Common use of Additional Amortization Events Clause in Contracts

Additional Amortization Events. If any one of the following shall occur: (a) failure on the part of the Seller (i) to make any payment or deposit required under the Agreement within five Business Days after the date such payment or deposit is required to be made or (ii) to observe or perform in any material respect any other covenants or agreements of the Seller set forth in the Agreement, which failure has a material adverse effect on the Series 1997-2 Participation Interest and which continues unremedied for a period of 60 days after written notice; (b) any representation or warranty made by the Seller in the Agreement proves to have been incorrect in any material respect when made, as a result of which the interests of holders of interest in the Deposit Trust are materially and adversely affected, and which continues to be incorrect in any material respect and continues to materially and adversely affect the interests of holders of interest in the Deposit Trust for a period of 60 days after written notice; provided, however, that an Amortization Event shall not be deemed to occur if the Seller has repurchased the related Receivables, during such period (or within an additional 60 days with the consent of the Deposit Trustee) in accordance with the provisions of the Agreement; (c) the Deposit Trust or the Issuer becomes subject to regulation by the Commission as an investment company within the meaning of the Investment Company Act of 1940, as amended; (d) a Servicer Default shall occur which has a material adverse effect on the Series 1997-2 Participants; (e) the average, for any three consecutive Payment Dates (after making all distributions on such Payment Dates), of the percentage equivalent of (i) the Overcollateralization Amount divided by (ii) the unpaid principal balance of the Series 1997-2 Participation Interest, is less than _____%; and (f) the Seller's Trust Amount owned by HCLC is reduced below the Aggregate Required Seller Amount, then, in the case of any event described in (a), (b) or (d), an Amortization Event will be deemed to have occurred only if, after any applicable grace period described in such clauses, either the Deposit Trustee or holders of Series Participation Interests evidencing more than 50% of the unpaid principal balance of the Series 1997-2 Participation Interest, by written notice to the Seller and the Servicer (and to the Deposit Trustee, if given by the Series 1997-2 Participants) declare that an Amortization Event has occurred as of the date of such notice. In the case of any event described in clauses (c), (e) or (f), an Amortization Event will be deemed to have occurred and an Early Amortization Period will occur without any notice or other action on the part of the Deposit Trustee or the Series 1997-2 Participants immediately upon the occurrence of such event.

Additional Amortization Events. If any one of the following shall occur: (a) failure on the part of the Seller (i) to make any payment or deposit required under the Agreement within five Business Days after the date such payment or deposit is required to be made or (ii) to observe or perform in any material respect any other covenants or agreements of the Seller set forth in the Agreement, which failure has a material adverse effect on the Series 1997-2 1 Participation Interest and which continues unremedied for a period of 60 days after written notice; (b) any representation or warranty made by the Seller in the Agreement proves to have been incorrect in any material respect when made, as a result of which the interests of holders of interest in the Deposit Trust are materially and adversely affected, and which continues to be incorrect in any material respect and continues to materially and adversely affect the interests of holders of interest in the Deposit Trust for a period of 60 days after written notice; provided, however, that an Amortization Event shall not be deemed to occur if the Seller has repurchased the related Receivables, during such period (or within an additional 60 days with the consent of the Deposit Trustee) in accordance with the provisions of the Agreement; (c) the Deposit Trust or the Issuer becomes subject to regulation by the Commission as an investment company within the meaning of the Investment Company Act of 1940, as amended; (d) a Servicer Default shall occur which has a material adverse effect on the Series 1997-2 1 Participants; (e) the average, for any three consecutive Payment Dates (after making all distributions on such Payment Dates), of the percentage equivalent of (i) the Overcollateralization Amount divided by (ii) the unpaid principal balance of the Series 1997-2 1 Participation Interest, is less than _____%; and (f) the Seller's Trust Amount owned by HCLC is reduced below the Aggregate Required Seller Amount, then, in the case of any event described in (a), (b) or (d), an Amortization Event will be deemed to have occurred only if, after any applicable grace period described in such clauses, either the Deposit Trustee or holders of Series Participation Interests evidencing more than 50% of the unpaid principal balance of the Series 1997-2 1 Participation Interest, by written notice to the Seller and the Servicer (and to the Deposit Trustee, if given by the Series 1997-2 1 Participants) declare that an Amortization Event has occurred as of the date of such notice. In the case of any event described in clauses (c), (e) or (f), an Amortization Event will be deemed to have occurred and an Early Amortization Period will occur without any notice or other action on the part of the Deposit Trustee or the Series 1997-2 1 Participants immediately upon the occurrence of such event.

