Initial Servicer Event of Default. Means any one of the following events (whatever the reason for such Initial Servicer Event of Default and without regard to whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any Governmental Entity): (i) failure on the part of Initial Servicer to remit to the Lockbox Account or the Collection Account any monies received by Initial
... Servicer and required to be remitted to the Lockbox Account or the Collection Account which failure continues unremedied for a period of 5 days from the date of receipt of such monies by Initial Servicer; (ii) except as provided in clause (i) above, a default on the part of Initial Servicer in its observance or performance in any material respect of the covenants or agreements in the Operative Documents which failure continues unremedied for a period of 30 days after notice is given to Initial Servicer by Purchaser; (iii) if any representation or warranty of Initial Servicer made in the Operative Documents shall prove to be incorrect in any material respect as of the time made; or (iv) an Event of Bankruptcy in respect of Initial Servicer. (v) Initial Servicer shall default beyond any period of grace provided therefor with respect to any principal of or interest on any indebtedness for borrowed money or in its obligations under a receivables financing with a principal amount in excess of $1,000,000, or any other breach or default (or other event or condition) shall occur under any agreement, indenture or instrument relating to any such indebtedness for borrowed money or receivables financing, if the effect of such breach or default (or such other event or condition) is to cause, or to permit the holder or holders of the indebtedness for borrowed money or receivables financing (or a Person on behalf of such holder or holders) to cause (upon the giving of notice, the lapse of time or both, or otherwise), such indebtedness for borrowed money or receivables financing to become or be declared due and payable or to require either a repurchase of receivables or a replacement of Initial Servicer as servicing agent for such receivables. 2 (i) "Initial Servicer Insurance Policy" means any insurance policy issued or provided by any third-party insurer or any self-insurance arrangement in respect of Initial Servicer, relating to property, assets, activities or businesses of Initial Servicer.
View More
