Document:

exv10w1

Exhibit 10.1

INDEMNIFICATION AGREEMENT

     This Indemnification Agreement (the “Agreement”) is made as of _____ __, 200__, by and
between ValueVision Media, Inc., a Minnesota corporation (the “Company”), and [      ], [a
director] [an officer] of the Company (“Indemnitee”).

RECITALS

     WHEREAS, the Company and Indemnitee recognize that directors, officers, and key employees are
subject to expensive litigation risks, and the availability and coverage of liability insurance may
be limited in some cases;

     WHEREAS, the Company desires to attract and retain the services of highly qualified
individuals, such as Indemnitee, and the Board of Directors of the Company (the “Board of
Directors”) has determined that it is essential to the best interests of the Company’s shareholders
that the Company act to assure such persons that there will be increased certainty of such
protection in the future;

     WHEREAS, it is reasonable, prudent and necessary for the Company contractually to obligate
itself to indemnify such persons to the fullest extent permitted by applicable law so that they
will continue to serve the Company free from undue concern that they will not be so indemnified;
and

     WHEREAS, the Indemnitee is willing to serve, continue to serve, or take on additional service
for or on behalf of the Company on the condition that the Indemnitee be so indemnified.

AGREEMENT

     In consideration of the mutual promises made in this Agreement, and for other good and
valuable consideration, receipt of which is hereby acknowledged, the Company and Indemnitee hereby
agree as follows:

     1. Indemnification.

          (a) Indemnification by the Company. The Company shall indemnify Indemnitee to the
fullest extent permitted by the Articles of Incorporation of the Company (the “Articles”),
the Bylaws of the Company (the “Bylaws”) or applicable law against any and all losses,
claims, damages, Expenses (as hereinafter defined) and liabilities, joint or several (including
judgments, fines, ERISA excise taxes or penalties, and amounts paid or to be paid in settlement,
and any interest, assessments, or other charges imposed thereon, and any federal, state, local, or
foreign taxes imposed on any director or officer as a result of the actual or deemed receipt of any
payments under this Agreement) reasonably incurred or suffered by such person in connection with a
Proceeding (as defined in Section 1(b)); provided, in each case, that Indemnitee (i) acted
in good faith, (ii) did not receive improper personal benefits or engage in transactions in
conflict with the Company’s interest that are void or voidable under Section 302A.255 of the
Minnesota Business Corporation Act (the “MCBA”), (iii) with respect to acts or omissions
occurring in Indemnitee’s official capacity described in Section 1(b)(i) and (ii),

 

 

reasonably believed that the conduct was in the best interests of the Company, or with respect
to acts or omissions occurring in Indemnitee’s official capacity described in Section 1(b)(iii),
reasonably believed that the conduct was not opposed to the best interests of the Company and (iv)
with respect to any criminal action or proceeding, had no reasonable cause to believe Indemnitee’s
conduct was unlawful.

          (b) Actions or Proceedings in an Official Capacity. The Indemnitee shall be entitled
to the indemnification under Section 1(a) if Indemnitee is, was or becomes a party or is threatened
to be made a party to any threatened, pending or completed action, suit or proceeding, whether
civil, criminal, administrative, arbitration or investigative, including a proceeding by or in the
right of the Company: (i) by reason of the fact that Indemnitee is or was or may be deemed to be a
director, officer, employee or agent of the Company, or any subsidiary of the Company; (ii) by
reason of any action or inaction on the part of Indemnitee while a director, officer, employee or
agent of the Company; or (iii) by reason of the fact that Indemnitee is or was or may be deemed to
be serving at the request of the Company as a director, officer, employee or agent of another
corporation, partnership, limited liability company, joint venture, trust or other enterprise or
employee benefit plan or by reason of any action or inaction on the part of such Indemnitee while
serving in such capacity (any such action, suit or proceeding is referred to as a
“Proceeding”).

     2. No Employment Rights. Nothing contained in this Agreement is intended to create in
Indemnitee any right to employment by the Company.

     3. Expenses; Indemnification Procedure.

          (a) Advancement of Expenses. Subject to the Indemnitee’s execution of a written
affirmation of Indemnitee’s good faith belief that the criteria for indemnification have been
satisfied and a written undertaking to repay all amounts advanced by the Company if it is
ultimately determined that the criteria for indemnification have not been satisfied, the Company
shall advance all Expenses incurred by Indemnitee in connection with the investigation, defense,
settlement or appeal of any Proceeding within 10 days after (a) the receipt by the Company of a
statement or statements from the Indemnitee requesting such advance or advances and reasonably
evidencing the Expenses incurred by the Indemnitee; and (b) a determination that the facts then
known to the person making the determination, as provided in Section 3(d), would not preclude
indemnification under this Agreement. The Indemnitee may submit such statements from time to time.
Each written undertaking to pay amounts advanced must be an unlimited general obligation but need
not be secured, and shall be accepted without reference to financial ability to make repayment.
This Section 3(a) shall not apply to any claim made by Indemnitee for which indemnification is
excluded pursuant to Section 9 below.

          (b) Notice/Cooperation by Indemnitee. Indemnitee shall give the Company notice in
writing as soon as practicable of any claim made against Indemnitee for which indemnification will
or could be sought under this Agreement. Notice to the Company shall be directed to the Chief
Executive Officer of the Company and shall be given in accordance with the provisions of Section
12(d) below. In addition, Indemnitee shall give the Company such information and cooperation as it
may reasonably require and as shall be within Indemnitee’s power.

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          (c) Procedure. To obtain indemnification under this Agreement, Indemnitee shall
submit to the Company a written request, including documentation and information that is reasonably
available to Indemnitee and is reasonably necessary to determine whether and to what extent
Indemnitee is entitled to indemnification. The Secretary of the Company shall, promptly upon
receipt of a request for indemnification, advise the Board of Directors in writing that Indemnitee
has requested indemnification. Any Expenses incurred by the Indemnitee in connection with the
Indemnitee’s request for indemnification hereunder shall be borne by the Company. The Company
hereby indemnifies and agrees to hold the Indemnitee harmless for any Expenses incurred by
Indemnitee under the immediately preceding sentence irrespective of the outcome of the
determination of the Indemnitee’s entitlement to indemnification. If the person making such
determination, as provided in Section 3(d), shall determine that the Indemnitee is entitled to
indemnification, payment to Indemnitee shall be made within 10 days after such determination. If
the person making such determination shall determine that the Indemnitee is entitled to
indemnification as to part (but not all) of the application for indemnification, such person shall
reasonably prorate such part of indemnification among such claims, issues or matters.

          (d) Determination of Entitlement to Indemnification. Upon written request by the
Indemnitee for indemnification pursuant to Section 1(a) hereof, the entitlement of the Indemnitee
to indemnification pursuant to the terms of this Agreement shall be determined by the following
person or persons, who shall be empowered to make such determination: (i) by the Board of Directors
by a majority of a quorum, with only Disinterested Directors (as hereinafter defined) counted for
determining both a majority and a quorum; (ii) if a quorum cannot be obtained under clause (i), by
a majority of a committee of the Board of Directors, consisting solely of two or more Disinterested
Directors, duly designated to act in the matter by a majority of the full Board of Directors
including the directors who are parties to the Proceeding; (iii) if a determination is not made
under clause (i) or (ii) or in the event of a Change of Control (as hereinafter defined), by
Special Legal Counsel (as hereinafter defined); or (iv) if a determination is not made under clause
(i), (ii) or (iii), by the affirmative vote of a majority of the shareholders of the Company, with
the shares held by parties to the Proceeding not counted for purposes of determining a quorum and
not entitled to vote on the determination.

          (e) Presumptions and Effect of Certain Proceedings. In any determination with
respect to entitlement to indemnification, including any court proceeding described in this Section
3(e), the Indemnitee shall be presumed to be entitled to indemnification hereunder and the Company
shall have the burden of proof in the making of any determination contrary to such presumption. If
the Board of Directors, or such other person or persons empowered pursuant to Section 3(d) to make
the determination of whether Indemnitee is entitled to indemnification, shall have failed to make a
determination as to entitlement to indemnification within 60 days after (1) the later of the
termination of a proceeding or a written request for indemnification to the Company or (2) a
written request for an advance of expenses, a Minnesota court may make the determination of whether
Indemnitee is entitled to indemnification. The termination of any Proceeding by judgment, order,
settlement or conviction, or upon a plea of nolo contendere or its equivalent, shall not, of
itself: (a) create a presumption that the Indemnitee did not act in good faith and in a manner
which he/she reasonably believed to be in or not opposed to the best interests of the Company, and,
with respect to any action as a director, officer, trustee, employee

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or agent of an employee benefit plan, that the Indemnitee did not act in good faith and in a manner
that the Indemnitee reasonably believed to be in the best interests of the participants or
beneficiaries of the employee benefit plan; or (b) otherwise adversely affect the rights of the
Indemnitee to indemnification, except as may be provided herein.

          (f) Notice to Insurers. If, at the time of the receipt of a notice of a claim
pursuant to Section 3(b), the Company has director and officer liability insurance in effect, the
Company shall give prompt notice of the commencement of such proceeding to the insurers in
accordance with the procedures set forth in the respective policies. The Company shall thereafter
take all necessary or desirable action to cause such insurers to pay, on behalf of the Indemnitee,
all amounts payable as a result of such proceeding in accordance with the terms of such policies.

          (g) Selection of Counsel. In the event the Company shall be obligated under Section
3(a) to pay the expenses of any proceeding against Indemnitee, the Company, if appropriate, shall
be entitled to assume the defense of such proceeding, with counsel approved by Indemnitee, which
approval shall not be unreasonably withheld or delayed, upon the delivery to Indemnitee of written
notice of its election so to do. After delivery of such notice, approval of such counsel by
Indemnitee and the retention of such counsel by the Company, the Company will not be liable to
Indemnitee under this Agreement for any fees of counsel subsequently incurred by Indemnitee with
respect to the same proceeding, provided that (i) Indemnitee shall have the right to employ counsel
in any such proceeding at Indemnitee’s expense; and (ii) if (A) the employment of counsel by
Indemnitee has been previously authorized by the Company, (B) Indemnitee shall have reasonably
concluded, after consultation with counsel for the Company, that there may be a conflict of
interest between the Company and Indemnitee in the conduct of any such defense, or (C) the Company
shall not, in fact, have employed counsel to assume the defense of such proceeding, then the fees
and expenses of Indemnitee’s counsel shall be at the expense of the Company.

          (h) Settlement of Action or Claim. The Company shall not be liable to indemnify the
Indemnitee under this Agreement for any amounts paid in settlement of any action or claim effected
without its written consent, which consent shall not be unreasonably withheld. The Company shall
not be required to obtain the consent of Indemnitee to settle any action or claim which the Company
has undertaken to defend if the Company assumes full and sole responsibility for such settlement
and such settlement grants Indemnitee a complete and unqualified release in respect of potential
liability.

          (i) Remedies After Determination Not to Indemnify. If a determination is made under
this Agreement that the Indemnitee is not entitled to indemnification hereunder or if the payment
has not been timely made following a determination of entitlement to indemnification pursuant to
Sections 3(c), 3(d) and 3(e), or if Expenses are not advanced pursuant to Section 3(a), the
Indemnitee shall be entitled to a final adjudication in an appropriate court of the State of
Minnesota or any other court of competent jurisdiction of the Indemnitee’s entitlement to such
indemnification or advance. The Company shall not unreasonably oppose the Indemnitee’s right to
seek any such adjudication. Such judicial proceeding shall be made de novo, and the Indemnitee
shall not be prejudiced by reason of a determination (if so made) that

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the Indemnitee is not entitled to indemnification. If a determination is made or deemed to
have been made pursuant to the terms of Sections 3(c), 3(d) and 3(e) that the Indemnitee is
entitled to indemnification, the Company shall be bound by such determination and shall be
precluded from asserting that such determination has not been made or that the procedure by which
such determination was made is not valid, binding and enforceable. The Company further agrees to
stipulate in any such court or before any such arbitrator that the Company is bound by all the
provisions of this Agreement and is precluded from making any assertions to the contrary. If the
court shall determine that the Indemnitee is entitled to any indemnification hereunder, the Company
shall pay all reasonable Expenses actually incurred by the Indemnitee in connection with such
adjudication (including, but not limited to, any appellate proceedings).

     4. Additional Indemnification Rights; Nonexclusivity.

          (a) Scope. Notwithstanding any other provision of this Agreement, the Company hereby
agrees to indemnify the Indemnitee hereunder to the fullest extent permitted by law,
notwithstanding that such indemnification is not specifically authorized by the other provisions of
this Agreement, the Articles, the Bylaws or applicable law. In the event of any change, after the
date of this Agreement, in any applicable law, statute, or rule which expands the right of a
Minnesota corporation to indemnify a member of its board of directors or an officer, employee or
agent, such changes shall be deemed to be within the purview of Indemnitee’s rights and the
Company’s obligations under this Agreement. In the event of any change in any applicable law,
statute or rule which narrows the right of a Minnesota corporation to indemnify a member of its
board of directors or an officer, employee or agent, such changes, to the extent not otherwise
required by such law, statute or rule to be applied to this Agreement, shall have no effect on this
Agreement or the parties’ rights and obligations hereunder.

          (b) Nonexclusivity. The indemnification provided by this Agreement shall not be
deemed exclusive of any rights to which Indemnitee may be entitled under the Articles, the Bylaws,
any agreement, any vote of stockholders or disinterested members of the Board of Directors, the
MCBA, or otherwise, both as to action in Indemnitee’s official capacity and as to action in another
capacity while holding such office. The indemnification provided under this Agreement shall
continue as to Indemnitee for any action taken or not taken while serving in an indemnified
capacity even though he or she may have ceased to serve in any such capacity at the time of any
action, suit or other covered proceeding.

     5. Partial Indemnification. If Indemnitee is entitled under any provision of this
Agreement to indemnification by the Company for some or a portion of the expenses, judgments, fines
or penalties actually or reasonably incurred in the investigation, defense, appeal or settlement of
any civil or criminal action, suit or proceeding, but not, however, for the total amount thereof,
the Company shall nevertheless indemnify Indemnitee for the portion of such expenses, judgments,
fines or penalties to which Indemnitee is entitled.

     6. Mutual Acknowledgment. Both the Company and Indemnitee acknowledge that in certain
instances, Federal law or public policy may override applicable state law and prohibit the Company
from indemnifying its officers, employees or agents under this Agreement or otherwise. For
example, the Company and Indemnitee acknowledge that the Securities and Exchange Commission (the
“SEC”) has taken the position that indemnification is not permissible

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for liabilities arising under certain federal securities laws, and federal legislation
prohibits indemnification for certain ERISA violations. Indemnitee understands and acknowledges
that the Company has undertaken or may be required in the future to undertake with the SEC to
submit the question of indemnification to a court in certain circumstances for a determination of
the Company’s right under public policy to indemnify Indemnitee.

     7. Director and Officer Liability Insurance. The Company shall use commercially
reasonable efforts to obtain and maintain in full force and effect liability insurance applicable
to directors and officers in reasonable amounts from established and reputable insurers (subject to
appropriate cost considerations), as determined in good faith by the Board of Directors. In all
policies of director and officer liability insurance, Indemnitee shall be covered by such policy or
policies in such a manner as to provide Indemnitee the same rights and benefits as are accorded to
the most favorably insured of the Company’s directors, if Indemnitee is a director of the Company,
or of the Company’s officers, if Indemnitee is not a director of the Company but is an officer of
the Company, or of the Company’s key employees, controlling persons, agents or fiduciaries, if
Indemnitee is not an officer or director but is a key employee, controlling person, agent or
fiduciary of the Company, as the case may be. The Company shall advise Indemnitee as to the general
terms of, and the amounts of coverage provided by, any liability insurance policy described in this
Section 7 and shall promptly notify Indemnitee if, at any time, any such insurance policy will no
longer be maintained, the amount of coverage under any such insurance policy will be decreased or
the terms of any such insurance policy will materially change.

     8. Severability. Nothing in this Agreement is intended to require or shall be
construed as requiring the Company to do or fail to do any act in violation of applicable law. The
Company’s inability, pursuant to court order, to perform its obligations under this Agreement shall
not constitute a breach of this Agreement. The provisions of this Agreement shall be severable as
provided in this Section 8. If this Agreement or any portion hereof shall be invalidated on any
ground by any court of competent jurisdiction, then the Company shall nevertheless indemnify
Indemnitee to the full extent permitted by any applicable portion of this Agreement that shall not
have been invalidated, and the balance of this Agreement not so invalidated shall be enforceable in
accordance with its terms.

     9. Exceptions. Any other provision herein to the contrary notwithstanding, the
Company shall not be obligated pursuant to the terms of this Agreement:

          (a) Claims Initiated by Indemnitee. To indemnify or advance expenses to Indemnitee
with respect to proceedings or claims initiated or brought voluntarily by Indemnitee and not by way
of defense, except with respect to proceedings brought to establish or enforce a right to
indemnification under this Agreement or any other statute or law or otherwise as required under
Section 302A.521 of the MCBA, but such indemnification or advancement of expenses may be provided
by the Company in specific cases if the Board of Directors finds it to be appropriate;

          (b) Lack of Good Faith; Frivolous Claims. To indemnify an Indemnitee for any expenses
incurred by the Indemnitee with respect to any proceeding initiated by Indemnitee to enforce or
interpret this Agreement, if a court of competent jurisdiction determines that each

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of the material assertions made by Indemnitee in such proceeding was either frivolous or not
made in good faith.

          (c) Fraud. To indemnify an Indemnitee if a final decision by a court having
jurisdiction in the matter shall determine that the Indemnitee has committed fraud on the Company;

          (d) Insured Claims. To indemnify Indemnitee for expenses or liabilities of any type
whatsoever (including, but not limited to, judgments, fines, ERISA excise taxes or penalties, and
amounts paid in settlement) to the extent such expenses or liabilities have been paid directly to
Indemnitee by an insurance carrier under a policy of officers’ and directors’ liability insurance
maintained by the Company;

          (e) Claims under Section 16(b). To indemnify Indemnitee for expenses or the payment
of profits arising from the purchase and sale by Indemnitee of securities in violation of Section
16(b) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or any
similar successor statute; or

          (f) Prior Payment. To indemnify Indemnitee with respect to matters for which payment
has actually been made to or on behalf of Indemnitee under any insurance policy or under another
valid and enforceable indemnity provision, except with respect to any excess beyond the amount paid
under any insurance policy or other indemnity provision and except for any payments which are
required to be disgorged by Indemnitee.

     10. Construction of Certain Phrases.

          (a) For purposes of this Agreement, references to “other enterprises” shall include
employee benefit plans; references to “fines” shall include any excise taxes assessed on
Indemnitee with respect to an employee benefit plan; and references to “serving at the request
of the Company” shall include any service as a director, officer, employee or agent of the
Company which imposes duties on, or involves services by, such director, officer, employee or agent
with respect to an employee benefit plan, its participants, or beneficiaries.

          (b) For purposes of this Agreement, if Indemnitee acted in good faith and in a manner
Indemnitee reasonably believed to be in the interests of the participants and beneficiaries of an
employee benefit plan, Indemnitee shall be deemed to have acted in a manner “not opposed to the
best interests of the Company” as referred to in this Agreement.

     11. Attorneys’ Fees. In the event that any action is instituted by Indemnitee under
this Agreement to enforce or interpret any of the terms hereof, Indemnitee shall be entitled to be
paid all court costs and expenses, including reasonable attorneys’ fees, incurred by Indemnitee
with respect to such action, unless as a part of such action, the court of competent jurisdiction
determines that each of the material assertions made by Indemnitee as a basis for such action were
not made in good faith, or were frivolous or fraudulent, or that such indemnification was unlawful.
In the event of an action instituted by or in the name of the Company under this Agreement or to
enforce or interpret any of the terms of this Agreement, Indemnitee shall be entitled to be paid
all court costs and expenses, including attorneys’ fees, incurred by Indemnitee in defense of such
action (including with respect to Indemnitee’s counterclaims and cross-claims

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made in such action), unless as a part of such action the court determines that each of
Indemnitee’s material defenses to such action were made in bad faith or were frivolous.

     12. Miscellaneous.

          (a) Governing Law. This Agreement and all acts and transactions pursuant hereto and
the rights and obligations of the parties hereto shall be governed, construed and interpreted in
accordance with the laws of the State of Minnesota, without giving effect to principles of conflict
of law.

          (b) Entire Agreement; Amendments; Enforcement of Rights. This Agreement sets forth
the entire agreement and understanding of the parties relating to the subject matter herein and
merges all prior discussions between them. No modification of or amendment to this Agreement, nor
any waiver of any rights under this Agreement, shall be effective unless in writing signed by the
parties to this Agreement. The failure by either party to enforce any rights under this Agreement
shall not be construed as a waiver of any rights of such party.

          (c) Construction. This Agreement is the result of negotiations between and has been
reviewed by each of the parties hereto and their respective counsel, if any; accordingly, this
Agreement shall be deemed to be the product of all of the parties hereto, and no ambiguity shall be
construed in favor of or against any one of the parties hereto.

          (d) Notices. Any notice, demand or request required or permitted to be given under
this Agreement shall be in writing and shall be deemed sufficient when delivered personally or sent
by fax or 48 hours after being sent by nationally-recognized courier or deposited in the U.S. mail,
as certified or registered mail, with postage prepaid, and addressed to the party to be notified at
such party’s address or fax number as set forth below or as subsequently modified by written
notice.

          (e) Counterparts. This Agreement may be executed in two or more counterparts, each of
which shall be deemed an original and all of which together shall constitute one instrument.

          (f) Successors and Assigns. This Agreement shall survive and continue even though the
Indemnitee may have terminated the Indemnitee’s service as a director, officer, employee, agent or
fiduciary of the Company or as a director, officer, partner, trustee, governor, manager, employee,
agent or fiduciary of any other entity, including, but not limited to another corporation,
partnership, limited liability company, employee benefit plan, joint venture, trust or other
enterprise or by reason of any act or omission by the Indemnitee in any such capacity. This
Agreement shall be binding upon the Company and its successors and assigns, including, without
limitation, any corporation or other entity which may have acquired all or substantially all of the
Company’s assets or business or into which the Company may be consolidated or merged, and shall
inure to the benefit of the Indemnitee and the Indemnitee’s spouse, successors, assigns, heirs,
devisees, executors, administrators or other legal representations. The Company shall require any
successor or assignee (whether direct or indirect, by purchase, merger, consolidation or otherwise)
to all or substantially all of the business and/or assets of the Company, by written agreement in
form and substance reasonably satisfactory to the Company and the Indemnitee, expressly to assume
and agree to perform this Agreement in the same manner and to the same

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extent that the Company would be required to perform if no such succession or assignment had
taken place.

          (g) Subrogation. In the event of payment under this Agreement, the Company shall be
subrogated to the extent of such payment to all of the rights of recovery of Indemnitee, who shall
execute all documents required and shall do all acts that may be necessary to secure such rights
and to enable the Company to effectively bring suit to enforce such rights.

     13. Definitions. For purposes of this Agreement:

          (a) “Change of Control” shall be deemed to have occurred if (i) any “person” (as such
term is used in Sections 13(d) and 14(d) of the Exchange Act), other than a trustee or other
fiduciary holding securities under an employee benefit plan of the Company or a corporation owned
directly or indirectly by the stockholders of the Company in substantially the same proportions as
their ownership of stock of the Company, is or becomes the “beneficial owner” (as defined in Rule
13d-3 under the Exchange Act), directly or indirectly, of securities of the Company representing
30% or more of the total voting power represented by the Company’s then outstanding securities of
the Company which vote generally in the election of directors (“Voting Securities”), or
(ii) during any period of two consecutive years, individuals who at the beginning of such period
constitute the Board of Directors of the Company and any new director whose election by the Board
of Directors or nomination for election by the Company’s stockholders was approved by a vote of at
least a majority of the directors then still in office who either were directors at the beginning
of the period or whose election or nomination for election was previously so approved, cease for
any reason to constitute a majority thereof, or (iii) the stockholders of the Company approve a
merger or consolidation of the Company with any other corporation, other than a merger or
consolidation which would result in the Voting Securities of the Company outstanding immediately
prior thereto continuing to represent (either by remaining outstanding or by being converted into
Voting Securities of the surviving entity) at least 70% of the total voting power represented by
the Voting Securities of the Company or such surviving entity outstanding immediately after such
merger or consolidation, or the stockholders of the Company approve a plan of complete liquidation
of the Company or an agreement for the sale or disposition by the Company of (in one transaction or
a series of transactions) all or substantially all the Company’s assets.

          (b) “Disinterested Director” shall mean a director of the Company who is not at the
time a party to the action, suit, investigation or proceeding in respect of which indemnification
is being sought by Indemnitee.

          (c) “Expenses” shall include all attorneys’ fees, retainers, court costs, transcript
costs, fees of experts, witness fees, travel expenses, duplicating costs, printing and binding
costs, telephone charges, postage, delivery service fees, and all other disbursements or expenses
incurred in connection with prosecuting, defending, preparing to prosecute or defend, investigating
or being or preparing to be a witness in any threatened, pending or completed action, suit or
proceeding, whether civil, criminal, administrative or investigative in nature.

          (d) “Special Legal Counsel” shall mean a law firm or a member of a law firm that
neither is presently nor in the past five years has been retained to represent (i) the Company or

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the Indemnitee in any matter material to either such party or (ii) any other party to the action,
suit, investigation or proceeding giving rise to a claim for indemnification hereunder.
Notwithstanding the foregoing, the Special Legal Counsel shall not include any person who, under
the applicable standards of professional conduct then prevailing, would have a conflict of interest
in representing either the Company or the Indemnitee in an action to determine the Indemnitee’s
right to indemnification under this Agreement. Special Legal Counsel will be selected either by (a)
a majority of a quorum of the Board of Directors, with only Disinterested Directors counted for
determining both a majority and a quorum or (b) by a majority of a committee of the Board of
Directors, consisting solely of two or more Disinterested Directors, duly designated to act in the
matter by a majority of the full Board of Directors including directors who are parties to such
action, suit, investigation or proceeding. If Special Legal Counsel cannot be selected by the
method prescribed in clause (a) or (b), then Special Legal Counsel will be selected by a majority
of the full board including directors who are parties.

[Signature Page Follows]

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[Signature Page of Indemnification Agreement]

     The parties hereto have executed this Agreement as of the day and year set forth on the first
page of this Agreement.

	 	 	 	 	 
	 	ValueVision Media, Inc.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

	 	 	 	 	 
	 	Address:  	 	 
	 
	 	  	 	 
	 
	 	Fax Number:  	 	 
	 

	 	 	 	 	 
	AGREED TO AND ACCEPTED:

 	 	 
	 

 	 	 
	 

 	 	 
	(Signature)  	 	 	 
	 
	Address:  	 	 	 
	 
	  	 	 	 
	 
	Fax Number:  	 	 	 
	 

-11-Exhibit 10.1

Exhibit 10.1

 

U.S. $50,000,000

RECEIVABLES LOAN AND SECURITY AGREEMENT

Dated as of September 24, 2010

Among

MARLIN LEASING RECEIVABLES XIII LLC,

as the Borrower,

MARLIN LEASING CORPORATION,

as the Servicer,

THE FINANCIAL INSTITUTIONS

PARTY HERETO FROM TIME TO TIME,

as Lenders,

KEY EQUIPMENT FINANCE INC.,

as the Agent,

and

WELLS FARGO BANK, NATIONAL ASSOCIATION,

as the Backup Servicer and Custodian,

 

 

 

 

This RECEIVABLES LOAN AND SECURITY AGREEMENT is made as of September 24, 2010, among:

1. MARLIN LEASING RECEIVABLES XIII LLC, a Nevada limited liability company (the “Borrower”);

2. MARLIN LEASING CORPORATION, a Delaware corporation, as the Servicer (as defined herein);

3. THE FINANCIAL INSTITUTIONS PARTY HERETO FROM TIME TO TIME as Lenders (each, together with
its successors and assigns, a “Lender”);

5. KEY EQUIPMENT FINANCE INC., a Michigan corporation (“Key”), as agent for the Lenders (in
such capacity, together with its successors and assigns, the “Agent”); and

6. WELLS FARGO BANK, NATIONAL ASSOCIATION, a national banking association (“Wells Fargo”), as
the Backup Servicer and the Custodian (as each such term is defined herein).

IT IS AGREED as follows:

ARTICLE I

DEFINITIONS

Section 1.01. Certain Defined Terms. (a) Certain capitalized terms used throughout this
Agreement are defined above or in this Section 1.01.

(b) As used in this Agreement and the exhibits and schedules hereto (each of which is hereby
incorporated herein and made a part hereof), the following terms shall have the following meanings
(such meanings to be equally applicable to both the singular and plural forms of the terms
defined):

“Accountants’ Report” is the audit described in Section 6.12(b).

“Accrual Period” means, with respect to the Loans, (a) with respect to the first Remittance
Date, the period from and including the initial Borrowing Date to and including the last day
immediately preceding the first Remittance Date and (b) with respect to any subsequent Remittance
Date, the period from and including the immediately preceding Remittance Date to and including the
last day immediately preceding such Remittance Date; provided that on the date of any repayment of
the Loans Outstanding, the Accrual Period shall extend to the date of repayment.

“Adverse Claim” means a lien, security interest, charge, encumbrance or other right or claim
of any Person other than, with respect to the Collateral, (i) any lien, security interest, charge,
encumbrance or other right or claim in favor of the Agent (on behalf of the Secured Parties), (ii)
any rights with respect to Equipment granted to the related Obligor under the related Contract or
(iii) a Permitted Lien.

 

 

 

“Affected Party” has the meaning assigned to that term in Section 2.09.

“Affiliate” when used with respect to a Person, means any other Person controlling, controlled
by or under common control with such 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.

“Agent” has the meaning assigned to that term in the preamble hereto.

“Agent’s Bank” means KeyBank, in its role as agent bank hereunder, and its successors and
assigns that are Eligible Depository Institutions.

“Agent’s Fee” means, for any Remittance Period, an amount (if any) payable out of Collections
in accordance with the priority provisions of Section 2.05(c) equal to the sum of the fees
(if any) due and owing to the Agent pursuant to the Fee Letter.

“Aggregate Commitment” means the sum of the Commitments of the Lenders under this Agreement.

“Agreement” means this Receivables Loan and Security Agreement, as the same may be amended,
restated, supplemented and/or otherwise modified from time to time hereafter in accordance with the
terms hereof.

“Annualized Borrower Default Percentage” means, (a) with respect to the Monthly Report Date
beginning with the sixth (6th) Monthly Report Date following the Closing Date through and including
the eleventh (11th) Monthly Report Date following the Closing Date, an amount (expressed as a
percentage) equal to the product of (i) two and (ii) the sum of the Borrower Default Percentage
calculated in respect of each of the six immediately preceding Remittance Periods and (b) with
respect to the Monthly Report Date beginning with the twelfth (12th) Monthly Report Date following
the Closing Date and each Monthly Report Date thereafter, an amount (expressed as a percentage)
equal to the sum of Borrower Default Percentage calculated in respect of each of the 12 immediately
preceding Remittance Periods.

“Annualized Managed Portfolio Default Percentage” means, an amount (expressed as a percentage)
equal to the sum of Managed Portfolio Default Percentage calculated in respect of each of the 12
immediately preceding Remittance Periods.

“Assigned Documents” has the meaning assigned to that term in Section 2.10.

“Assignment” has the meaning set forth in the Purchase and Contribution Agreement.

“Available Funds” means for any Remittance Date and the related Remittance Period, the sum of
(i) Collections in respect of Pledged Receivables and Collateral on deposit in the Collection
Account, to the extent received during or in respect of the related Remittance Period, and (ii)
investment earnings on deposit in the Collection Account.

 

2

 

“Available Funds Shortfall” means for any Remittance Date, the positive difference, if any, of
(i) the amount necessary to make all distributions required to made pursuant to clauses (i)-(vi) of
Section 2.05(c)(I) or Section 2.05(c)(II), as applicable, over (ii) the Available Funds for such
Payment Date.

“Backup Servicer” means Wells Fargo Bank, National Association, in its role as a backup
servicer hereunder, or any successor Backup Servicer appointed by the Agent pursuant to
Section 6.14.

“Backup Servicer Fee” means, for any Remittance Period, an amount, payable out of Collections
in accordance with the priority provisions of Section 2.05(c) equal to the fees due and
owing the Backup Servicer pursuant to Exhibit F for such Remittance Period.

“Backup Servicer Monthly Certification” means a certification to the Agent in substantially
the form attached hereto as Exhibit G with respect to the requirements in Section 6.14.

“Bankruptcy Code” means Title 11, United States Code, 11 U.S.C. §§ 101 et seq., as amended.

“Bankruptcy Event” shall be deemed to have occurred with respect to a Person if either:

(a) a case or other proceeding shall be commenced, without the application or consent
of such Person, in any court, seeking the liquidation, reorganization, debt arrangement,
dissolution, winding up, or composition or readjustment of debts of such Person, the
appointment of a trustee, receiver, custodian, liquidator, assignee, sequestrator or the
like for such Person or all or substantially all of its assets, or any similar action with
respect to such Person under any law relating to bankruptcy, insolvency, reorganization,
winding up or composition or adjustment of debts, and such case or proceeding shall continue
undismissed, or unstayed and in effect, for a period of 60 consecutive days; or an order for
relief in respect of such Person shall be entered in an involuntary case under the federal
bankruptcy laws or other similar laws now or hereafter in effect; or

(b) such Person shall commence a voluntary case or other proceeding under any
applicable bankruptcy, insolvency, reorganization, debt arrangement, dissolution or other
similar law now or hereafter in effect, or shall consent to the appointment of or taking
possession by a receiver, liquidator, assignee, trustee, custodian, sequestrator (or other
similar official) for such Person or for any substantial part of its property, or shall make
any general assignment for the benefit of creditors, or shall fail to, or admit in writing
its inability to, pay its debts generally as they become due, or, if a corporation or
similar entity, its board of directors or members shall vote to implement any of the
foregoing.

“Benefit Plan” means, collectively, (i) any employee benefit plan as defined in Section 3(3)
of ERISA in respect of which the Borrower or any ERISA Affiliate of the Borrower is, or at any time
during the immediately preceding six years was, an “employer” as defined in Section 3(5) of ERISA
and (ii) any other material fringe benefit arrangements, whether formal or
informal, executive compensation and equity programs which are maintained by the Borrower or
its ERISA Affiliates.

 

3

 

“Borrower” has the meaning assigned to that term in the preamble hereto.

“Borrower Default Percentage” means, with respect to any Monthly Report Date, a ratio,
expressed as a percentage, of (i) the aggregate Discounted Balances of all Pledged Receivables that
became Defaulted Receivables during the applicable Remittance Period less all Recoveries received
during such Remittance Period to (ii) an amount equal to (a) the sum of the Pledged Receivables
Balance on the first day of such Remittance Period and the Pledged Receivables Balance on the last
day of such Remittance Period, divided by (b) two.

“Borrower Delinquency Percentage” means, with respect to any Monthly Report Date commencing on
the third (3rd) Monthly Report Date and determined as of the end of the immediately
preceding Remittance Period, the percentage equivalent of a fraction, the numerator of which is
equal to the aggregate Contract Balance Remaining of all Pledged Receivables as to which any
Scheduled Payment (or part thereof in excess of 10% of such Scheduled Payment) is delinquent 61 or
more days less the aggregate Contract Balance Remaining of all Defaulted Receivables as of the end
of such Remittance Period, and the denominator of which is the aggregate Contract Balance Remaining
of all Pledged Receivables as of the end of the Remittance Period immediately preceding such
Monthly Report Date.

“Borrower Entities” means, collectively, the Borrower, Marlin, Parent and each of their
Subsidiaries and Affiliates.

“Borrowing” means a borrowing of Loans under this Agreement.

“Borrowing Base Certificate” means a report, in substantially the form of Exhibit A, prepared
by the Borrower for the benefit of the Agent and the Lenders pursuant to Section 6.11(d).

“Borrowing Base Deficiency” means, at any time that the Capital Limit is less than the
Facility Amount, an amount equal to the amount of such deficiency.

“Borrowing Date” means, with respect to any Borrowing, the date on which such Borrowing is
funded, which date, other than in the case of the initial Borrowing, shall be a Subsequent
Borrowing Date.

“Borrowing Limit” means initially the Maximum Facility Amount; provided that at all times on
or after the Program Termination Date, the Borrowing Limit shall mean the lowest aggregate
principal balance of the Loans Outstanding on any date occurring on or after such Program
Termination Date.

“Business Day” means a day of the year other than a Saturday or a Sunday or any other day on
which banks are authorized or required to close in New York, New York; provided, that, if any
determination of a Business Day shall relate to a Loan bearing interest at the LIBOR, the term
“Business Day” shall also exclude any day on which banks are not open for dealings in dollar
deposits in the London interbank market.

 

4

 

“Calculated Amortizing Balance” means, with respect to a Qualifying Interest Rate Hedge and as
of any date of determination, the projected scheduled amortizing Discounted Balance determined as
of the end of the immediately preceding Remittance Period through the scheduled maturity date of
the related Pledged Receivables, determined by the Servicer and accepted by the Agent based upon
the Discounted Balance of such Pledged Receivables as of such date of determination, adjusted by a
prepayment rate of 4.5% per annum.

“Capital Lease” shall have the meaning given to such term under Statement 13 of the Financial
Accounting Standards Board or as that term may be defined hereafter in accordance with GAAP.

“Capital Limit” means, at any time of determination, an amount equal to:

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	(ERB x MAP) + CA

	 
	 	 	 	 	 	 
	where:

	 	ERB
	 	=
	 	the Eligible Receivables Balance at such time
(i.e., the then current Eligible Receivables
Balance and not the Eligible Receivables Balance
as of any prior date of determination);

	 
	 	 	 	 	 	 
	 

	 	MAP
	 	=
	 	Maximum Advance Percentage at such time; and

	 
	 	 	 	 	 	 
	 

	 	CA
	 	=
	 	the amount of Collections on deposit in the
Collection Account at such time to be applied in
accordance with Section 2.05 on the next
Remittance Date, minus the portion of such
Collections which are required to be maintained
for the payment of all accrued amounts due and
payable by the Borrower to a Qualifying Hedge
Counterparty (including Hedge Breakage Costs) and
all other fees required to be paid pursuant to
Section 2.05 hereof.

