or (ii) purchase such Unqualified Loan at a purchase price equal to the
Repurchase Price with respect to such Unqualified Loan by depositing or causing to be deposited
such Repurchase Price in
the Collection Account.

          Any substitution of Loans pursuant to this Section 3.06(a) shall be accompanied by payment by
the Loan Originator of the Substitution Adjustment, if any, (x) if no Overcollateralization
Shortfall exists on the date of such substitution (after giving effect to such substitution),
remitted to the Noteholders in accordance with Section 5.01(c)(4)(i) or (y) otherwise to be
deposited in the Collection Account pursuant to Section 5.01(b)(1) hereof.

          (b) As to any Deleted Loan for which the Loan Originator substitutes a Qualified Substitute
Loan or Loans, the Loan Originator shall effect such substitution by delivering to the Indenture
Trustee and the Noteholder Agent a certification executed by a Responsible Officer of the Loan
Originator to the effect that the Substitution Adjustment, if any, has been (x) if no
Overcollateralization Shortfall exists on the date of such substitution (after giving effect to
such substitution), remitted to the Noteholders in accordance with Section 5.01(c)(4)(i), or (y)
otherwise deposited in the Collection Account. As to any Deleted Loan for which the Loan Originator
substitutes a Qualified Substitute Loan or Loans, the Loan Originator

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shall effect such substitution by delivering to the Custodian the documents constituting the
Custodial Loan File for such Qualified Substitute Loan or Loans.

          The Servicer shall deposit in the Collection Account all payments received in connection with
each Qualified Substitute Loan after the date of such substitution. Monthly Payments received with
respect to Qualified Substitute Loans on or before the date of substitution will be retained by the
Loan Originator. The Trust will be entitled to all payments received on the Deleted Loan on or
before the date of substitution and the Loan Originator shall thereafter be entitled to retain all
amounts subsequently received in respect of such Deleted Loan. The Loan Originator shall give
written notice to the Issuer, the Servicer (if the Loan Originator is not then acting as such), the
Indenture Trustee and the Noteholder Agent that such substitution has taken place and the Servicer
shall amend the Loan Schedule to reflect (i) the removal of such Deleted Loan from the terms of
this Agreement and (ii) the substitution of the Qualified Substitute Loan. The Servicer shall
promptly deliver to the Issuer, the Loan Originator, the Indenture Trustee and the Noteholder
Agent, a copy of the amended Loan Schedule. Upon such substitution, such Qualified Substitute Loan
or Loans shall be subject to the terms of this Agreement in all respects, and the Loan Originator
shall be deemed to have made with respect to such Qualified Substitute Loan or Loans, as of the
date of substitution, the covenants, representations and warranties set forth in Exhibit E hereto.
On the date of such substitution, the Loan Originator will (x) if no Overcollateralization
Shortfall exists as of the date of substitution (after giving effect to such substitution), remit
to the Noteholders as provided in Section 5.01(c)(4)(i) or (y) otherwise deposit into the
Collection Account, in each case an amount equal to the related Substitution Adjustment, if any. In
addition, on the date of such substitution, the Servicer shall cause the Indenture Trustee to
release the Deleted Loan from the lien of the Indenture and the Servicer will cause such
Qualified Substitute Loan to be pledged to the Indenture Trustee under the Indenture as part
of the Trust Estate.

          (c) With respect to all Unqualified Loans or other Loans repurchased by the Loan Originator
pursuant to this Agreement, upon the deposit of the Repurchase Price therefor into the Collection
Account or the conveyance of one or more Qualified Substitute Loans and payment of any Substitution
Adjustment, (i) the Issuer shall assign to the Loan Originator, without representation or warranty,
all of the Issuer’s right, title and interest in and to such Unqualified Loan, which right, title
and interest were conveyed to the Issuer pursuant to Section 2.01 hereof and (ii) the Indenture
Trustee shall assign to the Loan Originator, without recourse, representation or warranty, all the
Indenture Trustee’s right, title and interest in and to such Unqualified Loans or Loans, which
right, title and interest were conveyed to the Indenture Trustee pursuant to Section 2.01 hereof
and the Indenture. The Issuer and the Indenture Trustee shall, at the expense of the Loan
Originator, take any actions as shall be reasonably requested by the Loan Originator to effect the
repurchase of any such Loans and to have the Custodian return the Custodial Loan File of the
Deleted Loan to the Servicer.

          (d) It is understood and agreed that the obligations of the Loan Originator set forth in this
Section 3.06 to cure, purchase or substitute for an Unqualified Loan constitute the sole remedies
hereunder of the Depositor, the Issuer, the Indenture Trustee, the Owner Trustee and the
Securityholders respecting a breach of the representations and warranties contained in Sections
3.02 hereof and in Exhibit E hereto. Any cause of action against the Loan Originator

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relating to or arising out of a defect in a Custodial Loan File or against the Loan Originator
relating to or arising out of a breach of any representations and warranties made in Sections 3.02
hereof and in Exhibit E hereto shall accrue as to any Loan upon (i) discovery of such defect or
breach by any party and notice thereof to the Loan Originator or notice thereof by the Loan
Originator to the Indenture Trustee, (ii) failure by the Loan Originator to cure such defect or
breach or purchase or substitute such Loan as specified above, and (iii) demand upon the Loan
Originator, as applicable, by the Issuer or the Majority Noteholders for all amounts payable in
respect of such Loan.

          (e) Neither the Issuer nor the Indenture Trustee shall have any duty to conduct any
affirmative investigation other than as specifically set forth in this Agreement as to the
occurrence of any condition requiring the repurchase or substitution of any Loan pursuant to this
Section or the eligibility of any Loan for purposes of this Agreement.

			
	Section 3.07	 	Dispositions.

          (a) The Majority Noteholders may at any time, and from time to time, require that the Issuer
redeem all or any portion of the Note Principal Balance of the Notes by paying the Note Redemption
Amount with respect to the Note Principal Balance to be redeemed in accordance with Section 10.04.
In connection with any such redemption, the Issuer shall effect Dispositions at the direction of
the Majority
Noteholders in accordance with this Agreement, including in accordance with this Section 3.07.

          (b) (i) In consideration of the consideration received from the Depositor under the Loan
Purchase and Contribution Agreement, the Loan Originator hereby agrees and covenants that in
connection with each Disposition it shall effect the following:

(A) make such representations and warranties concerning the Loans as of the
“cut-off date” of the related Disposition to the Disposition Participants as may be
necessary to effect the Disposition and such additional representations and
warranties as may be necessary, in the reasonable opinion of any of the Disposition
Participants, to effect such Disposition; provided, that, to the extent that the
Loan Originator has at the time of the Disposition actual knowledge of any facts or
circumstances that would render any of such representations and warranties
materially false, the Loan Originator may notify the Disposition Participants of
such facts or circumstances and, in such event, shall have no obligation to make
such materially false representation and warranty;

(B) supply such information, opinions of counsel, letters from law and/or
accounting firms and other documentation and certificates regarding the origination
of the Loans as any Disposition Participant shall reasonably request to effect a
Disposition and enter into such indemnification agreements customary for such
transaction relating to or in connection with the Disposition as the Disposition
Participants may reasonably require;

(C) make itself available for and engage in good faith consultation with the Disposition
Participants concerning information to be contained in any document,

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agreement, private placement memorandum, or filing with the Securities and Exchange
Commission relating to the Loan Originator or the Loans in connection with a
Disposition and shall use reasonable efforts to compile any information and prepare
any reports and certificates, into a form, whether written or electronic, suitable
for inclusion in such documentation;

(D) to implement the foregoing and to otherwise effect a Disposition, enter into,
or arrange for its Affiliates to enter into insurance and indemnity agreements,
underwriting or placement agreements, servicing agreements, purchase agreements and
any other documentation which may reasonably be required of or reasonably deemed
appropriate by the Disposition Participants in order to effect a Disposition; and

(E) take such further actions as may be reasonably necessary to effect the
foregoing;

provided, that notwithstanding anything to the contrary, (a) the Loan Originator shall have no
liability for the Loans arising from or relating to the ongoing ability of the related Borrowers to
pay under the Loans; (b) none of the indemnities hereunder shall constitute an unconditional
guarantee by the Loan Originator of collectability of the Loans; (c) the Loan Originator shall have
no obligation with respect to the financial inability of any Borrower to pay principal, interest or
other amount owing by such Borrower under a Loan; and (d) the Loan Originator shall only be
required to enter into documentation in connection with Dispositions that is consistent with the
prior public securitizations of affiliates of the Loan Originator, provided that to the extent an
Affiliate of any Noteholder acts as “depositor” or performs a similar function in a Securitization,
additional indemnities and informational representations and warranties are provided which are
consistent with those in the Basic Documents and may upon request of the Loan Originator be set
forth in a separate agreement between such Affiliate of the Noteholder and the Loan Originator.

     (ii) In the event of any Disposition to the Loan Originator or any of its
Affiliates (except in connection with a Securitization or a Disposition to a QSPE
Affiliate), the purchase price paid by the Loan Originator or any such Affiliate
shall be the “fair market value” of the Loans subject to such Disposition (as
determined by the Market Value Agent based upon recent sales of comparable loans or
such other objective criteria as may be approved for determining “fair market
value” by a “Big Four” national accounting firm).

     (iii) As long as no Event of Default or Default shall have occurred and be
continuing under this Agreement or the Indenture, the Servicer may continue to
service the Loans included in any Disposition subject to any applicable
“term-to-term” servicing provisions in Section 9.01(c) and subject to any required
amendments to the related servicing provisions as may be necessary to effect the
related Disposition including but not limited to the obligation to make recoverable
principal and interest advances on the Loans.

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          After the termination of the Revolving Period, the Issuer shall effect one or more
Dispositions at the direction of the Disposition Agent, and the Loan Originator and the Depositor
agree to use commercially reasonable efforts to effectuate such Dispositions.

          (c) The Issuer shall effect Dispositions at the direction of the Majority Noteholders in
accordance with the terms of this Agreement and the Basic Documents. In connection therewith, the
Trust agrees to assist the Loan Originator in such Dispositions and accordingly it shall, at the
request and direction of the Majority Noteholders:

     (i) transfer, deliver and sell all or a portion of the Loans, as of the
“cut-off dates” of the related Dispositions, to such Disposition
Participants as may be necessary to effect the Dispositions; provided, that
any such sale shall be for “fair market value,” as determined by the Market Value
Agent in its reasonable discretion;

     (ii) deposit the cash Disposition Proceeds into the Distribution Account
pursuant to Section 5.01(c)(2)(D);

     (iii) to the extent that a Securitization creates any Retained Securities, to
accept such Retained Securities as a part of the Disposition Proceeds in accordance
with the terms of this Agreement; and

     (iv) take such further actions, including executing and delivering documents,
certificates and agreements, as may be reasonably necessary to effect such
Dispositions.

          (d) The Servicer hereby covenants that it will take such actions as may be reasonably
necessary to effect Dispositions as the Disposition Participants may request and direct, including
without limitation providing the Loan Originator such information as may be required to make
representations and warranties required hereunder, and covenants that it will make such
representations and warranties regarding its servicing of the Loans hereunder as of the Cut-off
Date of the related Disposition as reasonably required by the Disposition Participants.

          (e) [Reserved.]

          (f) The Majority Noteholders may effect Whole Loan Sales upon written
notice to the Servicer of its intent to cause the Issuer to effect a Whole Loan Sale at least 5
Business Days in advance thereof. The Disposition Agent shall serve as agent for Whole Loan Sales
and will receive a reasonable fee for such services provided that no such fee shall be payable if
(i) the Loan Originator or its Affiliates purchase such Loans and (ii) no Event of Default or
Default shall have occurred. The Loan Originator or its Affiliates may concurrently bid to purchase
Loans in a Whole Loan Sale; provided, however, that neither the Loan Originator nor any such
Affiliates shall pay a price in excess of the fair market value thereof (as determined by the
Market Value Agent based upon recent sales of comparable loans or such other objective criteria as
may be approved for determining “fair market value” by a “Big Four” national accounting firm). In
the event that the Loan Originator does not bid in any such Whole Loan Sale, it shall have a right
of first refusal to purchase the Loans offered for sale at the price offered

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by the highest bidder. The Disposition Agent shall conduct any Whole Loan Sale subject to the Loan
Originator’s right of first refusal and shall promptly notify the Loan Originator of the amount of
the highest bid. The Loan Originator shall have five (5) Business Days following its receipt of
such notice to exercise its right of first refusal by notifying the Disposition Agent in writing.

          (g) Except as otherwise expressly set forth under this Section 3.07, the parties’ rights and
obligations under this Section 3.07 shall continue notwithstanding the occurrence of an Event of
Default.

          (h) The Disposition Participants (and the Majority Noteholders to the extent directing the
Disposition Participants) shall be independent contractors to the Issuer and shall have no
fiduciary obligations to the Issuer or any of its Affiliates. In that connection, the Disposition
Participants shall not be liable for any error of judgment made in good faith and shall not be
liable with respect to any action they take or omits to take in good faith in the performance of
their duties.

			
	Section 3.08	 	Servicer Put; Servicer Call.

          (a) Servicer Put. The Loan Originator shall promptly purchase, upon the written demand of the
Majority Noteholders, any Put/Call Loan; provided, however, that the Loan Originator may (if it is
at that time the Servicer), upon receipt of such demand, elect to repurchase such Put/Call Loan
pursuant to (b) below, in which case such repurchase shall be deemed a Servicer Call.

          (b) Servicer Call. The Servicer may repurchase any Put/Call Loan at any time. Such Servicer
Calls shall be solely at the option of the Servicer. Prior to exercising a Servicer Call, the
Servicer shall deliver written notice to the Majority Noteholders and the Indenture Trustee which
notice shall identify each Loan to be purchased and the Repurchase Price therefor; provided,
however, that the Servicer may irrevocably waive its right to repurchase any Put/Call Loan as soon
as reasonably practicable following its receipt of notice of the occurrence of any event or events
giving rise to such Loan being a Put/Call Loan.

          (c) In connection with each Servicer Put, the Loan Originator shall deposit into the
Collection Account the Repurchase Price for the Loans to be repurchased. In connection with each
Servicer Call, the Servicer shall deposit into the Collection Account the Repurchase Price for the
Loans to be purchased. The aggregate Repurchase Price of all Loans transferred pursuant to Section
3.08(a) as of any date shall in no event exceed the Unfunded Transfer Obligation at the time of the
related Servicer Put.

			
	Section 3.09	 	Modification of Underwriting Guidelines.

          The Loan Originator shall give the Noteholders prompt written notification of any modification
or change to the Underwriting Guidelines. If the Noteholder Agent object in writing to any
modification or change to the Underwriting Guidelines within 15 days after receipt of such notice,
no Loans may be conveyed to the Issuer pursuant to this Agreement unless such Loans have been
originated pursuant to the Underwriting Guidelines without giving

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effect to such modification or change. Notwithstanding anything contained in this Agreement to the
contrary, any Loan conveyed to the Issuer pursuant to this Agreement pursuant to a modification or
change to the Underwriting Guidelines that has been
rejected by the Noteholders or which the Noteholders did not receive notice of, such Loan shall be
deemed an Unqualified Loan and be repurchased or substituted for in accordance with Section 3.06.

ARTICLE IV

ADMINISTRATION AND SERVICING OF THE LOANS

			
	Section 4.01	 	Servicer’s Servicing Obligations.

          The Servicer, as independent contract servicer, shall service and administer the Loans in
accordance with the terms and provisions set forth in the Servicing Addendum, which Servicing
Addendum is incorporated herein by reference.

			
	Section 4.02	 	Financial Statements.

          (a) So long as the Notes remain outstanding, the Servicer shall furnish to the Noteholders:

     (i) annual consolidated audited financial statements of the Servicer and its
Affiliates no later than 105 days after the Servicer’s Fiscal Year;

     (ii) quarterly unaudited statements of the Servicer no later than 60 days
after quarter-end;

     (iii) monthly unaudited statements of the Servicer no later than 45 days after
month-end;

     (iv) on a timely basis, (i) quarterly and annual consolidating financial
statements reflecting material intercompany adjustments, (ii) all form 10-K,
registration statements and other “corporate finance” filings made with the SEC
(other than 8-K filings), provided, however, that the Servicer shall provide the
Noteholders a copy of the Servicer’s annual SEC Form 10-K filing no later than 105
days after year-end, and (iii) any other financial information that the Noteholders
may reasonably request; and

     (v) monthly portfolio performance data with respect to the mortgage loans the
Servicer services, including, without limitation, any outstanding delinquencies,
prepayments in whole or in part, and repurchases by the Servicer.

          (b) Any and all financial statements set forth in Section 4.02(a)(i)-(iv) above shall be
prepared in accordance with GAAP.

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ARTICLE V

ESTABLISHMENT OF TRUST ACCOUNTS; TRANSFER OBLIGATION

			
	Section 5.01	 	Collection Account and Distribution Account.

          (a) (1) Establishment of Collection Account. The Servicer, for the benefit of the Noteholders,
shall cause to be established and maintained one or more Collection Accounts (collectively, the
“Collection Account”), which shall be separate Eligible Accounts entitled “Option One Owner Trust
2005-6 Collection Account, Wells Fargo Bank, N.A., as Indenture Trustee, for the benefit of the
Option One Owner Trust 2005-6 Mortgage-Backed Notes.” The Collection Account shall be maintained
with a depository institution and shall satisfy the requirements set forth in the definition of
Eligible Account. Funds in the Collection Account shall be invested in accordance with Section 5.03
hereof. Net investment earnings shall not be considered part of funds available in the Collection
Account.

               (2) Establishment of Distribution Account. The Servicer, for the benefit of the Noteholders,
shall cause to be established and maintained, one or more Distribution Accounts (collectively, the
“Distribution Account”), which shall be separate Eligible Accounts, entitled “Option One Owner
Trust 2005-6 Distribution Account, Wells Fargo Bank, N.A., as Indenture Trustee, for the benefit of
the Option One Owner Trust 2005-6 Mortgage-Backed Notes.” The Distribution Account shall be
maintained with a depository institution and shall satisfy the requirements set forth in the
definition of Eligible Account. Funds in the Distribution Account shall be invested in accordance
with Section 5.03 hereof. The Servicer may, at its option, maintain one account to serve as both
the Distribution Account and the Collection Account, in which case, the account shall be entitled
“Option One Owner Trust 2005-6 Collection/Distribution Account, Wells Fargo Bank, N.A., as
Indenture Trustee, for the benefit of the Option One Owner Trust 2005-6 Mortgage-Backed Notes.” If
the Servicer makes such an election, all references herein or in any other Basic Document to either
the Collection Account or the Distribution Account shall mean the Collection/Distribution Account
described in the preceding sentence.

               (3) The Servicer will inform the Indenture Trustee of the location of any accounts held in the
Indenture Trustee’s name, including any location to which an account is transferred.

          (b) Deposits to Collection Account. The Servicer shall deposit or cause to be deposited
(without duplication):

     (i) all payments on or in respect of each Loan collected on or after the
related Transfer Cut-off Date (net, in each case, of any Servicing Compensation
retained therefrom) within two (2) Business Days after receipt thereof;

     (ii) all Net Liquidation Proceeds within two (2) Business Days after receipt
thereof;

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     (iii) all Mortgage Insurance Proceeds within two (2) Business Days after receipt
thereof;

     (iv) all Released Mortgaged Property Proceeds within two (2) Business Days after
receipt thereof;

     (v) any amounts payable in connection with the repurchase of any Loan and the amount
of any Substitution Adjustment pursuant to Sections 2.05 and 3.06 hereof concurrently with
payment thereof;

     (vi) any Repurchase Price payable in connection with a Servicer Call pursuant to
Section 3.08 hereof concurrently with payment thereof;

     (vii) the deposit of the Termination Price under Section 10.02 hereof concurrently
with payment thereof;

     (viii) Nonutilization Fees;

     (ix) [Reserved];

     (x) any payments received under Hedging Instruments or the return of
amounts by the Hedging Counterparty pledged pursuant to prior Hedge Funding
Requirements in accordance with the last sentence of this Section 5.01(b)(1); and

     (xi) any Repurchase Price payable in connection with a Servicer Put remitted
by the Loan Originator pursuant to Section 3.08.

          Except as otherwise expressly provided in Section 5.01(c)(4)(i), the Servicer agrees that it
will cause the Loan Originator, Borrower or other appropriate Person paying such amounts, as the
case may be, to remit directly to the Servicer for deposit into the Collection Account all amounts
referenced in clauses (i) through (xi) to the extent such amounts are in excess of a Monthly
Payment on the related Loan. To the extent the Servicer receives any such amounts, it will deposit
them into the Collection Account on the same Business Day as receipt thereof.

          (c) Withdrawals From Collection Account; Deposits to Distribution Account.

          (1) Withdrawals From Collection Account — Reimbursement Items. The
Paying Agent shall periodically but in any event on each Determination Date, make the following
withdrawals from the Collection Account prior to any other withdrawals, in no particular order of
priority:

     (i) to withdraw any amount not required to be deposited in the Collection Account or deposited
therein in error, including Servicing Compensation;

     (ii) to withdraw the Servicing Advance Reimbursement Amount; and

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     (iii) to clear and terminate the Collection Account in connection with the termination of this
Agreement.

(2) Deposits to Distribution Account — Payment Dates.

(A) On the Business Day prior to each Payment Date, the Paying Agent shall
deposit into the Distribution Account such amounts as are required from the Transfer
Obligation Account pursuant to Sections 5.05(e), 5.05(f), 5.05(g) and 5.05(h).

(B) After making all withdrawals specified in Section 5.01(c)(1) above, on each Remittance
Date, the Paying Agent (based on information provided by the Servicer for such Payment
Date), shall withdraw the Monthly Remittance Amount (or, with respect to an additional
Payment Date pursuant to Section 5.01(c)(4)(ii), all amounts on deposit in the Collection
Account on such date up to the amount necessary to make the payments due on the related
Payment Date in accordance with Section 5.01(c)(3)) from the Collection Account not later
than 5:00 P.M., New York City time and deposit such amount into the Distribution Account.

(C) [Reserved].

(D) The Servicer shall deposit or cause to be deposited in the Distribution
Account any cash Disposition Proceeds pursuant to Section 3.07. To the extent the
Servicer receives such amounts, it will deposit them into the Distribution Account
on the same Business Day as receipt thereof.