Additional Amortization Events. If (a) Except as provided in Section 6.01(b), the occurrence of any one of the following shall occurevents shall, immediately upon the occurrence thereof without notice or other action on the part of the Indenture Trustee or the Series 200 _ - _ Noteholders, be deemed to be an Early Amortization Event solely with respect to Series 200 _ - _ : (ai) on any Determination Date, the average of the Monthly Payment Rates for the three preceding Collection Periods is less than %; (ii) on any Determination Date, the Series 200 _ - _ Available Subordinated Amount for the next Payment Date will be reduced to an amount less than the Required Subordinated Amount on such Determination Date, after giving effect to the distributions to be made on the next Payment Date; (iii) any Servicing Default occurs; (iv) failure on the part of the Seller Transferor, the Servicer or VCI, as applicable, (ia) to make any payment or deposit required under by the Trust Sale and Servicing Agreement within or the Receivables Purchase Agreement, including but not limited to any Transfer Deposit Amount or Adjustment Payment, on or before the date occurring five Business Days after the date such payment or deposit is required to be made therein; or (iib) to deliver a Payment Date Statement on the date required under the Trust Sale and Servicing Agreement (or within the applicable grace period which will not exceed five Business Days); (c) to comply with its covenant not to create any lien on a Receivable; or (d) to observe or perform in any material respect any other covenants or agreements of the Seller set forth in the Trust Sale and Servicing Agreement or the Receivables Purchase Agreement, which failure has a material adverse effect on the Series 1997-2 Participation Interest and which continues unremedied for a period of 60 days after written noticenotice of such failure; (bv) any representation or warranty made by the Seller VCI in the Receivables Purchase Agreement or by the Transferor in the Trust Sale and Servicing Agreement or any information required to be given by the Transferor to the Indenture Trustee to identify the Accounts proves to have been incorrect in any material respect when made, as a result of which the interests of holders of interest in the Deposit Trust are materially made and adversely affected, and which continues to be incorrect in any material respect and continues to materially and adversely affect the interests of holders of interest in the Deposit Trust for a period of 60 days after written noticenotice and as a result the interests of the Noteholders are materially and adversely affected; provided, however, that an Early Amortization Event shall not be deemed to occur thereunder if the Seller Transferor has repurchased the related Receivables or all such Receivables, if applicable, during such 60 day period (or within an additional 60 days with the consent of the Deposit Trustee) in accordance with the provisions of the Trust Sale and Servicing Agreement; (c) the Deposit Trust or the Issuer becomes subject to regulation by the Commission as an investment company within the meaning of the Investment Company Act of 1940, as amended; (d) a Servicer Default shall occur which has a material adverse effect on the Series 1997-2 Participants; (e) the average, for any three consecutive Payment Dates (after making all distributions on such Payment Dates), of the percentage equivalent of (i) the Overcollateralization Amount divided by (ii) the unpaid principal balance of the Series 1997-2 Participation Interest, is less than _____%; and (fvi) the Seller's Trust Amount owned by HCLC is reduced below occurrence of an Event of Default with respect to the Aggregate Required Seller Amount, then, in Series 200 _ - _ Notes and the declaration that the Series 200 _ - _ Notes are due and payable pursuant to Section 5.2 of the Indenture. (b) In the case of any event described in (aSection 6.01(a)(iii), (b) or (div), (v) and (vi) above, an Early Amortization Event with respect to Series 200 _ - _ will be deemed to have occurred only if, after any the applicable grace period described in such clauses, either (i) the Deposit Indenture Trustee or holders of (ii) Series Participation Interests 200 _ - _ Noteholders holding Series 200 _ - _ Notes evidencing more than 50% of the aggregate unpaid principal balance amount of the Series 1997-2 Participation Interest200 _ - _ Notes, by written notice to the Seller Trust, the Transferor and the Servicer (and to the Deposit Indenture Trustee, if such notice is given by the Series 1997-2 Participants200 _ - _ Noteholders) declare that an Early Amortization Event has occurred as of the date of such notice. In the case of any event described in clauses (c), (e) or (f), an Amortization Event will be deemed to have occurred and an Early Amortization Period will occur without any notice or other action on the part of the Deposit Trustee or the Series 1997-2 Participants immediately upon the occurrence of such event.