“Capital Stock” of any Person means any and all shares, interests, rights to purchase,
warrants, options, contingent share issuances, economic membership interests, participations or
other equivalents of or interest in equity (however designated) of such Person.

“Change of Control” means that at any time (i) Parent ceases to own directly 100% of all
Capital Stock or voting power of Marlin, (ii) Marlin shall fail to own directly 100% of all Capital
Stock or voting power of the Borrower (other than any interest of the Independent Manager under the
Borrower’s limited liability company agreement), (iii) without the prior written consent of the
Agent (such consent not to be unreasonably withheld), the Servicer (as long as the Servicer is
Marlin or any Affiliate of Marlin) or the Borrower merges or consolidates with any other Person and
after giving effect to such merger or consolidation, the Servicer (as long as the Servicer is
Marlin or any Affiliate of Marlin) or Borrower, as applicable, is not the surviving entity, (iv)
any event or condition occurs which results in any “person” or “group” (as such terms are used in
Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended), other than a person
or group that owns 25% or more of the Capital Stock of Marlin as of the date of this Agreement,
shall become or obtain rights (whether by means of warrants, options or otherwise) to become the
“beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the
Securities Exchange Act of 1934, as amended), directly or indirectly, of more than 25% of the
outstanding Capital Stock of Marlin, or (v) any one of Dan Dyer, George Pelose or Lynne Wilson
shall become unable to perform, or cease to be employed in, his or her current position with Marlin
and shall not be replaced within 120 days with a person or persons with skill sets and experience
appropriate for performing the duties of the applicable position.

 

5

 

“Closing Date” means September 24, 2010.

“Collateral” has the meaning assigned to that term in Section 2.11.

“Collateral Receipt” has the meaning assigned to that term in the Custodial Agreement.

“Collection Account” means a segregated account in the name of “MARLIN LEASING RECEIVABLES
XIII LLC, for the benefit of Key Equipment Finance Inc., as Agent” and under the sole dominion and
control of the Agent for the benefit of the Secured Parties; provided that the funds deposited
therein (including any interest and earnings thereon) from time to time shall constitute the
property and assets of the Borrower and the Servicer, on behalf of the Borrower, shall be solely
liable for any taxes payable with respect to the Collection Account.

“Collection Date” means the date on which the aggregate outstanding principal amount of the
Loans has been repaid in full and all Yield and Fees and all other Obligations have been paid in
full, and no Lender shall have any further obligation hereunder to make any additional Loans.

“Collections” means, without duplication, (i) with respect to any Pledged Receivable, all
Scheduled Payments, all prepayments, all Overdue Payments, all Guaranty Amounts, all Insurance
Proceeds, all Servicing Charges, all Delinquency and Prepayment Fees, all Recoveries, all amounts
paid to the Borrower pursuant to the terms of the Purchase and Contribution Agreement and all other
payments received with respect to the Contract related to such Pledged Receivable, (ii) any amounts
paid to the Borrower under or in connection with any Qualifying Interest Rate Hedge or the hedging
arrangements contemplated thereunder and (iii) all cash receipts and proceeds in respect of the
Other Conveyed Property, Collateral and Related Security.

“Commitment” means the obligation of a Lender to make Loans pursuant to this Agreement in an
aggregate amount not to exceed the “Commitment Amount” set forth opposite such Lender’s name on the
signature pages to this Agreement, as adjusted from time to time in accordance with Section
10.04.

“Commitment Termination Date” means September 23, 2012, as such date may be extended from time
to time if so requested by the Borrower and agreed to in writing by the Lenders party hereto.

“Computer Tape or Listing” means the computer tape or listing (whether in electronic form or
otherwise) generated by the Servicer on behalf of the Borrower, which provides information relating
to the Receivables included in the Eligible Receivables Balance and all other information necessary
to prepare the Monthly Remittance Report.

 

6

 

“Contract” means an Equipment Lease Contract or an Equipment Finance Agreement, as applicable.

“Contract Balance Remaining” means, with respect to a Contract, as of any date of
determination, the sum of the aggregate (undiscounted) amount of all unpaid Scheduled Payments due
thereon; provided, however, that the Contract Balance Remaining of any Defaulted Receivable or
Contract with respect to which a prepayment in full has been made or any Contract purchased by the
Servicer, as the case may be, shall be deemed to be zero as of the last day of the immediately
preceding Remittance Period.

“Cost of Funds Rate” means, with respect to any Accrual Period for any Loan allocated to such
Accrual Period, the higher of (i) LIBOR or (ii) 1.0% per annum.

“Covenant Compliance Certificate” means a certificate substantially in the form of Exhibit H
hereto executed and delivered by an officer of Marlin to the Agent.

“Credit and Collection Policy” means the “Credit and Collection Policy” of Marlin, as annexed
hereto as Schedule IV, as such policy may hereafter be amended, modified or supplemented from time
to time in compliance with Section 5.01(j), or, in the case of a successor servicer, the
collection policies of such successor servicer.

“Custodial Agreement” means that certain Custodial Agreement dated as of the Closing Date
among Marlin, the Borrower, the Agent and the Custodian, together with all instruments, documents
and agreements executed in connection therewith, as such Custodial Agreement may from time to time
be amended, restated, supplemented and/or otherwise modified in accordance with the terms thereof.

“Custodian” means Wells Fargo, in its role as custodian under the Custodial Agreement, or any
substitute Custodian appointed by the Agent pursuant to the Custodial Agreement.

“Custodian Fee” means, for any Remittance Period, an amount payable out of Collections in
accordance with the priority provisions of Section 2.05(c) equal to the aggregate fees
listed in Exhibit F which relate to such Remittance Period.

“Cut-Off Date” has the meaning given such term in the Purchase and Contribution Agreement.

“Debt” of any Person means, without duplication, (i) indebtedness of such Person for borrowed
money, (ii) obligations of such Person evidenced by bonds, debentures, notes or other similar
instruments related to transactions that are classified as financings under GAAP, (iii) obligations
of such Person to pay the deferred purchase price of property or services, (iv) obligations of such
Person as lessee under leases which shall have been or should be, in accordance with GAAP, recorded
as Capital Leases, (v) obligations secured by an Adverse Claim upon property or assets owned (under
GAAP) by such Person, even though such Person has not assumed or become liable for the payment of
such obligations and (vi) obligations of such Person under direct or indirect guaranties in respect
of, and obligations (contingent or otherwise) to purchase or otherwise acquire, or otherwise to
assure a creditor, against loss in
respect of, indebtedness or obligations of others of the kinds referred to in
clauses (i) through (v) above.

 

7

 

“Default Funding Rate” means, for any Accrual Period, an interest rate per annum equal to the
sum of (i) two percent (2.00%) per annum and (ii) the Cost of Funds Rate.

“Defaulted Receivable” means, as of any time of determination, any Pledged Receivable:

(i) with respect to which 10% or more of any Scheduled Payment (excluding late fees) is
deemed to be outstanding by the Servicer pursuant to the Credit and Collection Policy for
more than 120 days (measured as of the 20th calendar day of the applicable month)
after the due date therefor set forth in the related Contract; or

(ii) with respect to which there has been a Bankruptcy Event with respect to the
related Obligor (unless such Obligor is subject to a Chapter 11 or Chapter 13 Bankruptcy
Event and has obtained a final court order approving the payment of all amounts payable
under the related Contract); or

(iii) which has been or should be charged off in accordance with the Credit and
Collection Policy as a result of the occurrence of a Bankruptcy Event with respect to the
related Obligor or which has been or should otherwise be deemed uncollectible by the
Servicer in accordance with the Credit and Collection Policy; or

(iv) with respect to which the Servicer has repossessed or commenced a formal action to
repossess the related Equipment.

“Delinquency and Prepayment Fees” means the sum of (i) any late payment charges paid by an
Obligor on a Contract with respect to a Delinquent Receivable after application of any such charges
to amounts then due under such Contract and (ii) any prepayment charges paid by an Obligor in
connection with a prepayment.

“Delinquent Receivable” means, as of any time of determination, any Pledged Receivable (other
than a Defaulted Receivable) with respect to which 10% or more of any Scheduled Payment (excluding
late fees) is deemed to be outstanding more than 61 days (but less than 121 days) after the due
date therefor set forth in the related Contract, as determined by the Servicer in accordance with
the Credit and Collection Policy.

“Deposit Account Control Agreement” means the Deposit Account Control Agreement, dated as of
the Closing Date, among the Agent’s Bank, the Borrower and the Agent, as the same may be amended,
restated, supplemented or otherwise modified from time to time in accordance with its terms.

“Depository Institution” means a depository institution or trust company, incorporated under
the laws of the United States or any State thereof, that is subject to supervision and examination
by federal and/or State banking authorities.

 

8

 

“Depreciation Expense” means, for any Person and any Period, the aggregate amount of
depreciation of assets in respect of such Person using a method of depreciation used in such
Person’s financial statements.

“Discount Rate” means, as of any date on which a Loan is made hereunder, with respect to the
Eligible Receivables to be Pledged in connection with such Loan, a percentage equal to the sum of
(i) the Weighted Average Hedge Rate, (ii) the Lender Margin, (iii) the Servicing Fee Rate, each of
(i), (ii) and (iii) as in effect on such date, and (iv) 1.50%.

“Discounted Balance” means, with respect to any Receivable or Contract, as of any date of
determination, the present value of the aggregate amount of Scheduled Payments (except for
delinquent payments) due or to become due under the terms of the related Contract, which remain
unpaid as of such date of determination, calculated by discounting monthly in arrears such
aggregate amount of unpaid Scheduled Payments to such date of determination at a rate equal to the
Discount Rate.

“Dollar”, “United States Dollar” or “$” means the lawful currency of the United States.

“Dynamic Percentage” means, as of any Monthly Report Date as calculated for the Remittance
Period most recently ended, an amount (expressed as a percentage) equal to (i) the product of (a)
3.0, (b) the Annualized Borrower Default Percentage and (c) the Weighted Average Remaining Life
(expressed in years) of the Eligible Receivables owned by the Borrower.

“EBITDA” shall mean, for any period, for any Person and its consolidated subsidiaries,
determined on a consolidated basis in accordance with GAAP, positive net income (excluding
derivative mark-to-market accounting adjustments), plus interest expense, non-cash compensation,
income taxes, Depreciation Expense and amortization.

“Eligible Depository Institution” means a Depository Institution the short-term unsecured
senior indebtedness of which is rated at least “Prime-1” by Moody’s, “A-1” by S&P and “F1” by
Fitch, if rated by Fitch.

“Eligible Receivable” means, at any time, a Pledged Receivable with respect to which each of
the representations and warranties with respect thereto and the Contract related thereto contained
in Schedule III is true and correct at such time.

“Eligible Receivables Balance” means, at any time, (i) the Pledged Receivables Balance, minus
(ii) the Overconcentration Amount at such time.

“Equipment” means the equipment, Vehicle(s) and software leased or sold to an Obligor, or
serving as collateral under a Contract, together with any replacement parts, additions and repairs
thereof, and any accessories incorporated therein and/or affixed thereto.

“Equipment Finance Agreement” means, collectively, any agreement substantially similar in form
and content to the forms attached hereto as Exhibit D-1 or Exhibit D-2, pursuant to which Marlin or
a third party makes a loan to an Obligor secured by Equipment purchased or owned by such Obligor
(and, in certain cases, fixtures), as well as any other assets of the Obligor
securing such loan, together with all schedules, supplements and amendments thereto and each
other document and instrument related thereto.

 

9

 

“Equipment Lease Contract” means, collectively, any agreement substantially similar in form
and content to the forms attached hereto as Exhibit D-3 or Exhibit D-4 pursuant to which Equipment
is leased to an Obligor by Marlin or a third party, together with all schedules, supplements and
amendments thereto and each other document and instrument related to such equipment lease contract.

“ERISA” means the Employee Retirement Income Security Act of 1974, as amended from time to
time, and any rule or regulation issued thereunder.

“ERISA Affiliate” means, with respect to any Person, any trade or business (whether or not
incorporated) under common control with such Person within the meaning of Section 414 of the IRC
and also means any other trade or business for which a Borrower Entity has liability under
principles of applicable law.

“ERISA Event” means (a) a reportable event with respect to a Pension Plan; (b) a withdrawal by
any Borrower Entity or any ERISA Affiliate thereof from a Pension Plan subject to Section 4063 of
ERISA during a plan year in which it was a substantial employer (as defined in Section 4001(a)(2)
of ERISA) or a cessation of operations which is treated as such a withdrawal under Section 4062(e)
of ERISA; (c) a complete or partial withdrawal by any Borrower Entity or any ERISA Affiliate
thereof from a Multiemployer Plan or notification that a Multiemployer Plan is in reorganization;
(d) the filing of a notice of intent to terminate, the treatment of a Benefit Plan amendment as a
termination under Section 4041 or 4041A of ERISA, or the commencement of proceedings by the PBGC to
terminate a Pension Plan or Multiemployer Plan; (e) an event or condition which might reasonably be
expected to constitute grounds under Section 4042 of ERISA for the termination of, or the
appointment of a trustee to administer, any Pension Plan or Multiemployer Plan; (f) the imposition
of any liability under Title IV of ERISA, other than PBGC premiums due but not delinquent under
Section 4007 of ERISA, upon any Borrower Entity or any ERISA Affiliate thereof; (g) liability of
the Borrower on account of its or its ERISA Affiliates actions or inactions with respect to the
Benefit Plans, in any case in (a)-(f) above, which liability exceeds $500,000.

“Event of Default” has the meaning assigned to that term in Section 7.01.

“Facility” means the lending facility evidenced by this Agreement.

“Facility Amount” means, at any time, the sum of (i) the aggregate Loans Outstanding
hereunder, plus (ii) accrued and unpaid Yield and Fees with respect to the amounts described in the
foregoing clause (i).

“Facility Maturity Date” means the date which is one year following the then-current
Commitment Termination Date.

“FATCA” has the meaning assigned to that term in Section 2.15(a).

 

10

 

“Fee Letter” means that certain Fee Letter, dated as of the Closing Date, among the Borrower,
Marlin and the Agent, as the same may be amended, restated, supplemented or otherwise modified from
time to time.

“Fees” has the meaning assigned to that term in Section 2.08(a).

“First Data Agreement” means that certain Remittance Processing Services Agreement, dated as
of November 5, 2008, by and between REMITCO LLC and Marlin Business Services Corp., as the same may
be amended, restated, supplemented or otherwise modified from time to time.

“First Priority Assets” has the meaning assigned to that term in Section 6.05.

“Fitch” means Fitch, Inc. (or its successors in interest).

“GAAP” means generally accepted accounting principles as in effect from time to time in the
United States.

“Government Contract” means a Contract with an Obligor or a guarantor thereunder that is a
Government Entity.

“Government Entity” means the United States federal government, any State or any municipality
thereof, any political subdivision of a State or any municipality thereof and any agency or
instrumentality of any State or political subdivision thereof and any entity exercising executive,
legislative, judicial, regulatory or administrative functions of or pertaining to government.

“Guaranty” means that parent undertaking, dated as of the date hereof, executed and delivered
by Parent to the Agent in connection with this Agreement for the benefit of the Secured Parties.

“Guaranty Amounts” means, with respect to any Contract, any and all amounts paid by any
guarantor with respect to such Contract.

“Hedge Breakage Costs” means, with respect to any applicable Qualifying Interest Rate Hedge,
the net amount, if any, payable by the Borrower to such Qualifying Hedge Counterparty for the early
termination of that Qualifying Interest Rate Hedge or any portion thereof.

“Indemnified Amounts” has the meaning assigned to that term in Section 8.01.

“Independent Accountants” has the meaning assigned to that term in Section 6.12.

“Independent Directors” has the meaning assigned to that term in Section 5.01(b).

“Instructing Group” means the Required Lenders.

“Insurance Policy” means, with respect to any Equipment, any insurance policy or policies
maintained by or on behalf of the Obligor pursuant to the related Contract that covers
physical damage to the related Equipment (including policies procured by the Borrower or the
Servicer, or any agent thereof, on behalf of the Obligor).

 

11

 

“Insurance Proceeds” means, with respect to an item of Equipment, any amount paid under an
Insurance Policy or any other insurance policy issued with respect to such Equipment and the
related Contract, net of any proceeds which are required by law or the related Contract to be paid
to the related Obligor.

“Invoice Management Agreement” means the Print and Mail Fulfillment Services Agreement, dated
as of June 12, 2009, by and between Output Services Group and Marlin, pursuant to which Output
Services Group provides certain billing services.

“IRC” means the Internal Revenue Code of 1986, as amended from time to time, or any successor
statute.

“KeyBank” means KeyBank, National Association.

“Lender” has the meaning assigned to that term in the preamble hereto.

“Lender Margin” shall have the meaning specified in the Fee Letter.

“Lender Register” shall have the meaning assigned to that term in Section 10.04(c).

“LIBOR” means, with respect to any Interest Period or other time period, the rate per annum
(rounded upwards, if necessary, to the next higher one hundred-thousandth of a percentage point)
for deposits in Dollars for a period equal to such Accrual Period or other period, which appears on
Page 3750 of the Telerate Service (or any successor page or successor service that displays the
British Bankers’ Association Interest Settlement Rates for Dollar deposits) as of 11:00 a.m.
(London, England time) two Business Days before the commencement of such Accrual Period or other
period. If for any Accrual Period, no such displayed rate is available (or, for any other period,
if such displayed rate is not available or the need to calculate LIBOR is not notified to the Agent
at least three Business Days before the commencement of the period for which it is to be
determined), the Agent shall determine such rate based on the rates KeyBank is offered deposits of
such duration in the London interbank market.

“Liquidation Fee” means, for Loans which are repaid (in whole or in part) on a date other than
a Remittance Date, the LIBOR loan breakage costs (if any) related to such repayment plus the amount
(if any) by which (i) Yield (calculated without taking into account any Liquidation Fee) which
would have accrued on the amount of the repayment of such Loans if such payment had not been made
exceeds (ii) the sum of (A) Yield actually received by the Lender in respect of such Loans prior to
the date of repayment and (B) the income (if any) received by the Lender from the Lender’s
investing the proceeds of such repayments.

“Liquidation Proceeds” means, with respect to a Receivable with respect to which the related
Equipment has been repossessed, foreclosed upon (in the case of real estate), disposed of or
otherwise realized upon by the Servicer, all amounts realized with respect to such Receivable net
of (i) reasonable expenses of the Servicer incurred and not previously reimbursed in connection
with the collection, repossession, foreclosure and/or disposition of the related
Equipment and (ii) amounts that are legally required to be refunded to the Obligor on such
Receivable; provided that the Liquidation Proceeds with respect to any Receivable shall in no event
be less than zero.

 

12

 

“Liquidity Ratio” means, as of any Monthly Report Date, the ratio of (i) Marlin’s liquid
assets (including, without limitation, unrestricted cash (which shall not include cash pledged to a
third party or in an account subject to a control agreement or in which a third party has a
perfected security interest), accounts receivable due within 30 days, accrued servicing fees due
within 30 days, undrawn availability under any existing liquidity facilities), measured as of the
last day of the immediately preceding Remittance Period, to (ii) the sum of (without duplication)
(a) Marlin’s monthly Operating Expenses (net of expense reimbursements from Affiliates) and (b)
interest on Subordinated Debt of Marlin, measured as of the last day of the immediately preceding
Remittance Period.

“Loan” means each loan advanced by a Lender to the Borrower on a Borrowing Date pursuant to
Article II.

“Loan Amount” means, for each Lender, (a) the sum of (i) all Loans by such Lender and (ii) the
aggregate amount of any payments or exchanges made by, or on behalf of, such Lender to any other
Lender to acquire a Loan Amount from such other Lender minus (b) all Collections received and
distributed as repayment of principal amounts of Loans outstanding pursuant to Section 2.05
and any other amounts received by the Lender to repay the principal amounts of Loans outstanding
pursuant to Section 2.14 or otherwise including amounts received from other Lenders and
other amounts received or exchanged and, in each case, applied by the Agent or such Lender to
reduce such Lender’s Loan Amount; provided that the Loan Amount shall not be reduced by any
Collections or other amounts if at any time such Collections or other amounts are rescinded or must
be returned for any reason.

“Loans Outstanding” means, with respect to any date of determination, the sum of the Loan
Amounts for all Lenders on such date of determination.

“Lockbox” means P.O. Box 13604, Philadelphia, PA 19101-3604 to which certain Collections are
remitted for processing by the Lockbox Agent.

“Lockbox Account” means the deposit account (account number 4121798870/MLC at the Lockbox
Bank) in the name of Wells Fargo Bank, National Association as Lockbox Bank pursuant to the Lockbox
Agreement.

“Lockbox Agent” means REMITCO LLC, in its role as lockbox agent under the First Data
Agreement, and its successors in interest.

“Lockbox Agreement” means the ACH Origination Services Service Description dated as of October
13, 2008 by and between Marlin and Wells Fargo Bank, National Association.

“Lockbox Bank” means Wells Fargo Bank, National Association, in its role as the bank
maintaining the Lockbox, and its successors in interest.

 

13

 

“Managed Portfolio” means the aggregate portfolio of Receivables owned by Parent or any of its
subsidiaries.

“Managed Portfolio Default Percentage” means, with respect to any Monthly Report Date, a
ratio, expressed as a percentage, of (i) the aggregate of Marlin’s net investment (calculated in
accordance with GAAP) in all Contracts included in the Managed Portfolio that were charged-off in
accordance with the Credit and Collection Policy during such Remittance Period less all Recoveries
received during such Remittance Period to (ii) an amount equal to (a) the sum of Marlin’s net
investment (calculated in accordance with GAAP) in all Contracts included in the Managed Portfolio
on the first day of such Remittance Period and Marlin’s net investment (calculated in accordance
with GAAP) in all Contracts included in the Managed Portfolio on the last day of such Remittance
Period, divided by (b) two.

“Managed Portfolio Delinquency Percentage” means, with respect to any Monthly Report Date
commencing on the third (3rd) Monthly Report Date and determined as of the end of the
immediately preceding Remittance Period, the percentage equivalent of a fraction, the numerator of
which is equal to the aggregate Contract Balance Remaining of all Contracts included in the Managed
Portfolio as to which any Scheduled Payment (or part thereof in excess of 10% of such Scheduled
Payment) is delinquent 61 or more days less the aggregate Contract Balance Remaining of all
Defaulted Receivables as of the end of such Remittance Period, and the denominator of which is the
aggregate Contract Balance Remaining of all Contracts included in the Managed Portfolio as of the
end of the Remittance Period immediately preceding such Monthly Report Date.

“Marlin” means Marlin Leasing Corporation, a Delaware corporation, and its successors in
interest.

“Marlin Purchase Event” has the meaning given such term in the Purchase and Contribution
Agreement.

“Material Adverse Effect” means a material adverse effect on (i) the condition (financial or
otherwise), business or properties of the Borrower, Marlin or the Parent, (ii) the ability of the
Borrower, Marlin or the Parent to perform its respective obligations under this Agreement and/or
any other Transaction Document to which it is a party, (iii) the validity or enforceability of this
Agreement and/or any other Transaction Document to which the Borrower, Marlin or the Parent is a
party, (iv) the rights and remedies of the Secured Parties and/or the Agent under this Agreement
and/or any of the Transaction Documents to which they are a party and/or (v) the validity,
enforceability or collectability of all or any material portion of the Pledged Receivables.

“Maximum Advance Percentage” means, as of any Monthly Report Date as calculated for the
calendar month most recently ended, a percentage equal to (a) 100% less (b) the greater of (i)
16.0% and (ii) the Dynamic Percentage calculated as of such date of determination.

“Maximum Facility Amount” means $50,000,000.

“Maximum Substitution Amount” means the lesser of (without duplication) (i) during the most
recent twelve month period, an amount equal to (a) 5.0% multiplied by (b) the maximum principal
amount of Loans Outstanding under this Facility during such twelve month period and
(ii) an amount equal to (a) 5.0% multiplied by (b) the maximum principal amount of Loans
Outstanding under this Facility on any date since the Closing Date.

 

14

 

“Minimum Tangible Net Worth” means a Tangible Net Worth in an amount equal to the sum of (i)
$138,000,000, and (ii) fifty percent (50%) of the Parent’s consolidated net income from operations
(but without giving effect to any adjustments related to the valuation of any interest rate swaps,
interest rate caps or other similar derivative instruments required pursuant to the Statement of
Financial Accounting Standards No. 133 issued by the Financial Accounting Standards Board) for each
fiscal quarter ending on or after December 31, 2009.

“Monthly Remittance Report” means a report, in substantially the form of Exhibit C, furnished
by the Servicer to the Agent (for itself and the Lenders), the Agent’s Bank and the Backup Servicer
pursuant to Section 6.11(b).

“Monthly Report Date” means the day that is three Business Days prior to each Remittance Date.

“Moody’s” means Moody’s Investors Service, Inc. (or its successors in interest).

“Multiemployer Plan” means a “multiemployer plan”, within the meaning of Section 4001(a)(3) of
ERISA, to which a Borrower Entity or any ERISA Affiliate thereof makes, is making, or is obligated
to make contributions or, during the preceding five calendar years, has made, or been obligated to
make, contributions.

“Net Book Value” means, as of any determination date, with respect to any
Pledged Receivable, an amount equal to (i) the gross amount of all payments due or to become
due, but are unpaid, with respect to such Pledged Receivable as of the relevant Cut-
Off Date in the case of a newly acquired Pledged Receivable and as of the last day of the
immediately preceding Remittance Period in all other instances, minus (ii) any Unearned Income
with respect to the Pledged Receivable as of such date, plus, (iii), in the case of a
Receivable relating to an Equipment Lease Contract, the Residual Amount, if any, related to
such Pledged Receivable, minus, (iv) the amount of any Security Deposit related to such Pledged
Receivable.

“Notice of Borrowing” has the meaning assigned to that term in Section 2.02(b).

“Notice of Pledge” has the meaning assigned to that term in the Custodial Agreement.

“Obligations” means all present and future indebtedness and other liabilities and obligations
(howsoever created, arising or evidenced, whether direct or indirect, absolute or contingent, or
due or to become due) of the Borrower to the Secured Parties or the Agent arising under this
Agreement and each other Transaction Document and shall include, without limitation, all liability
for principal of and interest on the Loans, indemnifications and other amounts due or to become due
by the Borrower to the Secured Parties or the Agent under this Agreement and each other Transaction
Document, including, without limitation, interest, fees and other obligations that accrue after the
commencement of an insolvency proceeding (in each case whether or not allowed as a claim in such
insolvency proceeding).

 

15

 

“Obligor” means, collectively, each Person obligated to make payments under a Contract,
including, without limitation, any applicable guarantor.

“Obligor Financing Statement” means a UCC financing statement filed by Marlin against an
Obligor under a Contract substantially in the form attached hereto as Exhibit E; provided,
that, notwithstanding anything to the contrary contained herein, no Obligor Financing
Statement shall be required hereunder with respect to Equipment that has a value of less than
$25,000.

“OFAC” means the U.S. Department of the Treasury’s Office of Foreign Assets Control.

“Officer’s Certificate”, with respect to any Person, means a certificate signed by the
president, the secretary, the chief financial officer, controller or any vice president of such
Person and, solely with respect to Wells Fargo, any trust officer or other officer having
responsibility for administration of this Agreement.

“Operating Expenses” means, for an accounting period, the sum of (i) salary and benefits and
(ii) general and administrative expenses as reported in accordance with GAAP (before accounting
adjustments for the deferral of internal costs directly related to origination activity).

“Opinion of Counsel” means a written opinion of independent counsel reasonably acceptable to
the Agent, which opinion, if such opinion or a copy thereof is required by the provisions of this
Agreement or any other Transaction Document to be delivered to the Borrower or the Agent, is
acceptable in form and substance to the Agent.

“Original” means (a) with respect to Contracts and guaranties originated on Marlin paper, the
executed original counterpart of a Contract or guaranty bearing the original signature of an
employee of Marlin and the original signature of the applicable Obligor or guarantor (or, if no
original signature of the applicable Obligor or guarantor is received by the Borrower, a pdf or
facsimile copy of the signature of such Obligor or guarantor) originated under circumstances
consistent with the Credit and Collection Policy and (b) with respect to Contracts and guaranties
originated on approved third party paper, the executed original counterpart of a Contract or
guaranty bearing the original signature of the applicable Obligor or guarantor and the original
signature of the applicable originator originated under circumstances consistent with the Credit
and Collection Policy.

“Other Conveyed Property” means, with respect to any Receivable, all of the Borrower’s right,
title and interest in, to and under (i) all monies at any time received or receivable with respect
to such Receivable after the applicable Cut-Off Date (including any related Security Deposit),
(ii) the Equipment related to such Receivable (to the extent of the Borrower’s ownership rights
therein), (iii) any and all agreements, documents, certificates and instruments evidencing the
Borrower’s security interest or other interest in and to the related Equipment and Related
Security, (iv) the security interest in the Equipment and Related Security related to such
Receivable granted by the related Obligor to Marlin under the related Contract, (v) the Obligor
Financing Statement, if any, related to such Receivable, (vi) the Insurance Policy and any
Insurance Proceeds relating to such Receivable, including rebates of premiums not otherwise due to
an Obligor, (vii) the related Contract and all other items required to be contained in the related
Receivable File, any and all other documents or electronic records that the Borrower (or the
Servicer on its behalf) keeps on file in accordance with its customary procedures relating to such
Receivable, the related Equipment or the related Obligor, (viii) all property (including the right
to receive Liquidation Proceeds) that secures such Receivable and that has been acquired by or on
behalf of the Borrower pursuant to the liquidation of such Receivable, and (ix) all present and
future rights, claims, demands, causes and choses in action in respect of any or all of the
foregoing and all payments on or under and all proceeds and investments of any kind and nature in
respect of any of the foregoing.

 

16

 

“Overall Hedge Position” means, as of any date of determination, the hedge position of the
Borrower, based upon the aggregate notional balance of all Qualifying Interest Rate Hedges.

“Overconcentration Amount” means, during the period commencing on the Closing Date (solely in
respect of clause (i) below), or the first day of the seventh (7th) Remittance Period
occurring after the Closing Date in which the Loan Amount is greater than zero (in respect of
clauses (ii) – (xii) below) and concluding on the Commitment Termination Date, without duplication,
the sum of:

(i) the amount by which the sum of the Discounted Balances of all Eligible Receivables
related to any one Obligor (and each Affiliate thereof) at such time exceeds the lesser of
(1) 0.5% of the Pledged Receivables Balance at such time or (2) $250,000; provided,
however, that the amount by which the sum of the Discounted Balances of all Eligible
Receivables related to any one Obligor (and each Affiliate thereof) in excess of $150,000,
but not in excess of $250,000, may not exceed 5.0% of the Pledged Receivables Balance at any
time;

(ii) (A) the amount by which the sum of the Discounted Balances of all Eligible
Receivables related to Obligors located in any single State (other than California, Florida,
New York and Texas) at such time exceeds 8.0% of the Pledged Receivables Balance at such
time, (B) the amount by which the sum of the Discounted Balances of all Eligible Receivables
related to Obligors located in any one of Florida, New York or Texas at such time exceeds
12% of the Pledged Receivables Balance at such time, and (C) the amount by which the sum of
the Discounted Balances of all Eligible Receivables related to Obligors located in
California at such time exceeds 15% of the Pledged Receivables Balance at such time;

(iii) the amount by which the sum of the Discounted Balances of all Eligible
Receivables with respect to which the related Contract provides for non-monthly or variable
Scheduled Payments at such time exceeds 3.0% of the Pledged Receivables Balance at such
time;

(iv) the amount by which the sum of the Discounted Balances of all Eligible Receivables
with respect to which the related Equipment was originated by a broker and sold to the
Borrower or its Affiliates, excluding such Eligible Receivables originated by Marlin or any
other broker to which the Agent consents in writing, at such time exceeds 10% of the Pledged
Receivables Balance at such time;

 

17

 

(v) the amount by which the sum of the Discounted Balances of all Eligible Receivables
arising from Government Contracts at such time exceeds 5.0% of the Pledged Receivables
Balance at such time;

(vi) the amount by which the sum of the Discounted Balances of (A) all Eligible
Receivables with respect to which the related Equipment is primarily computer or computer
related equipment (software or hardware) (as identified on the Monthly Remittance Report) at
such time exceeds 10% of the Pledged Receivables Balance at such time, (B) all Eligible
Receivables with respect to which the related Equipment is primarily security systems (as
identified on the Monthly Remittance Report) at such time exceeds 10% of the Pledged
Receivables Balance at such time, (C) all Eligible Receivables with respect to which the
related Equipment is primarily commercial and industrial (as identified on the Monthly
Remittance Report) at such time exceeds 10% of the Pledged Receivables Balance at such time,
(D) all Eligible Receivables with respect to which the related Equipment is primarily
copiers (including “pay per copy” copiers) (as identified on the Monthly Remittance Report)
at such time exceeds 30% of the Pledged Receivables Balance at such time, (E) all Eligible
Receivables with respect to which the related Equipment is primarily “pay per copy” copiers
(as identified on the Monthly Remittance Report) at such time exceeds 5.0% of the Pledged
Receivables Balance at such time, and (F) all Eligible Receivables with respect to which the
related Equipment is primarily any other single category of Equipment (as identified on the
Monthly Remittance Report) at such time exceeds 5.0% of the Pledged Receivables Balance at
such time;

(vii) (A) the amount by which the sum of the Discounted Balances of all Eligible
Receivables with respect to which the remaining term is greater than 60 months at such time
exceeds 3.0% of the Pledged Receivables Balance at such time, and (B) the sum of the
Discounted Balances of all Eligible Receivables the inclusion of which in the Collateral
would cause the Weighted Average Remaining Life for the Eligible Receivables then in the
Collateral to exceed 2.5 years;

(viii) (A) the amount by which the sum of the Discounted Balances of all Eligible
Receivables with respect to which the Contracts the Obligors of which are in any single
industry (according to the 4-digit SIC Code therefor), other than the “Services” (7300),
“Medical” (8000), “Manufacturing” (2000), “Retail” (5000), “Landscaping” (0780), “Financial”
(6000), “Laundry” (7200), “Construction”
(1000), “Mortgage Brokers” (6162) and “Real Estate” (6500), exceeds 8.0% of the Pledged
Receivables Balance at such time, (B) the amount by which the sum of the Discounted Balances
of all Eligible Receivables with respect to which the Contracts the Obligors of which are in
any of the following single industries (according to the 4-digit SIC Code therefor),
“Services” (7300), “Medical” (8000), “Manufacturing” (2000) and “Retail”, exceeds 15% of the
Pledged Receivables Balance at such time, (C) the amount by which the sum of the Discounted
Balances of all Eligible Receivables with respect to which the Contracts the Obligors of
which are in any of the following single industries (according to the 4-digit SIC Code
therefor), “Landscaping” (0780), “Financial” (6000), “Laundry”(7200),“Construction” (1000),
“Mortgage Brokers” (6162) and “Real Estate” (6500), exceeds 5.0% of the Pledged Receivables
Balance at such time, and (D) the
amount by which the sum of the Discounted Balances of all Eligible Receivables with
respect to which the Contracts the Obligors of which are in the following industries
(according to the 4-digit SIC Code therefor), “Landscaping” (0780),
“Financial”(6000),“Laundry”(7200), “Services” (7300), “Legal” (8100), “Social” (8300) and
“Professional” (8700), collectively, exceeds 30% of the Pledged Receivables Balance at such
time;

 

18

 

(ix) the amount by which the sum of the Discounted Balances of all Eligible Receivables
with respect to which the related Equipment is related to a single vendor (including each
Affiliate thereof) exceeds 2.0% of the Pledged Receivables Balance at such time;

(x) (A) the sum of the Discounted Balances of all Eligible Receivables the inclusion of
which in the Collateral would cause the weighted average original equipment cost per
Contract to be less than $8,500, and (B) the sum of the Discounted Balances of all Eligible
Receivables the inclusion of which in the Collateral would cause the weighted average
original equipment cost per Contract to be greater than $20,000;

(xi) the amount by which the sum of the Discounted Balances of all Eligible Receivables
that have been modified or restructured for credit reasons or to prevent the related
Contract from being classified as a Defaulted Receivable or Delinquent Receivable at any
time exceeds 2.0% of the Pledged Receivables Balance at such time;

(xii) the amount by which the sum of the Discounted Balances of all Eligible
Receivables with respect to which the related Equipment is a Vehicle exceeds 1.0% of the
Pledged Receivables Balance at such time; and

(xiii) the amount by which the sum of the Discounted Balances of all Eligible
Receivables related to Contracts without evidence of insurance at such time exceeds 20.0% of
the Pledged Receivables Balance at such time.

“Overdue Payment” means, with respect to a Remittance Period, all payments due in a prior
Remittance Period that the Servicer receives from or on behalf of an Obligor during such Remittance
Period.

“Parent” means Marlin Business Services Corp., together with its successors and assigns.

“Patriot Act” has the meaning assigned to that term in Section 4.01(cc).

“Pension Plan” means a pension plan (as defined in Section 3(2) of ERISA) subject to Title IV
of ERISA which any Borrower Entity or any ERISA Affiliate thereof sponsors or maintains, or to
which it makes, is making, or is obliged to make contributions, or in the case of a multiple
employer plan (as defined in Section 4064(a) of ERISA) has made contributions at any time during
the immediately preceding five plan years.