          (3) Withdrawals From Distribution Account — Payment Dates. On each Payment Date, to the extent
funds are available in the Distribution Account, the Paying Agent (based on the information
provided by the Servicer contained in the Servicer’s Remittance Report for such Payment Date) shall
make withdrawals therefrom for application in the following order of priority:

     (i) to distribute on such Payment Date the following amounts in the following
order: (a) to the Indenture Trustee, an amount equal to the Indenture Trustee Fee
and all unpaid Indenture Trustee Fees from prior Payment Dates and all amounts
owing to the Indenture Trustee pursuant to Section 6.07 of the Indenture and not
paid by the Servicer or the Depositor
up to an amount not to exceed $25,000 per annum, (b) to the Custodian, an
amount equal to the Custodian Fee and all unpaid Custodian Fees from prior Payment
Dates, (c) to the Servicer, an amount equal to the Servicing Compensation and all
unpaid Servicing Compensation from prior Payment Dates and all Nonrecoverable
Servicing Advances not previously reimbursed (to the extent not retained from
collections or remitted to the Servicer pursuant to Section 5.01(c)) and (d) to the
Servicer, in trust for the Owner Trustee, an amount equal to the Owner Trustee Fee
and all unpaid Owner Trustee Fees from prior Payment Dates;

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     (ii) to distribute on such Payment Date, the Hedge Funding Requirement to the
appropriate Hedging Counterparties;

     (iii) to the holders of the Notes pro rata, the sum of the Interest Payment Amount
for such Payment Date and the Interest Carry-Forward Amount for the preceding Payment
Date;

     (iv) to the holders of the Notes pro rata, the Overcollateralization Shortfall for
such Payment Date; provided, however, that if (a) a Rapid Amortization Trigger shall have
occurred and not been Deemed Cured or (b) an Event of Default under the Indenture or
Default shall have occurred, the holders of the Notes shall receive, in respect of
principal, all remaining amounts on deposit in the Distribution Account;

     (v) to the Purchaser, the Nonutilization Fee for such Payment Date, to the extent
payable, together with any Nonutilization Fees unpaid from any prior Payment Dates;

     (vi) to the appropriate Person, amounts in respect of Issuer/Depositor Indemnities
(as defined in the Trust Agreement) and Due Diligence Fees until such amounts are paid in
full;

     (vii) to the Transfer Obligation Account, all remaining amounts until the balance
therein equals the Transfer Obligation Target Amount;

     (viii) to the Indenture Trustee all amounts owing to the Indenture Trustee pursuant
to Section 6.07 of the Indenture and not paid pursuant to clause
(i) above; and

     (ix) to the holders of the Trust Certificates, subject to Section 5.2(b) of
the Trust Agreement, all amounts remaining therein; provided, however, if the Owner
Trustee has notified the Paying Agent that any amounts are due and owing to it and
remain unpaid, then first to the Owner Trustee, such
amounts.

          (4) (i) If the Loan Originator or the Servicer, as applicable, repurchases, purchases or
substitutes a Loan pursuant to Section 2.05, 3.06, 3.08(a), 3.08(b) or 3.08(c), then the
Noteholders and the Issuer shall deem such date to be an additional Payment Date and the Issuer
shall provide written notice to the Indenture Trustee and the Paying Agent of such additional
Payment Date at least one Business Day prior to such Payment Date. On such additional Payment Date,
the Loan Originator or the Servicer, in satisfaction of its obligations under 2.05, 3.06, 3.08(a)
3.08(b) or 3.08(c) and in satisfaction of the obligations of the Issuer and the Paying Agent to
distribute such amounts to the Noteholders pursuant to Section 5.01(c), shall remit to the
Noteholders, on behalf of the Issuer and the Paying Agent, an amount equal to the Repurchase Prices
and any Substitution Adjustments (as applicable) to be paid by the Loan Originator or the Servicer
by 12:00 p.m. New York City time, as applicable, under such Section, on such Payment Date, and the
Note Principal Balance will be reduced accordingly. Such amounts shall be deemed deposited into the
Collection Account and the Distribution Account, as

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applicable, and such amounts will be deemed distributed pursuant to the terms of Section 5.01(c).
Upon notice of an additional Payment Date to the Paying Agent and the Indenture Trustee as provided
above, the Paying Agent shall provide the Loan Originator or the Servicer (as applicable)
information necessary so that remittances to the Noteholders pursuant to this clause (4)(i) may be
made by the Loan Originator or the Servicer, as applicable, in compliance with Section 5.02(a)
hereof.

     (ii) To the extent that there is deposited in the Collection Account or the
Distribution Account any amounts referenced in Section 5.01(b)(1)(vii) and
5.01(c)(2)(D), the Majority Noteholders and the Issuer may agree, upon reasonable
written notice to the Paying Agent and the Indenture Trustee, to additional Payment
Dates. The Issuer and the Majority Noteholders shall give the Paying Agent and the
Indenture Trustee at least one (1) Business Day’s written notice prior to such
additional Payment Date and such notice shall specify each amount in Section
5.01(c) to be withdrawn from the Collection Account and Distribution Account on
such day.

     (iii) To the extent that there is deposited in the Distribution Account any
amounts referenced in Section 5.05(f), the Majority Noteholders may, in their sole
discretion, establish an additional Payment Date by written notice delivered to the
Paying Agent and the Indenture Trustee at least one Business Day prior to such
additional Payment Date. On such additional Payment Date, the Paying Agent shall
pay the sum of the Overcollateralization Shortfall to the Noteholders in respect of
principal on the Notes.

          Notwithstanding that the Notes have been paid in full, the Indenture Trustee, the Paying Agent
and the Servicer shall continue to maintain the Distribution
Account hereunder until this Agreement has been terminated.

			
	Section 5.02	 	Payments to Securityholders.

          (a) All distributions made on the Notes on each Payment Date or pursuant to Section 5.04(b) of
the Indenture will be made on a pro rata basis among the Noteholders of record of the Notes on the
next preceding Record Date based on the Percentage Interest represented by their respective Notes,
without preference or priority of any kind, and, except as otherwise provided in the next
succeeding sentence, shall be made by wire transfer of immediately available funds to the account
of such Noteholder, if such Noteholder shall own of record Notes having a Percentage Interest (as
defined in the Indenture) of at least 20% and shall have so notified the Paying Agent and the
Indenture Trustee five (5) Business Days prior to the related Record Date, and otherwise by check
mailed to the address of such Noteholder appearing in the Notes Register. The final distribution on
each Note will be made in like manner, but only upon presentment and surrender of such Note at the
location specified in the notice to Noteholders of such final distribution.

          (b) All distributions made on the Trust Certificates on each Payment Date or pursuant to
Section 5.04(b) of the Indenture will be made in accordance with the Percentage Interest among the
holders of the Trust Certificates of record on the next preceding Record Date

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based on their Percentage Interests (as defined in the Trust Agreement) on the date of
distribution, without preference or priority of any kind, and, except as otherwise provided in the
next succeeding sentence, shall be made by wire transfer of immediately available funds to the
account of each such holder, if such holder shall own of record a Trust Certificate in an original
denomination aggregating at least 25% of the Percentage Interests and shall have so notified the
Paying Agent and the Indenture Trustee five (5) Business Days prior to the related Record Date, and
otherwise by check mailed to the address of such Certificateholder appearing in the Certificate
Register. The final distribution on each Trust Certificate will be made in like manner, but only
upon presentment and surrender of such Trust Certificate at the location specified in the notice to
holders of the Trust Certificates of such final distribution. Any amount distributed to the holders
of the Trust Certificates on any Payment Date shall not be subject to any claim or interest of the
Noteholders. In the event that at any time there shall be more than one Certificateholder, the
Indenture Trustee shall be entitled to reasonable additional compensation from the Servicer for any
increase in its obligations hereunder.

			
	Section 5.03	 	Trust Accounts; Trust Account Property.

          (a) Control of Trust Accounts. Each of the Trust Accounts established hereunder has been
pledged by the Issuer to the Indenture Trustee under the Indenture and shall be subject to the lien
of the Indenture. Amounts distributed from each Trust Account in accordance with the terms of this
Agreement shall be released for the benefit of the Securityholders from the Trust Estate upon such
distribution thereunder or hereunder. The Indenture Trustee shall possess all right, title and
interest in and to all
funds on deposit from time to time in the Trust Accounts and in all proceeds thereof
(including all income thereon) and all such funds, investments, proceeds and income shall be part
of the Trust Account Property and the Trust Estate. If, at any time, any Trust Account ceases to be
an Eligible Account, the Indenture Trustee shall, within ten Business Days (or such longer period,
not to exceed 30 calendar days, with the prior written consent of the Majority Noteholders) (i)
establish a new Trust Account as an Eligible Account, (ii) terminate the ineligible Trust Account,
and (iii) transfer any cash and investments from such ineligible Trust Account to such new Trust
Account.

          With respect to the Trust Accounts, the Issuer and the Indenture Trustee agree, that each such
Trust Account shall be subject to the “control” (in accordance with Section 9-104 of the Uniform
Commercial Code) of the Indenture Trustee for the benefit of the Noteholders, and, except as may be
consented to in writing by the Majority Noteholders, or provided in the related Blocked Account
Agreement, the Indenture Trustee shall have sole signature and withdrawal authority with respect
thereto.

          The Servicer (unless it is also the Paying Agent) shall not be entitled to make any
withdrawals or payments from the Trust Accounts.

          (b) (1) Investment of Funds. Funds held in the Collection Account, the Distribution Account
and the Transfer Obligation Account may be invested (to the extent practicable and consistent with
any requirements of the Code) in Permitted Investments, as directed by the Servicer prior to the
occurrence of an Event of Default and by the Majority

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Noteholders thereafter, in writing or facsimile transmission confirmed in writing by the Servicer
or Majority Noteholders, as applicable. In the event the Indenture Trustee has not received such
written direction, such Funds shall be invested in any Permitted Investment described in clause (i)
of the definition of Permitted Investments. In any case, funds in the Collection Account, the
Distribution Account and the Transfer Obligation Account must be available for withdrawal without
penalty, and any Permitted Investments must mature or otherwise be available for withdrawal, one
Business Day prior to the next Payment Date and shall not be sold or disposed of prior to its
maturity subject to Subsection (b)(2) of this Section. All interest and any other investment
earnings on amounts or investments held in the Collection Account, the Distribution Account and the
Transfer Obligation Account shall be paid to the Servicer immediately upon receipt by the Indenture
Trustee. All Permitted Investments in which funds in the Collection Account, the Distribution
Account or the Transfer Obligation Account are invested must be held by or registered in the name
of “Wells Fargo Bank, N.A., as Indenture Trustee, in trust for the Option One Owner Trust 2005-6
Mortgage-Backed Notes.”

               (2) Insufficiency and Losses in Trust Accounts. If any amounts are needed for disbursement
from the Collection Account, the Distribution Account or the Transfer Obligation Account held by or
on behalf of the Indenture Trustee
and sufficient uninvested funds are not available to make such disbursement, the Indenture
Trustee shall cause to be sold or otherwise converted to cash a sufficient amount of the
investments in the Collection Account, the Distribution Account or the Transfer Obligation Account,
as the case may be. The Indenture Trustee shall not be liable for any investment loss or other
charge resulting therefrom, unless such loss or charge is caused by the failure of the Indenture
Trustee to perform in accordance with written directions provided pursuant to this Section 5.03.

          If any losses are realized in connection with any investment in the Collection Account, the
Distribution Account or the Transfer Obligation Account pursuant to this Agreement during a period
in which the Servicer has the right to direct investments pursuant to Section 5.03(b), then the
Servicer shall deposit the amount of such losses (to the extent not offset by income from other
investments in the Collection Account, the Distribution Account or the Transfer Obligation Account,
as the case may be) into the Collection Account, the Distribution Account or the Transfer
Obligation Account, as the case may be, immediately upon the realization of such loss. All interest
and any other investment earnings on amounts held in the Collection Account, the Distribution
Account and the Transfer Obligation Account shall be taxed to the Issuer and for federal and state
income tax purposes the Issuer shall be deemed to be the owner of the Collection Account, the
Distribution Account and/or the Transfer Obligation Account, as the case may be.

          (c) Subject to Section 6.01 of the Indenture, the Indenture Trustee shall not in any way be
held liable by reason of any insufficiency in any Trust Account held by the Indenture Trustee
resulting from any investment loss on any Permitted Investment included therein.

          (d) With respect to the Trust Account Property, the Indenture Trustee acknowledges and agrees
that:

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(1) any Trust Account Property that is held in deposit accounts or securities
accounts shall be held solely in the Eligible Accounts, subject to the last
sentence of Subsection (a) of this Section 5.03; and each such Eligible Account
shall be subject to the “control” (in accordance with Section 9-104 of the Uniform
Commercial Code) of the Indenture Trustee; and, without limitation on the
foregoing, the Indenture Trustee shall have sole signature authority with respect
thereto;

(2) any Trust Account Property that constitutes Physical Property shall be
delivered to the Indenture Trustee in accordance with paragraphs (a) and (b) of the
definition of “Delivery” in Section 1.01 hereof and shall be held, pending maturity
or disposition, solely by the Indenture Trustee or a securities intermediary (as
such term is defined in Section 8-102(a)(14) of the UCC) acting solely for the
Indenture Trustee;

(3) any Trust Account Property that is a book-entry security held
through the Federal Reserve System pursuant to federal book-entry regulations shall
be delivered in accordance with paragraph (c) of the definition of “Delivery” in
Section 1.01 hereof and shall be maintained by the Indenture Trustee, pending
maturity or disposition, through continued book-entry registration of such Trust
Account Property as described in such paragraph; and

(4) any Trust Account Property that is an “uncertificated security” under Article 8
of the UCC and that is not governed by clause (3) above shall be delivered to the
Indenture Trustee in accordance with paragraph (d) of the definition of “Delivery”
in Section 1.01 hereof and shall be maintained by the Indenture Trustee, pending
maturity or disposition, through continued registration of the Indenture Trustee’s
(or its nominee’s) ownership of such security.

			
	Section 5.04	 	Advance Account.

          (a) The Servicer shall cause to be established and maintained in its name, an Advance Account
(the “Advance Account”), with respect to which a Blocked Account Agreement acceptable to the
Purchaser shall be duly executed. The Advance Account shall be a separate Eligible Account. The
Advance Account shall be maintained with a financial institution acceptable to the Purchaser and
shall be maintained for and on behalf of the Purchaser, entitled “Lehman Brothers Bank, for the
benefit of the Issuer, Re: Custodial Agreement dated as of June 1, 2005.” Amounts in the Advance
Account may not be invested.

          (b) Deposits and Withdrawals. Amounts in respect of the transfer of Additional Note Principal
Balances and Loans shall be deposited into and withdrawn from the Advance Account as provided in
Sections 2.01(c) and 2.06 hereof and Section 3.01 of the Note Purchase Agreement. Any amounts on
deposit in the Advance Account but not applied on any Transfer Date shall remain in the Advance
Account and may be applied to any subsequent transfer of Additional Note Principal Balances and
Loans, subject to the conditions set forth in Sections 2.01(c) and 2.06 hereof and Section 3.01 of
the Note Purchase Agreement.

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	Section 5.05	 	Transfer Obligation Account.

          (a) The Servicer, for the benefit of the Noteholders, shall cause to be established and
maintained in the name of the Indenture Trustee a Transfer Obligation Account (the “Transfer
Obligation Account”), which shall be a separate Eligible Account and may be interest-bearing,
entitled “Option One Owner Trust 2005-6 Transfer Obligation Account, Wells Fargo Bank, N.A., as
Indenture Trustee, in trust for the Option One Owner Trust 2005-6 Mortgage-Backed Notes.” The
Indenture Trustee shall have no monitoring or calculation obligation with respect to withdrawals
from the Transfer Obligation Account. Amounts in the Transfer Obligation Account shall be invested
in accordance with Section 5.03.

          (b) In accordance with Section 5.06, the Loan Originator shall deposit into the Transfer
Obligation Account any amounts as may be required thereby.

          (c) On each Payment Date, the Paying Agent will deposit in the Transfer Obligation Account any
amounts required to be deposited therein pursuant to Section 5.01(c)(3)(vii).

          (d) On the date of each Disposition, the Paying Agent shall withdraw from the Transfer
Obligation Account such amount on deposit therein in respect of the payment of Transfer Obligations
as may be requested by the Disposition Agent in writing to effect such Disposition.

          (e) On each Payment Date, the Paying Agent shall withdraw from the Transfer Obligation Account
and deposit into the Distribution Account on such Payment Date the lesser of (x) the amount then on
deposit in the Transfer Obligation Account and (y) the Interest Carry-Forward Amount as of such
date.

          (f) If with respect to any Business Day there exists an Overcollateralization Shortfall, the
Paying Agent, upon the written direction of the Majority Noteholders, shall withdraw from the
Transfer Obligation Account and deposit into the Distribution Account on such Business Day the
lesser of (x) the amount then on deposit in the Transfer Obligation Account and (y) the amount of
such Overcollateralization Shortfall as of such date.

          (g) If with respect to any Payment Date there shall exist a Hedge Funding Requirement, the
Paying Agent, upon the written direction of the Servicer or the Majority Noteholders, shall
withdraw from the Transfer Obligation Account and deposit into the Distribution Account on the
Business Day prior to such Payment Date the lesser of (x) the amount then on deposit in the
Transfer Obligation Account (after making all other required withdrawals therefrom with respect to
such Payment Date) and (y) the amount of such Hedge Funding Requirement as of such date.

          (h) In the event of the occurrence of an Event of Default under the Indenture, the Paying
Agent shall withdraw all remaining funds from the Transfer Obligation Account and apply such funds
in satisfaction of the Notes as provided in Section 5.04(b) of the Indenture.

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          (i) (i) The Paying Agent shall return to the Loan Originator all amounts on deposit in the
Transfer Obligation Account (after making all other withdrawals pursuant to this Section 5.05)
until the Majority Noteholders provide written notice to the Indenture Trustee (with a copy to the
Loan Originator and the Servicer) of the occurrence of a default or event of default (however
defined) under any Basic Document with respect to the Issuer, the Depositor, the Loan Originator or
any of their Affiliates and (ii) upon the date of the termination of this Agreement pursuant to
Article X, the Paying Agent shall withdraw any remaining amounts from the Transfer Obligation
Account and remit all such amounts to the Loan Originator.

			
	Section 5.06	 	Transfer Obligation.

          (a) In consideration of the transactions contemplated by the Basic Documents, the Loan
Originator agrees and covenants with the Depositor that:

     (i) In connection with each Disposition it shall fund, or cause to be funded,
reserve funds, pay credit enhancer fees, pay, or cause to be paid, underwriting
fees, fund any negative difference between the cash Disposition Proceeds and the
aggregate Note Principal Balance at the time of such Disposition, and make, or
cause to be made, such other payments as may be, in the reasonable opinion of the
Disposition Agent, commercially reasonably necessary to effect Dispositions, in
each case to the extent that Disposition Proceeds are insufficient to pay such
amounts;

     (ii) In connection with Hedging Instruments, on the Business Day prior to each
Payment Date, it shall deliver to the Servicer for deposit into the Transfer
Obligation Account any Hedge Funding Requirement (to the extent amounts available
on the related Payment Date pursuant to Section 5.01 are insufficient to make such
payment), when, as and if due to any Hedging Counterparty;

     (iii) If any Interest Carry-Forward Amount shall occur, it shall deposit into
the Transfer Obligation Account any such Interest Carry-Forward Amount on or before
the Business Day preceding such related Payment Date;

     (iv) If on any Business Day there exists an Overcollateralization Shortfall,
upon the written direction of the Majority Noteholders, it shall on such Business
Day deposit into the Transfer Obligation Account the full amount of the
Overcollateralization Shortfall as of such date, provided, that in the event that
notice of such Overcollateralization Shortfall is provided to the Loan Originator
after 3:00 p.m. New York City time, the Loan Originator shall make such deposit on
the following Business Day;

     (v) If on any applicable Payment Date, the amount available to pay the
Nonutilization Fee is insufficient, it shall deposit the amount of such shortfall
on the Business Day prior to such Payment Date; and

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     (vi) Notwithstanding anything to the contrary herein, in the event of the
occurrence of an Event of Default under the Indenture, the Loan Originator shall
promptly deposit into the Transfer Obligation Account the entire amount of the
Unfunded Transfer Obligation;

provided, that notwithstanding anything to the contrary contained herein, the Loan Originator’s
cumulative payments under or in respect of the Transfer Obligations (after subtracting therefrom
any amounts returned to the Loan Originator pursuant to Section 5.05(i)(i)) together with the
Servicer’s payments in respect of any Servicer Puts shall not in the aggregate exceed the Unfunded
Transfer Obligation.

          (b) The Loan Originator agrees that the Noteholders, as ultimate assignee of the rights of the
Depositor under this Agreement and the other Basic Documents, may enforce the rights of the
Depositor directly against the Loan Originator.

ARTICLE VI

STATEMENTS AND REPORTS; SPECIFICATION OF TAX MATTERS

			
	Section 6.01	 	Statements.

          (a) No later than 12:00 noon (New York City time) on each Remittance Date, the Servicer shall
deliver to the Indenture Trustee and the Noteholders by electronic transmission, the receipt and
legibility of which shall be confirmed by telephone, and with hard copy thereof to be delivered no
later than one (1) Business Day after such Remittance Date, the Servicer’s Remittance Report,
setting forth the date of such Report (day, month and year), the name of the Issuer (i.e., “Option
One Owner Trust 2005-6”), and the date of this Agreement, all in substantially the form set out in
Exhibit B hereto. Furthermore, on each Remittance Date, the Servicer shall deliver to the Indenture
Trustee and the Noteholders a data file providing, with respect to each Loan in the Loan Pool as of
the last day of the related Remittance Period (i) if such Loan is an ARM, the current Loan Interest
Rate; (ii) the Principal Balance with respect to such Loan; (iii) the date of the last Monthly
Payment paid in full; and (iv) such other information as may be reasonably requested by the
Noteholder Agent and the Indenture Trustee. In addition, no later than 12:00 noon (New York City
time) on the 15th day of each calendar month (or if such day is not a Business Day, the preceding
Business Day), the Custodian shall prepare and provide to the Servicer and the Indenture Trustee by
facsimile, the Custodian Fee Notice for the Payment Date falling in such calendar month.

