Common use of Allocation of Collections Clause in Contracts

Allocation of Collections. ON PAYMENT DATES PRE-TERMINATION DATE. On each Payment Date before the Termination Date, the Servicer shall deposit into the Collection Account all Collections set aside and held in trust pursuant to SECTION 2.04(b) above during the immediately preceding Settlement Period, and the Agent shall apply all such Collections as follows: (i) first, in payment of the following amounts in the following order for allocation to the relevant Affected Parties: (1) Yield, (2) Ongoing Liquidity Fees, (3) Program Fees, (4) Conduit Fees, (5) Other Fees and (6) Servicer Fees, in each case to the extent accrued and unpaid; (ii) second, to the extent of any amounts set aside under CLAUSES (B) or (C) of SECTION 2.04(b)(i), to the Purchasers in reduction of outstanding Capital, to be distributed (x) in the case of amounts set aside under clause (C), to the Purchasers ratably in accordance with the Receivables Interests of the Purchasers and (y) in the case of amounts set aside under clause (B), to the Conduit Purchaser in an amount equal to the Conduit Purchaser's ratable share (in accordance with the Receivables Interests of the Purchasers) of such amounts until the Conduit Purchaser's outstanding Capital is reduced to zero; and (iii) third, to the Seller in payment of the Purchase Price for a Reinvestment Purchase (allocated ratably among all of the Purchasers or, if the Agent has notified the Seller and the Servicer that the Conduit Purchaser shall not make any more Reinvestment Purchases, allocated ratably among the Committed Purchasers).

Allocation of Collections. ON PAYMENT DATES PRE-TERMINATION DATE. On Based upon the information contained in the Servicer Report, all Collections during each Collection Period with respect to Loans financed by an Advance shall be applied on each Payment Date before in the Termination Datefollowing amounts and in the following order: (a) So long as no Event of Default shall have occurred and then be continuing, the Servicer Collateral Agent shall deposit into pay from the Principal Account the Principal Collections for the Related Collection Account all Collections set aside and held in trust Period (net of any amounts reborrowed pursuant to SECTION 2.04(bSection 2.9(d)) above during and any amounts withdrawn from the immediately preceding Settlement PeriodCash Collateral Account in accordance with Section 5.1(b) hereof on each Payment Date to the Persons, in the amounts and in the Agent shall apply all such Collections as follows:priority set forth below (based solely on the information set forth in the related Servicer Report): (i) firstto the Lender, in payment an amount equal to the Monthly Principal, if any, payable on such Payment Date; provided that, amounts payable to the Lender pursuant to this Section 2.9(a) may, at the prior written direction of the following amounts in the following order for allocation Lender, be paid to the relevant Affected Parties: (1) Yield, (2) Ongoing Liquidity Fees, (3) Program Fees, (4) Conduit Fees, (5) Other Fees and (6) Servicer Fees, in each case Company on account of any Advance being made by the Lender on such Payment Date. Amounts so applied shall be deemed to have reduced the extent accrued and unpaidprincipal balance of the Advance that matured on such Payment Date; (ii) secondto each Borrower, to the extent of any amounts set aside under CLAUSES (B) or (C) of SECTION 2.04(b)(i), to the Purchasers in reduction of outstanding Capital, to be distributed (x) in the case of amounts set aside under clause (C), to the Purchasers ratably in accordance with the Receivables Interests of the Purchasers and (y) in the case of amounts set aside under clause (B), to the Conduit Purchaser in an amount equal to the Conduit Purchaser's ratable share (in accordance with the Receivables Interests of the Purchasers) of such amounts until the Conduit Purchaser's outstanding Capital is reduced to zeroapplicable Deferred Payment; and (iii) third, to the Seller Company, any remaining Principal Collections on deposit in payment the Principal Account with respect to the Related Collection Period; provided, however, that no funds shall be distributed to the Company pursuant to this clause (iii) unless, after giving effect to such distribution, the Company shall be in compliance with the Collateral Coverage Condition. (b) So long as no Event of Default shall have occurred and then be continuing, the Collateral