 

19

 

“Permitted Investments” means any one or more of the following:

(i) direct obligations of, or obligations fully guaranteed as to principal and interest
by, the United States or any agency or instrumentality thereof, provided such obligations
are backed by the full faith and credit of the United States;

(ii) repurchase obligations (the collateral for which is held by a third party or the
Agent’s Bank), with respect to any security described in clause (i) above, provided that the
long-term unsecured obligations of the party agreeing to repurchase such obligations are at
the time rated by Moody’s and S&P in one of their two highest long-term rating categories
and if rated by Fitch, in one of its two highest long-term rating categories;

(iii) certificates of deposit, time deposits, demand deposits and bankers’ acceptances
of any bank or trust company incorporated under the laws of the United States or any State
thereof or the District of Columbia, provided that, solely in respect of a bank or trust
company other than the Agent’s Bank, the short-term commercial paper of such bank or trust
company (or, in the case of the principal depository institution in a depository institution
holding company, the long-term unsecured debt obligations of the depository institution
holding company) at the date of acquisition thereof has been rated by Moody’s and S&P in
their highest short-term rating category, and if rated by Fitch, in its highest short-term
rating category;

(iv) commercial paper (having original maturities of not more than 270 days) of any
corporation incorporated under the laws of the United States or any State thereof or the
District of Columbia, having a rating, on the date of acquisition thereof, of no less than
“P-1” by Moody’s, “A-1” by S&P and “F1” if rated by Fitch; and

(v) money market mutual funds registered under the Investment Company Act of 1940, as
amended, having a rating, at the time of such investment, of no less than “Aaa” by Moody’s,
“AAA” by S&P and “AAA” if rated by Fitch (any such fund may be managed by the Agent’s Bank
or its Affiliates);

provided, that no such instrument shall be a Permitted Investment if such instrument evidences the
right to receive either (a) interest only payments with respect to the obligations underlying such
instrument or (b) both principal and interest payments derived from obligations underlying such
instrument, where the principal and interest payments with respect to such instrument provide a
yield to maturity exceeding 120% of the yield to maturity at par of such underlying obligation.
Each Permitted Investment may be purchased by the Agent’s Bank or through an Affiliate of the
Agent’s Bank.

“Permitted Liens” means (i) liens in favor of the Agent, for the benefit of the Secured
Parties, granted pursuant to the Transaction Documents, (ii) the interests of an Obligor arising
under the Contract to which it is a party in the Equipment related to such Contract, (iii) with
respect to any applicable Equipment, liens imposed by law, such as materialmen’s, warehouseman’s,
mechanics’ and other similar liens, arising by operation of law in the ordinary course for sums
that are not overdue or are being contested in good faith and (iv) liens for taxes
either not yet due or being contested in good faith and by appropriate proceedings; provided,
that no penalty shall result from such contest and appropriate reserves shall have been established
in accordance with GAAP with respect to any such taxes either not yet due or being contested in
good faith and by appropriate proceedings.

 

20

 

“Person” means an individual, partnership, corporation (including a business trust), limited
liability company, joint stock company, trust, unincorporated association, joint venture,
government (or any agency or political subdivision thereof) or other entity.

“Pledge” means the pledge of any Receivable pursuant to Article II.

“Pledged Receivables” has the meaning assigned to that term in Section 2.11(a).

“Pledged Receivables Balance” means, at any time the aggregate Discounted Balances of all
Pledged Receivables which are Eligible Receivables at such time.

“Predecessor Servicer Work Product” has the meaning assigned to that term in Section
6.14(e).

“Program Termination Date” means the declaration or automatic occurrence of any Event of
Default in accordance with Section 7.01.

“Purchase and Contribution Agreement” means that certain Purchase and Contribution Agreement,
dated as of the Closing Date, between Marlin, as seller, and the Borrower, as purchaser, together
with all instruments, documents and agreements executed in connection therewith, as such Purchase
and Contribution Agreement may from time to time be amended, supplemented or otherwise modified in
accordance with the terms thereof.

“Purchasing Lenders” has the meaning assigned to that term in Section 10.04(c).

“Purchase Date” means each “Conveyance Date” set forth in the Purchase and Contribution
Agreement.

“Qualifying Hedge Counterparty” means (a) KeyBank or (b) such other financial institution
reasonably approved by the Agent and having its long term unsecured debt obligations rated at least
AA- by S&P and Aa3 by Moody’s.

“Qualifying Interest Rate Hedge” means an interest rate swap agreement or interest rate cap
agreement consented to in writing by the Agent (i) between the Borrower and a Qualifying Hedge
Counterparty, (ii) under which the Borrower shall receive a floating rate of interest based on
LIBOR acceptable to the Agent in exchange for the payment by the Borrower of (a) a fixed rate of
interest equal to, in the case of a swap, the applicable Swap Rate, or (b) in the case of a cap, a
premium payable at cap inception and (iii) which shall otherwise be on such terms and conditions
and pursuant to such documentation as shall be acceptable to the Agent.

“Ratable Share” means, for each Lender, such Lender’s Commitment divided by the Aggregate
Commitment.

 

21

 

“Receivable” means the rights to all payments from an Obligor under a Contract including,
without limitation, any right to the payment with respect to (i) Scheduled Payments, (ii) any
prepayments or Overdue Payments made with respect to such Scheduled Payments, (iii) any Guaranty
Amounts, (iv) any Insurance Proceeds, (v) any Servicing Charges and (vi) any Recoveries.

“Receivable File” means:

(i) (1) the Original installment note and security agreement or Original equipment
lease contract, together with any purchase or assignment agreement relating thereto with any
third party originator thereof, (2) if such equipment lease contract relates to a “master
lease,” a copy of the related master lease, (3) a copy of the delivery/acceptance
certificate or acknowledgment and (4) a copy of the Original guaranty, if any shall exist
with respect to the related equipment finance agreement or equipment lease contract; and

(ii) evidence of filing of the related UCC financing statement (relating to the pledge
of a security interest in the Equipment to the Originator) in the appropriate filing office
with respect to Equipment that has an original purchase price of $25,000 or more; and

(iii) true and complete copies of all other agreements or documents securing or
guarantying, or required by applicable law with respect to, such Contract, as reasonably
determined from time to time by the Agent, upon reasonable prior written notice to the
Servicer, the Custodian and the Borrower.

“Receivables Schedule” has the meaning assigned to that term in the Custodial Agreement.

“Records” means all documents, books, records and other information (including, without
limitation, computer programs, tapes, disks, punch cards, data processing software and related
property and rights) maintained with respect to Receivables, Collateral and the related Obligors,
in which the Borrower has acquired an interest pursuant to the Purchase and Contribution Agreement
or in which the Borrower has otherwise obtained an interest.

“Recoveries” means, for any Remittance Period during which, or any Remittance Period after the
date on which, any Receivable becomes a Defaulted Receivable and with respect to such Defaulted
Receivable, all payments that the Servicer received from or on behalf of the related Obligor during
such Remittance Period in respect of such Defaulted Receivable or from the liquidation or
re-leasing of the related Equipment, including without limitation Scheduled Payments, Overdue
Payments, Guaranty Amounts, Liquidation Proceeds and Insurance Proceeds.

 

22

 

“Related Security” means, with respect to any Receivable:

(i) any and all security interests or liens in assets supporting or securing payment of
such Receivable;

(ii) all guarantees, indemnities, warranties, letters of credit, insurance policies and
proceeds and premium refunds thereof and other agreements or arrangements of whatever
character from time to time supporting or securing payment of such Receivable; and

(iii) all proceeds of the foregoing.

“Release Price” means, with respect to a Pledged Receivable and the Related Security relating
solely to such Pledged Receivable to be released hereunder, an amount equal to the Discounted
Balance of such Pledged Receivable at the time of such release, plus (without duplication) all
delinquent payments with respect thereto and, if applicable, any related Hedge Breakage Costs.

“Remittance Date” means the fifteenth (15th) day of each month beginning October 2010, or, if
such date is not a Business Day, the next succeeding Business Day; provided, that the final
Remittance Date shall occur on the Collection Date; provided, further, that if requested by the
Agent in its sole discretion following the occurrence of the Program Termination Date, a
“Remittance Date” shall occur on such Business Day specified by the Agent; and provided, further,
that, such revised Remittance Date allows reasonable time for the Servicer to prepare the
corresponding Monthly Remittance Report.

“Remittance Period” means, with respect to a Remittance Date, (i) as to the initial Remittance
Date, the period beginning on, and including, the Closing Date and ending on, and including, the
last day of September, 2010 and (ii) as to any subsequent Remittance Date, the period beginning on,
and including, the first day of the calendar month immediately preceding such Remittance Date and
ending on, and including, the last day of such calendar month; provided, that the final Remittance
Period shall begin on, and include, the first day of the calendar month containing the Collection
Date and shall end on the Collection Date; and provided, further, that if the Agent requests that a
“Remittance Date” occur more frequently than monthly following the occurrence of the Program
Termination Date, the “Remittance Period” shall mean the period from (and including) the last day
of the immediately preceding Remittance Period to (but excluding) such Remittance Date.

“Replacement Receivable” has the meaning assigned to that term in Section 2.06.

“Required Lenders” means Lenders having Commitments in excess of 50% of the Aggregate
Commitment or, if the Commitments of all Lenders shall then have been terminated, such Lenders as
together shall then own in excess of 50% of the Loans Outstanding at such time.

“Reserve Account” means a segregated account in the name of “MARLIN LEASING RECEIVABLES XIII
LLC, for the benefit of Key Equipment Finance Inc., as Agent” and under the sole dominion and
control of the Agent for the benefit of the Secured Parties; provided that the funds deposited
therein from time to time shall constitute the property and assets of the Borrower and the Borrower
shall be solely liable for any taxes payable with respect to the Reserve Account.

 

23

 

“Reserve Account Deposit Amount” means, with respect to any Loan, the amount necessary on the
Remittance Date such Loan is funded to cause the amount on deposit in the Reserve Account on such
date to equal the Reserve Account Required Amount.

“Reserve Account Required Amount” means, as of any Remittance Date, the greater of (i) the
product of (x) 2.0%, and (y) the aggregate Discounted Balances of Pledged Receivables as of such
date, after taking into account any Loans made on such date, and (ii) $500,000.

“Residual Amount” means, with respect to any Pledged Receivable that relates to an Equipment
Lease Contract, the residual value set forth in the relevant Equipment Lease Contract and as set
forth on the Borrower’s books.

“S&P” means Standard & Poor’s Ratings Group, a division of The McGraw-Hill Companies, Inc. (or
its successors in interest).

“Sanctioned Country” means any country subject to a sanctions program identified on the list
maintained by OFAC and available at http://www.treas.gov/offices/enforcement/ofac/programs, or as
otherwise published from time to time.

“Sanctioned Person” means (i) a Person named on the list of “Specially Designated Nationals”
or “Blocked Persons” maintained by OFAC available at
http://www.treas.gov/offices/enforcement/ofac/sdn, or as otherwise published from time to time, or
(ii) (a) an agency of the government of a Sanctioned Country, (b) an organization controlled by a
Sanctioned Country or (c) a Person resident in a Sanctioned Country, to the extent subject to a
sanctions program administered by OFAC.

“Scheduled Payments” means, with respect to any Receivable, the periodic payments payable
under the terms of the related Contract (not including any payments to the extent paid in advance
by the related Obligor at the inception of such Contract), excluding, without limitation, any sales
and use tax or similar tax payments, insurance premiums or other charges due under the terms of the
related Contract.

“Secured Parties” shall mean the Lenders, the Agent and each Qualifying Hedge Counterparty.

“Security Deposit” means any amount paid to the applicable originator or the Borrower by an
Obligor as a security deposit or as security for or in respect of a payment of any amounts to
become due under a Contract, which has previously not been refunded to such Obligor or applied to
such Obligor’s obligations under a Contract.

“Servicer” means at any time the Person then authorized, pursuant to Section 6.01, to
service, administer and collect Pledged Receivables as “Servicer.”

“Servicer Advance” has the meaning assigned to that term in Section 6.28.

“Servicer Default” has the meaning assigned to that term in Section 6.26.

 

24

 

“Servicer Interest Coverage Ratio” means (as long as the Servicer is Marlin or any Affiliate
of Marlin), as of any date of determination and for the applicable period, the ratio of (a) EBITDA
in respect of the Servicer to (b) interest expense, in each case as determined on a consolidated
basis for the Servicer and its consolidated subsidiaries.

“Servicer Senior Leverage Ratio” means (as long as the Servicer is Marlin or any Affiliate of
Marlin), as of any date of determination, the ratio of (a) the sum of (i) the outstanding amount of
all Debt, minus (ii) all Subordinated Debt, to (b) Tangible Net Worth as of such date, in each case
as determined on consolidated basis for the Servicer and its consolidated subsidiaries.

“Servicing Charges” means the sum of all incidental charges or fees received from an Obligor,
including, but not limited to, late fees, collection fees, taxes, insurance premium payments and
reimbursements, documentation fees, extension fees, administration charges and maintenance premium
and bounced check charges, but excluding any amounts constituting Delinquency and Prepayment Fees.

“Servicing Fee” means, for any Remittance Period, an amount equal to the Servicing Fee Rate
multiplied by the Eligible Receivables Balance as of the first day of such Remittance Period.

“Servicing Fee Rate” means a per annum rate equal to one percent (1.00%) or, in the case of a
successor Servicer, such higher rate as may be mutually agreed upon by the successor Servicer and
the Agent.

“SIC Code” means each 4-digit designation described on Schedule VI hereto.

“State” means one of the fifty states of the United States or the District of Columbia.

“Structuring Fee” has the meaning assigned to that term in the Fee Letter.

“Subsequent Borrowing Date” means each day after the initial Borrowing Date on which an
additional Borrowing is funded.

“Substituted Receivable” has the meaning assigned to that term in Section 2.06.

“Subordinated Debt” means, with respect to Marlin, Debt funded or committed to Marlin subject
to documentation acceptable to the Agent; provided that so long as the Facility hereunder shall be
in effect that the material terms of such Subordinated Debt documentation shall have been notified
by Marlin to the Agent under this Agreement prior to the incurrence of any Subordinated Debt after
the Closing Date.

“Swap Rate” means, with respect to any Qualifying Interest Rate Hedge, the annual rate of
interest (expressed as a percentage) which the Borrower, as the fixed-rate payor, is required to
pay under such Qualifying Interest Rate Hedge in order to receive the floating rate of interest
provided for under such Qualifying Interest Rate Hedge.

 

25

 

“Take-Out Securitization” means a financing transaction undertaken by the Borrower or an
Affiliate of the Borrower or Marlin, involving the direct or indirect sale or other conveyance of
Receivables, Related Security and the Other Conveyed Property related thereto to a Person that
shall privately or publicly sell securities, notes or certificates backed by such Receivables,
Related Security and the Other Conveyed Property related thereto.

“Tangible Net Worth” shall mean, as of the date of determination with respect to any Person,
(i) shareholders’ equity of such Person and its consolidated subsidiaries, determined in accordance
with GAAP, less (ii) (x) goodwill trademarks, tradenames, copyrights, patents, patent allocations,
licenses and other intangible assets determined in accordance with GAAP, (y) such Person’s prepaid
expenses, and (z) advances to Affiliates, employees, officers, directors and shareholders, all as
determined in accordance with GAAP (but without giving effect to any adjustments related to the
valuation of any interest rate swaps, interest rate caps or other similar derivative instruments
required pursuant to the Statement of Financial Accounting Standards No. 133 issued by the
Financial Accounting Standards Board).

“Tangible Net Worth Default” shall occur at the end of any calendar quarter that the Tangible
Net Worth of the Parent is less than the Minimum Tangible Net Worth at such time.

“Transaction Documents” means this Agreement, the Purchase and Contribution Agreement, the
Deposit Account Control Agreement, the Fee Letter, the Guaranty, the Custodial Agreement, each
Qualifying Interest Rate Hedge and each document and instrument related to any of the foregoing.

“Transfer Supplement” has the meaning assigned to that term in Section 10.04.

“Transition Costs” means any documented expenses and allocated cost of personnel reasonably
incurred by the Backup Servicer in connection with the termination of the Servicer hereunder and
the subsequent assumption by the Backup Servicer of the day-to-day servicing of the Pledged
Receivables, Related Security and Other Conveyed Property, in an amount not to exceed $50,000.

“UCC” means the Uniform Commercial Code as from time to time in effect in the specified
jurisdiction.

“Unearned Income” means, with respect to any Pledged Receivable as of any determination date,
the gross amount of any interest, rental or other income (to the extent that such other income is
reflected on the Borrower’s books as unearned income) due and payable by the relevant Obligor under
the terms of such Pledged Receivable (or received in respect of the Pledged Receivable) to the
extent that such income has not been received by the Borrower or the Servicer as of the relevant
determination date.

“United States” means the United States of America.

“Unmatured Event of Default” means any event that, if it continues uncured, will, with lapse
of time or notice or lapse of time and notice, constitute an Event of Default; provided that an
Unmatured Event of Default shall not be deemed to have occurred until the date on which the
Borrower or the Servicer has knowledge or, should have reasonably known, of such event.

 

26

 

“Unused Fee” has the meaning assigned to that term in the Fee Letter.

“Vehicle” means a new or a used automobile, minivan, sports utility vehicle, light duty truck,
heavy duty truck or any other type of asset which requires a security interest therein to be noted
on the certificate of title with respect thereto in order to be perfected.

“Weighted Average Hedge Rate” means, as of any date of determination, the weighted average
(weighted solely based on the Calculated Amortizing Balances of such Qualifying Interest Rate
Hedges as of such date of determination) of the Swap Rates of the Qualifying Interest Rate Hedges
in effect on such date of determination.

“Weighted Average Remaining Life” means, as of any
determination date, (i) the quotient obtained by dividing (A) the sum of the amounts
calculated
for each month (beginning with the calendar month in which such determination is being made
and ending with the calendar month in which the last principal payment is scheduled to be received
with respect to the Pledged Receivables), which amount for each such month shall be equal to the
product of (x) the scheduled reduction in Net Book Value for such month, multiplied by (y) the
number of months that such month occurs from the month in which such determination date occurs
(e.g., the month in which such determination date occurs shall have a value of 1, the month
occurring immediately after the month in which such determination date occurs shall have a value of
2 etc.), by (B) the Net Book Value as of such determination date, divided by (ii) 12.

“Wells Fargo” has the meaning assigned to that term in the preamble hereto.

“Whole Loan Transaction” means a financing transaction undertaken by the Borrower or an
Affiliate of the Borrower or Marlin, involving the direct or indirect sale or other conveyance of
Receivables, Related Security and Other Conveyed Property related thereto, to any third party.

“Yield” means, as applicable,

(i) with respect to a particular Accrual Period for each Loan allocated to such Accrual
Period (or portion thereof), the product of:

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	YR x L x  ED  
                 360
	 
	 	 	 	 	 	 
	where:

	 	YR
	 	=
	 	the Yield Rate for such Accrual Period;
	 
	 	 	 	 	 	 
	 

	 	L
	 	=
	 	the aggregate amount of Loans
Outstanding allocated to such Accrual
Period; and
	 
	 	 	 	 	 	 
	 

	 	ED
	 	=
	 	the actual number of days elapsed
during such Accrual Period; or

(ii) the aggregate of all of the “Yields” calculated pursuant to clause (i) for all
Loans Outstanding,

 

27

 

provided that (i) no provision of this Agreement shall require the payment or permit the collection
of Yield in excess of the maximum permitted by applicable law and (ii) Yield shall not be
considered paid by any distribution if at any time such distribution is required to be rescinded by
the applicable Lender to the Borrower or any other Person for any reason including, without
limitation, such distribution becoming void or otherwise avoidable under any statutory provision or
common law or equitable action, including, without limitation, any provision of the Bankruptcy
Code.

“Yield Rate” means, with respect to any Accrual Period (or portion thereof) for any Loan
allocated to such Accrual Period the sum of (a) the Lender Margin (as defined in the Fee Letter)
plus (b):

(i) to the extent no Event of Default shall have occurred and be continuing, a rate
equal to the Cost of Funds Rate for such Accrual Period; and

(ii) if an Event of Default shall have occurred and be continuing or the Program
Termination Date shall have occurred, a rate equal to the Default Funding Rate for such
Accrual Period.

Section 1.02. Other Terms. All accounting terms not specifically defined herein shall be
construed in accordance with GAAP. All terms used in Article 9 of the UCC in the State of New
York, and not specifically defined herein, are used herein as defined in such Article 9.

Section 1.03. Computation of Time Periods. Unless otherwise stated in this Agreement, in the
computation of a period of time from a specified date to a later specified date, the word “from”
means “from and including” and the words “to” and “until” each mean “to but excluding.”

ARTICLE II

THE RECEIVABLES FACILITY

Section 2.01. Borrowings. On the terms and conditions hereinafter set forth, the Borrower may
request that the Lenders make loans (“Loans”) to the Borrower secured by the Collateral from time
to time during the period from the Closing Date until the earlier to occur of (i) the Commitment
Termination Date and (ii) Program Termination Date. Under no circumstances shall any Lender be
obligated to make a Loan to the Borrower (a) if the principal amount of such Loan is less than
$2,000,000 or, in the case of the initial Loan, $12,000,000 (or not in a $100,000 increment in
excess of either such amount), or (b) if after giving effect to the Borrowing of such Loan, either
(i) an Event of Default or an Unmatured Event of Default has occurred and is continuing or (ii) the
aggregate Facility Amount hereunder would exceed the lesser of (A) the Borrowing Limit and (B) the
Capital Limit, or (c) more frequently than twice during any single calendar month.

Section 2.02. The Initial Borrowing and Subsequent Borrowings. (a) Until the occurrence of
the Program Termination Date, at the request of the Borrower, the Lenders (ratably in accordance
with their Ratable Shares, to the extent that each Lender’s Loan Amount would not exceed its
Commitment) shall make Loans on any Business Day, subject to and in
accordance with the terms and conditions of Sections 2.01 and 2.02 and subject
to the provisions of Article III hereof.

 

28

 

(b) (i) Each Borrowing shall be requested on irrevocable written notice from the Borrower to
the Agent (each such written notice, which shall be substantially in the form attached hereto as
Exhibit B, a “Notice of Borrowing”) no later than 11:00 a.m. (New York City time) two Business Days
before the requested date of such Loan or such later time or day requested by the Borrower to which
the Agent and the applicable Lenders may agree. Any Notice of Borrowing received after 11:00 a.m.
(New York City time) shall be deemed received on the following Business Day and, in respect of any
Loan other than the initial Loan, shall preclude a Borrowing on the related Remittance Date. Each
such Notice of Borrowing shall specify (A) the aggregate amount of such Borrowing, (B) the
requested date of such Borrowing (which date shall be a Business Day), and (C)  the Eligible
Receivables to be Pledged in connection with such Borrowing (and upon such Borrowing, such
Receivables shall be Pledged Receivables hereunder) and be accompanied by a Borrowing Base
Certificate (as required pursuant to Section 6.11(d)). The Agent shall promptly notify and
provide a copy of such Notice of Borrowing and Borrowing Base Certificate to each Lender. On the
date of each Borrowing, the Lender shall, upon satisfaction of the applicable conditions set forth
in Article III, make available to the Borrower on the applicable Borrowing Date, no later
than 4:00 p.m. (New York City time), in same day funds, the amount of such Borrowing (net of
amounts payable to or for the benefit of the Agent and the Lenders on such date, including the
Reserve Account Deposit Amount), by payment into the account that the Borrower has designated to
the Agent in writing.

(ii) Each Notice of Borrowing delivered to the Agent pursuant to this
Section 2.02(b) shall be accompanied by a copy of the Notice of Pledge (and the
Receivables Schedule attached thereto), which was sent to the Custodian pursuant to the
terms of the Custodial Agreement in connection with the pledge of Eligible Receivables to be
made in connection therewith.

(c) In addition to the Borrowings requested pursuant to Section 2.02(b), the Agent
may, upon prior written notice to the Borrower, request Borrowings on behalf of the Borrower solely
to the extent necessary to pay (i) any shortfalls in amounts available in the Collection Account to
pay all amounts then due and owing on any Remittance Date and described in
Section 2.05(c)(I)(i) through (v) or Section 2.05(c)(II)(i) through
(v), as applicable, and actually paid by the Agent on behalf of the Borrower to the Persons
described in such Sections and (ii) the amount of any reasonable costs and expenses incurred by the
Agent in connection with the enforcement, defense or preservation of any rights of the Agent with
respect to the Collateral.

(d) Each Loan shall bear interest at the applicable Yield Rate for such Loan.

(e) Subject to Section 2.14 and the other terms, conditions, provisions and
limitations set forth herein, the Borrower may borrow, repay and reborrow Loans, on and after the
Closing Date and prior to the Program Termination Date; provided that the Agent receives at least
three (3) Business Days’ prior written notice of each repayment.

Section 2.03. Facility Maturity Date; Commitment Termination Date. (a) Any Loans outstanding
on the Facility Maturity Date shall mature on such date. On the earlier to occur of
(i) the Program Termination Date or (ii) the Facility Maturity Date, the outstanding principal
balance of all outstanding Loans, if any, and all Yield and all Fees accrued thereon and all other
Obligations shall be immediately due and payable (and the Borrower shall pay all such amounts
immediately).

 

29

 

(b) No earlier than 120 days prior to the first anniversary of the Closing Date and no later
than 120 days prior to the then-current Commitment Termination Date, the Borrower will inform the
Agent and the Lenders in writing whether or not the Borrower seeks to have the Commitment
Termination Date extended (such extension in no event to be more than one year from the
then-current Commitment Termination Date) subject to the terms and conditions to be negotiated
among the Borrower, the Agent and the Lenders. Within 60 days after receiving the Borrower’s
request, the Agent and the Lenders shall jointly notify the Borrower in writing whether such
request to extend the Commitment Termination Date has been accepted (and such date shall so be
extended hereunder if accepted). Any failure of a Lender to respond to any such request shall be
deemed to be a denial of such request. Each such decision to renew by a Lender or the Agent shall
be exercised in such Person’s sole and absolute discretion.

Section 2.04. [Reserved].

Section 2.05. Remittance Procedures. (a) Direction. The Servicer, on behalf of the Agent
and the Lenders, shall instruct the Agent’s Bank on each Remittance Date (based solely on the
information set forth in the related Monthly Remittance Report) and, if the Servicer fails to do
so, the Agent may instruct the Agent’s Bank, to apply funds on deposit in the Collection Account
and Reserve Account as described in this Section 2.05 without duplication. Neither the
Borrower nor the Servicer shall have any right to remove funds on deposit in the Lockbox Account or
Lockbox except as expressly provided in this Agreement, the Lockbox Agreement or the First Data
Agreement. Neither the Borrower nor the Servicer shall have any right to remove funds on deposit
in the Collection Account or the Reserve Account.

(b) Yield and Liquidation Fees. With respect to each Business Day (including any Remittance
Date), the Servicer shall maintain collected funds on deposit in the Collection Account for
transfer at the further direction of the Agent or any other duly authorized agent of the Lenders
(whether on such day or on a subsequent day) in an amount equal to accrued and unpaid Yield and
Fees through such day on the Loans Outstanding and the amount of any accrued and unpaid Liquidation
Fees owed to the Lender on such day for the preceding Accrual Period. On the second Business Day
preceding each Monthly Report Date, the Agent shall notify the Borrower and the Servicer of the
accrued but unpaid Yield on each Loan for the immediately preceding Accrual Period (or other
applicable period), and the Servicer shall include such Yield in the Monthly Remittance Report for
such Monthly Report Date. All such accrued and unpaid Yield shall remain in the Collection Account
until the next Remittance Date and shall be disbursed pursuant to the applicable priorities below.
On any Business Day on which any accrued but unpaid Liquidation Fees are due and owing, the Agent
may direct the Agent’s Bank to pay such funds to the Agent (on behalf of the applicable Lender) in
payment of such Liquidation Fees.

 

30

 

(c) Remittance Date Transfers from Collection Account and Reserve Account. On each Monthly
Report Date, the Servicer shall prepare and distribute to the Agent, the Backup
Servicer and the Agent’s Bank a Monthly Remittance Report which includes distributions to be
made from the Collection Account and Reserve Account in accordance with this Section
2.05(c). Unless the Back-Up Servicer or Agent (i) has notified the Agent’s Bank and Borrower
by the Remittance Date that such Monthly Remittance Report is materially incomplete or materially
inaccurate and has provided a reconciliation of such discrepancies and (ii) provides the Agent’s
Bank with alternative instructions as to distribution from the Collection Account and Reserve
Account (in which case the Agent’s Bank will distribute amounts from the Collection Account and
Reserve Account in accordance with such instructions, such instructions to be in accordance with
this Section 2.05), on each Remittance Date, the Agent’s Bank will distribute (based on the
Monthly Remittance Report or such alternate written instructions, as applicable) collected funds
held by the Agent’s Bank in the Collection Account and Reserve Account, as described in the
following clause (I) or (II) as applicable.

If the Agent’s Bank does not receive a Monthly Remittance Report from the Servicer prior to
9:00 a.m. (New York time) on any Remittance Date, the Agent’s Bank will promptly notify the Agent
of such fact and request alternative disbursement directions from the Agent.

(I) As long as the Program Termination Date has not occurred, the Agent’s Bank shall pay to
the following Persons, from (i) funds on deposit in the Collection Account, to the extent of
Available Funds and (ii) funds on deposit in the Reserve Account, to the extent there is an
Available Funds Shortfall, the following amounts in the following order of priority:

(i) first, to the Servicer (if Marlin or an Affiliate thereof) (x) the amount
of Servicing Fee that is accrued and unpaid as of the last day of the preceding Remittance
Period (y) all amounts constituting Servicing Charges and Delinquency and Prepayment Fees,
and (z) all monies in the Collection Account that are not Collections;

(ii) second, to the Servicer, solely from amounts received in respect of any
Pledged Receivable to which an unreimbursed Servicer Advance relates, the amount necessary
to reimburse the Servicer for such related Servicer Advance;

(iii) third, pro rata and pari passu, (x) to the Agent in an amount equal to
the Agent’s Fees (if any) which are accrued and unpaid as of the last day of the preceding
Remittance Period, (y) to the extent not paid by Marlin, to the Custodian in an amount equal
to the Custodian Fees which are accrued and unpaid as of the last day of the preceding
Remittance Period together with the reasonable out-of-pocket expenses as are due to the
Custodian under the terms of Custodial Agreement and unpaid as of the last day of the
preceding Remittance Period and (z) (I) at any time prior to the occurrence of a Servicer
Default and the termination of the Servicer hereunder, to the Backup Servicer in an amount
equal to the Backup Servicer’s Fees which are accrued and unpaid as of the last day of the
preceding Remittance Period and (II) if the Servicer is not then Marlin or an Affiliate
thereof, to the Servicer in an amount equal to the sum of (A) the Servicing Fee which is
accrued and unpaid to such Servicer as of the last day of the preceding Remittance Period
and (B) any accrued but unpaid Transition Costs;

 

31

 

(iv) fourth, to the Agent for the account of the Qualifying Hedge Counterparty
under each Qualifying Interest Rate Hedge in an amount equal to (and for the payment
of) all amounts which are due and payable by the Borrower to such Qualifying Hedge
Counterparty on such Remittance Date (excluding any Hedge Breakage Costs and fees, expenses,
indemnification payments, tax payments or other similar amounts), pursuant to the terms of
the applicable Qualifying Interest Rate Hedge (net of all amounts which are due and payable
by such Qualifying Hedge Counterparty to the Borrower on such Remittance Date pursuant to
the terms of such Qualifying Interest Rate Hedge);

(v) fifth, to the Agent for the account of the Agent and the Lenders in an
amount equal to (and for the pro rata payment of) (A) the accrued and unpaid Unused Fee and
Structuring Fee, if any, due and payable on such Remittance Date pursuant to the terms of
the Fee Letter and (B) any accrued and unpaid Yield on the Loans Outstanding;

(vi) sixth, to the Agent for the account of the Lenders in an amount equal to
the Borrowing Base Deficiency (if any) as of such Remittance Date;

(vii) seventh, to the Reserve Account, the amount necessary to cause the amount
on deposit therein to equal the Reserve Account Required Amount;

(viii) eighth, pro rata and pari passu, (v) to the Agent for the account of the
applicable Person in an amount equal to the aggregate amount of all other Obligations (other
than the repayment of Loans then outstanding) then due from the Borrower to the Lenders, the
Agent, any Indemnified Party or any Affected Party hereunder, (w) to the Agent for the
account of the Qualifying Hedge Counterparty under each Qualifying Interest Rate Hedge in an
amount equal to (and for the payment of) all other amounts then due and payable by the
Borrower to such Qualifying Hedge Counterparty on such Remittance Date, pursuant to the
terms of the applicable Qualifying Interest Rate Hedge (net of all amounts which are due and
payable by such Qualifying Hedge Counterparty to the Borrower on such Remittance Date
pursuant to the terms of such Qualifying Interest Rate Hedge), (x) to the Agent in an amount
equal to all other amounts then due and payable to such Person pursuant to the Transaction
Documents, (y) to the Custodian in an amount equal to all other amounts then due and payable
to such Person pursuant to the Transaction Documents, and (z) to the Backup Servicer in an
amount equal to all other amounts then due and payable to such Person pursuant to the
Transaction Documents; and

(ix) ninth, to the Borrower, all remaining amounts.

(II) If the Program Termination Date has occurred and has not been waived, the Agent’s Bank
shall pay to the following Persons, from (i) funds on deposit in the Collection Account, to the
extent of Available Funds and (ii) funds on deposit in the Reserve Account, to the extent there is
an Available Funds Shortfall, the following amounts in the following order of priority:

(i) first, (x) to the Servicer (1) the amount of Servicing Fee that is accrued
and unpaid as of the last day of the preceding Remittance Period and (2) all monies in the
Collection Account that are not Collections and (y) to Marlin all amounts constituting
Servicing Charges;

 

32

 

(ii) second, to the Servicer, solely from amounts received in respect of any
Pledged Receivable to which an unreimbursed Servicer Advance relates, the amount necessary
to reimburse the Servicer for such related Servicer Advance;

(iii) third, pro rata and pari passu, (x) to the Agent in an amount equal to
the Agent’s Fees (if any) which were accrued and unpaid as of the last day of the preceding
Remittance Period, (y) to the extent not paid by Marlin, to the Custodian in an amount equal
to the Custodian Fees which are accrued and unpaid as of the last day of the preceding
Remittance Period together with the reasonable out-of-pocket expenses as are due to the
Custodian under the terms of Custodial Agreement and unpaid as of the last day of the
preceding Remittance Period and (z) (I) at any time prior to the occurrence of a Servicer
Default and the termination of the Servicer hereunder, to the Backup Servicer in an amount
equal to the Backup Servicer’s Fees which are accrued and unpaid as of the last day of the
preceding Remittance Period and (II) if the Servicer is not then Marlin or an Affiliate
thereof, to the Servicer in an amount equal to the sum of (A) the Servicing Fee which is
accrued and unpaid to such Servicer as of the last day of the preceding Remittance Period,
(B) any accrued but unpaid Transition Costs and (C) any accrued but unpaid expenses for
which the successor Servicer has received written approval from the Agent;

(iv) fourth, to the Agent for the account of the Qualifying Hedge Counterparty
under each Qualifying Interest Rate Hedge in an amount equal to (and for the payment of) all
amounts which are due and payable by the Borrower to such Qualifying Hedge Counterparty on
such Remittance Date (excluding any Hedge Breakage Costs and fees, expenses, indemnification
payments, tax payments or other similar amounts), pursuant to the terms of the applicable
Qualifying Interest Rate Hedge (net of all amounts which are due and payable by such
Qualifying Hedge Counterparty to the Borrower on such Remittance Date pursuant to the terms
of such Qualifying Interest Rate Hedge);

(v) fifth, to the Agent for the account of the Agent and the Lenders in an
amount equal to (and for the pro rata payment of) (A) the accrued and unpaid Unused Fee and
Structuring Fee, if any, due and payable on such Remittance Date pursuant to the terms of
the Fee Letter and (B) any accrued and unpaid Yield on the Loans Outstanding;

(vi) sixth, to the Agent for the account of the Lenders in an amount equal to
the aggregate amount of all Loans Outstanding;

(vii) seventh, pro rata and pari passu, (v) to the Agent for the account of the
applicable Person in an amount equal to the aggregate amount of all other Obligations then
due from the Borrower to the Lenders, the Agent, any Indemnified Party or any Affected Party
hereunder, (w) to the Agent for the account of the Qualifying Hedge Counterparty under each
Qualifying Interest Rate Hedge in an amount equal to (and for the payment of) all other
amounts then due and payable by the Borrower to such Qualifying Hedge Counterparty on such
Remittance Date, pursuant to the terms of the applicable Qualifying Interest Rate Hedge (net
of all amounts which are due and payable by such Qualifying Hedge Counterparty to the
Borrower on such Remittance Date pursuant to the terms of such Qualifying Interest Rate
Hedge), (x) to the Agent in an
amount equal to all other amounts then due and payable to such Person pursuant to the
Transaction Documents, (y) to the Custodian in an amount equal to all other amounts then due
and payable to such Person pursuant to the Transaction Documents, and (z) to the Backup
Servicer in an amount equal to all other amounts then due and payable to such Person
pursuant to the Transaction Documents; and

(viii) eighth, to the Borrower, all remaining amounts.

 

33

 

Upon its receipt of funds for the account of the Lenders, the Agent shall apply such funds as
directed by each Lender or as otherwise provided in this Agreement.

(d) [Reserved].

(e) [Reserved].

(f) Borrower Deficiency Payments. Notwithstanding anything to the contrary contained in this
Section 2.05 or in any other provision in this Agreement, if, on any day prior to the
Collection Date, the Agent notifies the Borrower or the Borrower or the Servicer shall have actual
knowledge that the Facility Amount exceeds the Borrowing Limit, then the Borrower shall remit to
the Agent, prior to any Borrowing and in any event no later than the close of business of the Agent
on the next succeeding Business Day following the date on which the Borrower received such notice
or the Borrower or Servicer obtained actual knowledge, as applicable, a cash payment (to be applied
by the Agent to repay Loans selected by the Agent, in its sole discretion), in such amount as may
be necessary to reduce the Facility Amount to an amount less than or equal to the Borrowing Limit.
Notwithstanding anything to the contrary contained in this Section 2.05 or in any other
provision in this Agreement, if, on any day prior to the Collection Date, the Agent notifies the
Borrower or the Borrower or the Servicer shall have actual knowledge that the Facility Amount
exceeds the Capital Limit, then the Borrower shall (X) remit to the Agent, prior to any Borrowing
and in any event no later than the close of business of the Agent on the next succeeding Business
Day following the date on which the Borrower received such notice or the Borrower or Servicer
obtained actual knowledge, as applicable, a cash payment (to be applied by the Agent to repay Loans
selected by the Agent, in its sole discretion), in such amount as may be necessary to reduce the
Facility Amount to an amount less than or equal to the Capital Limit or (Y) solely if such date is
prior to the Program Termination Date, Pledge additional Eligible Receivables hereunder, prior to
any Borrowing and in any event no later than the close of business of the Agent on the next
succeeding Business Day following the date on which the Borrower received such notice or the
Borrower or Servicer obtained actual knowledge, in such amount as may be necessary to increase the
Capital Limit to an amount equal to or greater than the Facility Amount.