          (b) No later than 12:00 noon (New York City time) on each Remittance Date, the Servicer shall
prepare (or cause to be prepared) and provide to the Indenture Trustee electronically, receipt
confirmed by telephone, and each Noteholder, a statement (the “Payment Statement”), stating each
date and amount of a purchase of Additional Note Principal Balance (day, month and year), the name
of the Issuer (i.e., “Option One Owner Trust 2005-6”), the date of this Agreement, restating all of
the information set forth in the Loan Schedule for all Loans as of such Remittance Date and the
following information:

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               (1) the aggregate amount of collections in respect of principal of the Loans received by the
Servicer during the preceding Remittance Period;

               (2) the aggregate amount of collections in respect of interest on the Loans received by the
Servicer during the preceding Remittance Period;

               (3) all Mortgage Insurance Proceeds received by the Servicer during the preceding Remittance
Period and not required to be applied to restoration or repair of the related Mortgaged Property or
returned to the Borrower under applicable law or pursuant to the terms of the applicable Mortgage
Insurance Policy;

               (4) all Net Liquidation Proceeds deposited by the Servicer into the Collection Account during
the preceding Remittance Period;

               (5) all Released Mortgaged Property Proceeds deposited by the Servicer into the Collection
Account during the preceding Remittance Period;

               (6) the aggregate amount of all Servicing Advances made by the Servicer during the preceding
Remittance Period;

               (7) the aggregate of all amounts deposited into the Distribution Account in respect of the
repurchase of Unqualified Loans and the repurchase of Loans pursuant to Section 2.05 hereof during
the preceding Remittance Period;

               (8) the aggregate Principal Balance of all Loans for which a Servicer Call was exercised
during the preceding Remittance Period;

               (9) the aggregate Principal Balance of all Loans for which a Servicer Put was exercised during
the preceding Remittance Period;

               (10) the aggregate amount of all payments received under Hedging Instruments during the
preceding Remittance Period;

               (11) the aggregate amount of all withdrawals from the Distribution Account pursuant to Section
5.01(c)(1)(i) hereof during the preceding Remittance Period;

               (12) the aggregate amount of cash Disposition Proceeds received during the preceding
Remittance Period;

               (13) withdrawals from the Collection Account in respect of the Servicing Advance Reimbursement
Amount with respect to the related Payment Date;

               (14) [reserved];

               (15) the number and aggregate Principal Balance of all Loans that are
(i) 30-59 days Delinquent, (ii) 60- 89 days Delinquent, (iii) 90 or more days Delinquent as of the
end of the related Remittance Period;

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               (16) the aggregate amount of Liquidated Loan Losses incurred (i) during the preceding
Remittance Period, and (ii) during the preceding three Remittance Periods;

               (17) the aggregate of the Principal Balances of all Loans in the Loan Pool as of the end of
the related Remittance Period;

               (18) the aggregate amount of all deposits into the Distribution Account from the Transfer
Obligation Account pursuant to Sections 5.05(e), 5.05(f), 5.05(g), and 5.05(h) on the related
Payment Date;

               (19) the aggregate amount of distributions in respect of Servicing Compensation to the
Servicer, and unpaid Servicing Compensation from prior Payment Dates for the related Payment Date;

               (20) the aggregate amount of distributions in respect of Indenture Trustee Fees and unpaid
Indenture Trustee Fees from prior Payment Dates for the related Payment Date;

               (21) the aggregate amount of distributions in respect of the Custodian Fee and unpaid
Custodian Fees from prior Payment Dates for the related Payment Date;

               (22) the aggregate amount of distributions in respect of the Owner Trustee Fees and unpaid
Owner Trustee Fees from prior Payment Dates and for the related Payment Date;

               (23) the Unfunded Transfer Obligation and Overcollateralization Shortfall on such Payment Date
for the related Payment Date;

               (24) the aggregate amount of distributions to the Transfer Obligation Account for the related
Payment Date;

               (25) the aggregate amount of distributions in respect of Trust/Depositor Indemnities for the
related Payment Date;

               (26) the aggregate amount of distributions to the holders of the Trust Certificates for the
related Payment Date;

               (27) the Note Principal Balance of the Notes as of the last day of the related Remittance
Period (without taking into account any Additional Note Principal Balance between the last day of
such Remittance Period and the related Payment Date) before and after giving effect to
distributions made to the holders of the Notes for such Payment Date;

               (28) the Pool Principal Balance as of the end of the preceding Remittance Period; and

               (29) whether a Performance Trigger or a Rapid Amortization
Trigger shall exist with respect to such Payment Date.

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Such Payment Statement shall also be provided on the Remittance Date to the Noteholders and
Indenture Trustee in the form of a data file in a form mutually agreed to by and between the
Noteholders, the Indenture Trustee and the Servicer. The Indenture Trustee shall have no duty to
monitor the occurrence of a Performance Trigger, Rapid Amortization Trigger or any events resulting
in withdrawals from the Transfer Obligation Account.

			
	Section 6.02	 	Specification of Certain Tax Matters.

          The Paying Agent shall comply with all requirements of the Code and applicable state and local
law with respect to the withholding from any distributions made to any Securityholder of any
applicable withholding taxes imposed thereon and with respect to any applicable reporting
requirements in connection therewith, giving due effect to any applicable exemptions from such
withholding and effective certifications or forms provided by the recipient. Any amounts withheld
pursuant to this Section 6.02 shall be deemed to have been distributed to the Securityholders, as
the case may be, for all purposes of this Agreement. The Indenture Trustee shall have no
responsibility for preparing or filing any tax returns.

			
	Section 6.03	 	Valuation of Loans, Hedge Value and Retained Securities Value; Market Value Agent.

          (a) The Noteholders hereby irrevocably appoint, and the Issuer hereby consents to the
appointment of, the Market Value Agent as agent on behalf of the Noteholders to determine the
Market Value of each Loan, the Hedge Value of each Hedging Instrument and the Retained Securities
Value of all Retained Securities.

          (b) Except as otherwise set forth in Section 3.07, on each Business Day, the Market Value
Agent shall determine the Market Value of each Loan, for the purposes of the Basic Documents, in
its sole discretion exercised in good faith. In determining the Market Value of each Loan, the
Market Value Agent may consider any information that it may deem relevant, including, without
limitation, the expected proceeds of the sale of such Loan following the occurrence and
continuation of an Event of Default. The Market Value Agent’s determination, in its sole
discretion, of Market Value shall be conclusive and binding upon the parties hereto, absent
manifest error (including without limitation, any error contemplated in Section 2.08).

          (c) On each Business Day the Market Value Agent shall determine in its sole judgment the Hedge
Value of each Hedging Instrument as of such Business Day. In making such determination the Market
Value Agent may rely exclusively on quotations provided by the Hedging Counterparty, by leading
dealers in instruments similar to such Hedging Instrument, which leading dealers may include the
Market Value
Agent and its Affiliates and such other sources of information as the Market Value Agent may
deem appropriate.

          On each Business Day, the Market Value Agent shall determine in its sole judgment the Retained
Securities Value of the Retained Securities, if any, expected to be issued pursuant to such
Securitization as of the closing date of such Securitization. In making such determination the
Market Value Agent may rely exclusively on quotations provided by leading dealers in instruments
similar to such Retained Securities, which leading dealers may include the

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Market Value Agent and its Affiliates and such other sources of information as the Market Value
Agent may deem appropriate.

ARTICLE VII

HEDGING; FINANCIAL COVENANTS

			
	Section 7.01	 	Hedging Instruments.

          (a) On each Transfer Date, the Trust shall enter into such Hedging Instruments as the Market
Value Agent, on behalf of the Noteholders, shall determine are necessary in order to hedge the
interest rate risk with respect to the Loans being purchased on such Transfer Date. The Market
Value Agent shall determine, in its sole discretion, whether any Hedging Instrument conforms to the
requirements of Section 7.01(b), (c) and (d).

          (b) Each Hedging Instrument shall expressly provide that in the event of a Disposition or
other removal of the Loan from the Trust, such portion of the Hedging Instrument shall terminate as
the Disposition Agent deems appropriate to facilitate the hedging of the risks specified in Section
7.01(a). In the event that the Hedging Instrument is not otherwise terminated, it shall contain
provisions that allow the position of the Trust to be assumed by an Affiliate of the Trust upon the
liquidation of the Trust. The terms of the assignment documentation and the credit quality of the
successor to the Trust shall be subject to the Hedging Counterparty’s approval.

          (c) Any Hedging Instrument that provides for any payment obligation on the part of the Issuer
must (i) be without recourse to the assets of the Issuer, (ii) contain a non-petition covenant
provision in the form of Section 11.13, (iii) limit payment dates thereunder to Payment Dates and
(iv) contain a provision limiting any cash payments due on any day under such Hedging Instrument
solely to funds available therefor in the Collection Account on such day pursuant to Section
5.01(c)(3)(ii) hereof and funds available therefor in the Transfer Obligation Account.

          (d) Each Hedging Instrument must (i) provide for the direct payment of any amounts thereunder
to the Collection Account pursuant to Section 5.01(b)(1)(x), (ii) contain an assignment of all of
the Issuer’s rights (but none of its obligations) under
such Hedging Instrument to the Indenture Trustee and shall include an express consent to the
Hedging Counterparty to such assignment, (iii) provide that in the event of the occurrence of an
Event of Default, such Hedging Instrument shall terminate upon the direction of the Majority
Noteholders, (iv) prohibit the Hedging Counterparty from “setting-off” or “netting” other
obligations of the Issuer or its Affiliates against such Hedging Counterparty’s payment obligations
thereunder, (v) provide that the appropriate portion of the Hedging Instrument will terminate upon
the removal of the related Loans from the Trust Estate and (vi) have economic terms that are fixed
and not subject to alteration after the date of assumption or execution.

          (e) If agreed to by the Majority Noteholders, the Issuer may pledge its assets in order to
secure its obligations in respect of Hedge Funding Requirements, provided that such

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right shall be limited solely to Hedging Instruments for which an Affiliate of the Initial
Noteholder is a Hedging Counterparty.

          (f) The aggregate notional amount of all Hedging Instruments shall not exceed the Note
Principal Balance as of the date on which each Hedging Instrument is entered into by the Issuer and
a Hedging Counterparty.

			
	Section 7.02	 	Financial Covenants.

          (a) Each of the Loan Originator and the Servicer shall maintain a minimum Tangible Net Worth
$425 million as of any day.

          (b) Each of the Loan Originator and the Servicer shall maintain a ratio of 1.0 or greater at
any time pursuant to the Capital Adequacy Test, attached as Exhibit G hereto.

          (c) Neither the Loan Originator nor the Servicer may exceed a maximum non-warehouse leverage
ratio (the ratio of (i) the sum of (A) all funded debt (excluding debt from H&R Block, Inc. or any
of its Affiliates and all non-recourse debt) less (B) 91% of its mortgage loan inventory held for
sale less (C) 90% of servicing advance receivables (determined and valued in accordance with GAAP)
to (ii) Tangible Net Worth) of 0.50x at any time. Any direct or indirect debt provided by H&R
Block, Inc. will be subject to a subordination agreement; or, if H&R Block, Inc. does not enter
into a subordination agreement, the maximum permitted non-warehouse leverage ratio including debt
from H&R Block, Inc. will be 1.0x at any time, provided, that no more than 0.5x of such
non-warehouse leverage ratio can be funded by entities not affiliated with Option One or H&R Block,
Inc.

          (d) Each of the Loan Originator and the Servicer shall maintain a minimum liquidity facility
(defined as a committed, unsecured, non-amortizing liquidity facility from H&R Block, Inc. not to
mature (scheduled or accelerated) prior to the Maturity Date) in an amount no less than $150
million. Such facility from H&R Block,
Inc. cannot contain covenants or termination events more restrictive than the covenants or
termination events contained in the Basic Documents.

          (e) Each of the Loan Originator and the Servicer shall maintain a minimum “Net Income”
(defined and determined in accordance with GAAP) of at least $1 based on the total of the current
quarter combined with the previous three quarters

          (f) Each of the Loan Originator and the Servicer, on a quarterly basis, shall provide the
Noteholder Agent with an Officer’s Certificate stating that the Loan Originator or the Servicer, as
the case may be, is in compliance with the financial covenants set forth in this Section 7.02 and
the details of such compliance.

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ARTICLE VIII

THE SERVICER

			
	Section 8.01	 	Indemnification; Third Party Claims.

          (a) The Servicer shall indemnify the Loan Originator, the Owner Trustee, the Trust, the
Depositor, the Indenture Trustee and the Noteholders, their respective officers, directors,
employees, agents and “control persons,” as such term is used under the Act and under the
Securities Exchange Act of 1934 as amended (each a “Servicer Indemnified Party”) and hold harmless
each of them against any and all claims, losses, damages, penalties, fines, forfeitures, reasonable
legal fees and related costs, judgments, and other costs and expenses resulting from any claim,
demand, defense or assertion based on or grounded upon, or resulting from, a breach of any of the
Servicer’s representations and warranties and covenants contained in this Agreement or in any way
relating to the failure of the Servicer to perform its duties and service the Loans in compliance
with the terms of this Agreement except to the extent such loss arises out of such Servicer
Indemnified Party’s gross negligence or willful misconduct; provided, however, that if the Servicer
is not liable pursuant to the provisions of Section 8.01(b) hereof for its failure to perform its
duties and service the Loans in compliance with the terms of this Agreement, then the provisions of
this Section 8.01 shall have no force and effect with respect to such failure.

          (b) None of the Loan Originator, the Depositor or the Servicer or any of their respective
Affiliates, directors, officers, employees or agents shall be under any liability to the Owner
Trustee, the Issuer, the Indenture Trustee or the Securityholders for any action taken, or for
refraining from the taking of any action, in good faith pursuant to this Agreement, or for errors
in judgment; provided, however, that this provision shall not protect the Loan Originator, the
Depositor, the Servicer or any of their respective Affiliates, directors, officers, employees,
agents against the remedies provided herein for the breach of any warranties, representations or
covenants made herein, or against any expense or liability specifically required to be borne by
such party without right of reimbursement pursuant to the terms hereof, or against any expense or
liability which would otherwise be imposed by reason of misfeasance, bad faith or negligence in the
performance of the respective duties of the Servicer, the Depositor or the Loan Originator, as
the case may be. The Loan Originator, the Depositor, the Servicer and any of their respective
Affiliates, directors, officers, employees, agents may rely in good faith on any document of any
kind which, prima facie, is properly executed and submitted by any Person respecting any matters
arising hereunder.

          (c) The Loan Originator agrees to indemnify and hold harmless the Depositor and the
Noteholders, as the ultimate assignees from the Depositor (each an “Originator Indemnified Party,”
together with the Servicer Indemnified Parties, the “Indemnified Parties”), from and against any
loss, liability, expense, damage, claim or injury arising out of or based on (i) any breach of any
representation, warranty or covenant of the Loan Originator, the Servicer or their Affiliates, in
any Basic Document, including, without limitation, the origination or prior servicing of the Loans
by reason of any acts, omissions, or alleged acts or omissions arising out of activities of the
Loan Originator, the Servicer or their Affiliates, and (ii) any untrue statement

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by the Loan Originator, the Servicer or its Affiliates of any material fact or any such Person’s
failure to state a material fact necessary to make such statements not misleading with respect to
any such Person’s statements contained in any Basic Document, including, without limitation, any
Officer’s Certificate, statement, report or other document or information prepared by any such
Person and furnished or to be furnished by it pursuant to or in connection with the transactions
contemplated thereby and not corrected prior to completion of the relevant transaction including,
without limitation, such written information as may have been and may be furnished in connection
with any due diligence investigation with respect to the Loans or any such Person’s business,
operations or financial condition, including reasonable attorneys’ fees and other costs or expenses
incurred in connection with the defense of any actual or threatened action, proceeding or claim;
provided that the Loan Originator shall not indemnify an Originator Indemnified Party to the extent
such loss, liability, expense, damage or injury is due to either an Originator Indemnified Party’s
willful misfeasance, bad faith or negligence or by reason of an Originator Indemnified Party’s
reckless disregard of its obligations hereunder; provided, further, that the Loan Originator shall
not be so required to indemnify an Originator Indemnified Party or to otherwise be liable hereunder
or under any provision of the Basic Documents to an Originator Indemnified Party for any losses in
respect of the performance of the Loans, the insolvency, bankruptcy, delinquency, creditworthiness
and similar characteristics of the Borrowers under the Loans, the uncollectability of any
principal, interest, and any other charges (including late fees) under such loans, changes in the
market value of the Loans or other similar investment risks associated with the Loans arising from
a breach of any representation or warranty set forth in Exhibit E hereto, the sole remedy for the
breach of which is provided in Section 3.06 hereof. The provisions of this indemnity shall run
directly to and be enforceable by an Originator Indemnified Party subject to the limitations
hereof.

          (d) With respect to a claim subject to indemnity hereunder made by any Person against an
Indemnified Party (a “Third Party Claim”), such Indemnified Party
shall notify the related indemnifying parties (each an “Indemnifying Party”) in writing of the
Third Party Claim within a reasonable time after receipt by such Indemnified Party of written
notice of the Third Party Claim unless the Indemnifying Parties shall have previously obtained
actual knowledge thereof. Thereafter, the Indemnified Party shall deliver to the Indemnifying
Parties, within a reasonable time after the Indemnified Party’s receipt thereof, copies of all
notices and documents (including court papers) received by the Indemnified Party relating to the
Third Party Claim. No failure to give such notice or deliver such documents shall effect the rights
to indemnity hereunder. Each Indemnifying Party shall promptly notify the Indenture Trustee and the
Indemnified Party (if other than the Indenture Trustee) of any claim of which it has been notified
and shall promptly notify the Indenture Trustee and the Indemnified Party (if applicable) of its
intended course of action with respect to any claim.

          (e) If a Third Party Claim is made against an Indemnified Party, while maintaining control
over its own defense, the Indemnified Party shall cooperate and consult fully with the Indemnifying
Party in preparing such defense, and the Indemnified Party may defend the same in such manner as it
may deem appropriate, including settling such claim or litigation after giving notice to the
Indemnifying Party of such terms and the Indemnifying Party will promptly reimburse the Indemnified
Party upon written request; provided, however, that the Indemnified Party may not settle any claim
or litigation without the consent of the Indemnifying

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Party; provided, further, that the Indemnifying Party shall have the right to reject the selection
of counsel by the Indemnified Party if the Indemnifying Party reasonably determines that such
counsel is inappropriate in light of the nature of the claim or litigation and shall have the right
to assume the defense of such claim or litigation if the Indemnifying Party determines that the
manner of defense of such claim or litigation is unreasonable.

			
	Section 8.02	 	Merger or Consolidation of the Servicer.

          The Servicer shall keep in full effect its existence, rights and franchises as a corporation,
and will obtain and preserve its qualification to do business as a foreign corporation and maintain
such other licenses and permits in each jurisdiction necessary to protect the validity and
enforceability of each Basic Document to which it is a party and each of the Loans and to perform
its duties under each Basic Document to which it is a party; provided, however, that the Servicer
may merge or consolidate with any other corporation upon the satisfaction of the conditions set
forth in the following paragraph.

          Subject to the prior written consent of the Majority Noteholders, any Person into which the
Servicer may be merged or consolidated, or any corporation resulting from any merger, conversion or
consolidation to which the Servicer shall be a party, or any Person succeeding to the business of
the Servicer, shall be the successor of the Servicer, as applicable hereunder, without the
execution or filing of any paper or any further act on the part of any of the parties hereto,
anything herein to the contrary notwithstanding. The Servicer shall send notice of any such merger,
conversion, consolidation or succession to the Indenture Trustee and the Issuer.

			
	Section 8.03	 	Limitation on Liability of the Servicer and Others.

          The Servicer and any director, officer, employee or agent of the Servicer may rely on any
document of any kind which it in good faith reasonably believes to be genuine and to have been
adopted or signed by the proper authorities respecting any matters arising hereunder. Subject to
the terms of Section 8.01 hereof, the Servicer shall have no obligation to appear with respect to,
prosecute or defend any legal action which is not incidental to the Servicer’s duty to service the
Loans in accordance with this Agreement.

			
	Section 8.04	 	Servicer Not to Resign; Assignment.

          The Servicer shall not resign from the obligations and duties hereby imposed on it except (a)
with the consent of the Majority Noteholders or (b) upon determination that its duties hereunder
are no longer permissible under applicable law. Any such determination pursuant to clause (b) of
the preceding sentence permitting the resignation of the Servicer shall be evidenced by an
Independent opinion of counsel to such effect delivered (at the expense of the Servicer) to the
Indenture Trustee and the Majority Noteholders. No resignation of the Servicer shall become
effective until a successor servicer, appointed pursuant to the provisions of Section 9.02 hereof
shall have assumed the Servicer’s responsibilities, duties, liabilities (other than those
liabilities arising prior to the appointment of such successor) and obligations under this
Agreement.

          Except as expressly provided herein, the Servicer shall not assign or transfer any of its
rights, benefits or privileges hereunder to any other Person, or delegate to or subcontract

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with, or authorize or appoint any other Person to perform any of the duties, covenants or
obligations to be performed by the Servicer hereunder and any agreement, instrument or act
purporting to effect any such assignment, transfer, delegation or appointment shall be void.

          The Servicer agrees to cooperate with any successor Servicer in effecting the transfer of the
Servicer’s servicing responsibilities and rights hereunder pursuant to the first paragraph of this
Section 8.04, including, without limitation, the transfer to such successor of all relevant records
and documents (including any Loan Files in the possession of the Servicer) and all amounts received
with respect to the Loans and not otherwise permitted to be retained by the Servicer pursuant to
this Agreement. In addition, the Servicer, at its sole cost and expense, shall prepare, execute and
deliver any and all documents and instruments to the successor Servicer including all Loan Files in
its possession and do or accomplish all other acts necessary or appropriate to effect such
termination and transfer of servicing responsibilities.

			
	Section 8.05	 	Relationship of Servicer to Issuer and the Indenture Trustee.

          The relationship of the Servicer (and of any successor to the Servicer as servicer under this
Agreement) to the Issuer, the Owner Trustee and the Indenture Trustee
under this Agreement is intended by the parties hereto to be that of an independent contractor
and not of a joint venturer, agent or partner of the issuer, the Owner Trustee or the Indenture
Trustee.

			
	Section 8.06	 	Servicer May Own Securities.