Agent shall pay from the Finance Charge Account the Interest Collections for the Related Collection Period (net of any amounts reborrowed pursuant to Section 2.9(d)) and any amounts withdrawn from the Cash Collateral Account in accordance with Section 5.1(b) and (c) hereof on each Payment Date to the Persons, in the amounts and in the priority set forth below (based solely on the information set forth on the related Servicer Report); provided, however, that the failure of the Purchase Price for Servicer to deliver a Reinvestment Purchase Servicer Report shall not preclude the Collateral Agent from paying Monthly Interest, and the Collateral Agent shall distribute such Monthly Interest on the then current Advance Balance upon written direction from the Lender specifying the amount thereof: (allocated ratably among i) to the Lender, an amount equal to the sum of (x) the Monthly Interest and (y) any unpaid Monthly Interest from all prior Payment Dates (with interest thereon in accordance with Section 2.1(b); (ii) to the Collateral Agent, the Collateral Agent Fee due to the Collateral (iii) to the Servicer, if DVI Business Credit Corporation or any Affiliate thereof is then acting as Servicer, an amount equal to the sum of (x) one-half of the Purchasers orServicing Fee due on such Payment Date, (y) any unpaid Servicing Fee payable pursuant to this clause (iii) from all prior Payment Dates and (z) any out-of-pocket expenses for which the Servicer is entitled to reimbursement pursuant to Section 4.04(a) of the Contribution and Servicing Agreement; provided, however, that if DVI Business Credit Corporation or any Affiliate thereof is not then acting as Servicer, then the amount to be paid to the Servicer under this Section 2.9(b)(iii) shall be the entire Servicing Fee due on such Payment Date, any unpaid Servicing Fee from all prior Payment Dates and any out-of-pocket expenses for which the Servicer is entitled to reimbursement pursuant to Section 4.04(a) of the Contribution and Servicing Agreement; (iv) to the Collateral Agent for deposit in the Cash Collateral Account, an amount equal to the excess, if any, of (1) the Required Cash Collateral Account Balance for such Payment Date over (2) funds then on deposit in the Cash Collateral Account; (v) to the Collateral Agent, the reasonable and documented out-of-pocket expenses incurred by the Collateral Agent has notified in connection with its administration of the Seller transactions hereunder; (vi) to the Servicer, if DVI Business Credit Corporation or any Affiliate thereof is then acting as Servicer, an amount equal to the sum of (x) one-half of the Servicing Fee due on such Payment Date and (y) any unpaid Servicing Fee payable pursuant to this clause (vi) from all prior Payment Dates; (vii) to each Borrower, the applicable Deferred Payment; and (viii) to the Company, any remaining Interest Collections for the Related Collection Period; provided, however, that no funds shall be distributed to the Company pursuant to this clause (ix) unless the Company is in compliance with the Collateral Coverage Condition. (c) If at any time any amount or portion thereof previously distributed pursuant to Section 2.9(a) or (b) shall have been recovered, or shall be subject to recovery, in any proceeding with respect to the Company or otherwise, then for purposes of determining future distributions pursuant to Section 2.9(a) or (b) such amount or portion thereof shall be deemed not to have been previously so distributed. (d) Subject to the availability of funds on deposit in the Principal Account on any day, upon delivery of a Reborrowing Certificate in the form attached hereto as Exhibit E by the Company to the Collateral Agent and the Lender on a Business Day, the Collateral Agent shall (e) So long as no Event of Default shall have occurred and then be continuing and the Company shall be in compliance with the Collateral Coverage Condition, the Collateral Agent shall, upon receipt of an Officers' Certificate from the Servicer which states that all Loans and other amounts owing under a Revolving Credit Agreement have been paid in full and that the Conduit Purchaser shall not make Collateral Coverage Condition is satisfied and will continue to be satisfied after giving effect to the requested release, release from the Loan Accounts any more Reinvestment Purchases, allocated ratably among the Committed Purchasers)subsequent Collections received in respect of such Loan and remit such amounts to such Company.