(g) Instructions to the Agent’s Bank. All instructions and directions given to the Agent’s
Bank by the Servicer, the Borrower or the Agent pursuant to this Section 2.05 shall be in
writing (including instructions and directions transmitted to the Agent’s Bank by facsimile), and
such written instructions and directions shall be delivered with a written certification that such
instructions and directions are in compliance with the provisions of this Section 2.05.
The Servicer and the Borrower shall immediately transmit to the Agent by facsimile a copy of all
instructions and directions given to the Agent’s Bank by such party pursuant to this
Section 2.05.
The Agent shall immediately transmit to the Servicer and the Borrower by facsimile a copy of
all instructions and directions given to the Agent’s Bank by the Agent, pursuant to this
Section 2.05.

 

34

 

Section 2.06. Substitution of Pledged Receivables. The Borrower may, upon two (2) Business
Day’s prior written notice to the Agent, replace any Receivable as a Pledged Receivable (each a
“Substituted Receivable”) so long as (i) simultaneously therewith, the Borrower Pledges (in
accordance with all of the terms and provisions contained herein) a Receivable or Receivables (each
a “Replacement Receivable”), which (A) at the time of such Pledge are Eligible Receivables (for
which no selection procedures adverse to the Borrower, the Agent or the Lenders have been utilized
in selecting any such Replacement Receivable), and (B) which have an aggregate Discounted Balance
that equals or exceeds the Discounted Balance of the Substituted Receivable being removed and (ii)
the aggregate Discounted Balances (calculated at the time of replacement) of all Substituted
Receivables (including any previously Substituted Receivables) that are not or were not subject to
a Marlin Purchase Event will not exceed an amount equal to the Maximum Substitution Amount.
Notwithstanding the foregoing, following the occurrence and continuation of an Event of Default or
Unmatured Event of Default or following the occurrence of the Program Termination Date, the prior
written consent of the Agent shall be required for any substitution described in this Section
2.06.

Section 2.07. Payments and Computations, Etc. (a) All amounts to be paid or deposited by the
Borrower or the Servicer hereunder shall be paid or deposited in accordance with the terms hereof
no later than 12:00 Noon (New York City time) on the day when due in lawful money of the United
States in immediately available funds to the Collection Account or such other account as is
designated by the Agent with amounts received after such time being deemed paid on the Business Day
following such receipt. The Borrower or the Servicer (as long as the Servicer is Marlin or any
Affiliate of Marlin), as applicable, shall, to the extent permitted by law, pay to the Agent
interest on all amounts not paid or deposited when due hereunder (whether owing by the Borrower or
the Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin)) by such Person at the
Default Funding Rate, payable on demand; provided that such interest rate shall not at any time
exceed the maximum rate permitted by applicable law. Such interest shall be for the account of,
and distributed by the Agent to, the Lenders. Any Obligation hereunder shall not be reduced by any
distribution of any portion of Collections if at any time such distribution is rescinded or
returned by a Lender to the Borrower or any other Person for any reason. All computations of
interest and all computations of Yield, Liquidation Fees and other fees hereunder (including,
without limitation, the Fees, the Agent’s Fee (if any) and the Servicing Fee) shall be made on the
basis of a year of 360 days for the actual number of days (including the first but excluding the
last day) elapsed.

(b) Whenever any payment hereunder shall be stated to be due on a day other than a Business
Day, such payment shall be made on the next succeeding Business Day, and such extension of time
shall in such case be included in the computation of payment of Yield, interest or any fee payable
hereunder, as the case may be; provided that with respect to the calculation of Yield, such
extension of time shall not be included in more than one Accrual Period.

 

35

 

(c) If any Borrowing requested by the Borrower and approved by the applicable Lenders and the
Agent pursuant to Section 2.02 is not for any reason whatsoever, except as a result of the
gross negligence or willful misconduct of a Lender, the Agent or any Affiliate
thereof, made or effectuated, as the case may be, on the date specified therefor, the Borrower
shall indemnify and defend each applicable Lender against any loss, cost or expense incurred by
such Lender related thereto (other than any such loss, cost or expense solely due to the gross
negligence or willful misconduct of a Lender, the Agent or any Affiliate thereof), including,
without limitation, any loss (including cost of funds and reasonable out-of-pocket expenses), cost
or expense incurred by reason of the liquidation or reemployment of deposits or other funds
acquired by such Lender to fund Loans or maintain Loans during such Accrual Period. The applicable
Lender shall provide to the Borrower documentation setting forth the amounts of any loss, cost or
expense referred to in the previous sentence, such documentation to be conclusive absent manifest
error.

(d) Notwithstanding anything herein to the contrary, any amounts to be paid or transferred by
the Borrower or the Servicer directly (and not required to be deposited into the Collection
Account) to, or for the benefit of, any Lender or any other Person shall be paid or transferred to
the Agent (for the benefit of such Lender or other Person). The Agent shall promptly (and, if
reasonably practicable, on the day it receives such amounts) forward each such amount to the Person
entitled thereto and such Person shall apply the amount in accordance herewith.

Section 2.08. Fees. (a) The Borrower shall pay the Agent (on behalf of itself and the
Lenders) the fees (the “Fees”) in the amounts and on the dates set forth in the Fee Letter.

(b) All of the Fees payable pursuant to this Section 2.08 shall be payable solely from
amounts available for application pursuant to, and subject to the priority of, payment set forth in
Section 2.05 or as otherwise set forth in the Fee Letter.

Section 2.09. Increased Costs; Capital Adequacy. (a) If, due to either (i) the introduction
of or any change (including, without limitation, any change by way of imposition or increase of
reserve requirements) in or in the interpretation, administration or application of any law or
regulation (including, without limitation, any law or regulation resulting in any interest payments
paid to a Lender under this Agreement being subject to United States withholding tax) or any
guideline of any accounting board or authority (whether or not a part of government) which is
responsible for the establishment or interpretation of national or international accounting
principles, in each case whether foreign or domestic or (ii) the compliance with any guideline or
request from any central bank or other governmental authority (whether or not having the force of
law), there shall be any increase in the cost to the Agent, any Lender or any Affiliate, successor
or assign thereof (each of which shall be an “Affected Party”) of agreeing to make or making,
funding or maintaining any Loan (or any reduction of the amount of any payment (whether of
principal, interest, fee, compensation or otherwise) to any Affected Party hereunder), as the case
may be, the Borrower shall (and, to the extent the Borrower does not pay, the Servicer shall), from
time to time, within 10 days after written demand complying with Section 2.09(c) by the
Agent, on behalf of such Affected Party, pay to the Agent, on behalf of such Affected Party,
additional amounts sufficient to compensate such Affected Party for such increased costs or reduced
payments; provided that such Affected Party shall use reasonable efforts in good faith to mitigate
any such Increased Costs.

 

36

 

(b) If either (i) the introduction of or any change in or in the interpretation,
administration or application of any law, guideline, rule or regulation, directive or request or
(ii) the compliance by any Affected Party with any law, guideline, rule, regulation, directive or
request, from any central bank, any governmental authority or agency or any accounting board or
authority (whether or not a part of government) which is responsible for the establishment or
interpretation of national or international accounting principles, in each case whether foreign or
domestic (whether or not having the force of law), including, without limitation, compliance by an
Affected Party with any request or directive regarding capital adequacy, has or would have the
effect of reducing the rate of return on the capital of any Affected Party, as a consequence of its
obligations hereunder or any related document or arising in connection herewith or therewith to a
level below that which any such Affected Party could have achieved but for such introduction,
change or compliance (taking into consideration the policies of such Affected Party with respect to
capital adequacy), by an amount deemed by such Affected Party to be material, then, from time to
time, after demand by such Affected Party (which demand shall be accompanied by a statement setting
forth the basis of such demand), the Agent shall be paid, on behalf of such Affected Party (from
Collections pursuant to, and subject to the priority of payment set forth in,
Section 2.05), such additional amounts as will compensate such Affected Party for such
reduction.

(c) In determining any amount provided for in this Section 2.09, the Affected Party
may use any reasonable averaging and attribution methods. The Agent, on behalf of any Affected
Party making a claim under this Section 2.09, shall submit to the Borrower a certificate
setting forth in reasonable detail the basis for and the computations of such additional or
increased costs, which certificate shall be conclusive absent demonstrable error.

(d) An Affected Party shall use reasonable efforts to reduce or eliminate any claim for
compensation pursuant to this Section 2.09.

(e) Any amount which the Borrower does not pay pursuant to the operation of this Section shall
not constitute a claim as defined in Section 101(5) of the Bankruptcy Code against the Borrower for
any such insufficiency.

Section 2.10. Collateral Assignment of Agreements. The Borrower hereby collaterally assigns
to the Agent, for the benefit of the Secured Parties, all of the Borrower’s right and title to and
interest in, to and under (but not any obligations under) the Purchase and Contribution Agreement,
each Qualifying Interest Rate Hedge and all other agreements, documents and instruments related to
any of the foregoing (collectively the “Assigned Documents”). Without limiting any obligation of
the Servicer hereunder, the Borrower confirms and agrees that the Agent (or any designee thereof,
including, without limitation, the Servicer), following an occurrence and continuation of an Event
of Default or following the Program Termination Date, shall have the right to enforce the
Borrower’s rights and remedies under each Assigned Document, but without any obligation on the part
of the Agent, any Secured Party or any of their respective Affiliates to perform any of the
obligations of the Borrower under any such Assigned Document. In addition, each of the Servicer
and the Borrower confirms and agrees that the Servicer and the Borrower will, upon receipt of
notice or discovery thereof, promptly send to the Agent a notice of any breach of any
representation, warranty, agreement or covenant under any such Assigned Document or event of
default, or of any event or occurrence under any Assigned
Documents that, upon notice, or upon the passage of time or both, would constitute such a
breach, of which the Borrower or the Servicer has knowledge immediately upon learning thereof. The
parties hereto agree that such assignment to the Agent shall terminate upon the Collection Date.

 

37

 

Section 2.11. Grant of a Security Interest. To secure the prompt and complete payment when
due of the Obligations and the performance by the Borrower of all of the covenants and obligations
to be performed by it pursuant to this Agreement, the Borrower hereby (i) collaterally assigns and
pledges to the Agent, on behalf of the Secured Parties (and their successors and assigns) and (ii)
grants a security interest to the Agent, on behalf of Secured Parties (and their successors and
assigns), all of the Borrower’s right, title and interest in, to and under all of the following
property whether tangible or intangible and whether now owned or existing or hereafter arising or
acquired and wheresoever located (collectively, the “Collateral”) and all other property and assets
of any type or nature in which the Borrower has an interest whether now owned or existing or
hereafter arising or acquired and wheresoever located:

(a) all Receivables purchased by or contributed (or otherwise purported to be transferred or
pledged pursuant to the terms of the Purchase and Contribution Agreement) to the Borrower under the
Purchase and Contribution Agreement from time to time (the “Pledged Receivables”), all Other
Conveyed Property related to the Pledged Receivables purchased by or contributed (or otherwise
transferred or pledged pursuant to the terms of the Purchase and Contribution Agreement) to the
Borrower under the Purchase and Contribution Agreement, all Related Security related to the Pledged
Receivables, all interests of the Borrower in all the Equipment related to the Pledged Receivables
(together with all security interests in and Insurance Proceeds related to such Equipment and all
proceeds from the disposition of such Equipment, whether by sale to the related Obligors or
otherwise), all Collections and other monies due and to become due under the Contracts related to
the Pledged Receivables received on or after the applicable Cut-Off Date to such Pledged
Receivables under the Purchase and Contribution Agreement;

(b) the Assigned Documents, including, in each case, without limitation, all monies due and to
become due to the Borrower under or in connection therewith;

(c) the Collection Account, the Reserve Account and all other bank and similar accounts
relating to Collections with respect to Pledged Receivables (whether now existing or hereafter
established) and all funds held therein, and all investments in and all income from the investment
of funds in the Collection Account, the Reserve Account and such other accounts;

(d) the Records relating to any Pledged Receivables;

(e) all UCC financing statements filed by the Borrower against Marlin under or in connection
with the Purchase and Contribution Agreement;

(f) each Qualifying Interest Rate Hedge, each other interest rate protection agreement entered
into with respect to the transactions contemplated under this Agreement and, in each case, all
payments thereunder;

(g) all Liquidation Proceeds relating to any Pledged Receivables;

 

38

 

(h) all accounts, receivables, contract rights, general intangibles, instruments, chattel
paper, documents and proceeds of the foregoing property described in clauses (a) through (g) above,
including interest, dividends, cash, instruments and other property from time to time received,
receivable or otherwise distributed in respect of or in exchange for or on account of the sale or
other disposition of any or all of the then existing Pledged Receivables; and

(i) all other assets of the Borrower, whether constituting accounts, receivables, contract
rights, general intangibles, instruments, chattel paper, documents or goods.

Section 2.12. Evidence of Debt. Each Lender shall maintain an account or accounts evidencing
the indebtedness of the Borrower to the Lender resulting from each Loan owing to the Lender from
time to time, including the amounts of principal and interest payable and paid to the Lender from
time to time hereunder. The entries made in such account(s) of the Lender shall be conclusive and
binding for all purposes, absent manifest error.

Section 2.13. Survival of Representations and Warranties; Repayment Obligations. It is
understood and agreed that the representations and warranties set forth in Section 4.01 and
Section 4.02 are made on the date of this Agreement, at the time of the initial Borrowing,
and on each Subsequent Borrowing Date and Remittance Date thereafter. If, as a result of the
breach of any of the representations and warranties in Section 4.01 or Section 4.02
or for any other reason there exists or would exist a Borrowing Base Deficiency after giving effect
to any repurchase by Marlin of nonconforming Receivables pursuant to Section 4.03, the
Borrower shall promptly (and, in any case, by the end of business on the next Business Day after
the Business Day on which such Borrowing Base Deficiency occurred) (X) repay to the Agent, for the
account of the Lenders, the portion of the Loans as is necessary to cure such Borrowing Base
Deficiency or (Y) Pledge additional Eligible Receivables in such amount as is necessary to cure
such Borrowing Base Deficiency. The Borrower shall promptly reimburse the Agent and the Lenders
for any Liquidation Fees in respect of any such repayment.

Section 2.14. Release of Pledged Receivables. (a) The Borrower shall not be permitted to make
a prepayment of the Loans Outstanding except in connection with a proposed sale or pledge by the
Borrower of any Pledged Receivable(s) to a third party (including, without limitation, in
connection with a Take-Out Securitization or a Whole Loan Transaction) pursuant to which the
Borrower pays the applicable Release Price and related Liquidation Fees. In such case, the
Borrower may obtain the release of any such Pledged Receivable(s) and, solely to the extent related
to such Pledged Receivable(s), the Related Security and other related Other Conveyed Property, from
the security interest created hereunder, by depositing into an account designated by the Agent the
Release Price therefor on the date of such repurchase payable in connection with such transaction
and any related Liquidation Fees payable as a result of such release. Upon the substitution of any
Pledged Receivable in accordance with Section 2.06, the Borrower may, with the consent of
the Agent and the Custodian, obtain the release of such Substituted Receivables and, solely to the
extent related to such Substituted Receivable, the Related Security and other related Other
Conveyed Property (including, without limitation, the release of any security interest of the Agent
or the Borrower therein). The Borrower shall notify the Agent of any Release Price and Liquidation
Fees to be paid pursuant to this Section 2.14 at least ten (10) Business Days prior to the
date on which such Release Price shall be paid specifying the Pledged Receivables to be released
and the Release Price; provided that it shall be
a condition precedent to the release of any Pledged Receivables (and corresponding prepayment
of Loans Outstanding) that as of the date such Pledged Receivables are to be released the Overall
Hedge Position must be not less than 95.0% of the Loans Outstanding as of such date and (solely in
respect of Qualifying Interest Rate Hedges that are interest rate swap agreements) not more than
105.0% of the Loans Outstanding as of such date. Amounts paid by the Borrower pursuant to this
Section 2.14 on account of Pledged Receivables shall be treated as payments on Pledged
Receivables hereunder.

 

39

 

(b) At the close of business on the Collection Date, the Lenders and the Agent, in accordance
with their respective interests, hereby automatically re-assign and transfer to the Borrower, for
no consideration but at the sole expense of the Borrower, their respective remaining interests in
the Collateral, free and clear of any Adverse Claim resulting solely from an act by the Lender or
the Agent but without any other representation or warranty, express or implied, by or recourse
against the Lenders or the Agent.

(c) Upon the request of the Borrower, and at the Borrower’s expense, the Agent hereby
authorizes the filing and/or execution of such documents as reasonably requested by the Borrower in
order to effect any reassignment and resale of Pledged Receivables repurchased or substituted by
Marlin pursuant to the Purchase and Contribution Agreement or paid in full by the related Obligor
and shall notify the Custodian pursuant to the Custodial Agreement to release the related
Receivable File to the Borrower or Marlin, as applicable.

Section 2.15. Taxes. (a) Any and all payments by the Borrower, Parent or otherwise pursuant
to this Agreement (including by the Servicer as long as the Servicer is Marlin or any Affiliate of
Marlin) hereunder shall be made, in accordance with Section 2.07, free and clear of and
without deduction for any and all present or future taxes, levies, imposts, deductions, charges or
withholdings, and all liabilities with respect thereto, excluding, (i) in the case of the Lenders
and the Agent, net income taxes that are imposed by the United States and franchise taxes, net
profits taxes and net income taxes that are imposed on any Lender or the Agent by the state or
foreign jurisdiction under the laws of which such Lender or the Agent (as the case may be) is
organized, maintains its principal office or applicable lending office or any political subdivision
thereof, (ii) all taxes imposed as a result of the Lender failing to comply with Sections
2.15(e), (f) and (g) hereof and (iii) any taxes required to be deducted or
withheld pursuant to Sections 1471 through 1474 of the IRC and any regulations or official
interpretations thereof (“FATCA”) as a result of a failure of the recipient to satisfy the
applicable requirements as set forth in FATCA after December 31, 2002 (all such non-excluded taxes,
levies, imposts, deductions, charges, withholdings and liabilities being hereinafter referred to as
“Taxes”). If the Borrower or other payor pursuant to this Agreement shall be required by law to
deduct any Taxes from or in respect of any sum payable hereunder to any Lender or the Agent, (i)
the payor shall make an additional payment to such Lender or the Agent, as the case may be, in an
amount sufficient so that, after making all required deductions (including deductions applicable to
additional sums payable under this Section 2.15), such Lender or the Agent (as the case may
be) receives an amount equal to the sum it would have received had no such deductions been made,
(ii) the payor shall make such deductions and (iii) the payor shall pay the full amount deducted to
the relevant taxation authority or other authority in accordance with applicable law.

 

40

 

(b) In addition, the Borrower (and, to the extent the Borrower does not pay, the Servicer)
agrees to pay any present or future stamp or other documentary taxes or any other excise or
property taxes, charges or similar levies which arise from any payment made hereunder or under any
instrument delivered hereunder or from the execution, delivery or registration of, or otherwise
with respect to, this Agreement or any instrument delivered hereunder (hereinafter referred to as
“Other Taxes”).

(c) The Borrower will indemnify and defend each Lender and the Agent for the full amount of
Taxes and Other Taxes (including, without limitation, any Taxes and Other Taxes imposed by any
jurisdiction on amounts payable under this Section 2.15) paid by such Lender or the Agent
(as the case may be) in connection with the Collateral, any obligation to make Loans hereunder, or
any other payment made to such Lender and/or the Agent hereunder and any liability (including
penalties, interest and expenses except as otherwise provided in this subsection) arising therefrom
or with respect thereto; provided that the applicable Lender or the Agent, as appropriate, making a
demand for indemnity payment shall promptly provide the Borrower with a certificate from the
relevant taxing authority or from a responsible officer of the Lender or the Agent stating or
otherwise evidencing that it has made payment of such Taxes and Other Taxes and will provide a copy
of or extract from documentation, if available, furnished by such taxing authority evidencing
assertion or payment of such Taxes and Other Taxes. The Borrower shall not be obligated to
indemnify pursuant to this subsection in respect of penalties, interest and other expenses
attributable to any Taxes or Other Taxes if such penalties, interest and other expenses are
attributable solely to the gross negligence or willful misconduct of any Lender, the Agent and/or
each of their lawful transferees or assignees, as the case may be. After a Lender and/or the Agent
learns of the imposition of Taxes or Other Taxes, such Lender or the Agent shall give prompt
(within 10 Business Days) notice to the Borrower of the payment by such Lender or the Agent, as the
case may be, of such Taxes or Other Taxes, and of the assertion by a Government Entity that such
Taxes or Other Taxes are due and payable, but the failure to give such notice shall not affect the
Borrower’s obligations hereunder to reimburse such Lender and/or the Agent for such Taxes or Other
Taxes, except that the Borrower shall not be liable or penalties, interest and other expenses
accrued or incurred after such 10 Business Day period until such time as it receives the notice
contemplated above, after which time it shall be liable for penalties, interest and other expenses
accrued or incurred prior to or during such 10 Business Day period and accrued or incurred after
receipt of such notice. Indemnification shall be made within 10 Business Days from the date the
applicable Lender or the Agent (as the case may be) makes written demand therefor accompanied by
evidence of the payment of the applicable Taxes and Other Taxes.

(d) Within 30 days after the date of any payment by the Borrower of any payroll Taxes, if
requested by the Agent, the Borrower will furnish to the Agent appropriate evidence of payment
thereof.

 

41

 

(e) Each Lender shall, to the extent that it may then do so under applicable laws and
regulations, deliver to the Borrower and the Agent Bank (with a copy to the Agent) (i) within 15
days after the date hereof, two (or such other number as may from time to time be prescribed by
applicable laws or regulations) duly completed copies of IRS Form W-8 BEN, W-8 ECI, W-8IMY or other
certificate (or any successor forms or other certificates or statements which may be required from
time to time by the relevant United States taxing authorities or applicable laws
or regulations), as appropriate, to permit the Borrower to make payments hereunder for the
account of the Agent or the Lender, as the case may be, without deduction or withholding of United
States federal income, withholding or similar taxes and (ii) upon the obsolescence of or after the
occurrence of any event requiring a change in, any form or certificate previously delivered
pursuant to this Section 2.15(e), copies (in such numbers as may from time to time be
prescribed by applicable laws or regulations) of such additional, amended or successor forms,
certificates or statements as may be required under applicable laws or regulations to permit the
Borrower and the Agent’s Bank to make payments hereunder for the account of the Agent or the
Lender, as the case may be, without deduction or withholding of United States federal income or
similar taxes.

(f) Each Lender shall, to the extent that it may then do so under applicable laws and
regulations, deliver to the Borrower and the Agent’s Bank (with a copy to the Agent) any form or
document, accurately completed and in a manner that the Borrower or the Agent’s Bank reasonably
requires, that may be required or reasonably requested by the Borrower or the Agent’s Bank, in
order to allow it to make payments for the account of the Agent or the applicable Lender, as the
case may be, under this Agreement without any deduction or withholding on account of tax or with
such a deduction or withholding at a reduced rate.

(g) Within 30 days of the written request of the Borrower therefor and at the expense of the
Borrower, the Agent and each Lender, as appropriate, shall execute and deliver to the Borrower such
certificates, forms or other documents which can be furnished consistent with the facts and which
are reasonably necessary to assist the Borrower in applying for refunds of taxes remitted
hereunder. The Borrower shall be entitled to amounts refunded hereunder.

(h) If, in connection with an agreement or other document providing liquidity support, credit
enhancement or other similar support to any Lender in connection with this Agreement or the funding
or maintenance of Loans hereunder, a Lender is required to compensate a bank or other financial
institution in respect of taxes which would, if such bank or other financial institution were a
Lender hereunder, otherwise qualify for indemnification under this Section 2.15 or under
Section 10.07 then within 10 Business Days after demand by the Lender accompanied by
evidence of the payment of such indemnifiable amount, the Borrower (and, to the extent the Borrower
does not pay, the Servicer) shall pay to the Lender such additional amount or amounts as may be
necessary to reimburse such Lender for any amounts paid by it.

(i) Without prejudice to the survival of any other agreement of the Borrower hereunder, the
agreements and obligations of the parties contained in this Section 2.15 shall survive the
termination of this Agreement.

(j) Any amount which the Borrower does not pay pursuant to the operation of this Section shall
not constitute a claim as defined in Section 101(5) of the Bankruptcy Code against the Borrower or
the Collateral for any such insufficiency.

 

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ARTICLE III

CONDITIONS

Section 3.01. Conditions Precedent to Initial Borrowing. The initial Borrowing hereunder is
subject to the conditions precedent that:

(a) the Structuring Fee shall have been paid in accordance with the terms of the Fee Letter
and all other acts and conditions (including, without limitation, the obtaining of any necessary
regulatory approvals and the making of any required filings, recordings or registrations) required
to be done and performed and to have happened prior to the execution, delivery and performance of
this Agreement and all related documents and to constitute the same legal, valid and binding
obligations, enforceable in accordance with their respective terms, shall have been done and
performed and shall have happened in due and strict compliance with all applicable laws;

(b) the Agent shall have received on or before the date of such Borrowing the items listed in
Schedule I hereto, each in form and substance satisfactory to the Agent and each Lender; and

(c) the financing statements listed on Schedule I hereto shall have been filed or shall be
filed contemporaneously therewith.

Section 3.02. Conditions Precedent to All Borrowings. Each Borrowing (including the initial
Borrowing, except as explicitly set forth below) by the Borrower from a Lender shall be subject to
the further conditions precedent that:

(a) With respect to any such Borrowing (other than the initial Borrowing), on or prior to the
date of such Borrowing, the Servicer shall have delivered to the Agent, in form and substance
satisfactory to the Agent, the most recent Monthly Remittance Report required by the terms of
Section 6.11(b);

(b) [Reserved];

(c) On the Borrowing Date of such Borrowing, the following statements shall be true and
correct, and the Borrower by accepting any amount of such Borrowing shall be deemed to have
certified that:

(i) the representations and warranties contained in Section 4.01 are true and
correct in all material respects, both before and after giving effect to the Borrowing to
take place on such Borrowing Date and to the application of proceeds therefrom, on and as of
such day as though made on and as of such date, unless a particular representation or
warranty speaks to a particular date;

(ii) no Event of Default or Unmatured Event of Default shall have occurred and be
continuing and the Program Termination Date shall not have occurred;

 

43

 

(iii) (a) the principal amount of such Borrowing is at least $2,000,000 (or, in the
case of the initial Borrowing to be made hereunder, at least $12,000,000) and (b) on and as
of such Borrowing Date, after giving effect to such Borrowing, the Facility Amount does not
exceed the lesser of (A) the Borrowing Limit and (B) the Capital Limit;

(iv) (A) the Borrower has delivered to the Agent a copy of the Notice of Borrowing,
Borrowing Base Certificate and the related Notice of Pledge (together with the attached
Receivables Schedule) pursuant to Section 2.02, each appropriately completed and
executed by the Borrower, (B) the Borrower has delivered or caused to have been delivered to
the Custodian the Notice of Pledge and each item required in the definition of Receivable
File with respect to the Receivables being Pledged hereunder three or, in the case of the
initial Borrowing Date hereunder, four Business Days, prior to such Borrowing Date, (C) the
Contract related to each Receivable being Pledged hereunder on such Borrowing Date has been
duly assigned by Marlin to the Borrower and duly assigned by the Borrower to the Agent and
(D) by 3:00 P.M. (New York City time) on the Business Day immediately preceding such
Borrowing Date, a Collateral Receipt from the Custodian confirming that, inter alia, the
Receivable Files received on or before such Business Day conform with the Receivables
Schedule has been delivered to the Custodian and the Agent pursuant to Section 2.02.

(v) all terms and conditions of the Purchase and Contribution Agreement required to be
satisfied in connection with the assignment of each Receivable being Pledged hereunder on
such Borrowing Date (and the Other Conveyed Property and Related Security related thereto),
including, without limitation, the perfection of the Borrower’s interests therein, shall
have been satisfied in full, and all filings (including, without limitation, UCC filings)
required to be made by any Person and all actions required to be taken or performed by any
Person in any jurisdiction to give the Agent, for the benefit of the Secured Parties, a
first priority perfected security interest in all of the Collateral have been completed;

(vi) (A) Marlin shall have taken or caused to be taken all steps necessary under all
applicable law (including the filing of an Obligor Financing Statement) in order to cause a
valid, subsisting and enforceable perfected, first priority security interest (or back-up
security interest in the case of the Equipment subject to a true lease) to exist in Marlin’s
favor as against the related Obligor in the Equipment securing each Receivable being Pledged
hereunder on such Borrowing Date and immediately prior to the Pledge of such Receivable by
the Borrower to the Agent (for the benefit of the Secured Parties), (B) Marlin shall have
assigned such perfected security interests in the Equipment referred to in clause (A) above
(and all proceeds thereof) to the Borrower pursuant to the Purchase and Contribution
Agreement and (C) the Borrower shall have assigned such perfected security interests
referred to in clause (A) above to the Agent, for the benefit of the Secured Parties,
pursuant to Section 2.11 hereof; and

(vii) the Borrower shall have taken all steps necessary under all applicable law in
order to cause to exist in favor of the Agent, for the benefit of the Secured Parties, a
valid, subsisting and enforceable first priority perfected security interest in the
Borrower’s right, title and interest in the Collateral.

 

44

 

(d) No law or regulation shall prohibit, and no order, judgment or decree of any federal,
state or local court or governmental body, agency or instrumentality shall prohibit or enjoin, the
making of such Loans by the Lenders in accordance with the provisions hereof;

(e) The Agent shall have received and found to be satisfactory with respect to any Pledged
Receivables being Pledged in connection with such Borrowing (which were previously pledged to any
lender or other financial institutions by Marlin, the Borrower or any Affiliate thereof under any
other financing facility), evidence of the release of any liens granted in connection with such
financing with respect to any such Pledged Receivables;

(f) A Qualifying Interest Rate Hedge with respect to such Borrowing with a notional amount not
less than 100% of the Loan to be made on such Borrowing Date, in form and substance satisfactory to
the Agent, shall have been duly executed by the Borrower and a Qualifying Hedge Counterparty, and
any amounts required to have been paid thereunder as of the related Borrowing Date shall have been
paid by the Borrower and any obligations required to have been performed thereunder as of such
Borrowing Date shall have been performed; and

(g) The Borrower shall have delivered to the Agent a copy of the executed Assignment (as
defined in the Purchase and Contribution Agreement) relating to the Collateral relating to such
Borrowing.

Section 3.03. Advances Do Not Constitute a Waiver. No advance of a Loan hereunder shall
constitute a waiver of any condition to a Lender’s obligation to make such an advance unless such
waiver is in writing and executed by the Lender.

ARTICLE IV

REPRESENTATIONS AND WARRANTIES

Section 4.01. Representations and Warranties of the Borrower. The Borrower hereby represents
and warrants, as of the Closing Date, each Borrowing Date and each Remittance Date, as follows:

(a) Each Receivable designated as an Eligible Receivable on any Borrowing Base Certificate or
Monthly Remittance Report is an Eligible Receivable as of the date of such determination. Each
Receivable included as an Eligible Receivable in any calculation of the Capital Limit or the
Eligible Receivables Balance is an Eligible Receivable.

(b) The Borrower is a limited liability company duly organized, validly existing and in good
standing under the laws of the jurisdiction of its formation and has the power and all licenses
necessary to own its assets and to transact the business in which it is engaged and is duly
qualified and in good standing under the laws of each jurisdiction where the transaction of such
business or its ownership of the Pledged Receivables requires such qualification except where the
failure to be so qualified would not have a Material Adverse Effect.

 

45

 

(c) The Borrower has the power, authority and legal right to make, deliver and perform this
Agreement and each of the Transaction Documents to which it is a party and all of the transactions
contemplated hereby and thereby, and has taken all necessary action to authorize
the execution, delivery and performance of this Agreement and each of the Transaction
Documents to which it is a party, and to grant to the Agent, for the benefit of the Secured
Parties, a first priority perfected security interest in all of the Borrower’s right, title and
interest to the Collateral on the terms and conditions of this Agreement. This Agreement and each
of the Transaction Documents to which the Borrower is a party constitutes the legal, valid and
binding obligation of the Borrower, enforceable against it in accordance with their respective
terms, except as the enforceability hereof and thereof may be limited by bankruptcy, insolvency,
moratorium, reorganization and other similar laws of general application affecting creditors’
rights generally and by general principles of equity (whether such enforceability is considered in
a proceeding in equity or at law). No consent of any other party and no consent, license, approval
or authorization of, or registration or declaration with, any governmental authority, bureau or
agency is required in connection with the execution, delivery or performance by the Borrower of
this Agreement or any Transaction Document to which it is a party or the validity or enforceability
of this Agreement or any such Transaction Document or the Pledged Receivables, other than such as
have been met or obtained.

(d) The execution, delivery and performance of this Agreement and all other agreements and
instruments executed and delivered or to be executed and delivered pursuant hereto or thereto in
connection with the Pledge of the Collateral will not (i) create any Adverse Claim on the
Collateral or (ii) violate any provision of any existing law or regulation or any order or decree
of any court, regulatory body or administrative agency or the certificate of formation or limited
liability company agreement of the Borrower or any contract or other agreement to which the
Borrower is a party or by which the Borrower or any property or assets of the Borrower may be
bound.

(e) No litigation or administrative proceeding of or before any court, tribunal or
governmental body is presently pending or, to the knowledge of the Borrower, threatened against the
Borrower or any properties of Borrower or with respect to this Agreement or any other Transaction
Document, which, if adversely determined, could have a Material Adverse Effect on the business,
assets or financial condition of the Borrower or which would draw into question the legality,
validity or enforceability of this Agreement, any Transaction Document to which the Borrower is a
party or any of the other applicable documents forming part of the Collateral.

(f) In selecting the Receivables to be Pledged pursuant to this Agreement, no selection
procedures were employed which are intended to be adverse to the interests of the Lenders.

(g) The grant of the security interest in the Collateral by the Borrower to the Agent, for the
benefit of the Secured Parties pursuant to this Agreement, is in the ordinary course of business
for the Borrower and is not subject to the bulk transfer or any similar statutory provisions in
effect in any applicable jurisdiction. No such Collateral has been sold, transferred, assigned or
pledged by the Borrower to any Person, other than the Pledge of such Assets to the Agent, for the
benefit of the Secured Parties, pursuant to the terms of this Agreement or otherwise pursuant to
the express provisions of this Agreement.

(h) The Borrower has no Debt or other indebtedness other than Debt incurred under or
contemplated by the terms of the Transaction Documents.

 

46

 

(i) The Borrower has been formed solely for the purpose of engaging in the transactions
contemplated by the Transaction Documents.

(j) No injunction, writ, restraining order or other order of any nature adversely affects the
Borrower’s performance of its obligations under this Agreement or any Transaction Document to which
the Borrower is a party.

(k) The Borrower has filed (on a consolidated basis or otherwise) on a timely basis all tax
returns (including, without limitation, all foreign, federal, state, local and other tax returns)
required to be filed, is not liable for taxes payable by any other Person and has paid or made
adequate provisions for the payment of all material taxes, assessments and other governmental
charges due from the Borrower except for those taxes being contested in good faith by appropriate
proceedings and in respect of which no penalty may be assessed from such contest and it has
established proper reserves on its books. No tax lien or similar adverse claim has been filed, and
no claim is being asserted, with respect to any such tax, assessment or other governmental charge.
Any taxes, fees and other governmental charges payable by the Borrower, as applicable, in
connection with the execution and delivery of this Agreement and the other Transaction Documents
and the transactions contemplated hereby or thereby have been paid or shall have been paid if and
when due.

(l) The location of all the Borrower’s records regarding the Pledged Receivables (other than
those in the possession of the Custodian) is 300 Fellowship Road, Mt. Laurel, NJ 08054 and has been
such address at all times since the later of (a) the date of formation of the Borrower and (b) the
date that is five years prior to the Closing Date.

(m) (i) The Borrower’s legal name, type of organization and jurisdiction of organization is as
set forth in the first paragraph of this Agreement; (ii) the Borrower is not organized under the
law of more than one State; (iii) other than as disclosed on Schedule II hereto (as such schedule
may be updated from time to by the Agent upon receipt of a notice delivered to the Agent pursuant
to Section 6.19), the Borrower has not changed its name, type of organization or
jurisdiction of organization at any time since its formation; and (iv) the Borrower does not have
tradenames, fictitious names, assumed names or “doing business as” names other than as disclosed on
Schedule II hereto (as such schedule may be updated from time to by the Agent upon receipt of a
notice delivered to the Agent pursuant to Section 6.19).

(n) The Borrower is solvent and will not become insolvent after giving effect to the
transactions contemplated hereby; the Borrower is paying its debts as they become due; and the
Borrower, after giving effect to the transactions contemplated hereby, will have adequate capital
to conduct its business.

(o) The Borrower has no subsidiaries.

(p) The Borrower has given fair consideration and reasonably equivalent value in exchange for
the sale or contribution of the Pledged Receivables by Marlin under the Purchase and Contribution
Agreement. At the time of the pledge of the Collateral herein contemplated, the Borrower had good
and marketable title to the Collateral to be pledged by the Borrower to the Agent hereunder, for
the benefit of the Secured Parties (and its successors and assigns), free
and clear of all Adverse Claims. This Agreement constitutes a valid grant of a first priority
security interest to the Agent, for the benefit of the Secured Parties (and its successors and
assigns), of all right, title, and interest of the Borrower in, to and under the Collateral, free
and clear of any Adverse Claim of any Person claiming through or under the Borrower.