          Each of the Servicer and any Affiliate of the Servicer may in its individual or any other
capacity become the owner or pledgee of Securities with the same rights as it would have if it were
not the Servicer or an Affiliate thereof except as otherwise specifically provided herein;
provided, however, that at any time that Option One or any of its Affiliates is the Servicer,
neither the Servicer nor any of its Affiliates (other than an Affiliate which is a corporation
whose purpose is limited to holding securities and related activities and which cannot incur
recourse debt) may be a Noteholder. Securities so owned by or pledged to the Servicer or such
Affiliate shall have an equal and proportionate benefit under the provisions of this Agreement,
without preference, priority, or distinction as among all of the Securities; provided, however,
that any Securities owned by the Servicer or any Affiliate thereof, during the time such Securities
are owned by them, shall be without voting rights for any purpose set forth in this Agreement
unless the Servicer or such Affiliate owns all outstanding Securities of the related class. The
Servicer shall notify the Indenture Trustee promptly after it or any of its Affiliates becomes the
owner or pledgee of a Security.

			
	Section 8.07	 	Indemnification of the Indenture Trustee and the Noteholder Agent.

          The Servicer agrees to indemnify the Indenture Trustee and its employees, officers, directors
and agents, and reimburse its reasonable out-of-pocket expenses in accordance with Section 6.07 of
the Indenture as if it was a signatory thereto. The Servicer agrees to indemnify the Noteholder
Agent in accordance with Section 9.01 of the Note Purchase Agreement as if it were signatory
thereto.

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ARTICLE IX

SERVICER EVENTS OF DEFAULT

			
	Section 9.01	 	Servicer Events of Default.

          (a) In case one or more of the following Servicer Events of Default shall occur and be
continuing, that is to say:

               (1) any failure by Servicer to deposit into the Collection Account or the Distribution Account
or any failure by the Servicer to make payments therefrom in accordance with Section 5.01; or

               (2) any failure on the part of the Servicer duly to observe or perform in any material respect
any other of the material covenants or agreements on the part of the Servicer, contained in any
Basic Document to which it is a party, which
continues unremedied for a period of 30 days (or, in the case of payment of insurance
premiums, for a period of 15 days) after the date on which written notice of such failure,
requiring the same to be remedied, shall have been given to the Servicer by any other party hereto
or to the Servicer (with copy to each other party hereto), by Holders of 25% of the Percentage
Interests of the Notes or the Trust Certificates; or

               (3) any breach on the part of the Servicer of any representation or warranty contained in any
Basic Document to which it is a party that materially and adversely affects the interests of any of
the parties hereto or any Securityholder and which continues unremedied for a period of 30 days
after the date on which notice of such breach, requiring the same to be remedied, shall have been
given to the Servicer by any other party hereto or to the Servicer (with copy to each other party
hereto), by the Noteholder Agent or Holders of 25% of the Percentage Interests (as defined in the
Indenture) of the Notes; or

               (4) there shall have been commenced before a court or agency or supervisory authority having
jurisdiction in the premises an involuntary proceeding against the Servicer under any present or
future federal or state bankruptcy, insolvency or similar law for the appointment of a conservator,
receiver, liquidator, trustee or similar official in any bankruptcy, insolvency, readjustment of
debt, marshaling of assets and liabilities or similar proceedings, or for the winding-up or
liquidation of its affairs, which action shall not have been dismissed for a period of 60 days; or

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

               (6) the Servicer (or the Loan Originator if the Servicer is not Option One) fails to comply
with the Financial Covenants; or

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               (7) the Servicer ceases to be a 100% indirect wholly-owned subsidiary of H&R Block Inc.; or

               (8) the Servicer shall admit in writing its inability to pay its debts generally as they
become due, file a petition to take advantage of any applicable bankruptcy, insolvency or
reorganization statute, make an assignment for the benefit of its creditors, voluntarily suspend
payment of its obligations, or take any corporate action in furtherance of the foregoing.

          Then, and in each and every such case, so long as a Servicer Event of Default shall not have
been remedied, the Indenture Trustee or the Majority Noteholders, by notice in writing to the
Servicer may, in addition to whatever rights such Person may have at law or in equity to damages,
including injunctive relief and specific performance, may terminate all the rights and obligations
of the Servicer under this Agreement and in and to the Loans and the proceeds thereof, as servicer
under this Agreement. Upon
receipt by the Servicer of such written notice, all authority and power of the Servicer under
this Agreement, whether with respect to the Loans or otherwise, shall, subject to Section 9.02
hereof, pass to and be vested in a successor servicer, and the successor servicer is hereby
authorized and empowered to execute and deliver, on behalf of the Servicer, as attorney-in-fact or
otherwise, any and all documents and other instruments and do or cause to be done all other acts or
things necessary or appropriate to effect the purposes of such notice of termination, including,
but not limited to, the transfer and endorsement or assignment of the Loans and related documents.
The Servicer agrees to cooperate with the successor servicer in effecting the termination of the
Servicer’s responsibilities and rights hereunder, including, without limitation, the transfer to
the successor servicer for administration by it of all amounts which shall at the time be credited
by the Servicer to each Collection Account or thereafter received with respect to the Loans.

          (b) Upon the occurrence of (i) an Event of Default or Default under any of the Basic
Documents, (ii) a Servicer Event of Default under this Agreement, (iii) a Rapid Amortization
Trigger or (iv) an event that shall have a reasonable possibility of materially impairing the
ability of the Servicer to service and administer the Loans in accordance with the terms and
provisions set forth in the Basic Documents (each, a “Term Event”), the Servicer’s right to service
the Loans pursuant to the terms of this Agreement shall be in effect for an initial period
commencing on the date on which such Term Event occurred and shall automatically terminate at 5:00
p.m., New York City time, on the last Business Day of the calendar month in which such Term Event
occurred (the “Initial Term”). Thereafter, the Initial Term shall be extendible in the sole
discretion of the Majority Noteholders by written notice (each, a “Servicer Extension Notice”) of
the Noteholders for successive one-month terms (each such term ending at 5:00 p.m., New York City
time, on the last business day of the related month). Following a Term Event, the Servicer hereby
agrees that the Servicer shall be bound for the duration of the Initial Term and the term covered
by any such Servicer Extension Notice to act as the Servicer pursuant to this Agreement. Following
a Term Event, the Servicer agrees that if, as of 3:00 p.m. New York City time on the last Business
Day of any month, the Servicer shall not have received a Servicer Extension Notice from the
Majority Noteholders, the Servicer shall give written notice of such non-receipt to the Noteholders
by 4:00 p.m. New York City time. Following a Term Event, the failure of the Noteholders, to deliver
a Servicer Extension Notice by 5:00 p.m. New

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York City time shall result in the automatic and immediate termination of the Servicer (the
“Termination Date”). Notwithstanding these time frames, the Servicer and the Noteholders shall
comply with all applicable laws in connection with such transfer and the Servicer shall continue to
service the Loans until completion of such transfer.

			
	Section 9.02	 	Appointment of Successor.

          On and after the date the Servicer receives a notice of termination pursuant to Section 9.01
hereof or is automatically terminated pursuant to Section 9.01(c) hereof, or the Owner Trustee
receives the resignation of the Servicer evidenced by an Opinion of Counsel or accompanied by the
consents required by Section 8.04 hereof, or the Servicer
is removed as servicer pursuant to this Article IX or Section 4.01 of the Servicing Addendum,
then, the Majority Noteholders shall appoint a successor servicer to be the successor in all
respects to the Servicer in its capacity as Servicer under this Agreement and the transactions set
forth or provided for herein and shall be subject to all the responsibilities, duties and
liabilities relating thereto placed on the Servicer by the terms and provisions hereof; provided,
however, that the successor servicer shall not be liable for any actions of any servicer prior to
it.

          The successor servicer shall be obligated to make Servicing Advances hereunder. As
compensation therefor, the successor servicer appointed pursuant to the following paragraph, shall
be entitled to all funds relating to the Loans which the Servicer would have been entitled to
receive from the Collection Account pursuant to Section 5.01 hereof as if the Servicer had
continued to act as servicer hereunder, together with other Servicing Compensation in the form of
assumption fees, late payment charges or otherwise as provided in Section 4.15 of the Servicing
Addendum. The Servicer shall not be entitled to any termination fee if it is terminated pursuant to
Section 9.01 hereof but shall be entitled to any accrued and unpaid Servicing Compensation to the
date of termination.

          Any collections received by the Servicer after removal or resignation shall be endorsed by it
to the Indenture Trustee and remitted directly to the successor servicer. The compensation of any
successor servicer appointed shall be the Servicing Fee, together with other Servicing Compensation
provided for herein. The Indenture Trustee, the Issuer, any Custodian, the Servicer and any such
successor servicer shall take such action, consistent with this Agreement, as shall be reasonably
necessary to effect any such succession. Any costs or expenses incurred by the Indenture Trustee in
connection with the termination of the Servicer and the succession of a successor servicer shall be
an expense of the outgoing Servicer and, to the extent not paid thereby, an expense of such
successor servicer. The Servicer agrees to cooperate with the Indenture Trustee and any successor
servicer in effecting the termination of the Servicer’s servicing responsibilities and rights
hereunder and shall promptly provide the successor servicer all documents and records reasonably
requested by it to enable it to assume the Servicer’s functions hereunder and shall promptly also
transfer to the successor servicer all amounts which then have been or should have been deposited
in any Trust Account maintained by the Servicer or which are thereafter received with respect to
the Loans. Upon the occurrence of an Event of Default, the Majority Noteholders shall have the
right to order the Servicer’s Loan Files and all other files of the Servicer relating to the Loans
and all other records of the Servicer and all documents relating to the Loans which are then or may
thereafter come into the

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possession of the Servicer or any third party acting for the Servicer to be delivered to such
custodian or servicer as it selects and the Servicer shall deliver to such custodian or servicer
such assignments as the Majority Noteholders shall request. No successor servicer shall be held
liable by reason of any failure to make, or any delay in making, any distribution hereunder or any
portion thereof caused by (i) the failure of the Servicer to
deliver, or any delay in delivering, cash, documents or records to it or (ii) restrictions imposed
by any regulatory authority having jurisdiction over the Servicer hereunder. No appointment of a
successor to the Servicer hereunder shall be effective until written notice of such proposed
appointment shall have been provided to the Majority Noteholders, the Indenture Trustee, the Issuer
and the Depositor, the Noteholders and the Issuer shall have consented in writing thereto.

          In connection with such appointment and assumption, the Majority Noteholders may make such
arrangements for the compensation of such successor servicer out of payments on the Loans as they
and such successor servicer shall agree.

			
	Section 9.03	 	Waiver of Defaults.

          The Majority Noteholders may waive any events permitting removal of the Servicer as servicer
pursuant to this Article IX. Upon any waiver of a past default, such default shall cease to exist
and any Servicer Event of Default arising therefrom shall be deemed to have been remedied for every
purpose of this Agreement. No such waiver shall extend to any subsequent or other default or impair
any right consequent thereto except to the extent expressly so waived.

			
	Section 9.04	 	Accounting Upon Termination of Servicer.

          Upon termination of the Servicer under this Article IX, the Servicer shall, at its own
expense:

          (a) deliver to its successor or, if none shall yet have been appointed, to the Indenture
Trustee the funds in any Trust Account maintained by the Servicer;

          (b) deliver to its successor or, if none shall yet have been appointed, to the Custodian all
Loan Files and related documents and statements held by it hereunder and a Loan portfolio computer
transmission or disk;

          (c) deliver to its successor or, if none shall yet have been appointed, to the Indenture
Trustee and to the Issuer and the Securityholders a full accounting of all funds, including a
statement showing the Monthly Payments collected by it and a statement of monies held in trust by
it for payments or charges with respect to the Loans; and

          (d) execute and deliver such instruments and perform all acts reasonably requested in order to
effect the orderly and efficient transfer of servicing of the Loans to its successor and to more
fully and definitively vest in such successor all rights, powers, duties, responsibilities,
obligations and liabilities of the Servicer under this Agreement.

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ARTICLE X

TERMINATION; PUT OPTION

			
	Section 10.01	 	Termination.

          (a) This Agreement shall terminate upon either: (A) the later of (i) the satisfaction and
discharge of the Indenture and the provisions thereof, including payment to the Noteholders of all
amounts due and owing in accordance with the provisions hereof or (ii) the disposition of all funds
with respect to the last Loan and the remittance of all funds due hereunder and the payment of all
amounts due and payable, including, in both cases, without limitation, indemnification payments
payable pursuant to any Basic Document to the Indenture Trustee, the Owner Trustee, the Issuer, the
Servicer and the Custodian, written notice of the occurrence of either of which shall be provided
to the Indenture Trustee by the Servicer; or (B) the mutual consent of the Servicer, the Depositor
and all Securityholders in writing and delivered to the Indenture Trustee by the Servicer.

          (b) The Securities shall be subject to an early redemption or termination at the option of the
Servicer and the Majority Noteholders in the manner and subject to the provisions of Section 10.02
and 10.04 of this Agreement.

          (c) Except as provided in this Article X, none of the Depositor, the Servicer nor any
Certificateholder or Noteholder shall be entitled to revoke or terminate the Trust.

			
	Section 10.02	 	Optional Termination.

          The Servicer may, at its option, effect an early termination of the Trust on any Payment Date
on or after the Clean-up Call Date. The Servicer shall effect such early termination by providing
notice thereof to the Indenture Trustee and Owner Trustee and by purchasing all of the Loans at a
purchase price, payable in cash, equal to or greater than the Termination Price. The expense of any
Independent appraiser required in connection with the calculation and payment of the Termination
Price under this Section 10.02 shall be a nonreimbursable expense of the Servicer.

          Any such early termination by the Servicer shall be accomplished by depositing into the
Collection Account on the third Business Day prior to the Payment Date on which the purchase is to
occur the amount of the Termination Price to be paid. The Termination Price and any amounts then on
deposit in the Collection Account (other than any amounts withdrawable pursuant to Section
5.01(c)(1) hereof) shall be deposited in the Distribution Account and distributed by the Indenture
Trustee pursuant to Section 5.01(c)(3) of this Agreement and Section 9.1 of the Trust Agreement on
the next succeeding Payment Date; and any amounts received with respect to the Loans and
Foreclosure Properties subsequent to the final Payment Date shall belong to the purchaser thereof.

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	Section 10.03	 	Notice of Termination.

          Notice of termination of this Agreement or of early redemption and termination of the Issuer
pursuant to Section 10.01 shall be sent by the Indenture Trustee to the Noteholders in accordance
with Section 10.02 of the Indenture.

			
	Section 10.04	 	Put Option.

          The Majority Noteholders may, at their option, effect a put of the entire outstanding Note
Principal Balance, or any portion thereof, to the Trust on any date by exercise of the Put Option.
The Majority Noteholders shall effect such put by providing notice thereof in accordance with
Section 10.05 of the Indenture.

          Unless otherwise agreed by the Majority Noteholders, on the third Business Day prior to the
Put Date, the Issuer shall deposit the Note Redemption Amount into the Distribution Account and, if
the Put Date occurs after the termination of the Revolving Period and constitutes a put of the
entire outstanding Note Principal Balance, any amounts then on deposit in the Collection Account
(other than any amounts withdrawable pursuant to Section 5.01(c)(1) hereof) shall be deposited in
the Distribution Account and distributed by the Paying Agent pursuant to Section 5.01(c)(3) of this
Agreement on the Put Date; and any amounts received with respect to the Loans and Foreclosure
Properties subsequent to the Put Date shall belong to the Issuer.

ARTICLE XI

MISCELLANEOUS PROVISIONS

			
	Section 11.01	 	Acts of Securityholders.

          Except as otherwise specifically provided herein and except with respect to Section 11.02(b),
whenever action, consent or approval of the Securityholders is required under this Agreement, such
action, consent or approval shall be deemed to have been taken or given on behalf of, and shall be
binding upon, all Securityholders if the Majority Noteholders agree to take such action or give
such consent or approval.

			
	Section 11.02	 	Amendment.

          (a) This Agreement may be amended from time to time by the Depositor, the Servicer, the Loan
Originator, the Indenture Trustee and the Issuer by written agreement with notice thereof to the
Securityholders, without the consent of any of the Securityholders, to cure any error or ambiguity,
to correct or supplement any provisions hereof which may be defective or inconsistent with any
other provisions hereof or to add any other provisions with respect to matters or questions arising
under this Agreement; provided, however, that such action will not adversely affect in any material
respect the interests of the Securityholders, as evidenced by an Opinion of Counsel to such effect
provided at the expense of the party requesting such Amendment.

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          (b) This Agreement may also be amended from time to time by the Depositor, the Servicer, the
Loan Originator, the Indenture Trustee and the Issuer by written agreement, with the prior written
consent of the Majority Noteholders, for the purpose of adding any provisions to or changing in any
manner or eliminating any of the provisions of this Agreement, or of modifying in any manner the
rights of the Securityholders; provided, however, that no such amendment shall (i) reduce in any
manner the amount of, or delay the timing of, collections of payments on Loans or distributions
which are required to be made on any Security, without the consent of the holders of 100% of the
Securities, (ii) adversely affect in any material respect the interests of any of the holders of
the Securities in any manner other than as described in clause (i), without the consent of the
holders of 100% of the Securities, or (iii) reduce the percentage of the Securities, the consent of
which is required for any such amendment, without the consent of the holders of 100% of the
Securities.

          (c) It shall not be necessary for the consent of Securityholders under this Section to approve
the particular form of any proposed amendment, but it shall be sufficient if such consent shall
approve the substance thereof.

          Prior to the execution of any amendment to this Agreement, the Issuer and the Indenture
Trustee shall be entitled to receive and rely upon an Opinion of Counsel stating that the execution
of such amendment is authorized or permitted by this Agreement. The Issuer and the Indenture
Trustee may, but shall not be obligated to, enter into any such amendment which affects the
Issuer’s own rights, duties or immunities of the Issuer or the Indenture Trustee, as the case may
be, under this Agreement.

			
	Section 11.03	 	Recordation of Agreement.

          To the extent permitted by applicable law, this Agreement, or a memorandum thereof if
permitted under applicable law, is subject to recordation in all appropriate public offices for
real property records in all of the counties or other comparable jurisdictions in which any or all
of the Mortgaged Property is situated, and in any other appropriate public recording office or
elsewhere, such recordation to be effected by the Servicer at the Securityholders’ expense on
direction of the Majority Noteholders but only when accompanied by an Opinion of Counsel to the
effect that such recordation materially and beneficially affects the interests of the
Securityholders or is necessary for the administration or servicing of the Loans.

			
	Section 11.04	 	Duration of Agreement.

          This Agreement shall continue in existence and effect until terminated as herein provided.

			
	Section 11.05	 	Governing Law.

          THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK AND THE
OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH
SUCH LAWS (INCLUDING SECTION 5-1401 OF THE GENERAL

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OBLIGATIONS LAW BUT OTHERWISE WITHOUT GIVING EFFECT TO PRINCIPLES OF CONFLICTS OF LAW).

			
	Section 11.06	 	Notices.

          All demands, notices and communications hereunder shall be in writing and shall be deemed to
have been duly given if (i) delivered personally, mailed by overnight mail, certified mail or
registered mail, postage prepaid, or (ii) transmitted by telecopy, upon telephone confirmation of
receipt thereof, as follows: (I) in the case of the Depositor, to Option One Loan Warehouse
Corporation, 3 Ada, Irvine, California 92618, or such other addresses or telecopy or telephone
numbers as may hereafter be furnished to the Securityholders and the other parties hereto in
writing by the Depositor; (II) in the case of the Trust, to Option One Owner Trust 2005-6, c/o
Wilmington Trust Company, One Rodney Square North, 1100 North Market Street, Wilmington, Delaware
19890, Attention: Corporate Trust Administration, telecopy number: (302) 636-4144, telephone
number: (302) 636-1000, or such other address or telecopy or telephone numbers as may hereafter be
furnished to the Noteholders and the other parties hereto in writing by the Trust; (III) in the
case of the Loan Originator, to Option One Mortgage Corporation, 3 Ada, Irvine, California 92618,
Attention: William O’Neill, telecopy number: (949) 790-7540, telephone number: (949) 790-7504 or
such other addresses or telecopy or telephone numbers as may hereafter be furnished to the
Securityholders and the other parties hereto in writing by the Loan Originator; (IV) in the case of
the Servicer, to Option One Mortgage Corporation 3 Ada, Irvine, California 92618, Attention:
William O’Neill, telecopy number: (949) 790-7540, telephone number: (949) 790-7504 or such other
addresses or telecopy or telephone numbers as may hereafter be furnished to the Securityholders and
the other parties hereto in writing by the Servicer; and (V) in the case of the Indenture Trustee,
at P.O. Box 98, Columbia, Maryland 21046, Attention: Option One Owner Trust 2005-6, with a copy to
it at the Corporate Trust Office, as defined in the Indenture, any such notices shall be deemed to
be effective with respect to any party hereto upon the receipt of such notice or telephone
confirmation thereof by such party, except; provided, that notices to the Securityholders shall be
effective upon mailing or personal delivery.

			
	Section 11.07	 	Severability of Provisions.

          If any one or more of the covenants, agreements, provisions or terms of this Agreement shall
be held invalid for any reason whatsoever, 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 covenants,
agreements, provisions or terms of this Agreement.

			
	Section 11.08	 	No Partnership.

          Nothing herein contained shall be deemed or construed to create any partnership or joint
venture between the parties hereto and the services of the Servicer shall be rendered as an
independent contractor.

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	Section 11.09	 	Counterparts.

          This Agreement may be executed in one or more counterparts and by the different parties hereto
on separate counterparts, each of which, when so executed, shall be deemed to be an original; such
counterparts, together, shall constitute one and the same Agreement.

			
	Section 11.10	 	Successors and Assigns.

          This Agreement shall inure to the benefit of and be binding upon the Servicer, the Loan
Originator, the Depositor, the Indenture Trustee, the Issuer and the Securityholders and their
respective successors and permitted assigns.

			
	Section 11.11	 	Headings.

          The headings of the various Sections of this Agreement have been inserted for convenience of
reference only and shall not be deemed to be part of this Agreement.

			
	Section 11.12	 	Actions of Securityholders.

          (a) Any request, demand, authorization, direction, notice, consent, waiver or other action
provided by this Agreement to be given or taken by Securityholders may be embodied in and evidenced
by one or more instruments of substantially similar tenor signed by such Securityholders in person
or by an agent duly appointed in writing; and except as herein otherwise expressly provided, such
action shall become effective when such instrument or instruments are delivered to the Depositor,
the Servicer, the Loan Originator or the Issuer. Proof of execution of any such instrument or of a
writing appointing any such agent shall be sufficient for any purpose of this Agreement and
conclusive in favor of the Depositor, the Servicer, the Loan Originator and the Issuer if made in
the manner provided in this Section 11.12.