Additional Amortization Events. If any one of the following shall occur: (a) failure on the part of the Seller (i) to make any payment or deposit required under the Agreement within five Business Days after the date such payment or deposit is required to be made or (ii) to observe or perform in any material respect any other covenants or agreements of the Seller set forth in the Agreement, which failure has a material adverse effect on the Series 1997-2 Participation Interest and which continues unremedied for a period of 60 days after written notice; (b) any representation or warranty made by the Seller in the Agreement proves to have been incorrect in any material respect when made, as a result of which the interests of holders of interest in the Deposit Trust are materially and adversely affected, and which continues to be incorrect in any material respect and continues to materially and adversely affect the interests of holders of interest in the Deposit Trust for a period of 60 days after written notice; provided, however, that an Amortization Event shall not be deemed to occur if the Seller has repurchased the related Receivables, during such period (or within an additional 60 days with the consent of the Deposit Trustee) in accordance with the provisions of the Agreement; (c) the Deposit Trust or the Issuer becomes subject to regulation by the Commission as an investment company within the meaning of the Investment Company Act of 1940, as amended; (d) a Servicer Default shall occur which has a material adverse effect on the Series 1997-2 Participants; (e) the average, for any three consecutive Payment Dates (after making all distributions on such Payment Dates), of the percentage equivalent of (i) the Overcollateralization Amount divided by (ii) the unpaid principal balance of the Series 1997-2 Participation Interest, is less than _____4.25%; and (f) the Seller's Trust Amount owned by HCLC is reduced below the Aggregate Required Seller Amount, then, in the case of any event described in (a), (b) or (d), an Amortization Event will be deemed to have occurred only if, after any applicable grace period described in such clauses, either the Deposit Trustee or holders of Series Participation Interests evidencing more than 50% of the unpaid principal balance of the Series 1997-2 Participation Interest, by written notice to the Seller and the Servicer (and to the Deposit Trustee, if given by the Series 1997-2 Participants) declare that an Amortization Event has occurred as of the date of such notice. In the case of any event described in clauses (c), (e) or (f), an Amortization Event will be deemed to have occurred and an Early Amortization Period will occur without any notice or other action on the part of the Deposit Trustee or the Series 1997-2 Participants immediately upon the occurrence of such event.