 

47

 

(q) No Monthly Remittance Report or Borrowing Base Certificate, information, exhibit,
financial statement, document, book, record or report furnished or to be furnished by or on behalf
of the Borrower to the Agent or the Lenders in connection with this Agreement is or will be
inaccurate in any material respect as of the date it is or shall be dated or (except as otherwise
disclosed in writing to the Agent or the Lenders, as the case may be, at such time) as of the date
so furnished, and no such document contains or will contain any material misstatement of fact or
omits or shall omit to state a material fact or any fact necessary to make the statements contained
therein, in the context of the circumstances under which they were made, not misleading.

(r) No proceeds of any Loans will be used by the Borrower (i) for any purpose which violates,
or would be inconsistent with, Regulation T, U or X promulgated by the Board of Governors of the
Federal Reserve System or (ii) to acquire any security in any transaction, which is subject to
Section 13 or 14 of the Securities Exchange Act of 1934, as amended.

(s) There are no agreements in effect adversely affecting the rights of the Borrower to make,
or cause to be made, the collateral assignment or grant of the security interest in the Collateral
contemplated by Section 2.10 or Section 2.11.

(t) The Borrower is not an “investment company” or “promoter” or “principal underwriter” for
an “investment company” as such terms are defined in the Investment Company Act of 1940, as
amended, nor is the Borrower otherwise subject to regulation thereunder.

(u) No Event of Default or Unmatured Event of Default has occurred and is continuing. Since
its formation, there has been no change in the business, operations, financial condition,
properties or assets of the Borrower or any ERISA Affiliate thereof which would have a material
adverse effect on its ability to perform its obligations under this Agreement or the other
Transaction Documents to which it is a party or materially adversely affect the transactions
contemplated under this Agreement or the other Transaction Documents;

(v) Each of the Pledged Receivables was underwritten and is being serviced in conformance with
Marlin’s standard underwriting, credit, collection, operating and reporting procedures and systems
(including, without limitation, the Credit and Collection Policy).

(w) The Borrower is in compliance with ERISA and has not incurred and does not expect to incur
any liabilities (except for premium payments arising in the ordinary course of business) to the
Pension Benefit Guaranty Corporation (or any successor thereto) under ERISA.

(x) There is not now, nor will there be at any time in the future, any agreement or
understanding between (i) any originator or the Servicer (as long as the Servicer is Marlin or any
Affiliate of Marlin) (ii) and the Borrower (other than as expressly set forth herein), providing
for the allocation or sharing of obligations to make payments or otherwise in respect of any taxes,
fees, assessments or other governmental charges.

 

48

 

(y) Each Contract is owned by the Borrower free and clear of any Adverse Claim; and the Agent
(for the benefit of the Secured Parties and its successors and assignees) has acquired a valid and
perfected first priority security interest in each Contract and in the Related Security (including
the Equipment), Collections and other Collateral with respect thereto, in each case free and clear
of any Adverse Claims; no effective UCC financing statement or other instrument similar in effect
is filed in any recording office listing the Borrower as debtor, covering any Contract, Related
Security (including the Equipment), Collections or other Collateral; and there is no grant of a
lien or financing statement of record that relates to leases, equipment and related assets of
Marlin or the Borrower that is not limited to a specific list of leases (identified by lease
number, lessee and other appropriate identifying information) and assets related thereto.

(z) None of the Lockbox, Lockbox Account or general operating account of Marlin is subject to
a lien of any third party.

(aa) [Reserved].

(bb) None of the Borrower, any Subsidiary or any Affiliate of the Borrower (i) is a Sanctioned
Person, (ii) has more than 10% of its assets in Sanctioned Countries or (iii) derives more than 10%
of its operating income from investments in, or transactions with Sanctioned Persons or Sanctioned
Countries. The proceeds of any Borrowing will not be used and have not been used to fund any
operations in, finance any investments or activities in or make any payments to, a Sanctioned
Person or a Sanctioned Country

(cc) To the extent applicable, each of the Borrower, Marlin and their Affiliates is in
compliance, in all material respects, with the (a) Trading with the Enemy Act, as amended, and each
of the foreign assets control regulations of the United States Treasury Department (31 CFR,
Subtitle B, Chapter V, as amended) and any other enabling legislation or executive order relating
thereto, and (b) Uniting and Strengthening America by Providing Appropriate Tools Required to
Intercept and Obstruct Terrorism (USA Patriot Act of 2001) (the “Patriot Act”). No part of
the proceeds of any Borrowing made hereunder will be used, directly or indirectly, for any payments
to any governmental official or employee, political party, official of a political party, candidate
for political office or anyone else acting in an official capacity, in order to obtain, retain or
direct business or obtain any improper advantage, in violation of the United States Foreign Corrupt
Practices Act of 1977, as amended.

(dd) The factual assumptions set forth in the legal opinions of Dewey & LeBoeuf LLP, as
special counsel to Marlin, the Parent and the Borrower, issued in connection with the Purchase and
Contribution Agreement and relating to the issues of security interest, substantive consolidation
with respect to the Borrower and true sale of the Conveyed Receivables are true and correct both
before and after giving effect to the transactions contemplated hereby.

Section 4.02. Perfection Representations, Warranties and Covenants. The Borrower hereby makes
each of the representations and warranties on the attached Schedule V.

 

49

 

Section 4.03. Resale of Receivables upon Breach of Covenant or Representation and Warranty by
Borrower. The Borrower shall, or shall cause the Servicer to, inform the other
parties to this Agreement promptly, in writing, upon the discovery of any breach of the
representations, warranties and/or covenants contained in Section 4.01; provided that the
failure to provide any such notice shall not diminish, in any manner whatsoever, any obligation of
the Borrower under this Section 4.03 to resell any Pledged Receivable. Notwithstanding the
foregoing, the Servicer (if other than Marlin or an Affiliate thereof) shall be under no obligation
to determine whether there is a breach of the representations, warranties and/or covenants
contained in Section 4.01 or Section 4.02 and shall only be required to inform the
other parties to this Agreement of any such breach to the extent a responsible officer of the
Servicer has actual knowledge thereof. Upon the discovery by or notice to the Borrower of any such
breach that also constitutes a Marlin Purchase Event, the Borrower shall have an obligation to, and
the Borrower shall, resell to Marlin pursuant to the Purchase and Contribution Agreement (and the
Agent may directly enforce such obligation of the Borrower to sell) any Pledged Receivable
adversely affected by any such breach. The Servicer shall notify the Agent promptly, in writing,
of any failure by the Borrower to so resell any such Pledged Receivable. In connection with the
resale of such Pledged Receivable, the Borrower shall remit funds in an amount equal to the Release
Price for such Pledged Receivable to the Collection Account on the date of such resale. It is
understood and agreed that the obligation of the Borrower to resell to Marlin, and the obligation
of Marlin to purchase, any Receivables which are adversely affected by a Marlin Purchase Event is
not intended to, and shall not, constitute a guaranty of the collectability or payment of any
Receivable which is not collected, not paid or uncollectible solely on account of the insolvency,
bankruptcy or financial inability to pay of the related Obligor.

Section 4.04. Representations and Warranties of the Backup Servicer, Custodian and the Agent’s
Bank. Each of the Backup Servicer, Custodian and the Agent’s Bank hereby represents and warrants,
as of the Closing Date, as follows:

(a) Such Person is (i) a corporation duly organized, validly existing and in good standing
under the laws of the jurisdiction of its incorporation or (ii) a national banking association duly
organized, validly existing and in good standing under the laws of the United States of America.
Such Person has the power and all licenses necessary to own its assets and to transact the business
in which it is engaged (which includes performing its obligations under the Transaction Documents)
and is duly qualified and in good standing under the laws of each jurisdiction where its
performance under the Transaction Documents requires such qualification except where the failure to
be so qualified would not have a Material Adverse Effect.

(b) Such Person has the power, authority and legal right to make, deliver and perform this
Agreement and each of the Transaction Documents to which it is a party and all of the transactions
contemplated hereby and thereby, and has taken all necessary action to authorize the execution,
delivery and performance of this Agreement and each of the Transaction Documents to which it is a
party. This Agreement and each of the Transaction Documents to which such Person is a party
constitutes the legal, valid and binding obligation of such Person, enforceable against it in
accordance with their respective terms, except as the enforceability hereof and thereof may be
limited by bankruptcy, insolvency, moratorium, reorganization and other similar laws of general
application affecting creditors’ rights generally and by general principles of equity (whether such
enforceability is considered in a proceeding in equity or at law). No consent of any other party
and no consent, license, approval or authorization of, or registration or declaration with, any
governmental authority, bureau or agency is required in connection with
the execution, delivery or performance by such Person of this Agreement or any Transaction
Document to which it is a party or the validity or enforceability of this Agreement or any such
Transaction Document, other than such as have been met or obtained.

 

50

 

(c) The execution, delivery and performance of this Agreement by such Person and all other
agreements and instruments executed and delivered or to be executed and delivered by such Person
pursuant hereto or thereto will not  violate any provision of any existing law or regulation or any
order or decree of any court, regulatory body or administrative agency or the certificate of
incorporation or by-laws of such Person or any material contract or other agreement to which such
Person is a party or by which such Person or any of its property or assets may be bound.

(d) To the knowledge of such Person, no litigation or administrative proceeding of or before
any court, tribunal or governmental body is presently pending or, to the knowledge of such Person,
threatened against such Person or any properties of such Person or with respect to this Agreement,
which, if adversely determined, could have a Material Adverse Effect on the business, assets or
financial condition of such Person or which would draw into question the legality, validity or
enforceability of this Agreement or any Transaction Document to which such Person is a party.

(e) No injunction, writ, restraining order or other order of any nature adversely affects such
Person’s performance of its obligations under this Agreement or any Transaction Document to which
such Person is a party.

(f) No information, exhibit, financial statement, document, book, record or report furnished
or to be furnished by such Person to the Agent or the Lenders in connection with this Agreement is
or will be inaccurate in any material respect, and no such document contains or will contain any
material misstatement of fact or omits or shall omit to state a material fact or any fact necessary
to make the statements contained therein, in the context of the circumstances under which they were
made, not misleading.

ARTICLE V

GENERAL COVENANTS OF THE BORROWER AND THE SERVICER

Section 5.01. General Covenants. The representations, warranties, covenants and agreements of
the Borrower and the Servicer under this Agreement shall be several and not joint.

(a) The Borrower will observe all limited liability company procedures required by its
certificate of formation, limited liability company agreement, articles of organization and the
laws of its jurisdiction of formation. The Borrower will maintain its limited liability company,
existence in good standing under the laws of its jurisdiction of formation and will promptly obtain
and thereafter maintain qualifications to do business as a foreign limited liability company in any
other state in which it does business and in which it is required to so qualify under applicable
law.

 

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(b) The Borrower will at all times (i) ensure that its members act independently and in its
interests and in the interests of its creditors, (ii) be managed by a managing member with at
least two “Independent Directors,” each of which (A) is not, and never was (x) a stockholder,
partner, member, director, officer, employee, affiliate, counsel, associate, customer or suppler
of, or any individual that has received any benefit (except as expressly permitted pursuant to the
relevant organic document) in any form whatever from, or any individual that has provided any
service (except as expressly permitted pursuant to the relevant organic document) in any form
whatever to the Borrower or any of its Affiliates or associates, or (y) (I) an individual owning
beneficially, directly or indirectly, any membership interest in the Borrower or any of its
Affiliates or associates or (II) a stockholder, partner, member, director, officer, employee,
affiliate, associate, customer or supplier of, or any individual that has received any benefit
(except as expressly permitted pursuant to the relevant organic document) in any form whatever
from, or any individual that has provided any service (except as expressly permitted pursuant to
the relevant organic document) in any form whatever to, such beneficial owner or any of such
beneficial owner’s Affiliates, subsidiaries, parents or associates; provided, that the ownership of
up to 5% of any class of stock of a corporation listed on a national securities exchange shall not
prevent an individual from being an Independent Director; and (B) has (x) prior experience as an
independent director for a corporation whose charter documents required the unanimous consent of
all independent directors thereof before such corporation could consent to the institution of
bankruptcy or insolvency proceedings against it or could file a petition seeking relief under any
applicable federal or state law relating to bankruptcy and (y) at least three years of employment
experience with one or more entities that provide (in the ordinary course of their businesses)
advisory, management or placement services to issuers of securitization or structured finance
instruments, agreements or securities, it being understood that CSC Entity Services LLC is such an
entity, (iii) ensure its assets are not commingled with those of Marlin or any other Affiliate of
the Borrower, (iv) maintain separate records and books of account from those of Marlin or any other
Affiliate of the Borrower, (v) conduct its business from an office separate from Marlin or any
other Affiliate of the Borrower, (vi) maintain its assets separately from the accounts of any other
Person (including through the maintenance of a separate bank account), (vii) pay from its assets
all obligations and indebtedness of any kind incurred by it, and refrain from paying from its
assets any obligations or indebtedness of any other entity or Person, (vi) conduct its business in
its own name, (viii) maintain separate financial statements, showing its assets and liabilities
separate and apart from those of any other Person or entity, (ix) observe all corporate and other
organizational formalities, as appropriate for its organizational structure, (x) maintain an arm’s
length relationship with its Affiliates and associates and enter into transactions with Affiliates
and associates only on a commercially reasonable basis, (xi) pay the salaries of its own employees
from its own funds, (xii) maintain a sufficient number of employees in light of its contemplated
business operations, (xiii) refrain from acquiring any obligations or securities of its Affiliates,
associates or owners, including partners, members or shareholders, as appropriate, (xiv) allocate
fairly and reasonably any overhead expenses that are shared with an Affiliate or associate,
including paying for office space and services performed by any employee of an Affiliate or
associate, (xv) use separate stationary, invoices and checks bearing its own name, (xvi) maintain a
separate identity, (xvii) correct any known misunderstanding regarding its separate identity,
(xvii) refrain from identifying itself as a division of any other Person or entity and (xviii)
maintain adequate capital in light of its contemplated business operations. The Borrower will pay
its operating expenses and liabilities from its own assets; provided that the Borrower’s
organizational expenses and the expenses in connection with the negotiation and execution of this
Agreement and the other Transaction Documents may be paid by Marlin.

 

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(c) The Borrower will not have any of its indebtedness guaranteed by Marlin or any Affiliate
of Marlin. Furthermore, the Borrower will not hold itself out, or permit itself to be held out, as
having agreed to pay or as being liable for the debts of Marlin, and the Borrower will not engage
in business transactions with Marlin, except on an arm’s-length basis. The Borrower will not hold
Marlin out to third parties as other than an entity with assets and liabilities distinct from the
Borrower. The Borrower will not act in any other manner that could foreseeably mislead others with
respect to the Borrower’s separate identity.

(d) The Borrower shall take all other actions necessary to maintain the accuracy of the
factual assumptions set forth in the legal opinions of Dewey & LeBoeuf LLP, as special counsel to
Marlin, the Parent and the Borrower, issued in connection with the Purchase and Contribution
Agreement and relating to the issues of security interests, substantive consolidation with respect
to the Borrower and true sale of the Conveyed Receivables.

(e) Except as otherwise provided herein or in any other Transaction Document, the Borrower
shall not sell, assign (by operation of law or otherwise) or otherwise dispose of, or create or
suffer to exist any Adverse Claim upon or with respect to, any Pledged Receivable, any Collections
related thereto or any other Collateral related thereto, or upon or with respect to any account to
which any Collections of any Receivable are sent, or assign any right to receive income in respect
thereof. Except as otherwise provided herein or in any other Transaction Document, the Borrower
shall not create or suffer to exist any Adverse Claim upon or with respect to any of the Borrower’s
assets. Except as otherwise provided herein or in any other Transaction Document, the Servicer
shall not create, or permit any action to be taken by any Person to create, any Adverse Claim upon
or with respect to any of the Borrower’s assets.

(f) The Borrower will not merge or consolidate with, or convey, transfer, lease or otherwise
dispose of (whether in one transaction or in a series of transactions), all or substantially all of
its assets (whether now owned or hereafter acquired) other than, with respect to asset
dispositions, in connection with a permitted prepayment, including without limitation, a Take-Out
Securitization or a Whole Loan Transaction, or acquire all or substantially all of the assets or
capital stock or other ownership interest of any Person, in each case without the prior written
consent of the Agent.

(g) The Borrower will not account for or treat (whether in financial statements or otherwise)
the transactions contemplated by the Purchase and Contribution Agreement in any manner other than a
sale or capital contribution and absolute assignment of Receivables, Related Security and Other
Conveyed Property by Marlin to the Borrower constituting a “true sale” for bankruptcy purposes, it
being understood that the Loans to the Borrower under this Agreement will be treated as debt on the
consolidated financial statements of Marlin.

(h) The Borrower will not amend, modify, waive or terminate any terms or conditions of the
Purchase and Contribution Agreement without the prior written consent of the Agent, and shall
perform its obligations thereunder.

(i) Without the prior written consent of the Agent, the Borrower will not (i) amend, modify or
otherwise make any change to its certificate of formation or limited liability company agreement
(including, without limitation, any change to its legal name, jurisdiction of
organization or type of organization) nor (ii) change the location of such Person’s records
regarding the Pledged Receivables (other than those delivered to the Custodian).

 

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(j) Without the prior written consent of the Agent, neither the Borrower nor the Servicer (as
long as the Servicer is Marlin or any Affiliate of Marlin) will make or allow to be made any
material amendment to the Credit and Collection Policy applicable to the Pledged Receivables.
Without the prior written consent of the Agent, neither the Borrower nor the Servicer will
terminate or make or allow to be made any material amendment to the First Data Agreement, the
Invoice Management Agreement or the Lockbox Agreement.

(k) The Servicer shall direct the Obligor of each Pledged Receivable to remit all Collections
owed by such Obligor to the Lockbox, for further application in accordance with the terms hereof.
Pursuant to the terms of the First Data Agreement, payments, including Collections, mailed to the
Lockbox shall be processed by the Lockbox Agent on each Business Day, and either (i) in the case of
any payment identified as Collections, remitted to the Collection Account on such Business Day,
(ii) in the case of any payment identified as other than Collections, otherwise remitted pursuant
to the terms of the First Data Agreement, or (iii) in the case of any payment that cannot be
identified or properly processed, remitted to the Servicer on such Business Day for further
identification and processing. Pursuant to the terms of the First Data Agreement, payments mailed
to the Lockbox on any Business Day and identified as Collections, shall be remitted to the
Collection Account on the same Business Day. The Servicer shall remit all Collections received by
it (whether as a remittance from the Lockbox Agent, directly from an Obligor or otherwise) to the
Collection Account within two Business Days of Servicer’s receipt thereof (and shall ensure that
only funds constituting Collections shall be deposited into the Collection Account) and shall hold
all Collections in trust for the benefit of the Agent pending deposit of the same into the
Collection Account. The Servicer shall ensure that each of the Agent and Backup Servicer has
access to account information relating to Collections on each Business Day with respect to all
deposits, withdrawals and reconciliations with respect to the Lockbox and the Lockbox Account. The
Borrower shall ensure that each of the Agent and Backup Servicer has access to account information
on each Business Day with respect to all deposits, withdrawals and reconciliations with respect to
the Reserve Account and the Collection Account. Notwithstanding anything to the contrary contained
herein, on any day prior to the date that is 90 days following the Closing Date, Collections
remitted to the Lockbox on any Business Day may be remitted by the Lockbox Agent to the Lockbox
Account or to the Servicer on such Business Day for further remittance by the Servicer to the
Collection Account within two Business Days of the Servicer’s receipt thereof and otherwise in
accordance with the terms hereof.

(l) If the Borrower receives any Collections, the Servicer (on behalf of the Borrower) will
remit such Collections to the Collection Account within two Business Days of the Borrower’s receipt
thereof (and shall use its best efforts to ensure that only funds constituting Collections shall be
deposited into the Collection Account).

(m) The Borrower shall deliver or cause to be delivered to the Custodian four Business Days
prior to the initial Borrowing Date hereunder and three Business Days prior to any other Borrowing
Date hereunder a Notice of Pledge and each item in the possession of the
Borrower listed in the definition of Receivable File with respect to the Receivables being
Pledged hereunder on such Borrowing Date.

 

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(n) The Borrower shall deliver to the Agent on each Purchase Date a copy of the Assignment
delivered to it on such Purchase Date.

(o) Each of the Servicer and the Borrower shall promptly notify the Agent of the occurrence of
any Servicer Default, Event of Default and/or Unmatured Event of Default.

(p) The Borrower and Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin)
covenant that the terms of the Contracts relating to each Pledged Receivable shall require the
related Obligor to maintain one or more Insurance Policies of a type customary for the equipment
covered thereby.

(q) The Borrower hereby makes each of the covenants on the attached Schedule V.

(r) [Reserved].

(s) The Borrower shall promptly upon receipt thereof deliver to the Agent (i) any notices
received that the Lockbox or any Lockbox Account has become subject to any writ, judgment, warrant
of attachment, execution or similar process, (ii) upon the Agent’s request, the monthly statement
of accounts delivered by the Lockbox Bank with respect to the Lockbox and the Lockbox Account and
(iii) upon the Agent’s request, any reports delivered by the Lockbox Agent.

(t) [Reserved].

(u) The Borrower shall cause delivery of each of the reports required to be delivered pursuant
to Section 6.12(e), (f) and (g).

(v) The Borrower shall not engage in any business other than the purchases of Contracts,
related Equipment, Related Security and other Collateral from an originator pursuant to the
Purchase and Contribution Agreement, and such other activities as contemplated by the Transaction
Documents. The Borrower shall not incur any Debt or other indebtedness other than Debt incurred
under or contemplated by the terms of the Transaction Documents.

(w) The Borrower shall not (i) cancel, terminate, extend, amend, modify or waive (or consent
to or approve any of the foregoing) any provision of any Transaction Document (including, without
limitation, the Purchase and Contribution Agreement) to which it is a party except as otherwise
permitted under Section 10.01 or (ii) take or consent to any other action that may impair
the rights of the Agent or the Secured Parties in any Collateral or modify, in a manner adverse to
the Secured Parties, the right of the Borrower, the Agent or the Lenders to demand or receive
payment under any Transaction Document.

(x) The Borrower shall not terminate or reject any Contract prior to the end of the term of
such Contract, whether such rejection or early termination is made pursuant to an equitable cause,
statute, regulation, judicial proceeding or other applicable law (including, without limitation,
Section 365 of the Bankruptcy Code), unless (i) with respect to Defaulted
Receivables, the Borrower has determined in good faith that such termination or rejection will
maximize the recovery thereon, or (ii) with respect to terminations, such termination is the result
of a prepayment of the Pledged Receivable, the amount of which equals or exceeds the Discounted
Balance of such Pledged Receivable (including, without duplication, any delinquent amounts
thereunder and any applicable Hedge Breakage Costs).

 

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(y) The Borrower shall not enter into, or be a party to, any transaction with any Affiliate of
the Borrower, except for:

(i) the transactions contemplated hereunder, by the Purchase and Contribution Agreement
and the other Transaction Documents;

(ii) other transactions in the nature of employment contracts and directors’ fees, upon
fair and reasonable terms materially no less favorable to the Borrower than would be
obtained in a comparable arm’s-length transaction with a Person not an Affiliate; and

(iii) with respect only to transactions between the Borrower and Marlin, transactions
in the ordinary course of business between a parent corporation and its subsidiary.

(z) The Borrower shall take all steps necessary, under all applicable law, in order to
(i) cause a valid, subsisting and enforceable first priority perfected security interest (or
back-up security interest in the case of a true lease) to exist in favor of the Agent (for the
benefit of the Secured Parties) in the Borrower’s interests in the Collateral in which a security
interest can be perfected by filing or possession under the UCC (and the proceeds thereof) being
Pledged hereunder, to secure a Loan on the Borrowing Date thereof including (A) the filing of a UCC
financing statement in the applicable jurisdiction adequately describing the Borrower’s interest in
the Equipment, Related Security and Other Conveyed Property and naming the Borrower as debtor and
the Agent as the secured party, and (B) filing Obligor Financing Statements against all Obligors,
(ii) ensure that such security interest is and shall be prior to all other liens upon and security
interests in the Borrower’s interests in such Collateral that now exist, or may hereafter arise or
be created other than Permitted Liens, and (iii) ensure that immediately prior to the Pledge of
such Receivable by the Borrower to the Agent (for the benefit of the Secured Parties), such
Equipment, Related Security and Other Conveyed Property and all other Collateral is free and clear
of all Adverse Claims other than Permitted Liens.

(aa) The Servicer shall (i) pay all material taxes, assessments, fines, fees and other
liabilities of which it has knowledge or notice with respect the Contracts before they become
delinquent, and (ii) make all filings in respect of any such taxes, assessments, fines, fees or
other liabilities of which it has knowledge or notice on a timely basis.

 

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(bb) The Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin), with respect
to each Contract, by the Borrowing Date on which such Contract is Pledged hereunder and on each
relevant date thereafter, shall cause its master computer records relating to such Contract to be
clearly and unambiguously marked to show that such Contract has been sold or
contributed to the Borrower under the Purchase and Contribution Agreement and Pledged under
this Agreement.

(cc) The Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) shall ensure
that none of the Lockbox, Lockbox Account or general operating account of Marlin is or becomes
subject to a lien of any third party.

ARTICLE VI

ADMINISTRATION AND SERVICING; CERTAIN COVENANTS

Section 6.01. Appointment and Designation of the Servicer. (a) The Borrower, the Lenders and
the Agent hereby appoint Marlin (the “Servicer”) as their agent to service, administer and collect
the Pledged Receivables and otherwise to enforce their respective rights and interests in and under
the Pledged Receivables and the other Collateral. The Servicer shall collect such Pledged
Receivables under the conditions referred to above by means of the collection procedures as set
forth in the Credit and Collection Policy, to the extent consistent with the provisions of this
Article VI. Unless otherwise specified by the Borrower, the Servicer’s authorization under
this Agreement shall terminate on the Collection Date. Marlin hereby agrees to perform the duties
and obligations of the Servicer pursuant to the terms hereof at all times, until the earliest to
occur of (i) the Agent’s designation of a new Servicer pursuant to Section 6.26, (ii) the
delivery by the Agent of its written consent to the appointment by the Borrower of a new Servicer,
and (iii) the Collection Date. Each of the Borrower and Marlin hereby grants to any successor
Servicer an irrevocable power of attorney to take any and all steps in the Borrower’s, Marlin’s or
the Servicer’s name, as applicable, and on behalf of the Borrower or Marlin, necessary or
desirable, in the determination of such successor Servicer, to service, administer or collect any
and all Pledged Receivables and other Collateral.

(b) The Servicer is hereby authorized to act for the Borrower and the Agent and, in such
capacity, shall manage, service, administer and make collections on the Pledged Receivables and
other Collateral and perform the other actions required by the Servicer under this Agreement for
the benefit of the Borrower, the Agent and the Secured Parties, as applicable. The Servicer agrees
that its servicing of the Pledged Receivables shall be carried out in accordance with customary and
usual procedures of institutions which service equipment lease contracts and receivables and, to
the extent more exacting, the degree of skill and attention that the Servicer exercises, from time
to time, with respect to all comparable equipment lease contracts and receivables that it services
for itself or others (or that it formerly serviced for itself or others) in accordance with the
Credit and Collection Policy and, to the extent more exacting, the requirements of this
Article VI. The Servicer’s duties shall include, without limitation, collecting and
posting of all Collections in accordance with this Agreement (including Section 5.01(k) hereof),
responding to inquiries of Obligors on the Pledged Receivables, investigating delinquencies,
sending invoices, payment statements or payment books to Obligors, reporting any required tax
information to Obligors, policing the collateral, enforcing the terms of the Contracts (and any
documents related thereto) related to any Pledged Receivables and Collateral, accounting for
Collections, furnishing monthly statements to the Agent with respect to distributions, performing
such other related duties as reasonably requested by the Borrower, the Agent or the Lenders and
performing the other duties specified herein.

 

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(c) The Servicer shall have full power and authority, acting alone, to do any and all things
in connection with such managing, servicing, administration and collection that it may deem
necessary or desirable. The Servicer is authorized to release liens on Equipment in order to
collect Insurance Proceeds with respect thereto and to liquidate such Equipment or otherwise
realize upon any Related Security in accordance with its Credit and Collection Policy, policies and
procedures; provided that, notwithstanding the foregoing, the Servicer shall not (i) except
pursuant to an order from a court of competent jurisdiction, release an Obligor from payment of any
unpaid amount under any Pledged Receivable or (ii) waive the right to collect the unpaid balance of
any Pledged Receivable from such Obligor, except that, subject to Section 6.02(a), the
Servicer may forego collection efforts if the amount which the Servicer, in its reasonable
judgment, expects to realize in connection with such collection efforts is determined by the
Servicer, in its reasonable judgment, to be less than the reasonably expected costs of pursuing
such collection efforts and if the Servicer would forego such collection efforts in accordance with
its customary procedures. The Servicer is hereby authorized to commence, in its own name (in its
capacity as Servicer) to the extent possible, or in the name of the Borrower, the Agent or a Lender
(provided that if the Servicer is acting in the name of the Borrower, the Agent or the Lender, the
Servicer shall have obtained the Borrower’s, the Agent’s or the Lender’s consent, as the case may
be, which consent shall not be unreasonably withheld), a legal proceeding to enforce any Pledged
Receivable (or any terms or provisions of the related Contract) or to commence or participate in
any other legal proceeding (including, without limitation, a bankruptcy proceeding) relating to or
involving a Pledged Receivable or any related Contract, Obligor, Equipment, Related Security or
Collateral. If the Servicer commences or participates in such a legal proceeding in its own name,
the Borrower, the Agent or the Lenders, as the case may be, shall thereupon be deemed to have
automatically assigned such Pledged Receivable to the Servicer solely for purposes of commencing or
participating in any such proceeding as a party or claimant, and the Servicer is authorized and
empowered by the Borrower, the Agent or the Lenders, as the case may be, to execute and deliver in
its own name any notices, demands, claims, complaints, responses, affidavits or other documents or
instruments in connection with any such proceeding. The Borrower, the Agent or the Lenders, as the
case may be, shall furnish the Servicer with any powers of attorney and other documents which the
Servicer may reasonably request in writing and which the Servicer deems necessary or appropriate
and take any other steps which the Servicer may deem necessary or appropriate to enable the
Servicer to carry out its servicing and administrative duties under this Agreement. If, however,
in any suit or legal proceeding it is held that the Servicer may not prosecute such suit or legal
proceeding on the grounds that it is not an actual party in interest or a holder entitled to
enforce such suit or legal proceeding, the Borrower shall take such steps as the Servicer deems
necessary to prosecute such suit or legal proceeding, including bringing suit in its name.

(d) Notwithstanding the foregoing provisions or any other provision herein, after the
occurrence and during the continuation of an Event of Default or Servicer Default or after the
termination of the Servicer pursuant to Section 6.26 or the occurrence of the Program
Termination Date, the Servicer (i) shall not amend, waive or otherwise modify any Pledged
Receivable or Contract in any manner without the prior written consent of the Agent, (ii) shall
take (or refrain from taking, as applicable) such actions regarding the enforcement of the Pledged
Receivables and Contracts and other contracts with the Obligors as directed by the Agent and (iii)
shall contact (or shall refrain from contacting, as applicable) the Obligors of the Pledged
Receivables as directed by the Agent.

 

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(e) The Servicer shall hold all Contracts, Receivable Files and other Collateral which are in
its possession from time to time in trust for the benefit of the Agent and not for the benefit of
itself or any other Person. While in possession of the Contracts, Receivable Files and other
Collateral, the Servicer agrees that it does not and will not have or assert any beneficial
ownership interest in any Contracts, the Receivable Files, Records or other documents related to
the Contracts, the related Equipment, Related Security or other Collateral.

Section 6.02. Administration and Collection of Receivable Payments; Modification and Amendment
of Receivables. (a) Consistent with and subject to the standards, policies and procedures required
by this Agreement, the Servicer shall collect all payments called for under the terms and
provisions of the Contracts related to the Pledged Receivables (and the terms and provisions of any
documents related thereto) as and when the same shall become due and shall follow such collection
procedures with respect to the Pledged Receivables and the related Contracts and Insurance Policies
as will, in the reasonable judgment of the Servicer, maximize the amount to be received by the
Borrower and the Lenders with respect thereto.

(b) The Servicer will remit all Collections received by it to the Collection Account within
two Business Days of Servicer’s receipt thereof (and shall ensure that only funds constituting
Collections shall be deposited into the Collection Account) and shall hold all Collections in trust
for the benefit of the Agent pending deposit of the same into the Collection Account.

(c) The Servicer may, in accordance with its Credit and Collection Policy, waive any Servicing
Charges or any other fees that may be collected in the ordinary course of servicing any Contract.
The Servicer may waive, modify or vary any other terms of any Contract or consent to the
postponement of strict compliance with any such term, in accordance with the Credit and Collection
Policy, if in the Servicer’s reasonable and prudent determination such waiver, modification or
postponement is not adverse to the Agent or the Lenders; provided that the Servicer shall not,
without the consent of the Agent, (i) forgive any payment of a Scheduled Payment, (ii) decrease the
amount of any Scheduled Payment, (iii) extend the maturity date of any Contract or (iv) extend the
time for performance for any payment under such Contract except, in each case, in accordance with
the Credit and Collection Policy.

Section 6.03. Realization upon Receivables. Consistent with the standards, policies and
procedures required by this Agreement, the Servicer shall use its best efforts to repossess (or
otherwise comparably convert the ownership of) and liquidate any Equipment securing a Pledged
Receivable with respect to which the Servicer has determined that payments thereunder are not
likely to be resumed, as soon as is practicable after default on such Pledged Receivable but in no
event later than would be customary under the circumstances involved (as determined in accordance
with the Credit and Collection Policy) and, in any case, in a manner as will, in the reasonable
judgment of the Servicer, maximize the amount to be received by the Borrower and the Lenders with
respect thereto; provided that the Servicer need not repossess (or otherwise comparably convert the
ownership of) and liquidate the Equipment securing such a Pledged Receivable if, in the reasonable
opinion of the Servicer, the value of such Equipment does not exceed the cost to repossess (or
otherwise comparably convert the ownership of) and liquidate such Equipment. The Servicer is
authorized to follow such customary practices and procedures as it shall deem necessary or

 

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advisable, consistent with the standard of care required by Section 6.01, which practices and procedures may include reasonable efforts to realize
upon any guaranties or other Related Security, selling the related Equipment at public or private
sale, the submission of claims under an Insurance Policy and other actions by the Servicer,
including without limitation, repossession (or otherwise comparably converting the ownership) of
the Equipment and obtaining a substitute Obligor on such Receivable, in order to realize upon such
Pledged Receivable. The foregoing is subject to the provision that, in any case in which the
Equipment shall have suffered damage, the Servicer shall not expend funds in connection with any
repair or towards the repossession of such Equipment, unless it shall determine in its discretion
that such repair and/or repossession shall increase the proceeds of liquidation of the related
Pledged Receivable by an amount greater than the amount of such expenses. All Liquidation Proceeds
shall be remitted directly by the Servicer to the Collection Account without deposit into any
intervening account as soon as practicable, but in no event later than two Business Days after
receipt thereof. The Servicer shall pay on behalf of the Borrower any personal property taxes
assessed on repossessed Equipment.

Section 6.04. Insurance Regarding Equipment. Without limiting the effect of any other
provision hereof, the Servicer shall monitor the status of the Insurance Policies required under
the Contracts in accordance with the terms of the Credit and Collection Policy and its customary
servicing procedures. The Servicer shall determine whether each Obligor has obtained and maintains
the Insurance Policies required under the Contracts, and, if any Obligor lacks such insurance
coverage, the Servicer shall make all commercially reasonable efforts to enforce all rights under
the related Contract to ensure that such Obligor obtains such insurance coverage; provided, that at
no time shall Contracts without evidence of insurance exceed 20% of all Pledged Receivables.

Section 6.05. Maintenance of Security Interests in Collateral. (a) The Servicer (as long as
the Servicer is Marlin or any Affiliate of Marlin) shall take all steps necessary, under all
applicable law, in order to (i) cause a valid, subsisting and enforceable first priority perfected
security interest (or back-up security interest in the case of a true lease) to exist in favor of
the Agent (for the benefit of the Secured Parties) in the Borrower’s interests in such Equipment,
Related Security and Other Conveyed Property related to each Receivable and all other Collateral in
which a security interest can be perfected by filing or possession under the UCC (and the proceeds
thereof) being Pledged hereunder (together, the “First Priority Assets”), to secure a Loan on the
Borrowing Date thereof including (A) the filing of a UCC financing statement in the applicable
jurisdiction adequately describing the Borrower’s interest in the Equipment, Related Security and
Other Conveyed Property and naming the Borrower as debtor and the Agent as the secured party, and
(B) filing Obligor Financing Statements against all applicable Obligors, (ii) ensure that such
security interest is and shall be prior to all other liens upon and security interests in the
Borrower’s interests in such First Priority Assets (and the proceeds thereof) that now exist, or
may hereafter arise or be created other than Permitted Liens, and (iii) ensure that immediately
prior to the Pledge of such Receivable by the Borrower to the Agent (for the benefit of the Secured
Parties), such Equipment, Related Security and Other Conveyed Property and all other Collateral is
free and clear of all Adverse Claims other than Permitted Liens.

 

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(b) The Servicer shall take all steps, as are necessary (subject to Section 6.05(a)),
to maintain perfection of the security interest in the Borrower’s interests in the Equipment,
Related
Security and Other Conveyed Property related to each Pledged Receivable and all other
Collateral (and the proceeds thereof) in favor of the Agent; provided that if the Servicer is not
Marlin or any Affiliate of Marlin, the Servicer shall only be responsible for the perfection of the
Borrower’s interests in the Equipment, Related Security and Other Conveyed Property related to each
Pledged Receivable and all other Collateral (and the proceeds thereof) as directed by the Agent,
for the benefit of the Secured Parties, including, without limitation, obtaining the execution by
the Borrower and the recording, registering, filing, re-recording, refiling, and reregistering of
all security agreements, financing statements and continuation statements as are necessary to
maintain and/or perfect such security interests granted by the Borrower. Without limiting the
generality of the foregoing, the Borrower and the Agent each hereby authorizes the Servicer, and
the Servicer agrees, to take any and all steps necessary to re-perfect the security interest in the
Borrower’s interests in any Equipment (and the Borrower’s interests therein), Related Security and
Other Conveyed Property related to each Pledged Receivable and all other Collateral (and the
proceeds thereof) in favor of the Agent, for the benefit of the Secured Parties, as may be
necessary, due to the relocation of the Equipment and all other Collateral or Obligor or for any
other reason.