          (b) The fact and date of the execution by any Securityholder of any such instrument or writing
may be proved in any reasonable manner which the Depositor, the Servicer, the Loan Originator or
the Issuer may deem sufficient.

          (c) Any request, demand, authorization, direction, notice, consent, waiver or other act by a
Securityholder shall bind every holder of every Security issued upon the registration of transfer
thereof or in exchange therefor or in lieu thereof, in respect of anything done, or omitted to be
done, by the Depositor, the Servicer, the Loan Originator or the Issuer in reliance thereon,
whether or not notation of such action is made upon such Security.

          (d) The Depositor, the Servicer, the Loan Originator or the Issuer may require additional
proof of any matter referred to in this Section 11.12 as it shall deem necessary.

			
	Section 11.13	 	Non-Petition Agreement.

          Notwithstanding any prior termination of any Basic Document, the Loan Originator, the
Servicer, the Depositor and the Indenture Trustee each severally and not jointly covenants that it
shall not, prior to the date which is one year and one day after the payment in

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full of the all of the Notes, acquiesce, petition or otherwise, directly or indirectly, invoke or
cause the Trust or the Depositor to invoke the process of any governmental authority for the
purpose of commencing or sustaining a case against the Issuer or Depositor under any Federal or
state bankruptcy, insolvency or similar law or appointing a receiver, liquidator, assignee,
trustee, custodian, sequestrator or other similar official of the Issuer or Depositor or any
substantial part of their respective property or ordering the winding up or liquidation of the
affairs of the Issuer or the Depositor.

			
	Section 11.14	 	Holders of the Securities.

          (a) Any sums to be distributed or otherwise paid hereunder or under this Agreement to the
holders of the Securities shall be paid to such holders pro rata based on their Percentage
Interests;

          (b) Where any act or event hereunder is expressed to be subject to the consent or approval of
the holders of the Securities, such consent or approval shall be capable of being given by the
holder or holders evidencing in the aggregate not less than 51% of the Percentage Interests.

			
	Section 11.15	 	Due Diligence Fees, Due Diligence.

          The Loan Originator acknowledges that the Majority Noteholders have the right to perform
continuing due diligence reviews with respect to the Loans, for purposes of verifying compliance
with the representations, warranties and specifications made hereunder, or otherwise, and the Loan
Originator agrees that upon reasonable prior notice (with no notice being required upon the
occurrence of an Event of Default) to the Loan Originator, the Majority Noteholders, the Indenture
Trustee and Custodian or its authorized representatives will be permitted during normal business
hours to examine, inspect, and make copies and extracts of, the Loan Files and any and all
documents, records, agreements, instruments or information relating to such Loans in the possession
or under the control of the Servicer and the Indenture Trustee. The Loan Originator also shall make
available to the Majority Noteholders a knowledgeable financial or accounting officer for the
purpose of answering questions respecting the Loan Files and the Loans and the financial condition
of the Loan Originator. Without limiting the generality of the foregoing, the Loan Originator
acknowledges that the Majority
Noteholders may purchase Notes based solely upon the information provided by the Loan
Originator to the Majority Noteholders in the Loan Schedule and the representations, warranties and
covenants contained herein, and that the Majority Noteholders, at their option, have the right at
any time to conduct a partial or complete due diligence review on some or all of the Loans securing
such purchase, including without limitation ordering new credit reports and new appraisals on the
related Mortgaged Properties and otherwise re-generating the information used to originate such
Loan. The Majority Noteholders may underwrite such Loans or engage a mutually agreed upon third
party underwriter to perform such underwriting. The Loan Originator agrees to cooperate with the
Majority Noteholders and any third party underwriter in connection with such underwriting,
including, but not limited to, providing the Majority Noteholders and any third party underwriter
with access to any and all documents, records, agreements, instruments or information relating to
such Loans in the possession, or under the control, of the Servicer. The Loan Originator further

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agrees that the Loan Originator shall reimburse the Majority Noteholders for any and all reasonable
out-of-pocket costs and expenses incurred by the Majority Noteholders in connection with the
Majority Noteholders’s activities pursuant to this Section 11.15 hereof, not to exceed $80,000 per
year (the “Due Diligence Fees”). In addition to the obligations set forth in Section 11.17 of this
Agreement, the Majority Noteholders agree (on behalf of themselves and their Affiliates, directors,
officers, employees and representatives) to use reasonable precaution to keep confidential, in
accordance with its customary procedures for handling confidential information and in accordance
with safe and sound practices, and not to disclose to any third party, any non-public information
supplied to it or otherwise obtained by it hereunder with respect to the Loan Originator or any of
its Affiliates (including, but not limited to, the Loan File); provided, however, that nothing
herein shall prohibit the disclosure of any such information to the extent required by statute,
rule, regulation or judicial process; provided, further that, unless specifically prohibited by
applicable law or court order, the Majority Noteholders shall, prior to disclosure thereof, notify
the Loan Originator of any request for disclosure of any such non-public information. The Majority
Noteholders further agree not to use any such non-public information for any purpose unrelated to
this Agreement and that the Majority Noteholders shall not disclose such non-public information to
any third party underwriter in connection with a potential Disposition without obtaining a written
agreement from such third party underwriter to comply with the confidentiality provisions of this
Section 11.15.

			
	Section 11.16	 	No Reliance.

          Each of the Loan Originator, the Depositor, the Servicer and the Issuer hereby acknowledges
that it has not relied on the Noteholder Agent, the Noteholders or any of their officers,
directors, employees, agents and “control persons” as such term is used under the Act and under the
Securities Exchange Act of 1934, as amended, for any tax, accounting, legal or other professional
advice in connection with the transactions contemplated by the Basic Documents, that each of the
Loan Originator, the Depositor,
the Servicer and the Issuer has retained and been advised by such tax, accounting, legal and
other professionals as it has deemed necessary in connection with the transactions contemplated by
the Basic Documents and that neither the Noteholder Agent nor the Noteholders makes any
representation or warranty, and shall have no liability with respect to, the tax, accounting or
legal treatment or implications relating to the transactions contemplated by the Basic Documents.

			
	Section 11.17	 	Confidential Information.

          In addition to the confidentiality requirements set forth in Section 11.15 of the Agreement,
each Noteholder, as well as the Indenture Trustee and the Disposition Agent (each of said parties
singularly referred to herein as a “Receiving Party” and collectively referred to herein as the
“Receiving Parties”), agrees to hold and treat all Confidential Information (as defined below) in
confidence and in accordance with this Section. Such Confidential Information will not, without the
prior written consent of the Servicer and the Loan Originator, be disclosed or used by such
Receiving Parties or their subsidiaries, Affiliates, directors, officers, members, employees,
agents or controlling persons (collectively, the “Information Recipients”) other than for the
purpose of making a decision to purchase or sell Notes or taking any other permitted

- 85 -

 

action under this Agreement or any other Basic Document. Each Receiving Party agrees to disclose
Confidential Information only to its Information Recipients who need to know it for the purpose of
making a decision to purchase or sell Notes or the taking of any other permitted action under this
Agreement or any other Basic Document (including in connection with the servicing of the Loans and
in connection with any servicing transfers) and who are informed by such Receiving Party of its
confidential nature and who agree to be bound by the terms of this Section 11.17. Disclosure that
is not in violation of the Right to Financial Privacy Act, the Gramm-Leach-Bliley Act or other
applicable law by such Receiving Party of any Confidential Information at the request of its
outside auditors or governmental regulatory authorities in connection with an examination of a
Receiving Party by any such authority shall not constitute a breach of its obligations under this
Section 11.17 and shall not require the prior consent of the Servicer and the Loan Originator.

          Each Receiving Party shall be responsible for any breach of this Section 11.17 by its
Information Recipients. The Noteholders may use Confidential Information for internal due diligence
purposes in connection with their analysis of the transactions contemplated by the Basic Documents.
The Disposition Agent may disclose Confidential Information to the Disposition Participants as
required to effect Dispositions. This Section 11.17 shall terminate upon the occurrence of an Event
of Default; provided, however, that such termination shall not relieve the Receiving Parties or
their respective Information Recipients from the obligation to comply with the Gramm-Leach-Bliley
Act or other applicable law with respect to their use or disclosure of Confidential Information
following the occurrence of an Event of Default.

          As used herein, “Confidential Information” means non-public personal information (as defined
in the Gramm-Leach-Bliley Act and its enabling regulations issued by the Federal Trade Commission)
regarding Borrowers. Confidential Information shall not include information which (i) is or becomes
generally available to the public other than as a result of a disclosure by a Receiving Party or
any Information Recipients; (ii) was available to a Receiving Party on a non-confidential basis
prior to its disclosure to such Receiving Party by the Servicer or the Loan Originator; (iii) is
required to be disclosed by a governmental authority or related governmental agencies or as
otherwise required by law; or (iv) becomes available to a Receiving Party on a non-confidential
basis from a Person other than the Servicer or the Loan Originator who, to the best knowledge of
such Receiving Party, is not otherwise bound by a confidentiality agreement with the Servicer or
the Loan Originator and is not otherwise prohibited from transmitting the information to such
Receiving Party.

			
	Section 11.18	 	Conflicts.

          Notwithstanding anything contained in the Basic Documents to the contrary, in the event of the
conflict between the terms of this Agreement and any other Basic Document, the terms of this
Agreement shall control.

			
	Section 11.19	 	Limitation on Liability.

          It is expressly understood and agreed by the parties hereto that (a) this Agreement is
executed and delivered by Wilmington Trust Company, not individually or personally, but solely as
Owner Trustee of Option One Owner Trust 2005-6, in the exercise of the powers and

- 86 -

 

authority conferred and vested in it, (b) each of the representations, undertakings and agreements
herein made on the part of the Issuer is made and intended not as personal representations,
undertakings and agreements by Wilmington Trust Company but is made and intended for the purpose
for binding only the Issuer, (c) nothing herein contained shall be construed as creating any
liability on Wilmington Trust Company, individually or personally, to perform any covenant either
expressed or implied contained herein, all such liability, if any, being expressly waived by the
parties hereto and by any Person claiming by, through or under the parties hereto and (d) under no
circumstances shall Wilmington Trust Company be personally liable for the payment of any
indebtedness or expenses of the Issuer or be liable for the breach or failure of any obligation,
representation, warranty or covenant made or undertaken by the Issuer under this Agreement or any
other related documents.

			
	Section 11.20	 	No Agency.

          Nothing contained herein or in the Basic Documents shall be construed to create an agency or
fiduciary relationship between the Noteholder Agent, any Noteholder or the Majority Noteholders or
any of their Affiliates and the Issuer, the Depositor, the Loan Originator or the Servicer. None of
the Noteholder Agent, any Noteholder, the Majority Noteholders or any of their Affiliates shall be
liable for any acts or actions affected in connection with a disposition of Loans, including
without limitation, any
Securitization pursuant to Section 3.06, any Servicer Put or Servicer Call pursuant to Section
3.08 hereof nor any Whole Loan Sale pursuant to Section 3.10 hereof.

(SIGNATURE PAGE FOLLOWS)

- 87 -

 

          IN WITNESS WHEREOF, the Issuer, the Depositor, the Servicer, the Indenture Trustee and the
Loan Originator have caused their names to be signed by their respective officers thereunto duly
authorized, as of the day and year first above written, to this SALE AND SERVICING AGREEMENT.

	 	 	 	 	 	 	 	 	 
	 	 	OPTION ONE OWNER TRUST 2005-6,	 	 
	 	 	By:	 	Wilmington Trust
Company not in its individual capacity but solely as Owner Trustee	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	By:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	OPTION ONE LOAN
WAREHOUSE CORPORATION, as Depositor	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	By:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	OPTION ONE MORTGAGE CORPORATION, as Loan Originator and
Servicer	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	By:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	Title:	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	WELLS FARGO BANK, N.A., as Indenture Trustee	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	By:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	Title:	 	 	 	 

 

 

Schedule I

     (i) the original executed Mortgage Note or alternatively, if the original executed Mortgage
Note has been lost, a lost note affidavit and indemnity with a copy of such Mortgage Note;

     (ii) an original or a copy of the Mortgage, in each case (unless the particular item has been
sent for recording but has not been returned from the applicable recording office) with evidence of
recording indicated thereon; or

     (iii) the original or a copy of the policy or certificate of lender’s title insurance issued
in connection with such Mortgage Loan (or, if the policy has not yet been issued, an original or
copy of a written commitment “marked-up” at the closing of such Mortgage Loan, interim binder or
the pro forma title insurance policy, in each case evidencing a binding commitment to issue such
policy).

 

 

EXHIBIT A

FORM OF NOTICE OF ADDITIONAL NOTE PRINCIPAL BALANCE

[LETTERHEAD OF OPTION ONE LOAN WAREHOUSE CORPORATION]

	 	 	 
	[Date]

	 	 

Option One Owner Trust 2005-6

c/o Wilmington Trust Company

Rodney Square North

1100 North Market Street

Wilmington, Delaware 19890

Attention: Corporate Trust Administration

Wells Fargo Bank, N.A.

9062 Old Annapolis Road

Columbia, Maryland 21045

Attention: Option One Owner Trust 2005-6

Lehman Brothers Bank

745 Seventh Avenue

New York, New York 10019

     Re: Option One Owner Trust 2005-6 Mortgage-Backed Notes

     Reference is made to the Sale and Servicing Agreement, dated as of June 1, 2005 (the “Sale and
Servicing Agreement”), among Option One Owner Trust 2005-6, as Issuer, Option One Loan Warehouse
Corporation, as Depositor, Option One Mortgage Corporation, as Loan Originator and Servicer, and
Wells Fargo Bank, N.A., as Indenture Trustee. Capitalized terms not defined herein shall have the
meanings assigned to such terms in the Sale and Servicing Agreement.

     The undersigned                     , a duly appointed                      of Option One Loan Warehouse Corporation, acting in such capacity, hereby requests an advance of Additional Note
Principal Balance in an amount of $                    , such amount to be advanced on                     , 200_, a Business Day at least
two Business Days from the date hereof.

	 	 	 	 	 
	 	 	Very truly yours,
	 
	 	 	 	 
	 	 	OPTION ONE LOAN WAREHOUSE
	 	 	CORPORATION
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 

	 	 	 	 	 
	 

	 	Name:	 	 
	 

	 	 	 	 

	 	 	 	 	 
	 

	 	Title:	 	 
	 

	 	 	 	 

A-1

 

EXHIBIT B

FORM OF SERVICER’S REMITTANCE REPORT TO INDENTURE TRUSTEE

Trial Balance Information Report P139

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Next	 	 	 	 	 	 
	 	 	 	 	 	 	Investor	 	 	 	Pymt	 	Interest	 	P&I	 	Principal
	Investor #	 	Category	 	Loan #	 	Loan #	 	Borrower Name	 	Date	 	Rate	 	Pymt	 	Balance
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Collection Activity Information Report S215

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	Pymt	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Investor	 	Transaction	 	 	 	Due	 	 	 	 	 	 	 	Service	 	Net	 	Total	 	Principal	 	 
	Investor #	 	Category	 	Loan #	 	Loan #	 	Date	 	Paymt #	 	Date	 	Escrow	 	Principal	 	Interest	 	Fees	 	Interest	 	Deposit	 	Balance	 	Late Charges
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Payoff Activity Information Report S214

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	Next	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Investor	 	Date	 	 	 	Interest	 	Service Fee	 	Pymt	 	 	 	 	 	Service	 	Net	 	Prepay	 	Total
	Investor #	 	Category	 	Loan #	 	Loan #	 	Paid	 	P&I Pymt	 	Rate	 	Rate	 	Date	 	Principal	 	Interest	 	Fees	 	Interest	 	Premium	 	Collected
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

B-1

 

EXHIBIT C

FORM OF S&SA ASSIGNMENT

          ASSIGNMENT NO. ___OF LOANS (“S&SA Assignment”), dated                     , (the “Transfer Date”), by OPTION ONE LOAN WAREHOUSE CORPORATION, (the “Depositor”) to OPTION ONE
OWNER TRUST 2005-6 (the “Issuer”) pursuant to the Sale and Servicing Agreement referred to below.

WITNESSETH:

          WHEREAS, the Depositor and the Issuer are parties to the Sale and Servicing Agreement dated as
of June 1, 2005 (the “Sale and Servicing Agreement”) among the Depositor, the Issuer, the Servicer,
the Loan Originator and the Indenture Trustee on behalf of the Noteholders, hereinafter as such
agreement may have been, or may from time to time be, amended, supplemented or otherwise modified;

          WHEREAS, pursuant to the Sale and Servicing Agreement, the Depositor wishes to sell, convey,
transfer and assign Loans to the Issuer in exchange for cash consideration, the Trust Certificates
and other good and valid consideration the receipt and sufficiency of which is hereby acknowledged;
and

          WHEREAS, the Issuer is willing to acquire such Loans subject to the terms and conditions
hereof and of the Sale and Servicing Agreement;

          NOW THEREFORE, the Depositor and the Issuer hereby agree as follows:

          1. Defined Terms. All capitalized terms defined in the Sale and Servicing Agreement and used
herein shall have such defined meanings when used herein, unless otherwise defined herein.

          2. Designation of Loans. The Depositor does hereby deliver herewith a Loan Schedule containing
a true and complete list of each Loan to be conveyed on the Transfer Date. Such list is marked as
Schedule A to this S&SA Assignment and is hereby incorporated into and made a part of this S&SA
Assignment.

          3. Conveyance of Loans. The Depositor hereby sells, transfers, assigns and conveys to the
Issuer, without recourse, all of the right, title and interest of the Depositor in and to the Loans
and all proceeds thereof listed on the Loan Schedule attached hereto, including all interest and
principal received by the Depositor or the Servicer on or with respect to the Loans on or after the
related Transfer Cut-off Date, together with all right, title and interest in and to the proceeds
of any related Mortgage Insurance Policies.

          4. Issuer Acknowledges Assignment. As of the Transfer Date, pursuant to this S&SA Assignment
and Section 2.01(a) of the Sale and Servicing Agreement, the Issuer acknowledges its receipt of the
Loans listed on the attached Loan Schedule and all other related property in the Trust Estate.

          
C-1

 

          5. Acceptance of Rights But Not Obligations. The foregoing sale, transfer, assignment, set
over and conveyance does not, and is not intended to, result in a creation or an assumption by the
Issuer of any obligation of the Depositor, the Loan Originator or any other Person in connection
with this S&SA Assignment or under any agreement or instrument relating thereto except as
specifically set forth herein.

          6. Depositor Acknowledges Receipt of Sales Price. The Depositor hereby acknowledges receipt of
the Sales Price or that is otherwise distributed at its direction.

          7. Conditions Precedent. The conditions precedent in Section 2.06(a) of the Sale and Servicing
Agreement have been satisfied.

          8.
Limitation of Liability. Section 11.19 of the Sale and Servicing Agreement is incorporated
by reference.

          9. Counterparts. This S&SA Assignment may be executed in any number of counterparts all of
which taken together shall constitute one and the same instrument.

          
C-2

 

          IN WITNESS WHEREOF, the undersigned have caused this S&SA Assignment to be duly executed and
delivered by their respective duly authorized officers on the day and year first above written.

	 	 	 	 	 
	 	 	OPTION ONE LOAN WAREHOUSE CORPORATION,
	 	 	as Depositor
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 	 	Name:
	 	 	Title:
	 
	 	 	 	 
	 	 	OPTION ONE OWNER TRUST 2005-6,
	 	 	as Issuer
	 
	 	 	 	 
	 	 	By: Wilmington Trust Company not in its individual capacity but solely as Owner Trustee
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 	 	Name:
	 	 	Title:

C-3

 

EXHIBIT D

LOAN SCHEDULE

     The Loan Schedule shall set forth the following information with respect to each Loan (other
than Wet Funded Loans):

	 	(1)	 	the Loan Originator’s Loan identifying number;
	 
	 	(2)	 	the
Mortgagor’s name and social security number;
	 
	 	(3)	 	the street address of the Mortgaged Property, including the state and zip code;
	 
	 	(4)	 	the
Promissory Note date;
	 
	 	(5)	 	the occupancy status of the Mortgaged Property and a code indicating
whether the Mortgaged Property was represented by the Mortgagor as being owner-occupied on the date
of origination;
	 
	 	(6)	 	the type of Residential Dwelling constituting the Mortgaged Property;
	 
	 	(7)	 	the
months to maturity at origination, based on the original amortization schedule;
	 
	 	(8)	 	the
loan-to-value ratio at origination;
	 
	 	(9)	 	the rate of interest in effect on the Transfer Cut-off
Date;
	 
	 	(10)	 	the date on which the first monthly payment was due, and, if different, the date on
which monthly payments are due as of the Transfer Cut-off Date;
	 
	 	(11)	 	the amount paid-through date
and the next payment date;

	 
	 	(12)	 	
the stated maturity date;
	 
	 	(13)	 	the amount of the monthly payment
due at origination;
	 
	 	(14)	 	the amount of the principal and interest payment due on the first due date
after the Transfer Cut-off Date;
	 
	 	(15)	 	the interest paid-through date;
	 
	 	(16)	 	the last monthly payment date on which any portion of the monthly payment was
applied to the reduction of principal;
	 
	 	(17)	 	the original principal balance;
	 
	 	(18)	 	the unpaid
principal balance as of the close of business on the Transfer Cut-off Date;
	 
	 	(19)	 	the unpaid
principal balance as of the last day of the immediately preceding month;
	 
	 	(20)	 	a code indicating
whether the interest rate on the Loan is fixed or adjustable;
	 
	 	(21)	 	if the Loan is an
adjustable-rate loan, the initial adjustment date thereunder, including the look-back period;
	 
	 	(22)	 	if the Loan is an adjustable-rate loan, the gross margin over the applicable interest rate index;
	 
	 	(23)	 	a code indicating the purpose of the Loan, as indicated by the Mortgagor (i.e., purchase
financing, rate/term refinancing or cash-out refinancing);
	 
	 	(24)	 	(if the Loan is an adjustable-rate
loan, the maximum interest rate;
	 
	 	(25)	 	if the Loan is an adjustable-rate loan, the minimum interest
rate;
	 
	 	(26)	 	if the Loan is an adjustable-rate loan, the index, [ARM code], adjustment frequency,
spread and caps;

D-1

 

	 	(27)	 	the interest rate at origination;
	 
	 	(28)	 	if the Loan is an adjustable-rate loan, the periodic rate cap and the maximum adjustment in
the interest rate that may be made on the first adjustment date immediately following the Transfer
Cut-off Date;
	 
	 	(29)	 	a code indicating the documentation program (i.e., full documentation, limited
documentation or stated income);
	 
	 	(30)	 	if the Loan is an adjustable-rate loan, the applicable
interest rate index to which the gross margin is added, including the source of such index;
	 
	 	(31)	 	if
the Loan is an adjustable-rate loan, the first adjustment date thereunder to occur after the
Transfer Cut-off Date;
	 
	 	(32)	 	the risk grade;
	 
	 	(33)	 	any risk upgrade;
	 
	 	(34)	 	the appraised value of the
Mortgaged Property at origination;
	 
	 	(35)	 	if different from the appraised value, the dollar value of
the review appraisal of the Mortgaged Property at origination;
	 
	 	(36)	 	the sale price of the Mortgaged
Property, if applicable;
	 
	 	(37)	 	the product type code (e.g., 3/27, 2/28, balloon, etc.);
	 
	 	(38)	 	a code indicating whether the Loan is a first-lien loan or a second-lien loan;
	 
	 	(39)	 	if the
Loan is a second-lien loan, the outstanding principal balance of the first lien on the date of
origination of such Loan and the monthly payment and maturity date of the first-lien loan;
	 
	 	(40)	 	if
the Loan is a second-lien loan, the combined loan-to-value ratio of such Loan and the first lien to
which it is subject, as of the origination date of such Loan;
	 
	 	(41)	 	whether such Loan is 30 days or
more Delinquent;
	 
	 	(42)	 	the prepayment penalty code;
	 
	 	(43)	 	the prepayment penalty term;

	 
	 	(44)	 	
the late
charge;
	 
	 	(45)	 	the rounding code (next highest or nearest 0.125%);
	 
	 	(46)	 	the applicable loan grade and
the Mortgagor’s FICO score, if any; and
	 
	 	(47)	 	the Mortgagor’s debt-to-income ratio.