Additional Amortization Events. If (a) Except as provided in Section 6.01(b), the occurrence of any one of the following shall occurevents shall, immediately upon the occurrence thereof without notice or other action on the part of the Indenture Trustee or the Series 2000-1 Noteholders, be deemed to be an Early Amortization Event solely with respect to Series 2000-1: (ai) on any Determination Date, the average of the Monthly Payment Rates for the three preceding Collection Periods is less than 27.5%; (ii) on any Determination Date, the Series 2000-1 Available Subordinated Amount for the next Payment Date will be reduced to an amount less than the Required Subordinated Amount on such Determination Date, after giving effect to the distributions to be made on the next Payment Date; (iii) any Servicing Default with respect to the Series 2000-1 Notes occurs; (iv) any Carry-Over Amount is outstanding on six consecutive Payment Dates; (v) failure on the part of the Seller Transferor, the Servicer or VCI, as applicable, (ia) to make any payment or deposit required under by the Trust Sale and Servicing Agreement within or the Receivables Purchase Agreement, including but not limited to any Transfer Deposit Amount or Adjustment Payment, on or before the date occurring five Business Days after the date such payment or deposit is required to be made therein; or (iib) to deliver a Payment Date Statement on the date required under the Trust Sale and Servicing Agreement (or within the applicable grace period which will not exceed five Business Days); (c) to comply with its covenant not to create any lien on a Receivable; or (d) to observe or perform in any material respect any other covenants or agreements of the Seller set forth in the Trust Sale and Servicing Agreement or the Receivables Purchase Agreement, which failure has a material adverse effect on the Series 1997-2 Participation Interest and which continues unremedied for a period of 60 days after written noticenotice of such failure; (bvi) any representation or warranty made by the Seller VCI in the Receivables Purchase Agreement or by the Transferor in the Trust Sale and Servicing Agreement or any information required to be given by the Transferor to the Indenture Trustee to identify the Accounts proves to have been incorrect in any material respect when made, as a result of which the interests of holders of interest in the Deposit Trust are materially made and adversely affected, and which continues to be incorrect in any material respect and continues to materially and adversely affect the interests of holders of interest in the Deposit Trust for a period of 60 days after written noticenotice and as a result the interests of the Noteholders are materially and adversely affected; provided, however, that an Early Amortization Event shall not be -------- ------- deemed to occur thereunder if the Seller Transferor has repurchased the related Receivables or all such Receivables, if applicable, during such 60 day period (or within an additional 60 days with the consent of the Deposit Trustee) in accordance with the provisions of the Trust Sale and Servicing Agreement; (c) the Deposit Trust or the Issuer becomes subject to regulation by the Commission as an investment company within the meaning of the Investment Company Act of 1940, as amended; (d) a Servicer Default shall occur which has a material adverse effect on the Series 1997-2 Participants; (e) the average, for any three consecutive Payment Dates (after making all distributions on such Payment Dates), of the percentage equivalent of (i) the Overcollateralization Amount divided by (ii) the unpaid principal balance of the Series 1997-2 Participation Interest, is less than _____%; and (fvii) the Seller's Trust Amount owned by HCLC is reduced below occurrence of an Event of Default with respect to the Aggregate Required Seller Amount, then, in Series 2000-1 Notes and the declaration that the Series 2000-1 Notes are due and payable pursuant to Section 5.2 of the Indenture. (b) In the case of any event described in (aSection 6.01(a)(iii), (b) or (dv), (vi) and (vii) above, an Early Amortization Event with respect to Series 2000-1 will be deemed to have occurred only if, after any the applicable grace period described in such clauses, either (i) the Deposit Indenture Trustee or holders of (ii) Series Participation Interests 2000-1 Noteholders holding Series 2000-1 Notes evidencing more than 50% of the aggregate unpaid principal balance amount of the Series 19972000-2 Participation Interest1 Notes, by written notice to the Seller Trust, the Transferor and the Servicer (and to the Deposit Indenture Trustee, if such notices is given by the Series 19972000-2 Participants1 Noteholders) declare that an Early Amortization Event has occurred as of the date of such notice. In the case of any event described in clauses (c), (e) or (f), an Amortization Event will be deemed to have occurred and an Early Amortization Period will occur without any notice or other action on the part of the Deposit Trustee or the Series 1997-2 Participants immediately upon the occurrence of such event.