Section 6.06. No Rights of Withdrawal. Until the Collection Date, neither the Servicer nor
Borrower shall have any rights of withdrawal or control, with respect to amounts held in the
Collection Account, the Reserve Account, the Lockbox Account or the Lockbox, except with respect to
funds not related to any Pledged Receivables. The Servicer and Borrower agree that REMITCO LLC (or
such other vendor mutually acceptable to the Servicer, the Borrower and the Agent) is and shall be
the sole party entitled to direct application of amounts held in the Lockbox and Lockbox Account.

Section 6.07. Unidentified Payments; Lenders’ Right of Presumption. The Borrower agrees and
consents that the Servicer and/or the Agent shall apply any payment the Borrower receives (or any
such payment the Servicer deposits into the Collection Account) from an Obligor to any Loan secured
by a Pledged Receivable if the Servicer and/or the Agent is unable in good faith to determine to
which Receivables such payment from an Obligor relates.

Section 6.08. Representations and Warranties of the Servicer. The Servicer (as long as the
Servicer is Marlin or any Affiliate of Marlin) hereby represents and warrants to the Agent and the
Lenders as follows as of each day it acts as Servicer:

(a) The Servicer is duly organized, validly existing and in good standing under the laws of
the state of its incorporation and is in good standing and compliance with the laws of each state
to the extent necessary to enable it to perform its obligations under the terms of this Agreement
and each Transaction Document to which it is a party except where such failure would not have a
Material Adverse Effect; the Servicer has the full corporate power and authority to execute and
deliver this Agreement and each Transaction Document to which it is a party, and to perform in
accordance herewith and therewith; the execution, delivery and performance of this Agreement and
each of the Transaction Documents to which it is a party by the Servicer and the consummation of
the transactions contemplated hereby have been duly and validly authorized; this Agreement and each
of the Transaction Documents to which it is a party evidence the valid, binding and enforceable
obligations of the Servicer to make this Agreement
and each of the Transaction Documents to which it is a party valid and binding upon the
Servicer in accordance with their terms;

 

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(b) Neither the execution and delivery of this Agreement, nor the fulfillment of or compliance
with the terms and conditions of this Agreement, will conflict with or result in a breach of any of
the terms, conditions or provisions of the Servicer’s charter or by-laws or any legal restriction
or any agreement or instrument to which the Servicer is now a party or by which it is bound, or
constitute a default or result in an acceleration under any of the foregoing, or result in the
violation of any law, rule, regulation, order, judgment or decree to which the Servicer or its
property is subject, or impair the ability of the Servicer to realize on the Contracts, or impair
the value of the Contracts;

(c) There is no action, suit, proceeding, or investigation pending, or, to the knowledge of
the Servicer, threatened against the Servicer or any ERISA Affiliate thereof which, either in any
one instance or in the aggregate, may result in any Material Adverse Effect in the business,
operations, financial condition, properties or assets of the Servicer, or in any material
impairment of the right or ability of the Servicer to carry on its business substantially as now
conducted, or any action taken or to be taken in connection with the obligations of the Servicer
contemplated herein, or which would materially impair the ability of the Servicer to perform under
the terms of this Agreement and each other Transaction Document to which it is a party;

(d) No consent, approval, authorization or order of any court or governmental agency or body
is required for the execution, delivery and performance by the Servicer of or compliance by the
Servicer with this Agreement and each other Transaction Document to which it is a party or the
Contracts or the consummation of the transactions contemplated by this Agreement and each other
Transaction Document to which it is a party, or if required, such approval has been obtained prior
to the Closing Date;

(e) The Servicer (i) is not in violation of any laws, ordinances, governmental rules or
regulations to which it is subject, (ii) has not failed to obtain any licenses, permits, franchises
or other governmental authorizations necessary to the ownership of its property or to the conduct
of its business, and (iii) is not in violation of any term of any agreement, charter, bylaw or
instrument to which it is a party or by which it may be bound, which violation or failure to obtain
materially adversely affects the business or condition (financial or otherwise) of the Servicer and
its subsidiaries;

(f) The Servicer is not an investment company which is required to register under the
Investment Company Act of 1940, as amended;

(g) Each Receivable designated as an Eligible Receivable on any Borrowing Base Certificate or
Monthly Remittance Report is an Eligible Receivable as of the date of such Borrowing Base
Certificate or Monthly Remittance Report. Each Receivable included as an Eligible Receivable in
any calculation of the Capital Limit or the Eligible Receivables Balance is an Eligible Receivable;

 

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(h) The execution, delivery and performance of this Agreement and each other Transaction
Document to which it is a party by the Servicer and all other agreements and
instruments executed and delivered or to be executed and delivered by the Servicer pursuant
hereto or thereto in connection with the Pledge of the Collateral will not (i) create any Adverse
Claim on the Collateral or (ii) violate any provision of any existing law or regulation or any
order or decree of any court, regulatory body or administrative agency or the certificate of
incorporation or by-laws of the Servicer or any material contract or other agreement to which the
Servicer is a party or by which the Servicer or any of its property or assets may be bound;

(i) No injunction, writ, restraining order or other order of any nature adversely affects the
Servicer’s performance of its obligations under this Agreement or any Transaction Document to which
the Servicer is a party;

(j) The Servicer has filed (on a consolidated basis or otherwise) on a timely basis all tax
returns (including, without limitation, all foreign, federal, state, local and other tax returns)
required to be filed, is not liable for taxes payable by any other Person and has paid or made
adequate provisions for the payment of all material taxes, assessments and other governmental
charges due from the Servicer except for those taxes being contested in good faith by appropriate
proceedings and in respect of which no penalty may be assessed from such contest and it has
established proper reserves on its books. No tax lien or similar adverse claim has been filed,
and, to the knowledge of Marlin, no claim is being asserted, with respect to any such tax,
assessment or other governmental charge. Any taxes, fees and other governmental charges payable by
the Servicer in connection with the execution and delivery of this Agreement and the other
Transaction Documents to which it is a party and the transactions contemplated hereby or thereby
have been paid or shall have been paid if and when due;

(k) The location of all the Servicer’s records regarding the Pledged Receivables (other than
those in the possession of the Custodian) is 300 Fellowship Road, Mt. Laurel, New Jersey 08054 and
has been such address at all times since the later of (a) the date of formation of the Servicer and
(b) the date that is five year prior to the Closing Date;

(l) (i) The Servicer’s legal name, type of organization and jurisdiction of organization is as
set forth in the first paragraph of this Agreement; (ii) the Servicer is not organized under the
laws of more than one State; (iii) other than as disclosed on Schedule II hereto (as such schedule
may be updated from time to time by the Servicer), the Servicer has not changed its name, type of
organization or jurisdiction of organization at any time since its formation; and (iv) the Servicer
does not have trade names, fictitious names, assumed names or “doing business as” names other than
as disclosed on Schedule II hereto (as such schedule may be updated from time to time by the
Servicer);

(m) The Servicer is solvent and will not become insolvent after giving effect to the
transactions contemplated hereby; the Servicer is paying its debts as they become due; and the
Servicer, after giving effect to the transactions contemplated hereby, is expected to have adequate
capital to conduct its business;

(n) No Monthly Remittance Report or Borrowing Base Certificate (each if prepared by the
Servicer or to the extent that information contained therein is supplied by the Servicer),
information, exhibit, financial statement, document, book, record or report furnished or to be
furnished by the Servicer to the Agent or the Lenders in connection with this Agreement or the
other Transaction Documents is or will be inaccurate in any material respect, and no such
document contains or will contain any material misstatement of fact or omits or shall omit to state
a material fact or any fact necessary to make the statements contained therein, in the context of
the circumstances under which they were made, not misleading;

 

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(o) No Servicer Default, Event of Default or Unmatured Event of Default has occurred and is
continuing. Since June 30, 2010, there has been no change in the business, operations, financial
condition, properties or assets of the Servicer or any ERISA Affiliate thereof which would have a
Material Adverse Effect on the Servicer’s ability to perform its obligations under this Agreement
or the other Transaction Documents to which it is a party or materially adversely affect the
transactions contemplated under this Agreement or the other Transaction Documents;

(p) Each of the Pledged Receivables was underwritten and is being serviced in conformance with
the Servicer’s standard underwriting, credit, collection, operating and reporting procedures and
systems (including, without limitation, the Credit and Collection Policy);

(q) Each Computer Tape or Listing made available by the Servicer to the Agent and the Backup
Servicer was complete and accurate in all material respects as of the date on which such Computer
Tape or Listing was made available;

(r) The Servicer is in compliance in all material respects with ERISA and has not incurred and
does not expect to incur any liabilities (except for premium payments and benefits arising in the
ordinary course of business) to the Pension Benefit Guaranty Corporation (or any successor thereto)
under ERISA;

(s) There is not now, nor will there be at any time in the future, any agreement or
understanding between the Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin)
and the Borrower (other than as expressly set forth herein), providing for the allocation or
sharing of obligations to make payments or otherwise in respect of any taxes, fees, assessments or
other governmental charges; and

(t) The consolidated unaudited financial statements of the Servicer and its consolidated
subsidiaries as at December 31, 2009 and the related statements of income and retained earnings of
each such Person and its consolidated subsidiaries for the fiscal period then ended, and the
consolidated unaudited financial statements of the Servicer and its consolidated subsidiaries as at
June 30, 2010 and the related statements of income and retained earnings of each such Person and
its consolidated subsidiaries for the fiscal period then ended, copies of which have previously
been delivered to the Agent, fairly present the consolidated financial condition of the each such
Person and its consolidated subsidiaries as at such date and the consolidated results of the
operations of such Person and its consolidated subsidiaries for the period ended on such dates, all
in accordance with GAAP, and since December 31, 2009, there has been no material adverse change in
any such condition or operations of the Servicer.

 

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Section 6.09. Permitted Investments. The Borrower shall, pursuant to written instruction,
direct the Agent’s Bank (and if the Borrower fails to do so, the Agent may, pursuant
to written instruction, direct the Agent’s Bank) to invest, or cause the investment of, funds
on deposit in the Collection Account in Permitted Investments, from the date of this Agreement
until the Collection Date. Absent any such written instruction, the Agent’s Bank shall invest, or
cause the investment of, such funds in Permitted Investments described in clause (v) of the
definition thereof. The Agent may, pursuant to written instruction, direct the Agent’s Bank to
invest, or cause the investment of, funds on deposit in the Reserve Account in Permitted
Investments, from the date of this Agreement until the Collection Date. A Permitted Investment
acquired with funds deposited in the Collection Account or Reserve Account shall mature not later
than the Business Day immediately preceding the next succeeding Remittance Date, and shall not be
sold or disposed of prior to its maturity. All such Permitted Investments shall be registered in
the name of the Securities Intermediary (as defined in the Deposit Account Control Agreement) or
its nominee for the benefit of the Agent (on behalf of the Secured Parties), and otherwise comply
with assumptions of the legal opinion of Dewey & LeBoeuf LLP regarding the security interest of
the Agent in the Collection Account and the Reserve Account, dated the Closing Date, delivered in
connection with this Agreement. All income and gain realized from any such investment, as well as
any interest earned on deposits in the Collection Account, shall be distributed in accordance with
the provisions of Article II hereof. The Borrower shall deposit in the Collection Account
or the Reserve Account, as the case may be (with respect to investments made hereunder of funds
held therein), an amount equal to the amount of any actual loss incurred, in respect of any such
investment, immediately upon realization of such loss. None of the Agent’s Bank or the Agent shall
be liable for the amount of any loss incurred, in respect of any investment, or lack of investment,
of funds held in the Collection Account or Reserve Account.

Section 6.10. Servicing Compensation. As compensation for its activities hereunder, the
Servicer shall be entitled to be paid the Servicing Fee from the Collection Account as provided in
Section 2.05(c). Except as otherwise set forth herein, 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 with respect to reasonable expenses of the Servicer
incurred in connection with the repossession and disposition of any Equipment and the extraordinary
out-of-pockets expenses of the Servicer incurred in the reasonable judgment of the Servicer in
enforcing collection of any Defaulted Receivable or Delinquent Receivable (which the Servicer may
retain from the proceeds of the disposition of such Equipment).

Section 6.11. Reports to the Agent; Account Statements; Servicing Information. (a) The
Borrower will deliver to the Agent, (i) on the Program Termination Date, a report identifying the
Pledged Receivables (and any information with respect thereto requested by the Agent) as of the day
immediately preceding the Program Termination Date, and (ii) upon the Agent’s reasonable request
and upon reasonable notice (which shall in no event be less than seven days’ notice), on any other
Business Day, a report identifying the Pledged Receivables (and any information with respect
thereto, reasonably requested by the Agent) as of such day.

 

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(b) No later than the Monthly Report Date occurring immediately prior to each Remittance Date,
the Servicer shall prepare and deliver, or have delivered to: (i) the Agent (for itself and the
Lenders), the Agent’s Bank and the Backup Servicer, a Monthly Remittance Report and any other
information reasonably requested by the Agent or the Backup Servicer, relating to all Pledged
Receivables (including, if requested, a Computer Tape or Listing in a format
acceptable to the Agent and the Backup Servicer (it being understood that the format described
in Exhibit J shall be acceptable to the Agent and the Backup Servicer)), all information in the
Monthly Remittance Report and all other such information to be accurate as of the last day of the
immediately preceding Remittance Period and (ii) to the Backup Servicer, a computer tape or a
diskette or any other electronic transmission in a format acceptable to the Backup Servicer (it
being understood that the format described in Exhibit J shall be acceptable to the Agent and the
Backup Servicer) containing the information with respect to the Pledged Receivables during such
Remittance Period which was necessary for preparation of such Monthly Remittance Report or is
otherwise reasonably requested by the Backup Servicer.

(c) No later than the Monthly Report Date occurring immediately prior to each Remittance Date
and on each other dates requested by the Agent, the Servicer shall prepare and deliver or have
delivered to the Agent for the Lenders, in an electronic format mutually acceptable to the Backup
Servicer and the Agent (it being understood that the format described in Exhibit J shall be
acceptable to the Agent and the Backup Servicer), all information reasonably requested by the Agent
relating to all Pledged Receivables (including, if requested, a Computer Tape or Listing in a
format acceptable to the Agent and the Backup Servicer (it being understood that the format
described in Exhibit J shall be acceptable to the Agent and the Backup Servicer)), information
regarding the Collateral and Collections and other information necessary to produce the Monthly
Remittance Report. If any Monthly Remittance Report indicates the existence of a Borrowing Base
Deficiency, the Borrower shall, on the date of delivery of such Monthly Remittance Report, prepay
to the Agent, for the account of the Lenders, a portion of the Loans or Pledge additional Eligible
Receivables, in either case, to the extent necessary to cure such Borrowing Base Deficiency.

(d) Concurrently with the delivery by the Borrower to the Agent of each Notice of Borrowing,
the Borrower shall also prepare and deliver to the Agent for the Lenders a Borrowing Base
Certificate containing information accurate as of the date of delivery of such Borrowing Base
Certificate. If any Borrowing Base Certificate indicates the existence of a Borrowing Base
Deficiency, the Borrower shall on the date of delivery of such Borrowing Base Certificate prepay to
the Agent, for the account of the Lenders, a portion of the Loans or Pledge additional Eligible
Receivables, in either case, to the extent necessary to cure such Borrowing Base Deficiency.

(e) [Reserved].

(f) The Borrower shall deliver to the Agent all reports it receives pursuant to the Purchase
and Contribution Agreement within one Business Day of the receipt thereof.

(g) [Reserved].

(h) The Borrower and the Servicer shall provide:

(I) As soon as reasonably practicable and in any event within two Business Days after
they have actual knowledge thereof, notice of the occurrence of any proceedings or other
matters or events concerning the Borrower or the Servicer which could have a Material
Adverse Effect.

 

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(II) As soon as reasonably practicable and in any event within two Business Days,
notice of any change in (i) the name, account number, or similar information pertaining to
the Lockbox, the Lockbox Account, the Reserve Account and/or the Collection Account, (ii)
the Deposit Account Control Agreement as it relates to the Collection Account or the Reserve
Account, (iii) the First Data Agreement as it relates to the Lockbox, (iv) the First Data
Agreement or the Lockbox Agreement as either relates to the Lockbox Account, (v) any other
documents, agreement or arrangement concerning any of the above-mentioned accounts, or (vi)
the chief executive office and/or principal place of business of the Borrower or Marlin;
provided, however, that the Borrower and the Servicer agree that no such agreement
may be terminated or amended in any material respect without the prior written consent of
the Agent.

(III) As soon as reasonably practicable, from time to time, such other information,
documents, records or reports within its possession respecting the Contracts included in the
Collateral or the conditions or operations, financial or otherwise, of the Borrower and the
Servicer as the Agent may from time to time reasonably request in order to protect the
interests of the Agent and each Lender under or as contemplated by this Agreement and all
other reports and information required hereunder as and when reasonably requested by the
Agent (which may be more frequently than otherwise specified in this Agreement).

Section 6.12. Statements as to Compliance; Financial Statements. (a) The Servicer shall
deliver to the Agent, the Backup Servicer, the Borrower and the Lenders as soon as available and no
later than 45 days following the end of each fiscal quarter (i) an Officer’s Certificate stating,
as to each signatory thereof, that (x) a review of the activities of the Servicer during the
Servicer’s preceding fiscal quarter and of its performance under this Agreement has been made under
such officer’s supervision, and (y) to the best of such officer’s knowledge, based on such review,
the Servicer has fulfilled all of its obligations under this Agreement throughout such fiscal
quarter (or portion thereof, as the case may be) or, if there has been a default in the fulfillment
of any such obligation, specifying each such default known to such officers and the nature and
status thereof and the action being taken to cure such default, and (ii) a Covenant Compliance
Certificate.

(b) (i) The Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) shall, at
its expense (provided that the Servicer shall not be responsible for expenses in connection with an
Accountants’ Report (defined below) delivered in connection with this Section 6.12(b)(i) to
the extent that such expenses exceed, together with the audit and examination expenses described in
Section 6.13, $30,000 in the aggregate in any calendar year) cause Deloitte & Touche LLP or a firm
of nationally recognized independent certified public accountants acceptable to the Agent (the
“Independent Accountants”), who may also render other services to the Borrower, to deliver to the
Borrower, the Servicer and the Agent, on or before March 31 of each year, beginning 2011, with
respect to the 12 months ended the immediately preceding December 31, a statement (the
“Accountants’ Report”) addressed to the Servicer and to the Agent, to the effect that such firm has
applied certain procedures agreed upon by the Servicer and the Agent to compare the mathematical
calculations of certain amounts set forth in the Borrowing Base Certificates and Monthly
Remittance Reports prepared by the Servicer during the 12 months ended the

 

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immediately preceding
December 31 as it deemed necessary in order to issue the Accountants’ Report and issued its report thereon, and that such examination was made in accordance with
generally accepted auditing standards and, accordingly, included such tests of the accounting
records and such other auditing procedures as such firm considered necessary under the
circumstances. The Accountants’ Report shall further state that (i) a review in accordance with
agreed upon procedures was made, and (ii) except as disclosed in the Accountant’s Report, no
exceptions or errors in the Borrowing Base Certificates and Monthly Remittance Reports examined
were found except for (A) such exceptions as the Independent Accountants believe to be immaterial
and (B) such other exceptions as shall be set forth in the Accountants’ Report. The Accountants’
Report shall also indicate that the firm is independent of the Borrower and the Servicer within the
meaning of the Code of Professional Ethics of the American Institute of Certified Public
Accountants. In the event such firm requires the Servicer to agree to the procedures performed by
such firm, the Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) shall (or if
the Servicer has been terminated or otherwise fails to perform such obligation, the Agent shall) in
writing so agree; it being understood and agreed that the Servicer shall not make any independent
inquiry or investigation as to, and shall have no obligation or liability in respect of, the
sufficiency, validity or correctness of such procedures.

(c) [Reserved].

(d) [Reserved].

(e) [Reserved].

(f) As soon as available and no later than 45 days after the end of each fiscal quarter in
each fiscal year of Marlin, the Servicer (as long as the Servicer is Marlin or any Affiliate of
Marlin) shall deliver to the Lenders and the Agent two copies of:

(i) an unaudited consolidated balance sheet of Marlin and its consolidated subsidiaries
(including the Borrower) as of the end of such fiscal quarter, which such balance sheet
shall be prepared and presented in accordance with GAAP and shall be accompanied by a
certificate signed by the financial vice president, treasurer, chief financial officer or
controller of Marlin stating that such balance sheet presents fairly the financial condition
of the companies being reported upon and has been prepared in accordance with GAAP
consistently applied; and

(ii) unaudited consolidated statement of income of Marlin and its consolidated
subsidiaries for such fiscal quarter and year to date (subject to normal year-end
adjustments), which such statements shall be prepared and presented in accordance with GAAP
and shall be accompanied by a certificate signed by the financial vice president, treasurer,
chief financial officer or controller of Marlin stating that such financial statements
present fairly the financial condition and results of operations of the companies being
reported upon and have been prepared in accordance with GAAP consistently applied.

 

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(g) As soon as available and no later than 45 days after the end of each fiscal quarter in
each fiscal year of Parent, the Servicer (as long as the Servicer is Marlin or any Affiliate of
Marlin) shall cause to be delivered to the Lenders and the Agent two copies of:

(i) an unaudited consolidated balance sheet of Parent and its consolidated subsidiaries
(including the Borrower) as of the end of such fiscal quarter, setting forth in comparative
form the corresponding figures for the most recent year-end for which an audited balance
sheet has been prepared, which such balance sheet shall be prepared and presented in
accordance with GAAP and shall be accompanied by a certificate signed by the financial vice
president, treasurer, chief financial officer or controller of Parent stating that such
balance sheet presents fairly the financial condition of the companies being reported upon
and has been prepared in accordance with GAAP consistently applied; and

(ii) unaudited consolidated statements of income, stockholders’ equity and cashflow of
Parent and its consolidated subsidiaries for such fiscal quarter and the year-to-date period
ending thereon (subject to normal year-end adjustments), which such statements shall be
prepared and presented in accordance with GAAP and shall be accompanied by a certificate
signed by the financial vice president, treasurer, chief financial officer or controller of
Parent stating that such financial statements present fairly the financial condition and
results of operations of the companies being reported upon and have been prepared in
accordance with GAAP consistently applied.

(h) As soon as available and no later than 120 days after the end of each fiscal year of
Parent, the Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) or the Borrower
shall cause to be delivered to the Lenders and the Agent two copies of:

(i) a consolidated balance sheet of Parent and its consolidated subsidiaries as of the
end of the fiscal year, setting forth in comparative form the figures for the previous
fiscal year and accompanied by an opinion of Independent Accountants stating that such
balance sheet presents fairly the financial condition of the companies being reported upon
and has been prepared in accordance with GAAP consistently applied (except for changes in
application in which such accountants concur);

(ii) consolidated statements of income, stockholders’ equity and cash flow of Parent
and its consolidated subsidiaries for such fiscal year, in each case setting forth in
comparative form the figures for the previous fiscal year and accompanied by an opinion of
Independent Accountants stating that such financial statements present fairly the financial
condition of the companies being reported upon and have been prepared in accordance with
GAAP consistently applied (except for changes in application in which such accountants
concur); and

(iii) such consolidating schedules for Parent, Marlin (on a consolidated basis) and
Marlin Business Bank for the end of the fiscal year.

 

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Section 6.13. Access to Certain Documentation; Obligors. (a) The Agent and the Backup
Servicer (and their respective agents or professional advisors) shall, at the expense of the
Borrower, have the right under this Agreement, once during each calendar year (and with five days
prior written notice if Wells Fargo is acting as successor Servicer), to examine and audit, during
business hours or at such other times as might be reasonable under applicable circumstances, any
and all of the books, records, financial statements or other information of the Servicer and/or the
Borrower, or held by another for the Servicer or the Borrower or on its
behalf, concerning this Agreement, provided that the Borrower shall not be responsible for the
expenses of the Agent or the Backup Servicer to the extent that such expenses exceed, together with
the expenses in connection with an Accountants’ Report delivered in connection with Section
6.12(b)(i), $30,000 in the aggregate in any calendar year unless an Event of Default or Servicer
Default has occurred or unless otherwise agreed by the Borrower. Notwithstanding the foregoing,
the Agent and the Backup Servicer (and their respective agents or professional advisors) shall, at
the expense of the Borrower and as frequently as the Agent or Backup Servicer may desire, have the
right under this Agreement after the occurrence and during the continuance of an Event of Default
or Servicer Default or after the occurrence of the Program Termination Date to examine and audit,
during business hours or at such other times as might be reasonable under applicable circumstances,
any and all of the books, records or other information of the Servicer and/or the Borrower, or held
by another for the Servicer or the Borrower or on its behalf, concerning this Agreement. The
Lenders, the Agent and the Backup Servicer (and their respective agents and professional advisors)
shall treat as confidential any information obtained during the aforementioned examinations which
is not already publicly known or available; provided that the Agent may disclose such information
to the Lenders; and, provided further that the Lenders, the Backup Servicer or the Agent (and their
respective agents or professional advisors) shall treat such information as confidential except to
the extent required to disclose such information by law or by any regulatory authority.

(b) The Agent (and its agents or professional advisors) shall, at their own expense and with
the Servicer’s prior written consent (as long as the Servicer is Marlin or any Affiliate of
Marlin), have the right under this Agreement to contact a reasonable number of Obligors with
respect to any Pledged Receivables in order to procure such information related to such Obligor,
the related Contract, and the Pledged Receivables and the other Collateral as the Agent deems
reasonable under the circumstances. The Servicer and the Borrower hereby agree to cooperate with
the Agent (and its agents or professional advisors) in connection with any attempt thereby to
contact any such Obligor and shall provide to the Agent such information as is needed in order to
facilitate such contact. The Lenders and the Agent (and their respective agents and professional
advisors) shall treat as confidential any information obtained during any such contact with any
such Obligor which is not already publicly known or available; provided that the Agent may disclose
such information to the Lenders; and, provided further that the Lenders or the Agent (and their
respective agents or professional advisors) shall treat such information as confidential except to
the extent required to disclose such information by law or by any regulatory authority.

Section 6.14. The Backup Servicer. (a) Prior to each Remittance Date, provided that the
Backup Servicer shall have received the information specified in Section 6.11(b) within the
time specified therein, the Backup Servicer shall compare the information on the computer tape or
diskette (or other means of electronic transmission acceptable to the Backup Servicer (it being
understood that the format described in Exhibit J shall be acceptable to the Agent and the Backup
Servicer)) most recently delivered to the Backup Servicer with respect to such Remittance Date to
the corresponding Monthly Remittance Report delivered to the Backup Servicer by the Servicer and
shall:

(1) confirm that such Monthly Remittance Report is complete on its face;

(2) confirm the distributions to be made on such Remittance Date pursuant to
Section 2.05(c) hereof to the extent the Backup Servicer is able to do so given the
information provided to it by the Servicer (it being hereby agreed that the Backup Servicer
shall promptly notify the Servicer and the Agent if such information is insufficient and
that the Servicer shall promptly provide to the Backup Servicer any additional information
required by the Backup Servicer);

 

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(3) confirm the following information on such Monthly Remittance Report:  (i) Eligible
Receivables Balance, (ii) the Borrower Delinquency Percentage, (iii) the Borrower Default
Percentage, (iv) the Overconcentration Amount, (v) the Pledged Receivables Balance and (vi)
the Maximum Advance Percentage, to the extent the Backup Servicer is able to do so given the
information provided to it by the Servicer (it being hereby agreed that the Backup Servicer
shall promptly notify the Servicer and the Agent if such information is insufficient and
that the Servicer shall promptly provide to the Backup Servicer any additional information
required by the Backup Servicer); and

(4) confirm such other information as the Agent and the Backup Servicer may reasonably
agree.

(b) Upon completion of such review, the Backup Servicer will provide the Agent and the
Servicer with a Backup Servicer Monthly Certification (in substantially the form attached hereto as
Exhibit G) certifying that the Backup Servicer has completed the confirmations described in
subparagraphs (a)(1) through (4) and reporting any discrepancies between the information set forth
in subparagraphs (a)(2) or (3) above as calculated by the Servicer and that determined or
calculated by the Backup Servicer. In the event of a discrepancy as described in the preceding
sentence, the Backup Servicer shall attempt to reconcile such discrepancy with the Servicer prior
to the related Remittance Date, but in the absence of a reconciliation, distributions on the
related Remittance Date shall be made consistent with the information calculated by the Servicer,
the Backup Servicer shall attempt to reconcile such discrepancy prior to the next Remittance Date,
and the Backup Servicer shall promptly report to the Agent regarding the progress, if any, which
shall have been made in reconciling such discrepancy. If the Backup Servicer is unable to
reconcile such discrepancy with respect to such Monthly Remittance Report by the next Remittance
Date, the Backup Servicer shall cause independent accountants acceptable to the Agent, at the
Borrower’s expense, to examine such Monthly Remittance Report and attempt to reconcile such
discrepancy at the earliest possible date (and the Backup Servicer shall promptly provide the Agent
with a report regarding such event). The effect, if any, of such reconciliation shall be reflected
in the Monthly Remittance Report for the next succeeding Remittance Date.

(c) Other than as specifically set forth in this Agreement, the Backup Servicer shall have no
obligation to supervise, verify, monitor or administer the performance of the Servicer and shall
have no liability for any action taken or omitted by the Servicer; provided that, upon the
occurrence of a Servicer Default, Event of Default or Unmatured Event of Default or upon the
termination of the Servicer pursuant to Section 6.26 or the occurrence of the Program
Termination Date, the Agent and the Backup Servicer may agree to the assumption of further duties
on the part of the Backup Servicer and any fees associated therewith.

 

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(d) If a Servicer Default shall occur and is continuing, and the Agent has terminated all of
the rights and obligations of the Servicer hereunder pursuant to Section 6.26 hereof, all
authority and power of the Servicer hereunder, whether with respect to the Collateral or otherwise,
shall terminate, and the Backup Servicer shall within five Business Days begin the transition to
acting as Servicer and assume cash and collection activities with respect to the Pledged
Receivables, Related Security and the Other Conveyed Property, and, without limitation, the Backup
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 to do or accomplish
all other acts or things necessary or appropriate to effect the purposes of such notice of
termination or to perform the duties of the Servicer under this Agreement. In connection with such
transition, the Borrower shall pay to the Backup Servicer Transition Costs in accordance with the
priority provisions of Section 2.05(c)(I) or (II), as applicable. The Servicer
agrees to cooperate with the Agent and the Backup Servicer in effecting the termination of the
Servicer’s responsibilities and rights hereunder, including, without limitation, providing
reasonable access (including at the premises of the Servicer) to the Servicer’s employees,
providing notification to the Obligors of the assignment of the servicing function, providing the
Backup Servicer with all records, in electronic or other form, reasonably requested by it to enable
the Backup Servicer to assume the servicing functions hereunder and providing for the transfer to
the Backup Servicer for administration by it of all cash amounts which at the time should be or
should have been deposited by the Servicer in the Collection Account or thereafter be received by
the Servicer with respect to the Pledged Receivables. In the event the terminated Servicer
receives any payment with respect to a Pledged Receivable, such Servicer shall promptly forward
such payment to the successor Servicer for deposit into the Collection Account. Neither the Agent
nor the Backup Servicer shall be deemed to have breached any obligation hereunder as a result of a
failure to make or delay in making any distribution as and when required hereunder caused by the
failure of the Servicer to remit any amounts received by it or to deliver any documents held by it
with respect to the Collateral.

(e) Notwithstanding anything contained in this Agreement to the contrary, Wells Fargo, acting
as the Backup Servicer, is authorized to accept and rely on all of the accounting, records
(including computer records) and work of the Servicer relating to the Contracts (collectively, the
“Predecessor Servicer Work Product”) without any audit or other examination thereof, and the Backup
Servicer shall have no duty, responsibility, obligation or liability for the acts and omissions of
the Servicer. If any error, inaccuracy, omission or incorrect or non-standard practice or
procedure (collectively, “Errors”) exist in any Predecessor Servicer Work Product and such Errors
make it materially more difficult to service or should cause or materially contribute to the Backup
Servicer making or continuing any Errors (collectively, “Continued Errors”), the Backup Servicer
shall have no duty, responsibility, obligation or liability to perform servicing for such Continued
Errors; provided that the Backup Servicer agrees to use commercially reasonable efforts to prevent
further Continued Errors. In the event that the Backup Servicer becomes aware of Errors or
Continued Errors, the Backup Servicer shall, with the prior consent of the Agent, use its
commercially reasonable efforts to reconstruct and reconcile such data in order to correct such
Errors and Continued Errors and to prevent future Continued Errors. The Backup Servicer shall be
entitled to recover its costs thereby expended in accordance with priority provisions of
Section 2.05(c)(I) and Section 2.05(c)(II).

 

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(f) The Backup Servicer as successor Servicer undertakes to perform only such duties and
obligations as are specifically set forth in this Agreement, it being expressly understood by all
parties hereto that there are no implied duties or obligations of the Backup Servicer hereunder.
The Backup Servicer as successor Servicer shall have (i) no liability with respect to any action
performed, breaches or defaults caused by the terminated Servicer prior to the date that the Backup
Servicer becomes the successor Servicer or any claim of a third party based on any alleged action
or inaction of the terminated Servicer, (ii) no obligation to pay any taxes required to be paid by
the Servicer (provided that the Backup Servicer or the successor Servicer shall pay any income
taxes for which it is liable), (iii) no liability or obligation with respect to any representation
and warranties or any indemnification obligations of any prior Servicer, including the initial
Servicer and (iv) no obligation to make any indemnification payments or payments under Section
2.09, Section 2.15 and Section 10.07 that the Borrower failed to pay hereunder.
If the Backup Servicer becomes successor Servicer, its actions shall be held to a standard of
commercial reasonableness for purposes of Section 5.01(k), Section 6.02,
Section 6.03, Section 6.04, and Section 6.07 rather than the good faith,
best efforts and prudence standards contained therein. Notwithstanding any other provision hereof,
under no circumstances shall Wells Fargo, either as Backup Servicer or successor Servicer, be
liable for indirect, special, consequential or incidental damages, such as loss of use, revenue or
profit.

(g) The Backup Servicer shall resign only with the prior written consent of the Agent and the
Required Lenders or if the Backup Servicer provides an Opinion of Counsel to the Agent to the
effect that the Backup Servicer is no longer permitted by law to act as Backup Servicer hereunder.
No termination or resignation of the Backup Servicer hereunder shall be effective until a successor
Backup Servicer acceptable to the Agent has accepted its appointment as successor Backup Servicer
hereunder and has agreed to be bound by the terms of this Agreement and the Credit and Collection
Policy.

Section 6.15. [Reserved].

Section 6.16. Waiver of Defaults. Upon consent of the Required Lenders, the Agent may waive
any default by the Servicer or the Backup Servicer in the performance of its obligations hereunder
and its consequences. Upon any such waiver of a past default, such default shall cease to exist,
and any Event of Default arising therefrom shall be deemed to have been remedied for every purpose
of this Agreement. No such waiver shall be effective unless it shall be in writing and signed by
the Agent on the Lenders’ behalf, and no such waiver shall extend to any subsequent or other
default or impair any right consequent thereon except to the extent expressly so waived.

Section 6.17. [Reserved].

Section 6.18. Establishment and Use of Certain Accounts.

(a) Collection Account; Reserve Account. Prior to the initial Loan hereunder, the
Servicer (i) agrees to establish the Collection Account and the Reserve Account in the name of
Borrower and (ii) deliver copies of a fully executed Deposit Account Control Agreement to the
Agent. The Collection Account shall be used to accept the transfer of Collections of Receivables
from the Lockbox Account or Lockbox and as otherwise described herein for distribution
pursuant to Section 2.05(c), and for such other purposes as may be described in this Agreement
and the other Transaction Documents. The Reserve Account shall be used for the purposes set forth
in this Agreement. On each Borrowing Date, Agent shall hold back a portion of the proceeds from
the funded Loan equal to the Reserve Account Deposit Amount and deposit such amount in the Reserve
Account.

 

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(b) The Agent may, at any time following the occurrence and continuation of an Event of
Default or a Servicer Default or following the occurrence of the Program Termination Date, give
notice to the Agent’s Bank that the Agent is exercising its rights under the Deposit Account
Control Agreement to do any or all of the following: (x) to have the exclusive ownership and
control of the Collection Account and/or Reserve Account transferred to the Agent, to the extent
provided in the Deposit Account Control Agreement, (y) to have the proceeds that are sent to the
Collection Account be redirected pursuant to its instructions rather than deposited in the
Collection Account, and (z) to take any or all other actions permitted under the Deposit Account
Control Agreement.