D-2

 

     The Loan Schedule to be delivered with respect to Wet Funded Loans shall set forth the
following information:

MBMS Long Format ‘97 w\ Mersflag

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Start	 	length/	 	End	 	 	 	 
	Field	 	Pos	 	width	 	Pos	 	Dec	 	Definition
	Loanidp

	 	 	1	 	 	 	13	 	 	 	13	 	 	 	0	 	 	Previous loan number/(Old loan number or Investor loan number)
	Lname

	 	 	14	 	 	 	35	 	 	 	48	 	 	 	0	 	 	Primary borrower’s name/ (Last, First Middle)
	Casenum

	 	 	49	 	 	 	13	 	 	 	61	 	 	 	0	 	 	FHA or VA case number
	Closed

	 	 	62	 	 	 	6	 	 	 	67	 	 	 	0	 	 	Date the loan closed/ (mmddyy)
	Firstdue

	 	 	68	 	 	 	6	 	 	 	73	 	 	 	0	 	 	Date first pymt on loan was due/ (mmddyy)
	Issuer

	 	 	74	 	 	 	4	 	 	 	77	 	 	 	0	 	 	User defined issuer code/(leave blank —pad with spaces)
	Loanid

	 	 	78	 	 	 	13	 	 	 	90	 	 	 	0	 	 	Loan number/ (Servicer loan number)
	Maturity

	 	 	91	 	 	 	6	 	 	 	96	 	 	 	0	 	 	Maturity date of the loan/ (mmddyy)
	Rate

	 	 	97	 	 	 	9	 	 	 	105	 	 	 	0	 	 	Interest rate on note/ (X 1000 to remove
decimal (7.125% is 7125)
	Lnamount

	 	 	10611	 	 	 	 	 	 	 	116	 	 	 	0	 	 	Original loan amount/ (X 100 to remove
decimal (100000.00 is 1000000)
	PI

	 	 	11710	 	 	 	 	 	 	 	126	 	 	 	0	 	 	Orig principal plus interest/ (X 100 to remove
decimal (1000.00 is 100000)
	Poolnum

	 	 	12710	 	 	 	 	 	 	 	136	 	 	 	0	 	 	Pool number/ (Agency pool number or private
investor code — CPI)
	State

	 	 	1372	 	 	 	 	 	 	 	138	 	 	 	0	 	 	Property State abbreviation/ (e.g., NY)
	City

	 	 	13915	 	 	 	 	 	 	 	153	 	 	 	0	 	 	Property City
	Zip

	 	 	1545	 	 	 	 	 	 	 	158	 	 	 	0	 	 	Property Zip code
	Address

	 	 	15935	 	 	 	 	 	 	 	193	 	 	 	0	 	 	Property address/ (Number and street name)
	Sid

	 	 	19423	 	 	 	 	 	 	 	216	 	 	 	0	 	 	Barcode ID (leave blank —pad with
spaces)
	Armadj

	 	 	2176	 	 	 	 	 	 	 	222	 	 	 	0	 	 	1st Adjustment Date (mmddyy)
	Armconv

	 	 	2231	 	 	 	 	 	 	 	223	 	 	 	0	 	 	Convertible Account (Y/N)
	Armround

	 	 	2246	 	 	 	 	 	 	 	229	 	 	 	0	 	 	Percent Rounded (X 100000 to remove decimal
(7.12500% is 712500)
	Armacap

	 	 	2305	 	 	 	 	 	 	 	234	 	 	 	0	 	 	Annual Cap (X 1000 to remove decimal
(10.125% is 10125)
	Armlcap

	 	 	2355	 	 	 	 	 	 	 	239	 	 	 	0	 	 	Lifetime Cap (X 1000 to remove decimal
(10.125% is 10125)
	Armmargin

	 	 	2404	 	 	 	 	 	 	 	243	 	 	 	0	 	 	Margin (X 1000 to remove decimal (7.125% is
7125)

D-3

 

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Start	 	length/	 	End	 	 	 	 
	Field	 	Pos	 	width	 	Pos	 	Dec	 	Definition
	Armfloor

	 	 	2445	 	 	 	 	 	 	 	248	 	 	 	0	 	 	Floor (X 1000 to remove decimal (10.125% is
10125)
	Mersmin

	 	 	24918	 	 	 	 	 	 	 	266	 	 	 	0	 	 	Mers Min
	Mersflag

	 	 	2671	 	 	 	 	 	 	 	267	 	 	 	0	 	 	Mersflag
	Filler

	 	 	268	 	 	 	33	 	 	 	300	 	 	 	0	 	 	Filler field/ (Pad with spaces)

D-4

 

EXHIBIT E

REPRESENTATIONS AND WARRANTIES REGARDING THE LOANS

     The Loan Originator hereby represents and warrants to the other parties to the Sale and
Servicing Agreement and the Securityholders, with respect to each such Loan as of the related
Transfer Date (except as otherwise expressly agreed in writing by the Majority Noteholders):

          (i) The information set forth in the related Loan Schedule and the information contained on
the electronic data file delivered to the Initial Noteholder is complete, true and correct;

          (ii) All payments required to be made up to the close of business on the Transfer Date for
such Loan under the terms of the Promissory Note have been made; the Loan Originator has not
advanced funds, or induced, solicited or knowingly received any advance of funds from a party other
than the owner of the related Mortgaged Property, directly or indirectly, for the payment of any
amount required by the Promissory Note or Mortgage; and there has been no delinquency, exclusive of
any period of grace, in any payment by the Borrower thereunder during the last twelve months;

          (iii) There are no delinquent taxes, ground rents, water charges, sewer rents, assessments,
insurance premiums, leasehold payments, including assessments payable in future installments or
other outstanding charges affecting the related Mortgaged Property;

          (iv) The terms of the Promissory Note and the Mortgage have not been impaired, waived, altered
or modified in any respect and the Promissory Note and the Mortgage have note been satisfied,
canceled, rescinded or subordinated in whole or in part. No instrument of waiver, alteration,
modification, release, cancellation, rescission or satisfaction has been executed, and no Borrower
has been released, in whole or in part;

          (v) The Promissory Note and the Mortgage are not subject to any right of rescission, set-off,
counterclaim or defense, including the defense of usury, nor will the operation of any of the terms
of the Promissory Note or the Mortgage, or the
exercise of any right thereunder, render either the Promissory Note or the Mortgage
unenforceable, in whole or in part, or subject to any right of rescission, set-off, counterclaim or
defense, including the defense of usury and no such right of rescission, set-off, counterclaim or
defense has been asserted with respect thereto;

          (vi) All buildings upon the Mortgaged Property are insured by an insurer acceptable to Fannie
Mae or Freddie Mac against loss by fire, hazards of extended coverage and such other hazards as are
customary in the area where the Mortgaged Property is located, pursuant to insurance policies
conforming to the requirements of the Servicing Addendum, in an amount sufficient to avoid the
application of any “co-insurance provisions”. All such insurance policies contain a standard
mortgagee clause naming the Loan Originator, its successors and assigns as mortgagee and all
premiums thereon have been paid. If the Mortgaged Property is in an area identified on a Flood
Hazard Map or Flood Insurance Rate Map issued by the Federal Emergency Management Agency as having
special flood hazards (and such flood insurance has

E-1

 

been made available) a flood insurance policy meeting the requirements of the current guidelines of
the Federal Insurance Administration is in effect which policy conforms to the requirements of
Fannie Mae and Freddie Mac. The Mortgage obligates the Borrower thereunder to maintain all such
insurance at the Borrower’s cost and expense, and on the Borrower’s failure to do so, authorizes
the holder of the Mortgage to maintain such insurance at Borrower’s cost and expense and to seek
reimbursement therefor from the Borrower;

          (vii) Any and all requirements of any federal, state or local law including, without
limitation, usury, truth in lending, real estate settlement procedures, consumer credit protection,
equal credit opportunity, fair housing or disclosure laws applicable to the origination and
servicing of the Loans have been complied with;

          (viii) The Mortgage has not been satisfied, canceled, subordinated or rescinded, in whole or in part, and the Mortgaged Property has not been released from the lien of
the Mortgage, in whole or in part, nor has any instrument been executed that would effect any such
satisfaction, cancellation, subordination, rescission or release;

          (ix) The Mortgage is a valid, existing and enforceable first lien (or, with respect to Loans
identified as Second Lien Loans on the Loan Schedule, second lien) on the Mortgaged Property,
including all improvements on the Mortgaged Property subject only to (a) the lien of current real
property taxes and assessments not yet due and payable, (b) covenants, conditions and restrictions,
rights of way, easements and other
matters of the public record as of the date of recording being acceptable to mortgage lending
institutions generally and specifically referred to in the lender’s title insurance policy
delivered to the originator of the Loan and which do not adversely affect the Appraised Value of
the Mortgaged Property, (c) other matters to which like properties are commonly subject which do
not materially interfere with the benefits of the security intended to be provided by the Mortgage
or the use, enjoyment, value or marketability of the related Mortgaged Property and (d) the first
lien on the Mortgaged Property, in the case of the Second Lien Loans. Any security agreement,
chattel mortgage or equivalent document related to and delivered in connection with the Loan
establishes and creates a valid, existing and enforceable first or second lien and first or second
priority security interest on the property described therein and the Loan Originator has full right
to sell and assign the same to the Depositor and the Issuer. The Mortgaged Property was not, as of
the date of origination of the Loan, subject to a mortgage, deed of trust, deed to secure debt or
other security instrument creating a lien subordinate to the lien of the Mortgage;

          (x) The Promissory Note and the related Mortgage are genuine and each is the legal, valid and
binding obligation of the maker thereof, enforceable in accordance with its terms, except as the
enforceability thereof may be limited by bankruptcy, insolvency or reorganization;

          (xi) All parties to the Promissory Note and the Mortgage had legal capacity to enter into the
Loan and to execute and deliver the Promissory Note and the Mortgage, and the Promissory Note and
the Mortgage have been duly and properly executed by such parties. The Borrower is a natural
person;

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          (xii) The proceeds of the Loan have been fully disbursed to or for the account of the Borrower
and there is no obligation for the mortgagee to advance additional funds thereunder and any and all
requirements as to completion of any on-site or off-site improvement and as to disbursements of any
escrow funds therefor have been complied with. All costs, fees and expenses incurred in making or
closing the Loan and the recording of the Mortgage have been paid, and the Borrower is not entitled
to any refund of any amounts paid or due to the Loan Originator pursuant to the Promissory Note or
Mortgage;

          (xiii) The Loan Originator has good title to and is the sole legal, beneficial and equitable
owner of the Promissory Note and the Mortgage and has full right to transfer and sell the Loan to
the Depositor and the Issuer free and clear of any encumbrance, equity, lien, pledge, charge, claim
or security interest;

          (xiv) All parties which have had any interest in the Loan, whether as mortgagee, assignee,
pledgee or otherwise, are (or, during the period in which they held and disposed of such interest,
were) in compliance with any and all applicable “doing business” and licensing requirements of the
laws of the state wherein the Mortgaged Property is located;

          (xv) The Loan is covered by either (i) a lender’s title insurance
policy (which, in the case of an ARM has an adjustable rate mortgage endorsement) commercially
acceptable to prudent mortgage lending institutions, issued by a title insurer licensed and
qualified to do business in the jurisdiction where the Mortgaged Property is located, insuring
(subject to the exceptions contained in (ix)(a) and (b) above) the Loan Originator, its successors
and assigns as to the first or second priority lien of the Mortgage in the original principal
amount of the Loan and, with respect to any ARM, against any loss by reason of the invalidity or
unenforceability of the lien resulting from the provisions of the Mortgage providing for adjustment
in the Loan Interest Rate and Monthly Payment or (ii) if generally acceptable in the jurisdiction
where the Mortgaged Property is located, an attorney’s opinion of title given by an attorney
licensed to practice law in the jurisdiction where the Mortgaged Property is located. Additionally,
such lender’s title insurance policy affirmatively insures ingress and egress to and from the
Mortgaged Property, and against encroachments by or upon the Mortgaged Property or any interest
therein. The Loan Originator is the sole insured of such lender’s title insurance policy, and such
lender’s title insurance policy is in full force and effect and will be in full force and effect,
and the issuer will be insured thereunder, upon the consummation of the transactions contemplated
by this Agreement. No claims have been made under such lender’s title insurance policy, and no
prior holder of the related Mortgage, including the Loan Originator, has done, by act or omission,
anything which would impair the coverage or enforceability of such lender’s title insurance policy
or the accuracy of such attorney’s opinion of title.

          (xvi) There is no default, breach, violation or event of acceleration existing under the
Mortgage or the Promissory Note and no event which, with the passage of time or with notice and the
expiration of any grace or cure period, would constitute a default, breach, violation or event of
acceleration other than a payment delinquency specified in (ii) above, and neither the Loan
Originator nor any affiliate has not waived any default, breach, violation or event of
acceleration;

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          (xvii) There are no mechanics’ or similar liens or claims which have been filed for work,
labor or material (and no rights are outstanding that under law could give rise to such lien)
affecting the related Mortgaged Property which are or may be liens prior to, or equal or coordinate
with, the lien of the related Mortgage;

          (xviii) All improvements which were considered in determining the Appraised Value of the related Mortgaged Property lay wholly within the boundaries and building
restriction lines of the Mortgaged Property, and no improvements on adjoining
properties encroach upon the Mortgaged Property;

          (xix) The Loan was originated by the Loan Originator or by a savings and loan association, a
savings bank, a commercial bank or similar banking institution which is supervised and examined by
a federal or state authority, or by a mortgagee approved as such by the Secretary of HUD;

          (xx) Payments on the Loan commenced no more than two months after the proceeds of the Loan
were disbursed. The Loan bears interest at the Loan Interest Rate. With respect to each Loan unless
otherwise stated on the Loan Schedule, the Promissory Note is payable on the first day of each
month in Monthly Payments, which, in the case of each fixed-rate Loan except for Balloon Loans, are
sufficient to fully amortize the original principal balance over the original term thereof and to
pay interest at the related Loan Interest Rate, and, in the case of each ARM, are changed on each
Adjustment Date in accordance with the terms of the related Promissory Note or subsequent
modifications, if any, and in any case, are sufficient to fully amortize the original principal
balance over the original term thereof and to pay interest at the related Loan Interest Rate. The
Promissory Note does not permit negative amortization. No Loan is a Convertible Mortgage Loan;

          (xxi) The origination and collection practices used by the Loan Originator with respect to
each Promissory Note and Mortgage have been in all respects legal, proper, prudent and customary in
the mortgage origination and servicing industry. The Loan has been serviced by the Loan Originator
and any predecessor servicer in accordance with the terms of the Promissory Note. With respect to
escrow deposits and Escrow Payments, if any, all such payments are in the possession of, or under
the control of, the Loan Originator and there exist no deficiencies in connection therewith for
which customary arrangements for repayment thereof have not been made. No escrow deposits or Escrow
Payments or other charges or payments due the Loan Originator have been capitalized under any
Mortgage or the related Promissory Note and no such escrow deposits or Escrow Payments are being
held by the Loan Originator for any work on a Mortgaged Property which has not been completed;

          (xxii) The Mortgaged Property is free of material damage and waste and there is no proceeding
pending for the total or partial condemnation thereof;

          (xxiii) The Mortgage contains an enforceable provision for the acceleration of the payment of
the unpaid principal balance of the Loan in the event that the Mortgaged Property is sold or
transferred without the prior written consent of the mortgagee thereunder. The Mortgage and related
Promissory Note contain customary and enforceable provisions such as to render the rights and
remedies of the holder thereof adequate for the realization against the

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Mortgaged Property of the benefits of the security provided thereby, including, (a) in the case of
a Mortgage designated as a deed of trust, by trustee’s sale, and (b) otherwise by judicial
foreclosure. The Mortgaged Property has not been subject to any bankruptcy proceeding or
foreclosure proceeding and the Borrower has not filed for protection under
applicable bankruptcy laws. No material litigation or lawsuit relating to the Loan is pending.
There is no homestead or other exemption available to the Borrower which would interfere with the
right to sell the Mortgaged Property at a trustee’s sale or the right to foreclose the Mortgage.
The Borrower has not notified the Loan Originator and the Loan Originator has no knowledge of any
relief requested or allowed to the Borrower under the Soldiers and Sailors Civil Relief Act of
1940;

          (xxiv) The Loan was underwritten in accordance with the underwriting standards of the Loan
Originator in effect at the time the Loan was originated; and the Promissory Note and Mortgage are
on forms acceptable to prudent mortgage lending institutions in the secondary market;

          (xxv) The Promissory Note is not and has not been secured by any collateral except the lien of
the corresponding Mortgage on the Mortgaged Property and the security interest of any applicable
security agreement or chattel mortgage referred to in (ix) above;

          (xxvi) The Loan File contains an appraisal of the related Mortgaged Property which satisfied
the standards of Fannie Mae or Freddie Mac and was made and signed, prior to the approval of the
Loan application, by a qualified appraiser, duly appointed by the Loan Originator, who had no
interest, direct or indirect in the Mortgaged Property or in any loan made on the security thereof,
whose compensation is not affected by the approval or disapproval of the Loan and who met the
minimum qualifications of Fannie Mae or Freddie Mac. Each appraisal of the Loan was made in
accordance with the relevant provisions of the Financial Institutions Reform, Recovery, and
Enforcement Act of 1989;

          (xxvii) In the event the Mortgage constitutes a deed of trust, a trustee, duly qualified under
applicable law to serve as such, has been properly designated and currently so serves and is named
in the Mortgage, and no fees or expenses are or will become payable by the Issuer to the trustee
under the deed of trust, except in connection with a trustee’s sale after default by the Borrower;

          (xxviii) No Loan contains provisions pursuant to which Monthly Payments are (a) paid or
partially paid with funds deposited in any separate account established by the Loan Originator, the
Borrower, or anyone on behalf of the Borrower, (b) paid by any source other than the Borrower or
(c) contains any other similar provisions which may constitute a “buydown” provision. The Loan is
not a graduated payment mortgage loan and the Loan does not have a shared appreciation or other
contingent interest feature;

          (xxix) The Borrower has executed a statement to the effect that the Borrower has received all
disclosure materials required by applicable law with respect to the making of fixed rate mortgage
loans in the case of fixed-rate Loans, and adjustable rate mortgage loans in the case of ARMs and
rescission materials with respect to Refinanced Loans, and such statement is and will remain in the
Loan File;

          
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          (xxx) No Loan was made in connection with (a) the construction or rehabilitation of a
Mortgaged Property or (b) facilitating the trade-in or exchange of a Mortgaged Property;

          (xxxi) The Loan Originator has no knowledge of any circumstances or condition with respect to
the Mortgage, the Mortgaged Property, the Borrower or the Borrower’s credit standing that can
reasonably be expected to cause the Loan to be an unacceptable investment, cause the Loan to become
delinquent, or adversely affect the value of the Loan;

          (xxxii) Each Loan listed on the Loan Schedule as being subject to a Primary Mortgage Insurance
Policy is and will be subject to a Primary Mortgage Insurance Policy, issued by a Qualified
Insurer, which insures that portion of the Loan in excess of the portion of the Appraised Value of
the Mortgaged Property required by Fannie Mae. All provisions of such Primary Insurance Policy have
been and are being complied with, such policy is in full force and effect, and all premiums due
thereunder have been paid. Any Mortgage subject to any such Primary Insurance Policy obligates the
Borrower thereunder to maintain such insurance and to pay all premiums and charges in connection
therewith. The Loan Interest Rate for the Loan does not include any such insurance premium;

          (xxxiii) The Mortgaged Property is lawfully occupied under applicable law; all inspections,
licenses and certificates required to be made or issued with respect to all occupied portions of
the Mortgaged Property and, with respect to the use and occupancy of the same, including but not
limited to certificates of occupancy, have been made or obtained from the appropriate authorities;

          (xxxiv) No error, omission, misrepresentation, negligence, fraud or similar occurrence with
respect to a Loan has taken place on the part of any person, including without limitation the
Borrower, any appraiser, any builder or developer, or any other party involved in the origination
of the Loan or in the application of any insurance in relation to such Loan;

          (xxxv) The Assignment of Mortgage is in recordable form and is acceptable for recording under
the laws of the jurisdiction in which the Mortgaged Property is located;

          (xxxvi) Any principal advances made to the Borrower prior to the Transfer Cut-off Date have
been consolidated with the outstanding principal amount secured by the Mortgage, and the secured
principal amount, as consolidated, bears a single interest rate and single repayment term. The lien
of the Mortgage securing the consolidated principal amount is expressly insured as having first or
second lien priority by a title insurance policy, an endorsement to the policy insuring the
mortgagee’s consolidated interest or by other title evidence acceptable to Fannie Mae and Freddie
Mac. The consolidated principal amount does not exceed the original principal amount of the Loan;

          (xxxvii) Except as set forth on the Loan Schedule, no Loan has a balloon
payment feature;

          (xxxviii) If the residential dwelling on the Mortgaged Property is a condominium unit or a
unit in a planned unit development (other than a de minimis planned unit

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development) such condominium or planned unit development project meets the eligibility
requirements of Fannie Mae and Freddie Mac;

          (xxxix) Interest on each Loan is calculated on the basis of a 360-day year consisting of
twelve 30-day months;

          (xl) The Mortgaged Property is in material compliance with all applicable environmental laws
pertaining to environmental hazards including, without limitation, asbestos, and neither the Loan
Originator nor, to the Loan Orginator’s knowledge, the related Borrower has received any notice of
any violation or potential violation of such law;

          (xli) A Trust Receipt reflecting that no Fatal Exceptions exist with respect to the related
Custodial Loan File shall be certified by the Custodian on or before the 15th day following the
related Transfer;

          (xlii) The Loan constitutes a “qualified mortgage” within the meaning of Section 860G(a)(3) of
the Code;

          (xliii) The Loan was not intentionally selected by the Loan Originator in a manner intended to
adversely affect the Initial Noteholder or the Trust;

          (xliv) With
respect to Second Lien Loans, either (a) no consent for the Loan is required by the
holder of the related first lien or (b) such consent has been obtained and is contained in the
Mortgage File;

          (xlv) No Loan is a “High Cost Home Loan” as defined in the Georgia Fair Lending Act, as
amended. No Loan secured by owner occupied real property or an owner occupied manufactured home
located in the State of Georgia was originated (or modified) on or after October 1, 2002 through
and including March 6, 2003; and

          (xlvi) The Loan has been acquired, serviced, collected and otherwise dealt with by the Loan
Originator and any affiliate of the Loan Originator in compliance with all applicable federal,
state and local laws and regulations, including, but not limited to, all applicable predatory and
abusive lending laws and the terms of the related Promissory Note and Mortgage. No Loan is subject
to any federal, state or local law or ordinance that would result in such Loan being ineligible for
inclusion in a rated securitization transaction under the criteria of any rating agency as in
effect as of the application date.