Additional Amortization Events. If any one of the following shall occur: (a) failure on the part of the Seller (i) to make any payment or deposit required under by the terms of the Agreement within or this Series Supplement on or before the date occurring five Business Days after the date such payment or deposit is required to be made herein or therein, or (ii) duly to observe or perform in any material respect any other covenants or agreements of the Seller set forth in the AgreementAgreement or this Series Supplement, which failure has a material adverse effect affect on the Series 1997-2 Participation Interest 1 Certificateholders and which continues unremedied for a period of 60 days after the date on which written noticenotice of such failure, requiring the same to be remedied, shall have been given to the Seller by the Trustee, or to the Seller and the Trustee by a Series 1997-1 Certificateholder; (b) any representation or warranty made by the Seller in the Agreement proves or the Series Supplement or any information to identify the Accounts required to be delivered by the Seller pursuant to Section 2.01 or 2.09 of the Agreement (i) shall prove to have been incorrect in any material respect when mademade or when delivered, as a result of which the interests of holders of interest in the Deposit Trust are materially and adversely affected, and which continues to be incorrect in any material respect and continues to materially and adversely affect the interests of holders of interest in the Deposit Trust for a period of 60 days after the date on which written noticenotice of such failure, requiring the same to be remedied, shall have been given to the Seller by the Trustee, or to the Seller and the Trustee by a Series 1997-1 Certificateholder, and (ii) as a result of such incorrectness the interests of the Series 1997-1 Certificateholders are materially and adversely affected; provided, however, that neither an Early Accumulation Event or an Early Amortization Event shall not be deemed to occur have occurred under this subsection 7(b) if the Seller has repurchased the related Receivables or all such Receivables, if applicable, during such period (or within an additional 60 days with the consent of the Deposit Trustee) in accordance with the provisions of the Agreement; (c) the Deposit Trust or the Issuer becomes subject to regulation by the Securities and Exchange Commission as an "investment company company" within the meaning of the Investment Company Act of 1940, as amended; (d) a failure by the Seller to convey Receivables in Additional Accounts to the Trust within five Business Days after the day on which it is required to convey such Receivables pursuant to subsection 2.09(a) of the Agreement; (e) a Servicer Default shall occur which has a material adverse effect on the Series 1997-2 Participants1 Certificateholders (determined without regard to the availability of moneys in the Cash Collateral Account); (e) the average, for any three consecutive Payment Dates (after making all distributions on such Payment Dates), of the percentage equivalent of (i) the Overcollateralization Amount divided by (ii) the unpaid principal balance of the Series 1997-2 Participation Interest, is less than _____%; and (f) the Seller's Trust Amount owned by HCLC average Series Adjusted Portfolio Yield for any three consecutive Due Periods is reduced to a rate below the Aggregate Required average Base Rate for such period; (g) failure to distribute an amount equal to the full Invested Amount of the Class A Certificates, or the Class B Certificates, as the case may be, and all interest accrued thereon, on or before the Series 1997-1 Expected Final Payment Date; (h) the occurrence of the Reserve Account event described in Section 4.20(e); or (i) the Seller Amount, is unable for any reason to transfer Receivables to the Trust in accordance with the Agreement. then, in the case of any event described in subparagraph (a), (b) or (d), an Amortization Event will be deemed to have occurred only if, e) above after any the applicable grace period described period, if any, set forth in such clausessubparagraphs, either the Deposit Trustee or holders of the Series Participation Interests 1997-1 Certificateholders evidencing more than 50% of the aggregate unpaid principal balance amount of the Series 1997-2 Participation Interest, 1 Certificates by written notice then given in writing to the Seller and the Servicer (and to the Deposit Trustee, Trustee if given by the Series 1997-2 Participants1 Certificateholders) may declare that an Amortization Event has occurred as of the date of such notice. In , and, in the case of any event described in clauses subparagraphs (c), (e) or d), (f), (g), (h) or (i) above subject to applicable law, an Amortization Event will be deemed to have occurred and an Early Amortization Period will shall occur without any notice or other action on the part of the Deposit Trustee or the Series 1997-2 Participants Investor Certificateholders (except as otherwise provided in any such subparagraph), immediately upon the occurrence of such event.