Section 6.19. UCC Matters; Protection and Perfection of Collateral. (a) The Borrower will not
change the jurisdiction of its formation or type of organization or make any change to its
corporate name or use any tradenames, fictitious names, assumed names, “doing business as” names or
other names (other than those listed on Schedule II hereto, as such schedule may be revised from
time to time to reflect name changes and name usage permitted under the terms of this Section
6.19 after compliance with all terms and conditions of this Section 6.19 related
thereto) unless, prior to the effective date of any such jurisdiction change, organization type
change, name change or use, the Borrower notifies the Agent of such change in writing and delivers
to the Agent such financing statements as the Agent may reasonably request in order to maintain the
perfection and priority of its security interest in the Collateral, as a result of such
jurisdiction change, organization type change, name change or use, together with such other
documents and instruments as the Agent may reasonably request in order to maintain the perfection
and priority of its security interest in the Collateral, as a result of such change. The Borrower
will not change the location of its records regarding the Pledged Receivables unless, prior to the
effective date of any such change of location, the Borrower notifies the Agent and the Backup
Servicer of such change of location in writing and delivers to the Agent such documents and
instruments as the Agent may request in connection therewith. The Borrower agrees that from time
to time, at its expense, it will promptly execute and deliver all further instruments and
documents, and take all further action that the Agent may reasonably request in order to perfect,
protect or more fully evidence the Secured Parties’ interest in the Collateral acquired hereunder,
or to enable the Agent to exercise or enforce any of their respective rights hereunder. Without
limiting the generality of the foregoing, the Borrower will, upon the request of the Agent execute
(if necessary) and file such financing or continuation statements, or amendments thereto or
assignments thereof, and such other instruments or notices, as may be necessary or appropriate or
as the Agent may request in order to maintain the perfection and priority of its security interest
in the Collateral. Each of the Borrower and the Servicer will mark its master data processing
records evidencing such Pledged Receivables with a legend reasonably acceptable to the Agent,
evidencing that the Agent has acquired an interest therein as provided in this Agreement. The
Agent shall be entitled to conclusively rely on the filings or registrations made by or on behalf
of the Borrower without any independent investigation and the Borrower’s obligation to make such
filings as evidence that such filings have been made. The Borrower hereby authorizes the Agent
to file one or more financing or continuation statements, and amendments thereto and
assignments thereof, relative to all or any of the Pledged Receivables and the Other Conveyed
Property and the Related Security related thereto and the proceeds of the foregoing now existing or
hereafter arising, without the signature of the Borrower where permitted by law. The Borrower
hereby ratifies and authorizes the filing by the Agent of any such financing statement made prior
to the Closing Date. A carbon, photographic or other reproduction of this Agreement or any
financing statement covering the Pledged Receivables, or any part thereof, shall be sufficient as a
financing statement. The Borrower shall, upon the request of the Agent at any time after the
occurrence of an Event of Default and at the Borrower’s expense, notify the Obligors obligated to
pay any Pledged Receivables, or any of them, of the security interest of the Agent in the
Collateral. If the Borrower fails to perform any of its agreements or obligations under this
Section 6.19, the Agent may (but shall not be required to) itself perform, or cause
performance of, such agreement or obligation, and the expenses of the Agent incurred in connection
therewith shall be payable by the Borrower upon the Agent’s demand therefor. For purposes of
enabling the Agent to exercise its rights described in the preceding sentence and elsewhere in this
Article VI, the Borrower and the Lenders hereby authorize each of the Agent and its
successors and assigns to take any and all steps in the Borrower’s name and on behalf of the
Borrower and the Lenders necessary or desirable, in the reasonable determination of the Agent, to
collect all amounts due under any and all Pledged Receivables and other Collateral, including,
without limitation, endorsing the Borrower’s name on checks and other instruments representing
Collections and enforcing such Pledged Receivables and the related Contracts and, if any, the
related guarantees.

 

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Section 6.20. [Reserved].

Section 6.21. Compliance with Applicable Law. The Servicer and the Borrower shall at all
times comply in all material respects with all requirements of applicable federal, state and local
laws, and regulations thereunder (including, without limitation, laws relating to usury,
truth-in-lending, fair credit billing, fair credit reporting, fair debt collection practices,
privacy, consumer credit protection and disclosure, consumer credit, equal credit opportunity and
the Federal Truth-in-Lending Act, the Equal Credit Opportunity Act, the Fair Credit Billing Act,
the Fair Credit Reporting Act, the Fair Debt Collection Practices Act, the Federal Trade Commission
Act, the Magnuson-Moss Warranty Act, the Federal Reserve Board’s Regulations “B” and “Z,” the
Soldiers’ and Sailors’ Civil Relief Act of 1940 and state adaptations of the National Consumer Act
and of the Uniform Consumer Credit Code and all other consumer credit laws and equal credit
opportunity and disclosure laws) in the conduct of its business.

Section 6.22. Performance and Compliance; Servicer Activities. (a) At their expense, the
Borrower and Servicer shall timely and fully perform and comply, in all material respects, with all
material provisions, covenants and other promises required to be observed by each of them under the
Contracts related to the Pledged Receivables.

(b) The Borrower and Servicer shall comply in all material respects with the Credit and
Collection Policy in regard to each Contract related to Pledged Receivables.

Section 6.23. Servicer Covenants. (a) The Servicer will observe all corporate procedures
required by its articles of incorporation, its by-laws and the laws of its jurisdiction of
incorporation. The Servicer will maintain its corporate existence in good standing under the
laws of its jurisdiction of organization and will promptly obtain and thereafter maintain
qualifications to do business as a foreign corporation in any other state in which it does business
and in which it is required to so qualify under applicable law. The Servicer has and will maintain
all state licenses it needs to act as Servicer hereunder.

 

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(b) To the extent in its possession, the Servicer will deliver to the Custodian the
Receivables Files and all other documentation required to be maintained by the Custodian pursuant
to this Agreement. The Servicer shall maintain physical or electronic possession of copies or
originals of all instruments, documents, correspondence and memoranda generated by or coming into
the possession of the Servicer including, without limitation, ledger sheets, payment records,
correspondence and current and historical computer data files, that are required to document or
service any Contract. Collectively, all the documents described in this Section 6.23(b)
with respect to a Contract are referred to as the “Servicer Documents.” The Servicer hereby agrees
that all Servicer Documents shall remain the property of the Borrower.

(c) The Servicer shall hold all Contracts, Receivable Files and other Collateral relating to
the Pledged Receivables in its possession in trust for the benefit of the Agent and not for the
benefit of itself or any other Person. While in possession of the Contracts, Receivable Files and
other Collateral relating to the Pledged Receivables, the Servicer agrees that it does not and will
not have or assert any beneficial ownership interest in any Contracts, the Receivable Files,
Records or other documents related to the Pledged Receivables, the related Equipment, Related
Security or other Collateral.

(d) The Servicer shall, to the extent necessary, maintain separate records on behalf of and
for the benefit of the Agent and the Lenders, act in accordance with instructions and directions,
delivered in accordance with the terms hereof, from the Borrower and/or the Agent in connection
with its servicing of the Pledged Receivables hereunder, and will ensure that, at all times when it
is dealing with or in connection with the Pledged Receivables in its capacity as Servicer, it holds
itself out as Servicer, and not in any other capacity.

(e) The Servicer shall, to the extent required by applicable law, disclose all material
transactions associated with this transaction in appropriate regulatory filings and public
announcements.

(f) Except as otherwise provided herein or in any other Transaction Document, the Servicer
shall not sell, assign (by operation of law or otherwise) or otherwise dispose of, or create or
suffer to exist any Adverse Claim upon or with respect to, any Pledged Receivable, any Collections
related thereto or any other Collateral related thereto, or upon or with respect to any account to
which any Collections of any Receivable are sent, or assign any right to receive income in respect
thereof. Except as otherwise provided herein or in any other Transaction Document, the Servicer
shall not create or suffer to exist any Adverse Claim upon or with respect to any of the Borrower’s
assets.

 

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(g) The Servicer, on behalf of the Borrower, shall (i) pay all material taxes (excluding any
franchise taxes or taxes based on income), assessments, fines, fees and other liabilities with
respect the Contracts before they become delinquent, and (ii) make all filings in respect of any
such taxes (excluding any franchise taxes or taxes based on income), assessments, fines, fees
or other liabilities on a timely basis.

(h) The Servicer, with respect to each Contract, by the Borrowing Date on which such Contract
is Pledged hereunder and on each relevant date thereafter, shall cause its master computer records
relating to such Contract to be clearly and unambiguously marked to show that such Contract has
been sold or contributed to the Borrower under the Purchase and Contribution Agreement and Pledged
under this Agreement.

(i) Upon request, the Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin)
shall make available to the Agent all reports and registration statements which the Parent files
with the Securities and Exchange Commission or any national securities exchange.

(j) Promptly after the filing or receiving thereof, the Servicer (as long as the Servicer is
Marlin or any Affiliate of Marlin) shall provide the Agent with copies of all reports and notices
with respect to any Reportable Event defined in Title IV of ERISA which the Servicer or any ERISA
Affiliate thereof files under ERISA with the Internal Revenue Service or the Pension Benefit
Guaranty Corporation or the United States Department of Labor or which Marlin or any ERISA
Affiliate thereof receives from any such Person.

(k) [Reserved].

(l) The Servicer shall not commingle funds constituting Collections with any other funds of
the Servicer, except as expressly permitted pursuant to the terms of the Transaction Documents.

(m) The Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) will not
change the jurisdiction of its incorporation or type of organization or make any change to its
corporate name or use any tradenames, fictitious names, assumed names, “doing business as” names or
other names (other than those listed on Schedule II hereto, as such schedule may be revised from
time to time to reflect name changes and name usage permitted under the terms of this paragraph (m)
after compliance with all terms and conditions of this paragraph (m) related thereto) unless, prior
to the effective date of any such jurisdiction change, organization type change, name change or
use, the Servicer notifies the Agent of such change in writing and delivers to the Agent such
financing statements as the Agent may reasonably request in order to maintain the perfection and
priority of its security interest in the Collateral, as a result of such jurisdiction change,
organization type change, name change or use, together with such other documents and instruments as
the Agent may reasonably request in order to maintain the perfection and priority of its security
interest in the Collateral, as a result of such change. The Servicer (as long as the Servicer is
Marlin or any Affiliate of Marlin) will not change the location of its records regarding the
Pledged Receivables unless, prior to the effective date of any such change of location, the
Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) notifies the Agent and the
Backup Servicer of such change of location in writing and delivers to the Agent such documents and
instruments as the Agent may reasonably request in connection therewith. The Servicer (as long as
the Servicer is Marlin or any Affiliate of Marlin) agrees that from time to time, at its expense,
it will promptly execute and deliver all further instruments and documents, and take

 

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all further
action that the Agent may reasonably request in order to perfect, protect or more fully evidence the Secured Parties’ interest in the Collateral acquired
hereunder, or to enable the Agent to exercise or enforce any of their respective rights hereunder.
Without limiting the generality of the foregoing, the Servicer will, upon the request of the
Agent execute (if necessary) and file such financing or continuation statements, or amendments
thereto or assignments thereof, and such other instruments or notices, as may be necessary or
appropriate or as the Agent may reasonably request in order to maintain the perfection and priority
of its security interest in the Collateral. The Servicer (as long as the Servicer is Marlin or any
Affiliate of Marlin) will or will cause the Borrower to mark its master data processing records
evidencing such Pledged Receivables with a legend or electronic notation, evidencing that the Agent
has acquired an interest therein as provided herein. The Agent shall be entitled to conclusively
rely on the filings or registrations made by or on behalf of the Borrower without any independent
investigation and rely on the Servicer’s (as long as the Servicer is Marlin or any Affiliate of
Marlin) and the Borrower’s obligation to make such filings as evidence that such filings have been
made. The Servicer hereby authorizes the Agent to file one or more financing or continuation
statements, and amendments thereto and assignments thereof, relative to all or any of the Pledged
Receivables and the Other Conveyed Property and the Related Security related thereto and the
proceeds of the foregoing now existing or hereafter arising, without the signature of the Servicer
where permitted by law. The Servicer (as long as the Servicer is Marlin or any Affiliate of
Marlin) hereby ratifies and authorizes the filing by the Agent of any such financing statement made
prior to the Closing Date. A carbon, photographic or other reproduction of this Agreement or any
financing statement covering the Pledged Receivables, or any part thereof, shall be sufficient as a
financing statement. The Servicer shall, upon the request of the Agent at any time after the
occurrence of an Event of Default and at the Servicer’s expense, notify the Obligors obligated to
pay any Pledged Receivables, or any of them, of the security interest of the Secured Parties in the
Collateral. If the Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) fails
to perform any of its agreements or obligations under this paragraph, the Agent may (but shall not
be required to) itself perform, or cause performance of, such agreement or obligation, and the
expenses of the Agent incurred in connection therewith shall be payable by the Servicer (as long as
the Servicer is Marlin or any Affiliate of Marlin) upon the Agent’s demand therefor. For purposes
of enabling the Agent to exercise its rights described in the preceding sentence and elsewhere in
this Agreement, the Servicer and the Lenders hereby authorize each of the Agent and its successors
and assigns to take any and all steps in the Borrower’s name and on behalf of the Borrower and the
Lenders necessary or desirable, in the reasonable determination of the Agent, to collect all
amounts due under any and all Pledged Receivables and other Collateral, including, without
limitation, endorsing the Borrower’s name on checks and other instruments representing Collections
and enforcing such Pledged Receivables and the related Contracts and, if any, the related
guarantees.

(n) [Reserved].

(o) The Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) will not
consolidate with or merge into or with any other Person, or purchase or acquire all or
substantially all of the assets or capital stock, or other ownership interest of, any Person or
sell, transfer, lease or otherwise dispose of all or substantially all of its assets to any Person,
unless (a) (i) no Servicer Default, Event of Default or Material Adverse Effect would occur or be
reasonably likely to occur as a result of such transaction, and (ii) the Servicer (as long as the
Servicer is Marlin or any Affiliate of Marlin) is the surviving entity after giving effect to such
transaction and it expressly agrees in writing to continue to perform all obligations of the
Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) hereunder, or (b) the Agent
has given its prior written consent.

 

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(p) The Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) will not (i)
engage or permit any ERISA Affiliate thereof to engage in any prohibited transaction for which an
exemption is not available or has not previously been obtained from the United States Department of
Labor; (ii) permit to exist any accumulated funding deficiency, as defined in Section 302(a) of
ERISA and Section 412(a) of the IRC with respect to any Benefit Plan other than a Multiemployer
Plan; (iii) fail to make any payments to any Multiemployer Plan that the Servicer (as long as the
Servicer is Marlin or any Affiliate of Marlin) or any ERISA Affiliate thereof may be required to
make under the agreement relating to such Multiemployer Plan or any law pertaining thereto; (iv)
terminate any Benefit Plan so as to result in any liability in excess of $500,000.00; or (v) permit
to exist any occurrence of any reportable event described in Title IV of ERISA which represents a
material risk of a liability in excess of $500,000.00 of the Servicer (as long as the Servicer is
Marlin or any Affiliate of Marlin) or any ERISA Affiliate thereof under ERISA or the IRC.

(q) The Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) will not enter
into, or be a party to any transaction with the Borrower, except:

(I) the transactions contemplated hereunder, by the Purchase and Contribution Agreement
and the other Transaction Documents;

(II) other transactions in nature of employment contracts and directors’ fees, upon
fair and reasonable terms materially no less favorable to the Servicer than would be
obtained in a comparable arm’s-length transaction with a Person other than an Affiliate of
the Servicer; and

(III) transactions in the ordinary course of business between a parent corporation and
its subsidiary.

(r) The Servicer shall fully cooperate with the Backup Servicer in fulfilling its duties and
requirements as set forth for the Backup Servicer in Section 6.14 hereof.

(s) The Servicer (as long as the Servicer is Marlin or any Affiliate of Marlin) shall take all
other actions necessary to maintain the accuracy of the factual assumptions set forth in the legal
opinions of Dewey & LeBoeuf LLP, as special counsel to Marlin and the Borrower, issued in
connection with the Purchase and Contribution Agreement and relating to the issues of substantive
consolidation and true conveyance of the Pledged Receivables.

Section 6.24. Change in Agreements and Accounts. The Servicer shall not make any amendment,
change or other modification to the terms of the Custodial Agreement, or any other document,
agreement or arrangement relating to any of the Lockbox, the Lockbox Account, the Collection
Account, the Reserve Account or to its instructions to Obligors required to be made in compliance
with this Agreement, unless the Agent shall have consented thereto in writing in each instance.

 

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Section 6.25. Computer Software. The Servicer shall have and maintain all necessary software
licenses to operate software in order to perform the duties of the Servicer.

Section 6.26. Servicer Defaults. If any of the following events (each a “Servicer Default”)
shall occur and be continuing:

(a) the occurrence of any Bankruptcy Event with respect to the Servicer; or

(b) (i) the failure of the Servicer to deliver any Collections, payments, or proceeds which it
is obligated to deliver under the terms hereof or of any other Transaction Document at the time it
is obligated to make such deliveries under the terms hereof or of any other Transaction Document or
(ii) the failure by the Servicer to direct the Lockbox Bank, Lockbox Agent or Agent’s Bank to so
deliver any Collections, payments or proceeds in the manner required by any Transaction Document
and, in each case, such failure continues for a period of two Business Days; or

(c) any representation or warranty made or deemed to be made by the Servicer (or any of its
officers) under or in connection with this Agreement (or any remittance report or other information
or report delivered pursuant hereto) or any other Transaction Document (except solely with respect
to Pledged Receivables that have been resold in accordance with a Marlin Purchase Event) shall
prove to be false or incorrect in any material respect and shall remain false or incorrect for a
period of 10 Business Days after the earlier to occur of (i) the discovery of such failure by the
Servicer or (ii) notice of such failure given to such Person by the Agent, any Lender or any other
Person; or

(d) the Servicer shall fail to perform or observe (i) any term, covenant or agreement
hereunder (which is not specified in clause (ii) or (iii) below) or under any other Transaction
Document (other than described in clause (b) above) in any respect and such failure remains
unremedied for 10 Business Days after the earlier to occur of (A) the discovery of such failure by
the Servicer or (B) written notice of such failure given to an officer of the Servicer by the Agent
or any Lender, (ii) any term, covenant or agreement contained in Section 6.11(i) in any
respect and such failure remains unremedied for five Business Days after the earlier to occur of
(Y) the discovery of such failure by the Servicer or (Z) written notice of such failure given to an
officer of the Servicer by the Agent or any Lender or (iii) any term, covenant or agreement
contained in Sections 5.01(o), 6.05, 6.11(a) or 6.23(l) at any
time; or

(e) the Servicer shall have suffered any material adverse change to its financial condition or
operations which would affect the collectability of the Pledged Receivables or the Servicer’s
ability to conduct its business or fulfill its obligations hereunder or under any other Transaction
Document; or

(f) any Transaction Document to which the Servicer is a party, or any material provision
thereof that is applicable to the Servicer, shall not be in full force and effect and enforceable
in accordance with its terms, or the Servicer shall so assert in writing; or

(g) the Servicer’s (as long as the Servicer is then Marlin or any Affiliate of Marlin)
business activities relating to the origination, financing and servicing of the Pledged
Receivables,
the Related Security and the Other Conveyed Property or other similar assets are terminated
for any reason, including any termination thereof by a regulatory, tax or accounting body; or

 

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(h) any Event of Default or the Program Termination Date shall have occurred.

then, and in each and every such case, so long as the Servicer Default shall not have been waived,
if directed by the Required Lenders, the Agent, by notice in writing to the Servicer and the Backup
Servicer, may terminate all the rights and obligations of the Servicer under this Agreement and in
and to the Contracts and the proceeds thereof, as Servicer under this Agreement. Notwithstanding
any Servicer Default or delivery of any notice of a Servicer Default, the existing Servicer shall
not be relieved of its responsibilities hereunder, and shall continue to service the Pledged
Receivables and be entitled to payment of Servicing Fees and any reimbursements otherwise provided
for herein, until such time as a successor Servicer has assumed the responsibilities of the
Servicer hereunder.

The Servicer agrees to cooperate with the Agent and the Backup Servicer in effecting the
termination of the Servicer’s responsibilities and rights hereunder, including, without limitation,
providing notification to the Obligors of the assignment of the servicing function, providing the
Backup Servicer with all records, in electronic or other form, reasonably requested by it to enable
the Backup Servicer to assume the servicing functions hereunder and the transfer to the Backup
Servicer for administration by it of all cash amounts which at the time should be or should have
been deposited by the Servicer in the Collection Account or thereafter be received by the Servicer
with respect to the Pledged Receivables. Any obligations of Marlin under any Transaction Document
other than in its capacity as Servicer shall continue in effect notwithstanding Marlin’s
termination as Servicer.

Section 6.27. No Assignment; Resignation; Termination. (a) The Servicer may not assign or
transfer its rights or obligations under this Agreement without prior written consent of the Agent.

(b) The Servicer may not resign as Servicer hereunder unless its continued performance
hereunder is no longer permissible under a law, rule or regulation applicable to it (as evidenced
by an opinion of independent counsel to that effect delivered to the Agent).

(c) The Servicer may not be terminated under this Agreement except as provided in Section
6.26

Section 6.28. Servicer Advances. The Servicer (if Marlin or an Affiliate thereof) may, in its
sole discretion, make an advance in respect of any payment due on a Pledged Receivable (other than
a Defaulted Receivable) to the extent such payment has not been received by the Servicer or
remitted to the appropriate account as of its due date and the Servicer reasonably expects such
payment will be ultimately recoverable (a “Servicer Advance”). The Servicer shall deposit
into the Collection Account in immediately available funds the aggregate of all Servicer Advances
to be made in respect of a Remittance Period on or prior to the Business Day immediately preceding
the related Remittance Date. The Servicer shall be entitled to reimbursement in accordance with
Section 2.05(c) for any such Servicer Advance solely from amounts received in respect of
the Pledged Receivable to which such Servicer Advance relates.

 

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ARTICLE VII

EVENTS OF DEFAULT AND REMEDIES

Section 7.01. Events of Default and Remedies. If any of the following events (each an “Event
of Default”) shall occur and be continuing:

(a) the occurrence of any Bankruptcy Event with respect to the Borrower, Marlin or the Parent;
or

(b) the Borrower or Marlin shall fail to make any payment or deposit when due pursuant to any
Transaction Document (including, without limitation, the failure to pay Yield or Fees on any
Remittance Date and the failure to pay the principal amount of all Loans on the Program Termination
Date) and such event shall remain unremedied for two Business Days; or

(c) a Borrowing Base Deficiency shall remain unremedied for two Business Days or the Facility
Amount exceeds Borrowing Limit and such event shall remain unremedied for two Business Days; or

(d) the three month rolling average Borrower Delinquency Percentage or the three month rolling
average Managed Portfolio Delinquency Percentage exceeds 3.50%; or

(e) the Annualized Borrower Default Percentage exceeds 3.00%; or

(f) the Annualized Managed Portfolio Default Percentage exceeds 5.50%; or

(g) [Reserved]; or

(h) the Facility Maturity Date; or

(i) a Tangible Net Worth Default shall occur; or

(j) [Reserved]; or

(k) as of the last day of each calendar quarter ending on or after the date hereof for the
four-quarter period just ended, the Servicer Interest Coverage ratio shall be less than 1.15:1.00;
or

(l) as of the last day of each calendar quarter ending on or after the date hereof, the
Servicer Senior Leverage Ratio shall exceed 5.00:1.00; or

(m) as of (i) any Monthly Report Date, the Liquidity Ratio shall be less than 1.25:1.00 or
(ii) any Monthly Report Date, the most recent three-month rolling arithmetic average of the
Liquidity Ratio shall be less than 2.00:1.00; or

 

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(n) any representation or warranty made or deemed to be made by the Borrower or the Servicer
(as long as the Servicer is Marlin or any Affiliate of Marlin) (or any of their respective
officers) under or in connection with this Agreement (or any remittance report or other
information or report delivered pursuant hereto) or any other Transaction Document (except
solely with respect to Receivables that have been resold in accordance with a Marlin Purchase
Event) shall prove to be false or incorrect in any material respect and shall remain false or
incorrect for a period of 10 Business Days after the after the earlier to occur of (i) the
discovery of such failure by the Borrower or Servicer or (ii) written notice of such failure given
to any officer of the Borrower or the Servicer by the Agent or any Lender; or

(o) the Borrower or Marlin shall fail to perform or observe (i) any term, covenant or
agreement hereunder (which is not specified in clause (ii) below) or under any other Transaction
Document (other than as described in this Section 7.01) in any respect and such failure
remains unremedied for 10 Business Days after the earlier to occur of (A) the discovery of such
failure by the Borrower or Marlin or (B) written notice of such failure given to an officer of the
Borrower or Marlin by the Agent or any Lender, (ii) any term, covenant or agreement contained in
Section 6.11(i) in any respect and such failure remains unremedied for five Business Days
after the earlier to occur of (Y) the discovery of such failure by the Borrower or Marlin or (Z)
written notice of such failure given to an officer of the Borrower or Marlin by the Agent or any
Lender or (iii) any term, covenant or agreement specified in Sections 5.01(b), (c),
(f), (g), (h), (i), (o), (v), (w) or
(y) at any time; or

(p) (i) the Agent shall at any time fail to have a valid, perfected, first priority security
interest in any of the Borrower’s right, title and interest in any of the Collateral (other than
Equipment which has a value of less than $25,000), free and clear of any Adverse Claim, which
failure results, or could reasonably be expected to result, in a Material Adverse Effect, or
(ii) the Borrower shall, for any reason, cease to have a perfected ownership interest in any
Pledged Receivable and the Collections, Related Security and the Other Conveyed Property with
respect thereto; or

(q) the Borrower or Marlin shall have suffered any material adverse change to its financial
condition or operations which would affect the collectability of the Pledged Receivables or the
Borrower’s or Marlin’s ability to conduct its business or fulfill its obligations hereunder or
under any other Transaction Document; or

(r) the occurrence of a Change of Control; or

(s) (i) any Qualifying Interest Rate Hedge shall cease to be in full force and effect and
shall not have been replaced by another Qualifying Interest Rate Hedge, (ii) the occurrence of any
default by the Borrower in the observance or performance of any of the terms or provisions of any
Qualifying Interest Rate Hedge, (iii) any interest rate swap agreement or interest rate cap
agreement represented by the Borrower to be a Qualifying Interest Rate Hedge shall fail to be, or
cease to be, a Qualifying Interest Rate Hedge (subject to a 15 day grace period to obtain a
replacement Qualifying Interest Rate Hedge solely if such interest rate swap agreement or interest
rate cap agreement ceases to be a Qualifying Interest Rate Hedge solely because of a ratings
downgrade of the applicable hedge counterparty), (iv) the Overall Hedge Position is less than 95.0%
of the Loans Outstanding as of any Remittance Date or (solely in respect of Qualifying Interest
Rate Hedges that are interest rate swap agreements) more than 105.0% of the Loans Outstanding as of
any Remittance Date, or (v) the Borrower shall fail to
comply with any hedging requirement hereunder and, in any such case, such event shall remain
unremedied for two Business Days; or

 

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(t) any Transaction Document, or any material provision thereof, shall not be in full force
and effect and enforceable in accordance with its terms, or Wells Fargo, Marlin or the Borrower
shall so assert in writing; or

(u) all of Marlin’s or the Borrower’s business activities relating to the origination,
financing and servicing of the Pledged Receivables, the Related Security and the Other Conveyed
Property or other similar assets are terminated for any reason, including any order requiring
termination thereof by a regulatory, tax or accounting body; or

(v) [Reserved]; or

(w) The PBGC or the Internal Revenue Service shall have filed notice of one or more liens
against either Marlin or the Borrower (unless such lien does not purport to cover any of the
Collateral) and such notice shall have remained in effect for more than five Business Days; or

(x) any Servicer Default shall have occurred and be continuing; or

(y) any judgment or judgments, writ or writs or warrant or warrants of attachment, or any
similar attachment process, is entered or filed against the Borrower, or against any of its assets
(other than any judgment, attachment or levy as to which, and only to the extent, an insurance
company deemed reputable by the Agent has confirmed its responsibility in writing to pay the amount
thereof); or

(z) any judgment or judgments, writ or writs or warrant or warrants of attachment, or any
similar attachment process, is entered or filed against Marlin or Parent, or against any of their
respective assets, in an aggregate amount in excess of $1,000,000 (other than any judgment,
attachment or levy as to which, and only to the extent, an insurance company deemed reputable by
the Agent has confirmed its responsibility in writing to pay the amount thereof); or

(aa) (i) an ERISA Event occurs with respect to a Pension Plan or Multiemployer Plan which has
resulted or could reasonably be expected to result in liability of any Borrower Entity under Title
IV of ERISA to such Pension Plan, such Multiemployer Plan or the PBGC in an aggregate amount in
excess of $500,000 or (ii) any Borrower Entity or any ERISA Affiliate thereof fails to pay when
due, after the expiration of any applicable grace period, any installment payment with respect to
its withdrawal liability under Section 4201 of ERISA under a Multiemployer Plan in an aggregate
amount in excess of $500,000; or

(bb) if any misstatement or misrepresentation exists as of the date when made or deemed made,
in any warranty, representation, statement or Record made to the Agent or Lender by Borrower,
Marlin, or Parent, or any officer, employee, agent, or director of Borrower, Marlin or Parent, as
the case may be, unless such misstatement or misrepresentation is cured within ten (10) Business
Days of the date on which such misstatement or misrepresentation is discovered; or

 

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(cc) (i) on any Monthly Report Date, the sum of the amounts on deposit in the Reserve Account
is less than the greater of (A) one percent (1%) of the aggregate Discounted Balances of Pledged
Receivables as of such date and (B) $500,000, or (ii) on two or more consecutive Monthly Report
Dates, the sum of the amounts on deposit in the Reserve Account as of each such date is less than
the greater of (Y) two percent (2%) of the aggregate Discounted Balances of Pledged Receivables as
of such date and (Z) $500,000, unless, in either case, it is cured within two Business Days; or

(dd) a default or event of default with respect to any other agreement relating to
indebtedness with an aggregate principal balance in excess of $5,000,000 to which the Borrower,
Marlin, Parent or any of their respective Affiliates is a party, the occurrence of which (after
any applicable cure period) results in a right by the other party thereto, irrespective of whether
exercised, to accelerate the maturity of any obligations thereunder, to terminate such agreement or
to refuse to renew such agreement in accordance with an automatic renewal right therein.

then the Agent may, at the direction of the Required Lenders, by notice to the Borrower, declare
the Program Termination Date to have occurred; provided that in the case of any event described in
Section 7.01(a) above the Program Termination Date shall be deemed to have occurred
automatically upon the occurrence of such event. For the avoidance of doubt, any Event of Default
continuing at the time of such declaration or automatic occurrence of the Program Termination Date
shall not be subject to cure. Upon any such waiver of an Event of Default, such default shall
cease to exist, and shall be deemed to have been remedied for every purpose of this Agreement. No
such waiver shall be effective unless it shall be in writing and signed by the Agent on the
Lenders’ behalf, and no such waiver shall extend to any subsequent or other default or impair any
right consequent thereon except to the extent expressly so waived. The Agent shall promptly send a
copy of each waiver to all of the parties hereto.

Upon any such declaration or automatic occurrence of the Program Termination Date, (i) the
Borrower shall cease purchasing Receivables from Marlin under the Purchase and Contribution
Agreement, (ii) at the option of the Agent in its sole discretion, the Agent may declare the Loans
made to the Borrower hereunder and all Yield and all Fees accrued on such Loans and any other
Obligations to be immediately due and payable (and the Borrower shall pay such Loans and all such
amounts and Obligations immediately), (iii) [reserved], and (iv) at the option of the Agent in its
sole discretion, the Agent, on behalf of the Secured Parties, may direct the Obligors to make all
payments under the Pledged Receivables directly to the Backup Servicer or a successor Servicer, the
Agent or any lockbox or account established by any of such parties. In addition, upon any such
declaration or upon any such automatic occurrence, the Agent and the Lenders shall have, in
addition to all other rights and remedies under this Agreement or otherwise, all other rights and
remedies provided under the UCC of the applicable jurisdiction and other applicable laws, which
rights shall be cumulative. If any Event of Default shall have occurred and be continuing or if
the Program Termination Date shall have occurred, Yield on all Loans shall accrue at a Yield Rate
calculated on the basis of clause (b)(ii) of the definition of Yield Rate, effective as of the date
of the occurrence of the applicable Event of Default.

 

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Section 7.02. Additional Remedies of the Agent. (a) If, upon the Agent’s declaration that the
Loans made to the Borrower hereunder are immediately due and payable pursuant to
Section 7.01, the aggregate outstanding principal amount of the Loans, all accrued Fees and
Yield and any other Obligations then due are not immediately paid in full, then the Agent, in
addition to all other rights specified hereunder, shall have the right, in its own name and as
agent for the Secured Parties, to immediately sell in a commercially reasonable manner, in a
recognized market (if one exists) at such price or prices as the Agent may reasonably deem
satisfactory, any or all Collateral and apply the proceeds thereof to the Obligations in the
priorities provided in Section 2.05(c).

(b) The parties recognize that it may not be possible to sell all of the Collateral on a
particular Business Day, or in a transaction with the same purchaser, or in the same manner because
the market for such Collateral may not be liquid. Accordingly, the Agent may elect, in its sole
discretion, the time and manner of liquidating any Collateral, and nothing contained herein shall
obligate the Agent to liquidate any Collateral on the date the Agent declares the Loans made to the
Borrower hereunder to be immediately due and payable pursuant to Section 7.01 or to
liquidate all Collateral in the same manner or on the same Business Day.

(c) Any amounts received from any sale or liquidation of the Collateral pursuant to this
Section 7.02 in excess of the Obligations will be returned promptly to the Borrower, its
successors or assigns, or to whosoever may be lawfully entitled to receive the same, or as a court
of competent jurisdiction may otherwise direct.

(d) The Agent and the Lenders shall have, in addition to all the rights and remedies provided
herein and provided by applicable federal, state, foreign, and local laws (including, without
limitation, the rights and remedies of a secured party under the Uniform Commercial Code of any
applicable State, to the extent that the Uniform Commercial Code is applicable, and the right to
offset any mutual debt and claim), and all rights and remedies available to the Lenders at law, in
equity or under any other agreement between the Lenders and the Borrower.

(e) Except as otherwise expressly provided in this Agreement, no remedy provided for by this
Agreement shall be exclusive of any other remedy, each and every remedy shall be cumulative and in
addition to any other remedy, and no delay or omission to exercise any right or remedy shall impair
any such right or remedy or shall be deemed to be a waiver of any Event of Default.

(f) The parties hereto agree that, to the extent that notice of any such sale shall be
required by law, at least 10 days’ prior written notice to the Borrower of the time and place of
any such public sale or the time after which any private sale is to be made shall constitute
commercially reasonable notification

(g) During the continuance of any Event of Default, the Agent, in addition to the rights
specified in Section 7.01, shall have the right, in its own name and as agent for the
Secured Parties, to take all actions now or hereafter existing at law, in equity or by statute to
enforce its rights and remedies and to protect the interests of the Agent and the Secured Parties
(including the institution and prosecution of all judicial, administrative and other proceedings
and the filings of proofs of claim and debt in connection therewith). Except as otherwise
expressly provided in this Agreement, no remedy provided for by this Agreement shall be exclusive
of any other remedy, each and every remedy shall be cumulative and in addition to any other remedy,
and no
delay or omission to exercise any right or remedy shall impair any such right or remedy or
shall be deemed to be a waiver of any Event of Default.

 

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ARTICLE VIII

INDEMNIFICATION

Section 8.01. Indemnities by the Borrower. Without limiting any other rights which the Agent,
the Lenders, the Backup Servicer, the Agent’s Bank, the Servicer, the Custodian or any of their
respective Affiliates may have hereunder or under applicable law, the Borrower hereby agrees to
indemnify and defend the Agent, each Lender, the Backup Servicer, the Servicer, the Custodian, the
Agent’s Bank and each of their respective Affiliates (each, an “Indemnified Party” for purposes of
this Article VIII) from and against any and all damages, losses, claims, liabilities and
related costs and expenses, including reasonable attorneys’ fees and disbursements (all of the
foregoing being collectively referred to as “Indemnified Amounts”), awarded against or incurred by
any of them arising out of or as a result of this Agreement or in respect of any Collateral,
excluding, however, Indemnified Amounts to the extent resulting solely from gross negligence, bad
faith or willful misconduct on the part of the applicable Indemnified Party or any income or
franchise taxes incurred by such Indemnified Party arising out of or as a result of this Agreement
or in respect of the Collateral. Without limiting the foregoing, the Borrower shall indemnify and
defend each Indemnified Party for Indemnified Amounts relating to or resulting from any of the
following (to the extent not resulting solely from gross negligence, bad faith or willful
misconduct on the part of the applicable Indemnified Party):

(i) any Pledged Receivable treated as or represented by the Borrower to be an Eligible
Receivable which is not at the applicable time an Eligible Receivable;

(ii) reliance on any representation or warranty made or deemed made by the Borrower or
any of its officers under or in connection with this Agreement, which shall have been false
or incorrect in any respect when made or deemed made or delivered;

(iii) the failure by the Borrower to comply with any term, provision or covenant
contained in this Agreement or any agreement executed in connection with this Agreement, or
with any applicable law, rule or regulation with respect to any Collateral, or the
nonconformity of any Collateral with any such applicable law, rule or regulation;

(iv) the failure to vest and maintain vested in the Agent, for the benefit of the
Lenders, or to transfer to the Agent, for the benefit of the Secured Parties, a first
priority perfected security interest in the Collateral, free and clear of any Adverse Claim
whether existing at the time of the related Borrowing or at any time thereafter;

(v) the failure to maintain, as of the close of business on each Business Day prior to
the Collection Date, a Facility Amount which is less than or equal to the lesser of (x) the
Borrowing Limit on such Business Day and (y) the Capital Limit on such Business Day;

(vi) the failure to file, or any delay in filing, financing statements or other similar
instruments or documents under the UCC of any applicable jurisdiction or other
applicable laws with respect to any Receivables which are, or are purported to be,
Pledged Receivables or the other Collateral, whether at the time of any Borrowing or at any
subsequent time;

 

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(vii) any dispute, claim, offset or defense (other than the discharge in bankruptcy of
an Obligor) to the payment of any Receivable which is, or is purported to be, a Pledged
Receivable (including, without limitation, a defense based on such Receivable (or the
Contract evidencing such Receivable) not being a legal, valid and binding obligation of such
Obligor enforceable against it in accordance with its terms), including any dispute, claim,
offset or defense related to or resulting from the absence of one or more original
signatures in respect of any Contract;

(viii) any failure of the Borrower to perform its duties or obligations in accordance
with the provisions of this Agreement;

(ix) the failure of the Borrower to pay when due any taxes payable in connection with
the Pledged Receivables or the Collateral related thereto;

(x) any repayment by the Agent or any Lender of any amount previously distributed in
payment of Loans or payment of Yield or Fees or any other amount due hereunder, in each case
which amount the Agent or the Lender believes in good faith is required to be repaid;

(xi) the commingling by the Borrower of Collections of Pledged Receivables and other
Collateral at any time with other funds;

(xii) any investigation, litigation or proceeding related to this Agreement or the use
of proceeds of Loans or the Collateral;

(xiii) any failure by the Borrower to give reasonably equivalent value to Marlin in
consideration for the transfer by Marlin to the Borrower of any Receivable or any attempt by
any Person to void or otherwise avoid any such transfer under any statutory provision or
common law or equitable action, including, without limitation, any provision of the
Bankruptcy Code;

(xiv) any failure of the Borrower or any of its agents or representatives to remit to
the Collection Account Collections of Pledged Receivables and other Collateral remitted to
the Borrower or any such agent or representative;

(xv) any failure on the part of the Borrower duly to observe or perform in any material
respect any covenant or agreement under any Qualifying Interest Rate Hedge;

(xvi) [Reserved];

(xvii) the failure of the Borrower to have a perfected ownership interest or first
priority perfected security interest in the Collateral due to an Adverse Claim (excluding
any Adverse Claim in favor of the Agent) at any time;

 

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(xviii) any products liability claim or personal injury or property damage suit or
other similar or related claim or action of whatever sort arising out of or in connection
with goods, merchandise and/or services which are the subject of any Contract related to the
Pledged Receivables; and/or

(xix) the payment by such Indemnified Party of taxes (except for “Taxes” (as such term
is defined in Section 2.15(a) hereof)), including, without limitation, any taxes
imposed by any jurisdiction on amounts payable and any liability (including penalties,
interest and expenses) arising therefrom or with respect thereto to the extent caused by the
Borrower’s actions or failure to act.