          (xlvii) Any and all requirements of any federal, state or local law
including, without limitation, usury, truth in lending, real estate settlement procedures,
predatory and abusive lending, consumer credit protection, equal credit opportunity, fair housing
or disclosure laws applicable to the origination and servicing of mortgage loans of a type similar
to the Loans have been complied with in all material respects;

          (xlviii) No Loan is (a) subject to the provisions of the Homeownership and Equity Protection
Act of 1994 as amended (“HOEPA”), (b) a “high cost” mortgage loan, “covered” mortgage loan or
“predatory” mortgage loan or any similarly classified loan using

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different terminology, no matter how defined under any federal, state or local law imposing
heightened regulatory scrutiny or assignee liability to holders of such mortgage loans, or (c) a
High Cost Loan or Covered Loan, as applicable (as such terms are defined in the current Standard &
Poor’s LEVELS® Glossary Revised, Appendix E);

          (xlix) No predatory, abusive, or deceptive lending practices, including but not limited to,
the extension of credit to a mortgagor without regard for the mortgagor’s ability to repay the Loan
and the extension of credit to a mortgagor which has no apparent benefit to the mortgagor, were
employed by the Loan Originator in connection with the origination of the Loan. Except with respect
to escrow deposits, each Points and Fees Loan is in compliance with the anti-predatory lending
eligibility for purchase requirements of the Fannie Mae selling guide; and

          (l) Points, fees and charges related to each Loan (whether or not financed, assessed,
collected or to be collected in connection with the origination and servicing of each Loan) were
disclosed in writing to the mortgagor in accordance with applicable state and federal law and
regulation. Unless otherwise disclosed on the related Loan Schedule, no mortgagor was charged
“points and fees” (whether or not financed) in an amount greater than 5% of the principal amount of
the related Loan, such 5% limitation is calculated in accordance with Fannie Mae’s anti-predatory
lending requirements as set forth in the Fannie Mae selling guide.

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EXHIBIT F

SERVICING ADDENDUM

     Section 4.01 Duties of the Servicer.

     The Servicer, as independent contract servicer, shall service and administer the Loans in
accordance with this Agreement and shall have full power and authority, acting alone, to do or
cause to be done any and all things in connection with such servicing and administration which the
Servicer may deem necessary or desirable and consistent with the terms of this Agreement.

     The duties of the Servicer shall include collecting and posting of all payments, responding to
inquiries of Borrowers or by federal, state or local government authorities with respect to the
Loans, investigating delinquencies, reporting tax information to Borrowers in accordance with its
customary practices and accounting for collections and furnishing monthly and annual statements to
the Indenture Trustee and the Initial Noteholder, with respect to distributions, making Servicing
Advances and Monthly Advances pursuant hereto. The Servicer shall follow its customary standards,
policies and procedures in performing its duties as Servicer. The Servicer shall cooperate with the
Indenture Trustee and furnish to the Indenture Trustee with reasonable promptness information in
its possession as may be necessary or appropriate to enable the Indenture Trustee to perform its
tax reporting duties hereunder, if any.

     The Servicer shall give prompt notice to the Indenture Trustee and the Initial Noteholder of
any Proceeding, of which the Servicer has actual knowledge, to (i) assert a claim against the Trust
or (ii) assert jurisdiction over the Trust.

     In the event of a Disposition or other removal of a Loan from the Trust Estate, the Servicer’s
obligations under this Agreement shall be terminated with respect to such Loan.

     The Servicer agrees that in the event that any Notes are outstanding after the applicable
Maturity Date, the Majority Noteholders may appoint a successor servicer in accordance with the
provisions of Section 9.02. The Majority Noteholders may, by written notice to the Servicer and the
Indenture Trustee, elect to have the Servicer continue its duties hereunder after such Maturity
Date.

     Consistent with the terms of this Agreement, the Servicer may waive, modify or vary any term
of any Loan or consent to the postponement of strict compliance with any such term or in any manner
grant indulgence to any Borrower if in the Servicer’s reasonable and prudent determination such
waiver, modification, postponement or indulgence is not materially adverse to the Issuer or the
Noteholders; provided, however, that the Servicer shall not permit any modification with respect to
any Loan that would change the Loan Interest Rate, defer or forgive the payment thereof or of any
principal or interest payments, reduce the outstanding principal amount (except for actual payments
of principal), make additional advances of additional principal or extend the final maturity date
on such Loan. Without limiting the generality of the foregoing, the Servicer shall continue, and is
hereby authorized and empowered, to execute and deliver on behalf of itself, and the Issuer, all
instruments of satisfaction or cancellation, or of partial or full release, discharge and all other
comparable instruments, with respect to the Loans

F-1

 

and with respect to the Mortgaged Property. If reasonably required by the Servicer, the Issuer
shall furnish the Servicer with any powers of attorney and other documents necessary or appropriate
to enable the Servicer to carry out its servicing and administrative duties under this Agreement.

     The Servicer shall service and administer the Loans in accordance with Accepted Servicing
Practices.

     Section 4.02 Collection of Loan Payments.

     Continuously from the date hereof until the principal and interest on all Loans are paid in
full, the Servicer shall proceed diligently to collect all payments due under each Loan when the
same shall become due and payable and shall, to the extent such procedures shall be consistent with
this Agreement and the terms and provisions of any related Primary Insurance Policy, follow such
collection procedures as it follows with respect to mortgage loans comparable to the Loans and held
for its own account. Further, the Servicer shall take special care in ascertaining and estimating
annual ground rents, taxes, assessments, water rates, fire and hazard insurance premiums, mortgage
insurance premiums, and all other charges that, as provided in the Mortgage, will become due and
payable to the end that the installments payable by the Borrowers will be sufficient to pay such
charges as and when they become due and payable.

     Section 4.03 Realization Upon Defaulted Loans.

     (a) The Servicer shall use its best efforts, consistent with the procedures that the Servicer
would use in servicing loans for its own account, to foreclose upon or otherwise comparably convert
the ownership of such Mortgaged Properties as come into and continue in default and as to which no
satisfactory arrangements can be made for collection of delinquent payments pursuant to Section
4.01. The Servicer shall use its best efforts to realize upon Defaulted Loans in such a manner as
will maximize the receipt of principal and interest by the Issuer, taking into account, among other
things, the timing of foreclosure proceedings; provided, however, that the Servicer shall not sell
any Defaulted Loan unless it has been directed to do so by the Majority Noteholder. The foregoing
is subject to the provisions that, in any case in which Mortgaged Property shall have suffered
damage, the Servicer shall not be required to expend its own funds toward the restoration of such
property in excess of $2,000 unless it shall determine in its discretion (i) that such restoration
will increase the proceeds of liquidation of the related Loan to the Issuer after reimbursement to
itself for such expenses, and (ii) that such expenses will be recoverable by the Servicer through
Mortgage Insurance Proceeds or Liquidation Proceeds from the related Mortgaged Property. In the
event that any payment due under any Loan is not paid when the same becomes due and payable, or in
the event the Borrower fails to perform any other covenant or obligation under the Loan and such
failure continues beyond any applicable grace period, the Servicer shall take such action as it
shall deem to be in the best interest of the Issuer and the Noteholders. The Servicer shall notify
the Issuer and the Noteholders in writing of the commencement of foreclosure proceedings. In such
connection, the Servicer shall be responsible for all costs and expenses incurred by it in any such
proceedings; provided, however, that it shall be entitled to reimbursement thereof from the related
Mortgaged Property.

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     (b) Notwithstanding the foregoing provisions of this Section 4.03, with respect to any Loan as
to which the Servicer has received actual notice of, or has actual knowledge of, the presence of
any toxic or hazardous substance on the related Mortgaged Property the Servicer shall not either
(i) obtain title to such Mortgaged Property as a
result of or in lieu of foreclosure or otherwise, or (ii) otherwise acquire possession of, or
take any other action, with respect to, such Mortgaged Property if, as a result of any such action,
the Issuer would be considered to hold title to, to be a mortgagee-in-possession of, or to be an
owner or operator of such Mortgaged Property within the meaning of the Comprehensive Environmental
Response, Compensation and Liability Act of 1980, as amended from time to time, or any comparable
law, unless the Servicer has also previously determined, based on its reasonable judgment and a
prudent report prepared by a Person who regularly conducts environmental audits using customary
industry standards, that:

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

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

     The cost of the environmental audit report contemplated by this Section 4.03 shall be advanced
by the Servicer, subject to the Servicer’s right to be reimbursed therefor from the Collection
Account as provided in Section 5.01(c).

     If the Servicer determines, as described above, that it is in the best economic interest of
the Issuer and the Noteholders to take such actions as are necessary to bring any such Mortgaged
Property into compliance with applicable environmental laws, or to take such action with respect to
the containment, clean-up or remediation of hazardous substances, hazardous materials, hazardous
wastes, or petroleum-based materials affecting any such Mortgaged Property, then the Servicer shall
take such action as it deems to be in the best economic interest of the Issuer and the Noteholders.
The cost of any such compliance, containment, cleanup or remediation shall be advanced by the
Servicer, subject to the Servicer’s right to be reimbursed therefor from the Collection Account as
provided in Section 5.01(c).

     (c) The Servicer shall determine, with respect to each Defaulted Loan, when it has recovered,
whether through trustee’s sale, foreclosure sale or otherwise, all amounts it expects to recover
from or on account of such defaulted Loan, whereupon such Loan shall become a “Liquidated Loan” and
shall promptly deliver to the Initial Noteholder a related liquidation report with respect to such
Liquidated Loan.

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     Section 4.04 Establishment of Escrow Accounts; Deposits in Escrow Accounts.

     The Servicer shall segregate and hold all funds collected and received pursuant to each Loan
which constitute Escrow Payments separate and apart from any of its own funds and general assets
and shall establish and maintain one or more Escrow Accounts, in accordance with the related
Mortgage and applicable law.

     The Servicer shall deposit in the Escrow Account or Accounts within two (2) Business Days
after receipt, and retain therein, (i) all Escrow Payments collected on account of the Loans, for
the purpose of effecting timely payment of any such items as required under the terms of this
Agreement, and (ii) all Mortgage Insurance Proceeds which are to be applied to the restoration or
repair of any Mortgaged Property. The Servicer shall make withdrawals therefrom only to effect such
payments as are required under this Agreement, and for such other purposes as shall be as set forth
or in accordance with Section 4.06. The Servicer shall be entitled to retain any interest paid on
funds deposited in the Escrow Account by the depository institution other than interest on escrowed
funds required by law to be paid to the Borrower and, to the extent required by law, the Servicer
shall pay interest on escrowed funds to the Borrower notwithstanding that the Escrow Account is
non-interest bearing or that interest paid thereon is insufficient for such purposes.

     Section 4.05 Permitted Withdrawals From Escrow Account.

     Withdrawals from the Escrow Account may be made by the Servicer (i) to effect timely payments
of ground rents, taxes, assessments, water rates, hazard insurance premiums, Primary Insurance
Policy premiums, if applicable, and comparable items, (ii) to reimburse the Servicer for any
Servicing Advance made by the Servicer with respect to a related Loan but only from amounts
received on the related Loan which represent late payments or collections of Escrow Payments
thereunder, (iii) to refund to the Borrower any funds as may be determined to be overages, (iv) for
transfer to the Collection Account in accordance with the terms of this Agreement, (v) for
application to restoration or repair of the Mortgaged Property, (vi) to pay to the Servicer, or to
the Borrower to the extent required by law, any interest paid on the funds deposited in the Escrow
Account, or (vii) to clear and terminate the Escrow Account on the termination of this Agreement.

     Section 4.06 Payment of Taxes, Insurance and Other Charges; Maintenance of Primary
Insurance Policies; Collections Thereunder.

     With respect to each Loan, the Servicer shall maintain accurate records reflecting the status
of ground rents, taxes, assessments, water rates and other charges which are or may become a lien
upon the Mortgaged Property and the status of Primary Insurance Policy premiums and fire and hazard
insurance coverage and shall obtain, from time to time, all bills for the payment of such charges,
including insurance renewal premiums and shall effect payment thereof prior to the applicable
penalty or termination date and at a time appropriate for securing maximum discounts allowable,
employing for such purpose deposits of the Borrower in the Escrow Account which shall have been
estimated
and accumulated by the Servicer in amounts sufficient for such purposes, as allowed under the
terms of the Mortgage and applicable law. To the extent that the Mortgage does not provide for
Escrow Payments, the Servicer shall determine

F-4

 

that any such insurance premium payments are made by the Borrower at the time they first become due
and any such tax payments are made in time to avoid loss of the Mortgaged Property in a tax sale.
The Servicer assumes full responsibility for the timely payment of all such bills and shall effect
payments of all such bills prior to the termination of any such insurance coverage or loss of any
such Mortgaged Property in a tax sale irrespective of the Borrower’s faithful performance in the
payment of same or the making of the Escrow Payments and shall make advances from its own funds to
effect such payments.

     The Servicer shall maintain in full force and effect, a Primary Insurance Policy, issued by a
Qualified Insurer, with respect to each Loan for which such coverage is required. Such coverage
shall be maintained until the Loan-to-Value Ratio of the related Loan is reduced to that amount for
which Fannie Mae no longer requires such insurance to be maintained. The Servicer will not cancel
or refuse to renew any Primary Insurance Policy, if any, in effect on the Closing Date that is
required to be kept in force under this Agreement unless a replacement Primary Insurance Policy, if
any, for such canceled or non-renewed policy is obtained from and maintained with a Qualified
Insurer. The Servicer shall not take any action which would result in non-coverage under any
applicable Primary Insurance Policy of any loss which, but for the actions of the Servicer, would
have been covered thereunder. In connection with any assumption or substitution agreement entered
into or to be entered into pursuant to Section 4.12, the Servicer shall promptly notify the insurer
under the related Primary Insurance Policy, if any, of such assumption or substitution of liability
in accordance with the terms of such policy and shall take all actions which may be required by
such insurer as a condition to the continuation of coverage under the Primary Insurance Policy, if
any. If such Primary Insurance Policy is terminated as a result of such assumption or substitution
of liability, the Servicer shall obtain a replacement Primary Insurance Policy as provided above.

     In connection with its activities as servicer, the Servicer agrees to prepare and present, on
behalf of itself, the Issuer and the Noteholders, claims to the insurer under any Primary Insurance
Policy in a timely fashion in accordance with the terms of such policies and, in this regard, to
take such action as shall be necessary to permit recovery under any Primary Insurance Policy
respecting a defaulted Loan. Pursuant to Section 5.01, any amounts collected by the Servicer under
any Primary Insurance Policy shall be deposited in the Collection Account.

     Section 4.07 Transfer of Accounts.

     The Servicer may transfer the Collection Account or the Escrow Account to a different
depository institution from time to time. Such transfer shall be made only upon obtaining the
consent of the Initial Noteholder, which consent shall not be unreasonably withheld or delayed. In
any case, the Collection Account and the Escrow Account shall be an Eligible Account.

     Section 4.08 Maintenance of Hazard Insurance.

     The Servicer shall cause to be maintained for each Loan fire and hazard insurance with
extended coverage as is customary in the area where the Mortgaged Property is located in an amount
which is at least equal to the lesser of (i) 100% of the maximum insurable value of the
improvements securing the Loan or (ii) the outstanding principal balance of the Loan, in each case
in an amount not less than such amount as is necessary to prevent the Borrower and/or the

F-5

 

Issuer from becoming a co- insurer. If the Mortgaged Property is in an area identified on a Flood
Hazard Boundary Map or Flood Insurance Rate Map issued by the Flood Emergency Management Agency as
having special flood hazards and such flood insurance has been made available, the Servicer will
cause to be maintained a flood insurance policy meeting the requirements of the current guidelines
of the Federal Insurance Administration with a generally acceptable insurance carrier, in an amount
representing coverage not less than the lesser of (i) the outstanding principal balance of the Loan
or (ii) the maximum amount of insurance which is available under the National Flood Insurance Act
of 1968 or the Flood Disaster Protection Act of 1973, as amended. The Servicer also shall maintain
on any Foreclosure Property, fire and hazard insurance with extended coverage in an amount which is
at least equal to the lesser of (i) 100% of the maximum insurable value of the improvements which
are a part of such property and (ii) the outstanding principal balance of the related Loan at the
time it became a Foreclosure Property, liability insurance and, to the extent required and
available under the National Flood Insurance Act of 1968 or the Flood Disaster Protection Act of
1973, as amended, flood insurance in an amount as provided above. Pursuant to Section 5.01, any
amounts collected by the Servicer under any such policies other than amounts to be deposited in the
Escrow Account and applied to the restoration or repair of the Mortgaged Property or Foreclosure
Property, or released to the Borrower in accordance with the Servicer’s normal servicing
procedures, shall be deposited in the Collection Account, subject to withdrawal pursuant to Section
5.01. Any cost incurred by the Servicer in maintaining any such insurance shall not, for the
purpose of calculating distributions to the Issuer or the Noteholders, be added to the unpaid
principal balance of the related Loan, notwithstanding that the terms of such Loan so permit. It is
understood and agreed that no earthquake or other additional insurance need be required by the
Servicer or the Borrower or maintained on property acquired in respect of the Loan, other than
pursuant to such applicable laws and regulations as shall at any time be in force and as shall
require such additional insurance. All such policies shall be endorsed with standard mortgagee
clauses with loss payable to the Servicer, or upon the direction of the Initial Noteholder to the
Indenture Trustee, and shall provide for at least thirty days prior written notice of any
cancellation, reduction in the amount of, or material change in, coverage to the Servicer. The
Servicer shall not interfere with the Borrower’s freedom of choice in selecting either his
insurance carrier or agent, provided, however, that the Servicer shall not accept any such
insurance policies from insurance companies unless such companies currently reflect a General
Policy Rating of B:III or better in Best’s Key Rating Guide and are licensed to do business in the
state wherein the property subject to the policy is located.

     Section 4.09 Maintenance of Mortgage Impairment Insurance Policy.

     In the event that the Servicer shall obtain and maintain a mortgage impairment or blanket
policy issued by an issuer that has a Best rating of B:III insuring against hazard losses on all of
Mortgaged Properties securing the Loans, then, to the extent such policy provides coverage in an
amount equal to the amount required pursuant to Section 4.08 and otherwise complies with all other
requirements of Section 4.08, the Servicer shall conclusively be deemed to have satisfied its
obligations as set forth in Section 4.08, it being understood and agreed that such policy may
contain a deductible clause, in which case the Servicer shall, in the event that there shall not
have been maintained on the related Mortgaged Property or Foreclosure Property a policy complying
with Section 4.08, and there shall have been one or more losses which would have been covered

F-6

 

by such policy, deposit in the Collection Account the amount not otherwise payable under the
blanket policy because of such deductible clause. In connection with its activities as servicer of
the Loans, the Servicer agrees to prepare and present, on behalf of the Issuer and the Noteholders,
claims under any such blanket policy in a timely fashion in accordance with the terms of such
policy. Upon request of the Initial Noteholder, the Servicer shall cause to be delivered to the
Noteholders a certified true copy of such policy and a statement from the insurer thereunder that
such policy shall in no event be terminated or materially modified without thirty days prior
written notice to the Issuer and the Noteholders.

     Section 4.10 Fidelity Bond, Errors and Omissions Insurance.