Any amounts subject to the indemnification provisions of this Section 8.01 shall be
paid by the Borrower to the applicable Indemnified Party (or, with respect to any Lender, to the
Agent) within two Business Days following the applicable Indemnified Party’s written demand
therefor. The Indemnified Party making a request for indemnification under this
Section 8.01 shall submit to the Borrower a certificate setting forth in reasonable detail
the basis for and the computations of the Indemnified Amounts with respect to which such
indemnification is requested, which certificate shall be conclusive absent demonstrable error.

If the Borrower has made any payments in respect of Indemnified Amounts to an Indemnified
Party pursuant to this Section 8.01 and such Indemnified Party thereafter collects any of
such amounts from others, such Indemnified Party will promptly repay such amounts collected to the
Borrower, without interest.

Section 8.02. Indemnities by Servicer. (a) Without limiting any other rights which any
Indemnified Party may have hereunder or under applicable law, the Servicer hereby agrees to
indemnify and defend each Indemnified Party from and against any and all damages, losses, claims,
liabilities and related costs and expenses (including reasonable attorneys’ fees and disbursements)
(all of the foregoing being collectively referred to as “Servicer Indemnified Amounts”) suffered or
sustained by any Indemnified Party as a consequence of any of the following, excluding, however,
Servicer Indemnified Amounts (A) resulting solely from any gross negligence, bad faith or willful
misconduct of the applicable Indemnified Party claiming indemnification hereunder, (B) resulting
from any income or franchise taxes incurred by such Indemnified Party arising out of or as a result
of this Agreement or (C) to the extent that providing such indemnity would constitute recourse for
losses due to the uncollectibility of any Pledged Receivables due to the insolvency, bankruptcy or
financial inability or refusal to pay of the related Obligor arising or occurring at any time after
the date of its Conveyance under (and as defined in) the Purchase and Contribution Agreement:

(i) the inclusion, in any computations made by the Servicer in connection with any
Borrowing Base Certificate or Monthly Remittance Report or other report prepared by it
hereunder, of any Pledged Receivables which were not Eligible Receivables as of the date of
any such computation;

(ii) reliance on any representation or warranty made or deemed made by the Servicer or
any of its officers under or in connection with this Agreement or any other
Transaction Document to which it is a party, which shall have been false or incorrect
in any respect when made or deemed made or delivered;

 

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(iii) any investigation, litigation or claim arising out of, or resulting from, the
Servicer’s failure to observe the terms and covenants of this Agreement or any other
Transaction Document to which it is a party;

(iv) the failure by the Servicer to comply with (A) any term, provision or covenant
contained in this Agreement or any other Transaction Document to which it is a party, or any
agreement executed in connection with this Agreement, or (B) any applicable law, rule or
regulation applicable to it with respect to any Collateral;

(v) any action or inaction by the Servicer that causes the Agent, for the benefit of
the Secured Parties, not to have a first priority perfected security interest in the
Receivables which are, or are purported to be, Pledged Receivables, together with all
Borrower’s interest in Collateral related thereto free and clear of any Adverse Claim
whether existing at the time of the related Borrowing or any time thereafter;

(vi) the commingling by the Servicer of the Collections of Pledged Receivables at any
time with any other funds;

(vii) any failure of the Servicer or any of its agents or representatives (including,
without limitation, agents, representatives and employees of the Servicer acting pursuant to
authority granted under Section 6.01 hereof) to remit to Collection Account
Collections of Pledged Receivables remitted to the Servicer or any such agent or
representative;

(viii) the failure by the Servicer to perform any of its duties or obligations in
accordance with the provisions of this Agreement or errors or omissions related to such
duties;

(ix) the payment by the Agent, any Lender or the Backup Servicer of taxes, including,
without limitation, any taxes imposed by any jurisdiction on amounts payable and any
liability (including penalties, interest and expenses) arising therefrom or with respect
thereto to the extent caused by the Servicer’s actions or failure to act;

(x) any action taken by the Servicer (or any assignee or designee of the Servicer) in
the enforcement or collection of any Contract related to a Pledged Receivable;

(xi) any of the events or facts giving rise to a breach of any of the Servicer’s
representations, warranties, agreements and/or covenants set forth in Article V or
Article VI; and/or

(xii) any environmental claims arising in connection with any activity on mortgaged
property constituting Equipment.

provided no successor Servicer (which is not Marlin or an Affiliate of Marlin) shall have any
liability under clause (xii) above or for Adverse Claims with respect to the Collateral for which
such successor Servicer does not have knowledge.

 

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(b) The Servicer Indemnified Amounts shall be paid by the Servicer to the applicable
Indemnified Party within two Business Days following receipt by the Servicer of such Person’s
written demand therefor. The Indemnified Party making a request for indemnification under this
Section 8.02 shall submit to the Servicer a certificate setting forth in reasonable detail
the basis for and the computations of the Indemnified Amounts with respect to which such
indemnification is requested, which certificate shall be conclusive absent demonstrable error

(c) If the Servicer has made any indemnity payments to an Indemnified Party pursuant to this
Section 8.02 and such Indemnified Party thereafter collects any of such amounts from
others, such Indemnified Party will promptly repay such amounts collected to the Servicer, without
interest.

Except as otherwise provided herein, none of the Servicer, the Backup Servicer or the Agent
shall be under any obligation to appear in, prosecute or defend any legal action related to this
Agreement unless such action is related to its respective duties under this Agreement; provided
that, except as otherwise provided herein, any of the Servicer, the Backup Servicer or the Agent
may in its discretion undertake any such action which it may deem necessary or desirable in
connection with any legal action with respect to this Agreement and the rights and duties of the
parties hereto.

Each applicable Indemnified Party shall deliver to the indemnifying party under
Section 8.01 and Section 8.02, within a reasonable time after such Indemnified
Party’s receipt thereof, copies of all notices and documents (including court papers) received by
such Indemnified Party relating to the claim giving rise to the Indemnified Amounts.

ARTICLE IX

THE AGENT

Section 9.01. Appointment and Authorization. Each Lender hereby irrevocably designates and
appoints Key Equipment Finance Inc. as the “Agent” under the Transaction Documents and, subject to
Section 9.11 below, authorizes the Agent to take such actions and to exercise such powers
as are delegated to the Agent thereby and to exercise such other powers as are reasonably
incidental thereto. The Agent shall not have any duties other than those expressly set forth in
the Transaction Documents or any fiduciary relationship with any Lender, and no implied obligations
or liabilities shall be read into any Transaction Document, or otherwise exist, against the Agent.
The Agent does not assume, nor shall it be deemed to have assumed, any obligation to, or
relationship of trust or agency with, any Borrower Entity. Notwithstanding any provision of this
Agreement or any other Transaction Document, in no event shall the Agent ever be required to take
any action which exposes the Agent to personal liability or which is contrary to the provision of
any Transaction Document or applicable law.

 

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Section 9.02. Delegation of Duties. The Agent may execute any of its duties through agents or
attorneys-in-fact and shall be entitled to advice of counsel concerning all matters pertaining to
such duties. The Agent shall not be responsible for the negligence or misconduct of any agents or
attorneys-in-fact selected by it with reasonable care.

Section 9.03. Exculpatory Provisions. Neither the Agent nor any of its directors, officers,
agents or employees shall be liable for any action taken or omitted (a) with the consent or at the
direction of the Instructing Group or (b) in the absence of such Person’s gross negligence or
willful misconduct. The Agent shall not be responsible to any Lender or other Person for (w) any
recitals, representations, warranties or other statements made by any Borrower Entity or any of
their Affiliates, (x) the value, validity, effectiveness, genuineness, enforceability or
sufficiency of the Collateral or any Transaction Document, (y) any failure of any Borrower Entity
or any of their Affiliates to perform any obligation or (z) the satisfaction of any condition
specified in Article III. The Agent shall not have any obligation to any Lender to
ascertain or inquire about the observance or performance of any agreement contained in any
Transaction Document or to inspect the properties, books or records of any Borrower Entity or any
of their Affiliates.

Section 9.04. Reliance by Agent. The Agent shall in all cases be entitled to rely, and shall
be fully protected in relying, upon any document, other writing or conversation believed by it to
be genuine and correct and to have been signed, sent or made by the proper Person and upon advice
and statements of legal counsel (including counsel to any Borrower Entity), independent accountants
and other experts selected by the Agent. The Agent shall in all cases be fully justified in
failing or refusing to take any action under any Transaction Document unless it shall first receive
such advice or concurrence of the Lenders, and assurance of its indemnification, as it deems
appropriate.

Section 9.05. Assumed Payments. Unless the Agent shall have received notice from the
applicable Lender before the date of any Loan that such Lender will not make available to the Agent
the amount it is scheduled to remit as part of such Loan, the Agent may assume such Lender has made
such amount available to the Agent when due (an “Assumed Payment”) and, in reliance upon such
assumption, the Agent may (but shall have no obligation to) make available such amount to the
appropriate Person. If and to the extent that any Lender shall not have made its Assumed Payment
available to the Agent, such Lender hereby agrees to pay the Agent forthwith on demand such unpaid
portion of such Assumed Payment up to the amount of funds actually paid by the Agent, together with
interest thereon for each day from the date of such payment by the Agent until the date the
requisite amount is repaid to the Agent, at a rate per annum equal to the Default Funding Rate.

Section 9.06. Notice of Events of Default, Servicer Defaults and Program Termination Date.
The Agent shall not be deemed to have knowledge or notice of the occurrence of any Event of
Default, Servicer Default or Program Termination Date unless the Agent has received notice from any
Lender or the Borrower stating that an Event of Default, Servicer Default or Program Termination
Date has occurred hereunder and describing such event or circumstance. The Agent shall take such
action concerning an Event of Default as may be directed by the Instructing Group (or, if required
for such action, all of the Lenders), but until the Agent receives
such directions, the Agent may (but shall not be obligated to) take such action, or refrain
from taking such action, as the Agent deems advisable and in the best interests of the Lenders.

 

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Section 9.07. Non-Reliance on Agent and Other Lenders. Each Lender expressly acknowledges
that neither the Agent nor any of its officers, directors, employees, agents, attorneys-in-fact or
Affiliates has made any representations or warranties to it and that no act by the Agent hereafter
taken, including any review of the affairs of the Borrower or any Borrower Entity, shall be deemed
to constitute any representation or warranty by the Agent. Each Lender represents and warrants to
the Agent that, independently and without reliance upon the Agent or any other Lender and based on
such documents and information as it has deemed appropriate, it has made and will continue to make
its own appraisal of and investigation into the business, operations, property, prospects,
financial and other conditions and creditworthiness of the Borrower, the Borrower Entities, and the
Collateral and its own decision to enter into this Agreement and to take, or omit, action under any
Transaction Document. The Agent shall deliver each month to any Lender that so requests a copy of
the Monthly Remittance Report(s) received by the Agent. Except for items specifically required to
be delivered hereunder, the Agent shall not have any duty or responsibility to provide any Lender
with any information concerning the Borrower, any Borrower Entity or any of their Affiliates that
comes into the possession of the Agent or any of its officers, directors, employees, agents,
attorneys-in-fact or Affiliates.

Section 9.08. Agent and Affiliates. The Agent and its Affiliates may extend credit to, accept
deposits from and generally engage in any kind of business with the Borrower, any Borrower Entity
or any of their Affiliates.

Section 9.09. Indemnification. Each Lender shall indemnify and hold harmless the Agent and
its officers, directors, employees, representatives and agents (to the extent not reimbursed by the
Borrower or any Borrower Entity and without limiting the obligation of the Borrower or any Borrower
Entity to do so), ratably in accordance with its Ratable Share from and against any and all
liabilities, obligations, losses, damages, penalties, judgments, settlements, costs, expenses and
disbursements of any kind whatsoever (including in connection with any investigative or threatened
proceeding, whether or not the Agent or such Person shall be designated a party thereto) that may
at any time be imposed on, incurred by or asserted against the Agent or such Person as a result of,
or related to, any of the transactions contemplated by the Transaction Documents or the execution,
delivery or performance of the Transaction Documents or any other document furnished in connection
therewith (but excluding any such liabilities, obligations, losses, damages, penalties, judgments,
settlements, costs, expenses or disbursements resulting solely from the gross negligence or willful
misconduct of the Agent or such Person as finally determined by a court of competent jurisdiction).

Section 9.10. Successor Agent. The Agent may, upon at least 30 days notice to the Borrower,
the Servicer and each Lender, resign as Agent. Such resignation shall not become effective until a
successor agent reasonably acceptable to the Borrower is appointed by the Instructing Group and has
accepted such appointment. Upon such acceptance of its appointment as Agent hereunder by a
successor Agent, such successor Agent shall succeed to and become vested with all the rights and
duties of the retiring Agent, and the retiring Agent shall be discharged from its duties and
obligations under the Transaction Documents. After any retiring
Agent’s resignation hereunder, the provisions of Article VIII, IX and
X shall inure to its benefit as to any actions taken or omitted to be taken by it while it
was the Agent.

 

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Section 9.11. Control by Instructing Group. (a) The Instructing Group shall have the right
to direct the time, method and place of conducting any action, the granting or withholding of
approval or consent or the exercise or non-exercise of any remedy available to the Agent under this
Agreement or the other Transaction Documents. The Agent agrees that it shall not effect any such
action, approval, consent or exercise or non-exercise of remedies under this Agreement or any other
Transaction Document without the direction of the Instructing Group.

(b) Notwithstanding the foregoing, (i) no such direction of the Instructing Group shall be in
conflict with any rule of law or with the Transaction Documents, (ii) the Agent shall not be
required to follow any such direction which the Agent reasonably believes might result in any
personal liability on the part of the Agent for which the Agent is not adequately indemnified and
(iii) the Agent may take any actions deemed proper by the agent which are not inconsistent with any
prior directions of the Instructing Group and shall be protected to the fullest extent provided
herein.

ARTICLE X

MISCELLANEOUS

Section 10.01. Amendments and Waivers. (a) Except as provided in Section 10.01(b), no
amendment of any provision of this Agreement shall be effective without the written agreement of
the Borrower, the Servicer, the Agent and the Instructing Group and, solely to the extent that such
Person’s obligation hereunder are affected by such amendment, each of the Backup Servicer, the
Custodian and the Agent’s Bank, and no termination or waiver of any provision of this Agreement or
consent to any departure therefrom by the Borrower or the Servicer shall be effective without the
written concurrence of the Agent and the Instructing Group. Any waiver or consent shall be
effective only in the specific instance and for the specific purpose for which given.

(b) In addition, no amendment of any Transaction Document shall, without the consent of
(i) all Lenders, (A) extend the Commitment Termination Date or the date of any payment or transfer
of Collections by the Borrower to the Servicer, (B) reduce the rate or extend the time of payment
of Yield for any Accrual Period, (C) reduce or extend the time of payment of any fee payable to the
Lenders, (D) except as provided herein, release, transfer or modify any Lender’s Loan Amount or
change any Commitment, (E) amend the definition of Required Lenders, Instructing Group, Event of
Default or Sections 2.01, 2.02, 2.03, 2.05, 2.09,
2.15, or Article VIII, or any obligation of either the Borrower or the Servicer thereunder,
(F) consent to the assignment or transfer by the Borrower of any interest in the Pledged
Receivables other than transfers expressly contemplated by the terms of the Transaction Documents
or permit any Borrower Entity to transfer any of its obligations under any Transaction Document
except as expressly contemplated by the terms of the Transaction Documents, (G) increase the
Maximum Facility Amount, the Capital Limit, the Borrowing Limit or the Maximum Advance Percentage
or (H) amend any defined term relevant to the restrictions in clauses (A) through (G) in a manner
which would circumvent the intention of such restrictions or (ii) the Agent, amend any provision
hereof if the effect thereof is to affect the indemnities to, or the rights or duties of, the
Agent or to reduce any fee payable for the Agent’s own account. Notwithstanding the foregoing, the
amount of any fee or other payment due and payable from the Borrower to the Agent (for its own
account) or a Lender may be changed or otherwise adjusted solely with the prior written consent of
the Borrower and the party to which such payment is payable. Any amendment hereof shall apply to
each Lender equally and shall be binding upon the Borrower, the Lenders and the Agent.

 

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Section 10.02. Notices, Etc. All notices and other communications provided for hereunder
shall, unless otherwise stated herein, be in writing (including telex communication, communication
by facsimile copy or electronic mail) and mailed, telexed, transmitted or delivered, as to each
party hereto, at its address set forth under its name on the signature pages hereof or specified in
such party’s Transfer Supplement or at such other address (including, without limitation, an
electronic mail address) as shall be designated by such party in a written notice to the other
parties hereto. All such notices and communications shall be effective, upon receipt, or in the
case of notice by facsimile copy or electronic mail, when verbal communication of receipt is
obtained. Each party hereto, however, authorizes the Agent to act on telephone notices of Loans
from any person the Agent in good faith believes to be acting on behalf of the relevant party and,
at the Agent’s option, to tape record any such telephone conversation. Each party hereto agrees to
deliver promptly a confirmation of each telephone notice given or received by such party (signed by
an authorized officer of such party), but the absence of such confirmation shall not affect the
validity of the telephone notice. The Agent’s records of all such conversations shall be deemed
correct and, if the confirmation of a conversation differs in any material respect from the action
taken by the Agent, the records of the Agent shall govern absent manifest error. The number of
days for any advance notice required hereunder may be waived (orally or in writing) by the Person
receiving such notice and, in the case of notices to the Agent, the consent of each Person to which
the Agent is required to forward such notice.

Section 10.03. No Waiver; Remedies. No failure on the part of the Agent or any Lender to
exercise, and no delay in exercising, any right hereunder shall operate as a waiver thereof; nor
shall any single or partial exercise of any right hereunder preclude any other or further exercise
thereof or the exercise of any other right. The remedies herein provided are cumulative and not
exclusive of any remedies provided by law.

Section 10.04. Successors and Assigns; Participations; Assignments.

(a) Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of
the parties hereto and their respective successors and assigns. None of the Borrower, the
Servicer, the Backup Servicer, the Custodian or the Agent’s Bank may assign any of its rights and
obligations hereunder or any interest herein without the prior written consent of the Lenders and
the Agent.

(b) Participations. Any Lender may sell to one or more Persons (each a “Participant”)
participating interests in the interests of such Lender hereunder. Such Lender shall remain solely
responsible for performing its obligations hereunder, and the Borrower and the Agent shall continue
to deal solely and directly with such Lender in connection with such Lender’s rights and
obligations hereunder. Each Participant shall be entitled to the benefits of
Article VIII and shall have the right of setoff through its participation in amounts
owing hereunder to the same extent as if it were a Lender hereunder, which right of setoff is
subject to such Participant’s obligation to share with the Lenders as provided in
Section 10.14. A Lender shall not agree with a Participant to restrict such Lender’s right
to agree to any amendment hereto, except amendments described in clause (a) of
Section 10.01(b).

 

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(c) Assignments by Lenders. Any Lender may assign to one or more Persons (“Purchasing
Lenders”), which Purchasing Lender shall, if other than Key Equipment Finance Inc., be acceptable
to (i) the Agent in its sole discretion and (ii) prior to the occurrence of an Event of Default,
the Borrower (such consent not to be unreasonably withheld), any portion of its Commitment as a
Lender hereunder and Loan Amount pursuant to a supplement hereto (a “Transfer Supplement”) in form
satisfactory to the Agent executed by each such Purchasing Lender, such selling Lender and the
Agent. Each Purchasing Lender, if other than Key Equipment Finance Inc., shall pay a fee of $3,000
to the Agent in connection with such assignment. Any partial assignment shall be an assignment of
an identical percentage of such selling Lender’s Loan Amount and its Commitment as a Lender
hereunder. Upon the execution and delivery to the Agent of the Transfer Supplement and payment by
the Purchasing Lender to the selling Lender of the agreed purchase price, such selling Lender shall
be released from its obligations hereunder to the extent of such assignment and such Purchasing
Lender shall for all purposes be a Lender party hereto and shall have all the rights and
obligations of a Lender hereunder to the same extent as if it were an original party hereto. The
Agent shall maintain at its address referred to herein a copy of each Transfer Supplement delivered
to and accepted by it and a register for the recordation of the names, addresses and Commitment of
the Lender and the Loan Amount of each Loan made by the Lender from time to time (the “Lender
Register”). The entries in the Lender Register shall be conclusive and binding for all purposes,
absent manifest error, and the Borrower, the Custodian and the Lenders may treat each Person whose
name is recorded in the Lender Register as a Lender hereunder for all purposes of this Agreement.
The Lender Register shall be available for inspection by the Lender at any reasonable time and from
time to time upon reasonable prior notice.

(d) Notifications, Confidential Information. The Agent shall notify the Borrower of any
assignment or participation thereof made pursuant to this Section 10.04. A Lender may, in
connection with any assignment or participation or any proposed assignment or participation
pursuant to this Section 10.04, disclose to the assignee or participant or proposed
assignee or participant any information relating to the Borrower and the Collateral furnished to
the Lender by or on behalf of the Borrower or the Servicer; provided that the Lender shall not
disclose any such information until it has (i) notified the Borrower and Marlin of its intent to
disclose such information and (ii) obtained an agreement from such assignee or participant or
proposed assignee or participant that it shall treat as confidential (under terms mutually
satisfactory to the Borrower, Marlin, Agent and such assignee or participant or proposed assignee
or participant) any information obtained which is not already publicly known or available.

(e) [Reserved].

(f) [Reserved].

 

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(g) Opinions of Counsel. If required by the Agent, each Transfer Supplement must be
accompanied by an Opinion of Counsel of the assignee as to such matters as the Agent may reasonably
request.

(h) Further Assurances. Subject to Section 10.04(a), each of the parties hereto
hereby agrees to execute any amendment to this Agreement that is required in order to facilitate
the addition of any new Lender hereunder as contemplated by this Section 10.04.

(i) Federal Reserve Bank. At any time and from time to time, any Lender may, without the
consent of the Borrower, assign or grant a security interest in all or a portion of its interests
in its Loans or the Collateral hereunder to the Federal Reserve Bank in accordance with Regulation
A of the Board of Governors of the Federal Reserve System.

Section 10.05. Term of This Agreement. This Agreement including, without limitation, the
Borrower’s obligation to observe its covenants set forth in Articles V and VI and
the Servicer’s obligation to observe its covenants set forth in Articles V and VI,
shall remain in full force and effect until the Collection Date; provided that the rights and
remedies with respect to any breach of any representation and warranty made or deemed made by the
Borrower or the Servicer pursuant to Articles III and VI and the indemnification
and payment provisions of Section 2.09, 2.15, Article VIII and the
provisions of Section 10.09 shall be continuing and shall survive any termination of this
Agreement.

Section 10.06. Governing Law; Jury Waiver; Consent to Jurisdiction. This Agreement shall, in
accordance with Section 5-1401 and 5-1402 of the general obligations law of the State of New York,
be governed by the laws of the State of New York, without regard to any conflicts of law principles
thereof that would call for the application of the laws of any other jurisdiction, except to the
extent that the validity or perfection of the interests of the Secured Parties in the pledged
receivables, or remedies hereunder, in respect thereof, are governed by the laws of a jurisdiction
other than the State of New York. Each of the Parties hereto waives, to the fullest extent
permitted by law, any right it may have to a trial by jury in respect of any litigation arising
directly or indirectly out of, under or in connection with this Agreement or any of the
transactions contemplated hereunder. Each Party to this Agreement submits to the nonexclusive
jurisdiction of the United States District Court for the Southern District of New York and of any
New York State Court sitting in New York, New York (or to the extent permitted by law, in such
federal court) for purposes of all legal proceedings arising out of or relating to this Agreement
or the transactions contemplated by this Agreement or by the other Transaction Documents. Each
Party to this Agreement irrevocably waives, to the fullest extent it may effectively do so, any
objection that it may now or hereafter have to the laying of the venue of any such proceeding
brought in such a Court and any claim that any such proceeding brought in such a Court has been in
an inconvenient forum.

 

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Section 10.07. Costs, Expenses and Taxes. (a) In addition to the rights of indemnification
granted to the Backup Servicer, the Custodian, the Servicer, the Agent’s Bank, the Agent, the
Lenders and the Indemnified Parties, the Borrower agrees to pay on demand all reasonable (and
reasonably documented) costs and expenses of the Backup Servicer, the Custodian, the Servicer, the
Agent’s Bank, the Lenders and the Agent incurred in connection with the preparation, execution,
delivery, administration and enforcement of, or any waiver or consent issued or
amendment prepared in connection with, this Agreement, the other Transaction Documents and the
other documents to be delivered hereunder or in connection herewith or therewith or incurred in
connection with any amendment, waiver or modification of this Agreement, any other Transaction
Document, and any other documents to be delivered hereunder or thereunder or in connection herewith
or therewith including, without limitation, the reasonable fees and out-of-pocket expenses of
counsel for the Backup Servicer, the Servicer, the Custodian, the Agent’s Bank, the Agent and the
Lenders with respect thereto and with respect to advising the Backup Servicer, the Custodian, the
Servicer, the Agent’s Bank, the Agent and the Lenders as to their respective rights and remedies
under this Agreement and the other documents to be delivered hereunder or in connection herewith,
and all costs and expenses, if any (including reasonable counsel fees and expenses), incurred by
the Backup Servicer, the Custodian, the Servicer, the Agent’s Bank, the Agent or the Lenders in
connection with the enforcement of this Agreement and the other documents to be delivered hereunder
or in connection with any Transaction Document. Notwithstanding anything to the contrary contained
herein, the parties agree that in no event shall the Borrower be obligated to pay the fees and
expenses of more than one counsel in respect of the Lenders, which counsel shall be counsel for the
Agent.

(b) [Reserved].

(c) The Borrower shall pay on demand any and all stamp, sales, excise and other taxes and fees
payable or determined to be payable in connection with the execution, delivery, filing and
recording of this Agreement, the other documents to be delivered hereunder or any agreement or
other document providing liquidity support, credit enhancement or other similar support to a Lender
which is specific to this Agreement or the funding or maintenance of Loans hereunder.

(d) [Reserved].

(e) So long as Wells Fargo is acting as Backup Servicer hereunder, without limiting any other
provision hereof, the Borrower shall pay on demand all costs, expenses and fees of the Backup
Servicer hereunder related to its duties under this Agreement as set forth in Exhibit F in
accordance with the priority provisions of Section 2.05(c)(I) or (II), as
applicable.

(f) So long as KeyBank is acting as Agent hereunder, without limiting any other provision
hereof, the Borrower shall pay on demand all costs, expenses and fees (if any) of the Agent related
to its duties under this Agreement as set forth in the Fee Letter in accordance with the priority
provisions of Section 2.05(c)(I) or (II), as applicable.

(g) So long as Wells Fargo is acting as Custodian hereunder, without limiting any other
provision hereof, the Borrower shall pay on demand all costs, expenses and fees of the Custodian
related to its duties under the Custodial Agreement as set forth in Exhibit F in accordance with
the priority provisions of Section 2.05(c)(I) or (II), as applicable.

(h) [Reserved].

(i) Any Person making a claim under this Section 10.07 shall submit to the Borrower a
written notice setting forth in reasonable detail the basis for and the computations of the
applicable costs, expenses, taxes or similar items.

 

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Section 10.08. [Reserved].

Section 10.09. Recourse Against Certain Parties. No recourse under or with respect to any
obligation, covenant or agreement (including, without limitation, the payment of any fees or any
other obligations) of any Lender or the Agent as contained in this Agreement or any other
agreement, instrument or document entered into by any Lender or the Agent pursuant hereto or in
connection herewith shall be had against any administrator of any Lender or the Agent or any
incorporator, affiliate, stockholder, officer, employee or director of any Lender or the Agent or
of any such administrator, as such, by the enforcement of any assessment or by any legal or
equitable proceeding, by virtue of any statute or otherwise; it being expressly agreed and
understood that the agreements of each party hereto contained in this Agreement and all of the
other agreements, instruments and documents entered into by the Lenders or the Agent pursuant
hereto or in connection herewith are, in each case, solely the corporate obligations of such party
(and nothing in this Section 10.09 shall be construed to diminish in any way such corporate
obligations of such party), and that no personal liability whatsoever shall attach to or be
incurred by any administrator of any Lender or the Agent or any incorporator, stockholder,
affiliate, officer, employee or director of any Lender or the Agent or of any such administrator,
as such, or any of them, under or by reason of any of the obligations, covenants or agreements of
any Lender or the Agent contained in this Agreement or in any other such instruments, documents or
agreements, or which are implied therefrom, and that any and all personal liability of every such
administrator of any Lender or the Agent and each incorporator, stockholder, affiliate, officer,
employee or director of any Lender or the Agent or of any such administrator, or any of them, for
breaches by any Lender or the Agent of any such obligations, covenants or agreements, which
liability may arise either at common law or in equity, by statute or constitution, or otherwise, is
hereby expressly waived as a condition of and in consideration for the execution of this Agreement.
The provisions of this Section 10.09 shall survive the termination of this Agreement.

Section 10.10. Execution in Counterparts; Severability; Integration. This Agreement may be
executed in any number of counterparts and by different parties hereto in separate counterparts,
each of which when so executed shall be deemed to be an original and all of which when taken
together shall constitute one and the same agreement. Delivery of an executed counterpart of a
signature page to this Agreement by facsimile shall be effective as delivery of a manually executed
counterpart of this Agreement. In the event that any provision in or obligation under this
Agreement shall be invalid, illegal or unenforceable in any jurisdiction, the validity, legality
and enforceability of the remaining provisions or obligations, or of such provision or obligation
in any other jurisdiction, shall not in any way be affected or impaired thereby. This Agreement
contains the final and complete integration of all prior expressions by the parties hereto with
respect to the subject matter hereof and shall constitute the entire agreement among the parties
hereto with respect to the subject matter hereof, superseding all prior oral or written
understandings other than the Fee Letter and the fee letters between the Borrower and Wells Fargo
or KeyBank.

Section 10.11. Tax Characterization. Notwithstanding any provision of this Agreement, the
parties hereto intend that the Loans advanced hereunder shall constitute indebtedness of the
Borrower for federal income tax purposes.

 

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Section 10.12. [Reserved].

Section 10.13. Confidentiality. The parties hereto agree to hold the Transaction Documents or
any other confidential or proprietary information received in connection therewith in confidence
and agree not to provide any Person with copies of any Transaction Document or such other
confidential or proprietary information other than to (i) any of its officers, directors, members,
managers, employees, subservicers or outside accountants, auditors or attorneys, provided that the
disclosing party shall notify any such Person of the confidentiality requirements hereof and shall
be responsible for any violation thereof by such Person, (ii) any prospective or actual assignee or
participant which (in each case) has signed a confidentiality agreement reasonably acceptable to
Marlin and containing provisions substantially identical to this Section, (iii) any rating agency,
which has agreed to keep such information confidential, (iv) any surety, guarantor or credit or
liquidity enhancer to the Agent or any Lender which (in each case) has agreed to keep such
information confidential, (v) any entity organized to loan, or make loans secured by, financial
assets for which the Agent provides managerial services or acts as an administrative agent which
(in each case) has signed a confidentiality agreement reasonably acceptable to Marlin and
substantially in the form of the confidentiality agreement signed by the Agent prior to the date
hereof, and (vi) Government Entities with appropriate jurisdiction. Notwithstanding the above
stated obligations, the parties hereto will not be liable for disclosure or use of such information
which such Person can establish by tangible evidence: (i) was required by law, rule or regulation
including pursuant to a valid subpoena or other legal process, (ii) was rightfully in such Person’s
possession or known to such Person prior to receipt or (iii) is or becomes known to the public
through disclosure in a printed publication (without breach of any of such Person’s obligations
hereunder).

Section 10.14. Sharing of Recoveries. Each Lender agrees that if it receives any recovery,
through set-off, judicial action or otherwise, on any amount payable or recoverable hereunder in a
greater proportion than should have been received hereunder based on its Loan Amount or Ratable
Share or otherwise inconsistent with the provisions hereof, then the recipient of such recovery
shall purchase for cash an interest in amounts owing to the other Lenders (as return of Loan Amount
or otherwise), without representation or warranty except for the representation and warranty that
such interest is being sold by each such other Lender free and clear of any Adverse Claim created
or granted by such other Lender, in the amount necessary to create proportional participation by
the Lenders in such recovery (as if such recovery were distributed pursuant to
Section 2.05). If all or any portion of such amount is thereafter recovered from the
recipient, such purchase shall be rescinded and the purchase price restored to the extent of such
recovery, but without interest.

Section 10.15. Right of Setoff. During an Event of Default and after the Program Termination
Date, the Agent and each Lender is hereby authorized (in addition to any other rights it may have)
to setoff, appropriate and apply (without presentment, demand, protest or other notice which are
hereby expressly waived) any deposits and any other indebtedness held or owing by the Agent or such
Lender (including by any branches or agencies of the Agent or such Lender) to, or for the account
of, the Borrower against amounts owing by the Borrower hereunder (even if contingent or unmatured).

 

100

 

Section 10.16. Headings; Counterparts. Article and Section headings in this Agreement are for
reference only and shall not affect the construction of this Agreement.

Section 10.17. Force Majeure. If Wells Fargo or KeyBank is prevented from fulfilling its
obligations hereunder as a result of government actions, regulations, fires, strikes, accidents,
acts of God or other causes beyond the control of such party, such party’s obligations hereunder
shall be suspended for a reasonable time during which such condition exists

Section 10.18. Patriot Act Compliance. The Agent hereby notifies the Borrower that pursuant
to the requirements of the Patriot Act, it, and each other Lender, may be required to obtain,
verify and record information that identifies the Borrower, which information includes the name and
address of the Borrower, organizational documentation, director and shareholder information, and
other information that will allow the Agent and each Lender to identify the Borrower in accordance
with the Patriot Act. This notice is given in accordance with the requirements of the Patriot Act
and is effective for the Agent and each Lender.

[Signature page to follow.]

 

101

 

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

	 	 	 	 	 	 	 	 	 
	THE BORROWER:	 	MARLIN LEASING RECEIVABLES XIII LLC	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	By MARLIN LEASING RECEIVABLES CORP. XIII, its managing member	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	Title:
	 	 

	 	 
	 

	 	 	 	 	 	 

	 	 
	 	 	Address:	 	300 Fellowship Road

Mt. Laurel, NJ 08054	 	 
	 	 	Attention:	 	Lynne C. Wilson	 	 
	 	 	Facsimile:	 	(856) 813-2704	 	 
	 	 	Telephone:	 	(856) 505-4108	 	 
	 
	 	 	 	 	 	 	 	 
	THE SERVICER:	 	MARLIN LEASING CORPORATION	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	Title:
	 	 

	 	 
	 

	 	 	 	 	 	 

	 	 
	 	 	Address:	 	300 Fellowship Road

Mt. Laurel, NJ 08054	 	 
	 	 	Attention:	 	Lynne C. Wilson	 	 
	 	 	Facsimile:	 	(856) 813-2704	 	 
	 	 	Telephone:	 	(856) 505-4108	 	 

 

 

 

	 	 	 	 	 	 	 	 	 
	THE BACKUP SERVICER AND THE CUSTODIAN:	 	WELLS FARGO BANK, NATIONAL ASSOCIATION	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	Title:
	 	 

	 	 
	 

	 	 	 	 	 	 

	 	 
	 	 	Address:	 	MAC N9311-161

Sixth Street and Marquette Avenue	 	 
	 	 	Attention:	 	Corporate Trust Services – 
Asset-Backed Administration	 	 
	 	 	Facsimile:	 	(612) 667-3464	 	 
	 	 	Telephone:	 	(612) 667-8058	 	 

 

2

 

	 	 	 	 	 	 	 	 	 
	THE AGENT:	 	KEY EQUIPMENT FINANCE INC.	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	Title:
	 	 

	 	 
	 

	 	 	 	 	 	 

	 	 
	 	 	Address:	 	Lease Advisory Services

1000 South McCaslin Boulevard

Superior, CO 80027	 	 
	 	 	Attention:	 	Todd T. Oliver	 	 
	 	 	Telephone:	 	(720) 304-1245	 	 
	 	 	Facsimile:	 	(216) 357-6760	 	 

 

3

 

	 	 	 	 	 	 	 	 	 
	THE LENDERS:	 	KEY EQUIPMENT FINANCE INC., as a Lender	 	 
	 
	 	 	 	 	 	 	 	 
	COMMITMENT AMOUNT:
	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	$50,000,000

	 	By:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 	 	 
	 

	 	 	 	Title:
	 	 

	 	 
	 

	 	 	 	 	 	 

	 	 
	 	 	Address:	 	Lease Advisory Services

1000 South McCaslin Boulevard

Superior, CO 80027	 	 
	 	 	Attention:	 	Todd T. Oliver	 	 
	 	 	Telephone:	 	(720) 304-1245	 	 
	 	 	Facsimile:	 	(216) 357-6760	 	 

 

4

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