     The Servicer shall maintain, at its own expense, a blanket fidelity bond and an errors and
omissions insurance policy, with broad coverage with financially responsible companies on all
officers, employees or other persons acting in any capacity with regard to the Loans to handle
funds, money, documents and papers relating to the Loans. The fidelity bond and errors and
omissions insurance shall be in the form of the Mortgage Banker’s Blanket Bond and shall protect
and insure the Servicer against losses, including forgery, theft, embezzlement, fraud, errors and
omissions and negligent acts of such persons. Such fidelity bond shall also protect and insure the
Servicer against losses in connection with the failure to maintain any insurance policies required
pursuant to this Agreement and the release or satisfaction of a Loan without having obtained
payment in full of the indebtedness secured thereby. No provision of this Section 4.10 requiring
the fidelity bond and errors and omissions insurance shall diminish or relieve the Servicer from
its duties and obligations as set forth in this Agreement. The minimum coverage under any such bond
and insurance policy shall be at least equal to the corresponding amounts required by Fannie Mae in
the Fannie Mae Servicing Guide or by Freddie Mac in the Freddie Mac Sellers’ and Servicers’ Guide.
Upon request of the Initial Noteholder, the Servicer shall cause to be delivered to the Noteholders
a certified true copy of the fidelity bond and insurance policy and a statement from the surety and
the insurer that such fidelity bond or insurance policy shall in no event be terminated or
materially modified without thirty days’ prior written notice to the Initial Noteholder.

     Section 4.11 Title, Management and Disposition of Foreclosure Property.

     In the event that title to the Mortgaged Property is acquired in foreclosure or by deed in
lieu of foreclosure, the deed or certificate of sale shall be taken in the name of the person
designated by the Issuer, or in the event such person is not authorized or permitted to hold title
to real property in the state where the Foreclosure Property is located, or would be adversely
affected under the “doing business” or tax laws of such state by so holding title, the deed or
certificate of sale shall be taken in the name of such Person or Persons as shall be consistent
with an opinion of counsel obtained by the Servicer from an attorney duly licensed to practice law
in the state where the Foreclosure Property is located. Any Person or Persons holding such title
other than the Issuer shall acknowledge in writing that such title is being held as nominee for the
benefit of the Issuer and the Noteholders.

     The Servicer shall either itself or through an agent selected by the Servicer, manage,
conserve, protect and operate each Foreclosure Property (and may temporarily rent the same) in the
same manner that it manages, conserves, protects and operates other foreclosed property for

F-7

 

its own account, and in the same manner that similar property in the same locality as the
Foreclosure Property is managed. If a REMIC election is or is to be made with respect to the
arrangement under which the Mortgage Loans and any Foreclosure Property are held, the Servicer
shall manage, conserve, protect and operate each Foreclosure Property in a manner which does not
cause such Foreclosure Property to fail to qualify as “foreclosure property” within the meaning of
Section 860G(a)(8) of the Code or result in the receipt by such REMIC of any “income from
non-permitted assets” within the meaning of Section 860F(a)(2)(B) of the Code or any “net income
from foreclosure property” within the meaning of Section 860G(c)(2) of the Code. The Servicer shall
cause each Foreclosure Property to be inspected promptly upon the acquisition of title thereto and
shall cause each Foreclosure Property to be inspected at least annually thereafter. The Servicer
shall make or cause to be made a written report of each such inspection. Such reports shall be
retained in the Loan File and copies thereof shall be forwarded by the Servicer to the Issuer. The
Servicer shall use its best efforts to dispose of the Foreclosure Property as soon as possible. The
Servicer shall report monthly to the Issuer and the Noteholders as to the progress being made in
selling such Foreclosure Property, and if, with the written consent of the Initial Noteholder, a
purchase money mortgage is taken in connection with such sale, such purchase money mortgage shall
name the Servicer as mortgagee, and a separate servicing agreement between the Servicer and the
Issuer shall be entered into with respect to such purchase money mortgage. Notwithstanding the
foregoing, if a REMIC election is made with respect to the arrangement under which the Loans and
the Foreclosure Property are held, such Foreclosure Property shall be disposed of within three
years after the end of the tax year in which such property becomes Foreclosure Property or such
other period as may be permitted under Section 860G(a)(8) of the Code.

     The final sale by the Servicer of any Foreclosure Property (“REO Disposition”) shall be
carried out by the Servicer at such price and upon such terms and conditions as the Servicer deems
to be in the best interest of the Issuer and the Noteholders only with the prior written consent of
the Initial Noteholder. If as of the date title to any Foreclosure Property was acquired by the
Issuer there were outstanding unreimbursed Servicing Advances with respect to the Foreclosure
Property, the Servicer, upon an REO Disposition of such Foreclosure Property, shall be entitled to
reimbursement for any related unreimbursed Servicing Advances from Liquidation Proceeds received in
connection with such REO Disposition. The Net Liquidation Proceeds from the REO Disposition shall
be deposited in the Collection Account promptly following receipt thereof for distribution on the
succeeding Payment Date in accordance with Section 5.01.

     Section 4.12 Assumption Agreements.

     The Servicer shall, to the extent it has knowledge of any conveyance or prospective conveyance
by any Borrower of the Mortgaged Property (whether by absolute conveyance or by contract of sale,
and whether or not the Borrower remains or is to remain liable under the Promissory Note and/or the
Mortgage), exercise its rights to accelerate the maturity of such Loan under any “due-on-sale”
clause applicable thereto; provided, however, that the Servicer shall not exercise any such rights
if prohibited by law from doing so or if the exercise of such rights would impair or threaten to
impair any recovery under the related Primary Insurance Policy, if any, and shall not be required
to exercise such rights if the transferee of the Mortgaged Property would qualify for an assumption
or substitution under the Servicer’s underwriting guidelines. If the

F-8

 

Servicer reasonably believes it is unable under applicable law to enforce such “due-on-sale”
clause, the Servicer shall enter into an assumption agreement with the person to whom the Mortgaged
Property has been conveyed or is proposed to be conveyed, pursuant to which such person becomes
liable under the Promissory Note and, to the extent permitted by applicable state law, the Borrower
remains liable thereon. Where an assumption is allowed pursuant to this Section 4.12, the Servicer,
with the prior written consent of the insurer under the Primary Insurance Policy, if any, is
authorized to enter into a substitution of liability agreement with the person to whom the
Mortgaged Property has been conveyed or is proposed to be conveyed pursuant to which the original
Borrower is released from liability and such Person is substituted as Borrower and becomes liable
under the related Promissory Note. Any such substitution of liability agreement shall be in lieu of
an assumption agreement.

     In connection with any such assumption or substitution of liability, the Servicer shall follow
the underwriting practices and procedures of prudent mortgage lenders in the state in which the
related Mortgaged Property is located. With respect to an assumption or substitution of liability,
Loan Interest Rate, the amount of the Monthly Payment, and the final maturity date of such
Promissory Note may not be changed. The Servicer shall notify the Issuer and the Noteholders that
any such substitution of liability or assumption agreement has been completed and shall forward to
the Custodian the original of any
such substitution of liability or assumption agreement, which document shall be added to the
related Loan File and shall, for all purposes, be considered a part of such Loan File to the same
extent as all other documents and instruments constituting a part thereof. Any fee collected by the
Servicer for entering into an assumption or substitution of liability agreement shall be deemed
additional Servicing Compensation.

     Notwithstanding the foregoing paragraphs of this Section or any other provision of this
Agreement, the Servicer shall not be deemed to be in default, breach or any other violation of its
obligations hereunder by reason of any assumption of a Loan by operation of law or any assumption
which the Servicer may be restricted by law from preventing, for any reason whatsoever. For
purposes of this Section 4.12, the term “assumption” is deemed to also include a sale of the
Mortgaged Property subject to the Mortgage that is not accompanied by an assumption or substitution
of liability agreement.

     Section 4.13 Satisfaction of Mortgages and Release of Loan Files.

     Upon the payment in full of any Loan, or the receipt by the Servicer of a notification that
payment in full will be escrowed in a manner customary for such purposes, the Servicer will
immediately notify the Issuer and the Initial Noteholder by a certification of a servicing officer
of the Servicer (a “Servicing Officer”), which certification shall include a statement to the
effect that all amounts received or to be received in connection with such payment which are
required to be deposited in the Collection Account pursuant to Section 5.01 have been or will be so
deposited, and shall request execution of any document necessary to satisfy the Loan and delivery
to it of the portion of the Loan File held by Custodian. Upon receipt of a Request for Release and
Receipt (as defined in the Custodial Agreement), the Custodian shall promptly release the related
mortgage documents to the Servicer in accordance with the Custodial Agreement and the Servicer
shall prepare and process any satisfaction or release. No expense incurred in connection with any
instrument of satisfaction or deed of reconveyance shall be chargeable to the Collection Account or
the Issuer.

F-9

 

     In the event the Servicer satisfies or releases a Mortgage without having obtained payment in
full of the indebtedness secured by the Mortgage or should it otherwise prejudice any right the
Issuer or the Noteholders may have under the mortgage instruments, the Servicer, upon written
demand, shall remit to the Issuer the then outstanding principal balance of the related Loan by
deposit thereof in the Collection Account. The Servicer shall maintain the fidelity bond insuring
the Servicer against any loss it may sustain with respect to any Loan not satisfied in accordance
with the procedures set forth herein.

     From time to time and as appropriate for the servicing or foreclosure of the Loan, including
for this purpose collection under any Primary Insurance Policy, the Custodian shall, upon request
of the Servicer and delivery to the Custodian of a servicing receipt signed by a Servicing Officer,
release the requested portion of the Loan File held by the Custodian to the Servicer. Such
servicing receipt shall obligate the Servicer to return the
related Mortgage documents to the Custodian when the need therefor by the Servicer no longer
exists, unless the Loan has been liquidated and the Liquidation Proceeds relating to the Loan have
been deposited in the Collection Account or the Loan File or such document has been delivered to an
attorney, or to a public trustee or other public official as required by law, for purposes of
initiating or pursuing legal action or other proceedings for the foreclosure of the Mortgaged
Property either judicially or non judicially, and the Servicer has delivered to the Custodian a
certificate of a Servicing Officer certifying as to the name and address of the Person to which
such Loan File or such document was delivered and the purpose or purposes of such delivery. Upon
receipt of a certificate of a Servicing Officer stating that such Loan was liquidated, the
servicing receipt shall be released by the Custodian to the Servicer.

     Section 4.14 Advances by the Servicer.

     (a) Not later than the close of business on the Business Day preceding each Remittance Date,
the Servicer shall deposit in the Collection Account an amount equal to all payments not previously
advanced by the Servicer, whether or not deferred pursuant to Section 4.01, of principal (due after
the Transfer Cut-off Date) and interest not allocable to the period prior to the Transfer Cut-off
Date, at the Loan Interest Rate net of the Servicing Fee, which were due on a Loan and delinquent
at the close of business on the related Remittance Date; provided, however, that the Servicer shall
not be required to deposit such amount if the amount on deposit in the Collection Account on that
Remittance Date (exclusive of any Monthly Advance required to be effected pursuant to this Section
4.14) is at least sufficient to fund in full the items described in Sections 5.01(c)(3)(i) through
5.01(c)(3)(vi) hereof on the related Payment Date, and, if the amount on deposit in the Collection
Account is less than the sum of such items, the Servicer shall only be required to deposit an
amount equal to the shortfall. The obligation of the Servicer to make such Monthly Advances is
mandatory, notwithstanding any other provision of this Agreement, and, with respect to any Loan or
Foreclosure Property, shall continue until a Final Recovery Determination in connection therewith;
provided that, notwithstanding anything herein to the contrary, no Monthly Advance shall be
required to be made hereunder by the Servicer if such Monthly Advance would, if made, constitute a
Nonrecoverable Monthly Advance. The determination by the Servicer that it has made a Nonrecoverable
Monthly Advance or that any proposed Monthly Advance, if made, would constitute a Nonrecoverable

F-10

 

Monthly Advance, shall be evidenced by an Officers’ Certificate delivered to the Issuer and the
Indenture Trustee.

     (b) The Servicer will pay all out-of-pocket costs and expenses incurred in the performance of
its servicing obligations including, but not limited to, the cost of (i) Preservation Expenses,
(ii) any enforcement or judicial proceedings, including foreclosures, (iii) inspection fees and
expenses and (iv) the management and liquidation of Foreclosure Property but is only required to
pay such costs and expenses to the extent the Servicer reasonably believes such costs and expenses
will increase Net Liquidation
Proceeds on the related Loan. Each such amount so paid will constitute a “Servicing Advance.”
The Servicer may recover Servicing Advances (x) from the Borrowers to the extent permitted by the
Loans, from Liquidation Proceeds realized upon the liquidation of the related Loan and (y) as
provided in Sections 5.01(c)(1)(ii) or 5.01(c)(3)(ix) hereof. In no case may the Servicer recover
Servicing Advances from principal and interest payments on any Loan or from any amounts relating to
any other Loan except as provided pursuant to Sections 5.01(c)(1)(ii) or 5.01(c)(3)(ix) hereof.

     Section 4.15 Servicing Compensation.

     As compensation for its services hereunder, the Servicer shall, subject to Section 5.01(c), be
entitled to withdraw from the Collection Account or to retain from interest payments on the Loans
the amounts provided for as the Servicer’s Servicing Fee. Additional servicing compensation in the
form of assumption fees, non-sufficient fund fees, modification fees, substitution fees and other
ancillary income, as provided in Section 4.12, and late payment charges or otherwise shall be
retained by the Servicer to the extent not required to be deposited in the Collection Account. The
Servicer shall be required to pay all expenses incurred by it in connection with its servicing
activities hereunder and shall not be entitled to reimbursement therefor except as specifically
provided for.

     Section 4.16 Notification of Adjustments.

     On each Adjustment Date, the Servicer shall make interest rate adjustments for each ARM in
compliance with the requirements of the related Mortgage and Promissory Note. The Servicer shall
execute and deliver the notices required by each Mortgage and Promissory Note regarding interest
rate adjustments. The Servicer also shall provide timely notification to the Noteholders of all
applicable data and information regarding such interest rate adjustments and the Servicer’s methods
of implementing such interest rate adjustments. Upon the discovery by the Servicer or the any
Noteholder that the Servicer has failed to adjust a Loan Interest Rate or a Monthly Payment
pursuant to the terms of the related Promissory Note and Mortgage, the Servicer shall immediately
deposit in the Collection Account from its own funds the amount of any interest loss caused thereby
without reimbursement therefor.

     Section 4.17 Statement as to Compliance.

     The Servicer will deliver to the Issuer, the Indenture Trustee and the Initial Noteholder not
later than 90 days following the end of each fiscal year of the Servicer, which as of the Closing
Date ends on April 30, an Officers’ Certificate stating, as to each signatory thereof, that (i) a
review of the activities of the Servicer during the preceding year and of performance under

F-11

 

this Agreement has been made under such officers’ supervision and (ii) to the best of such
officers’ knowledge, based on such review, the Servicer has fulfilled all of its obligations under
this Agreement throughout such year, or, if there has been a default in the fulfillment of any such
obligation, specifying each such default known to such officer and the nature and status thereof.

     Section 4.18 Independent Public Accountants’ Servicing Report.

     Not later than 90 days following the end of each fiscal year of the Servicer, the Servicer at
its expense shall cause a firm of independent public accountants (which may also render other
services to the Servicer) which is a member of the American Institute of Certified Public
Accountants to furnish a statement to the Issuer, the Indenture Trustee and the Initial Noteholder
to the effect that such firm has examined certain documents and records relating to the servicing
of the Loans under this Agreement and that, on the basis of such examination conducted
substantially in compliance with the Uniform Single Attestation Program for Mortgage Bankers, such
firm confirms that such servicing has been conducted in compliance with such pooling and servicing
agreements except for such significant exceptions or errors in records that, in the opinion of such
firm, the Uniform Single Attestation Program for Mortgage Bankers requires it to report.

     Section 4.19 Access to Certain Documentation

     The Servicer shall provide to the Office of Thrift Supervision, the FDIC and any other federal
or state banking or insurance regulatory authority that may exercise authority over the Issuer or
any Noteholder access to the documentation regarding the Loans serviced by the Servicer required by
applicable laws and regulations. Such access shall be afforded without charge, but only upon
reasonable request and during normal business hours at the offices of the Servicer. In addition,
access to the documentation will be provided to the Issuer or any Noteholder and any Person
identified to the Servicer by the Issuer or any Noteholder without charge, upon reasonable request
during normal business hours at the offices of the Servicer.

     Section 4.20 Reports and Returns to be Filed by the Servicer.

     The Servicer shall file information reports with respect to the receipt of mortgage interest
received in a trade or business, reports of foreclosures and abandonments of any Mortgaged Property
and information returns relating to cancellation of indebtedness income with respect to any
Mortgaged Property as required by Sections 6050H, 6050J and 6050P of the Code. Such reports shall
be in form and substance sufficient to meet the reporting requirements imposed by such Sections
6050H, 6050J and 6050P of the Code.

     Section 4.21 Compliance with REMIC Provisions.

     If a REMIC election has been made with respect to the arrangement under which the Loans and
Foreclosure Property are held, the Servicer shall not take any action, cause the REMIC to take any
action or fail to take (or fail to cause to be taken) any action that, under the REMIC Provisions,
if taken or not taken, as the case may be, could (i) endanger the status of the REMIC as a REMIC or
(ii) result in the imposition of a tax upon the REMIC (including but not limited to the tax on
“prohibited transactions” as defined in Section 860F(a)(2) of the Code and

F-12

 

the tax on “contributions” to a REMIC set forth in Section 860G(d) of the Code) unless the Servicer
has received an Opinion of Counsel (at the expense of the party seeking to
take such action) to the effect that the contemplated action will not endanger such REMIC status or
result in the imposition of any such tax.

     Section 4.22 Subservicing Agreements Between Servicer and Subservicers.

     The Servicer may enter into Subservicing Agreements for any servicing and administration of
Loans with any institution which is in compliance with the laws of each state necessary to enable
it to perform its obligations under such Subservicing Agreement and is an Eligible Servicer. The
Servicer shall give notice to the Indenture Trustee and the Initial Noteholder of the appointment
of any Subservicer which is not an Affiliate of the Servicer and shall furnish to the Indenture
Trustee and the Initial Noteholder a copy of the Subservicing Agreement (along with any
modifications thereto) between the Servicer and any Subservicer that is not an Affiliate of the
Servicer. For purposes of this Agreement, the Servicer shall be deemed to have received payments on
Loans when any Subservicer has received such payments. Any such Subservicing Agreement shall be
consistent with and not violate the provisions of this Agreement.

     Section 4.23 Successor Subservicers.

     Upon notice to the Indenture Trustee and the Initial Noteholder (except if the Subservicer is
an Affiliate of the Servicer), the Servicer shall be entitled to terminate any Subservicing
Agreement in accordance with the terms and conditions of such Subservicing Agreement and to either
itself directly service the related Loans or enter into a Subservicing Agreement with a successor
Subservicer which qualifies under Section 4.22.

     Section 4.24 Liability of Servicer.

     The Servicer shall not be relieved of its obligations under this Agreement notwithstanding any
Subservicing Agreement or any of the provisions of this Agreement relating to agreements or
arrangements between the Servicer and a Subservicer or otherwise, and the Servicer shall be
obligated to the same extent and under the same terms and conditions as if it alone were servicing
and administering the Loans. The Servicer shall be entitled to enter into any agreement with a
Subservicer for indemnification of the Servicer by such Subservicer and nothing contained in such
Subservicing Agreement shall be deemed to limit or modify this Agreement. The Trust shall not
indemnify the Servicer for any losses due to the Servicer’s negligence.

     Section 4.25 No Contractual Relationship Between Subservicer and Indenture Trustee or the
Securityholders.

     Any Subservicing Agreement and any other transactions or services relating to the Loans
involving a Subservicer shall be deemed to be between the Subservicer and the Servicer alone and no
party hereto nor the Securityholders shall be deemed parties thereto and shall have no claims,
rights, obligations, duties or liabilities with respect to any Subservicer except as set forth in
Section 4.26.

F-13

 

     Section 4.26 Assumption or Termination of Subservicing Agreement by Successor
Servicer.

     In connection with the assumption of the responsibilities, duties and liabilities and of the
authority, power and rights of the Servicer hereunder by a successor Servicer pursuant to Section
9.02, it is understood and agreed that the Servicer’s rights and obligations under any Subservicing
Agreement then in force between the servicer and a Subservicer may be assumed or terminated by the
successor Servicer at its option without the payment of any fee (notwithstanding any contrary
provision in any Subservicing Agreement).

     The Servicer shall, upon request of the successor Servicer, but at the expense of the
Servicer, deliver to the assuming party documents and records relating to each Subservicing
Agreement and an accounting of amounts collected and held by it and otherwise use its best
reasonable efforts to effect the orderly and efficient transfer of the Subservicing Agreements to
the assuming party, without the payment of any fee by the successor Servicer, notwithstanding any
contrary provision in any Subservicing Agreement.

     Section 4.27 No Predatory Practices

     The Servicer shall not engage in any practices or activity, with respect to any of the Loans,
that is predatory, abusive, deceptive or otherwise wrongful under an applicable statute, regulation
or ordinance or that is otherwise actionable.

F-14

 

     EXHIBIT G

CAPITAL ADEQUACY TEST

*For each field multiply the HRB% by the Balance Sheet Amount for Required Capital

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	HRB TEST	 	Balance Sheet	 	 	Required Capital	 
	Unrestricted Cash and Equivalents
	 	 	0	%	 	 	 	 	 	 	 	 
	Restricted Cash
	 	 	0	%	 	 	 	 	 	 	 	 
	Loans Held for Sale
	 	 	9	%	 	 	 	 	 	 	 	 
	Servicing Advances
	 	 	10	%	 	 	 	 	 	 	 	 
	Beneficial Interests in trusts
	 	 	10	%	 	 	 	 	 	 	 	 
	Subprime Mortgage NIM Residual Interest
	 	 	60	%	 	 	 	 	 	 	 	 
	Real Estate Held for Sale
	 	 	10	%	 	 	 	 	 	 	 	 
	Furniture and Equipment
	 	 	0	%	 	 	 	 	 	 	 	 
	Mortgage Servicing Rights
	 	 	25	%	 	 	 	 	 	 	 	 
	Prepaid Expenses and Other Assets
	 	 	10	%	 	 	 	 	 	 	 	 
	Accrued interest receivable
	 	 	10	%	 	 	 	 	 	 	 	 
	Receivable from H&R Block
	 	 	0	%	 	 	 	 	 	 	 	 
	Intangibles and goodwill
	 	 	100	%	 	 	 	 	 	 	 	 
	Deferred Tax Assets
	 	 	10	%	 	 	 	 	 	 	 	 
	Derivative Assets
	 	 	10	%	 	 	 	 	 	 	 	 
	Total Required Capital
	 	 	 	 	 	 	 	 	 	 	 	 

F-15

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00090-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00090-of-00352.parquet"}]]