Allocation of Collections. ON PAYMENT DATES PRE-TERMINATION DATE. (a) On each Payment Date before the Termination Remittance Date, the Servicer shall deposit into apply Collections (including, without limitation, the Collection Account all Collections set aside and held in trust pursuant to SECTION 2.04(bamount of Deemed Collections) above during for the immediately preceding Settlement Collection Period in the following order: (i) first, to repay any unreimbursed Servicer Advances; (ii) second, to the payment to the Agent of any accrued and unpaid Carrying Costs for any preceding Collection Period; (iii) third, to Buyer A or the Bank nvestors, as the case may be, in reduction of Buyer A's Net Investment, any excess of Buyer A's Net Investment over the amount of the Eligible Pool Balance as of the last Business Day of the immediately preceding Collection Period; (iv) fourth, to the Servicer for any accrued and unpaid Servicing Fees for any preceding Collection Period; (v) fifth, to Buyer B, the amount of any accrued and unpaid Buyer B Program Fee and Incentive Fee due and owing to it pursuant to the Fee Letter, for any preceding Collection Period; (vi) sixth, to the Transferor to be applied to the purchase of additional undivided percentage interests in the Receivables pursuant to Section 2.2(e) equal to the aggregate amount of principal receivables purchases made by Obligors during such Collection Period, minus the amount of purchases made pursuant to Sections 2.2(a) and 2.2(e) since the preceding Remittance Date; (vii) seventh, to the Agent in reduction of Buyer A's Net Investment, until Buyer A's Net Investment is reduced to zero, and then in reduction of Buyer B's Net Investment, until Buyer B's Net Investment is reduced to zero; (viii) eighth, to the Agent, without duplication, in satisfaction of all other Aggregate Unpaids that are due and owing on such Remittance Date; and (ix) ninth, any amounts remaining after application in accordance with clauses (i) through (viii) above shall apply all such be distributed in accordance with Section 2.5(b) hereof, so long as the Transferor shall not have purchased Buyer B's Net Investment pursuant to the Purchase Option Agreement or this Agreement. (b) Collections remaining pursuant to clause (ix) of Section 2.5(a) shall be distributed by the Servicer as follows: (i) first, in payment of the following amounts in the following order for allocation to the relevant Affected Parties: (1) Yield, (2) Ongoing Liquidity Fees, (3) Program Fees, (4) Conduit Fees, (5) Other Fees and (6) Servicer Fees, in each case Transferor up to an amount equal to the extent accrued and unpaid;Initial Transferor Interest plus an amount sufficient to yield an imputed internal rate of return of 7.50% per annum on the Initial Transferor Interest; and (ii) second, until all Receivables are reduced to zero, 90% of remaining Collections will be distributed to the extent Transferor and 10% of any amounts set aside under CLAUSES (B) or (C) of SECTION 2.04(b)(i), to the Purchasers in reduction of outstanding Capital, to remaining Collections will be distributed to Buyer B. (xc) in In the case of amounts set aside under clause (C)event that, on any date, there are not sufficient Collections to pay the Purchasers ratably in accordance with Carrying Costs due and payable on such day, the Receivables Interests of Servicer, acting upon written notice from the Purchasers and (y) in the case of amounts set aside under clause (B)Agent, to the Conduit Purchaser shall make an advance in an amount equal to the Conduit Purchaser's ratable share shortfall in funds available on such day (each, a "Servicer Advance") and pay to the Agent, for the account of the Buyers, the amount of such advance, provided, that the Servicer shall not be required to make a Servicer Advance to the extent that it determines, in its sole discretion, that such advance is unlikely to be recovered from Collections in subsequent Collection Periods. On each Remittance Date, the Servicer shall be entitled to reimbursement, without interest, for any Servicer Advances not previously reimbursed in accordance with the Receivables Interests of the Purchasers) of such amounts until the Conduit Purchaser's outstanding Capital is reduced to zero; and (iii) third, to the Seller in payment of the Purchase Price for a Reinvestment Purchase (allocated ratably among all of the Purchasers or, if the Agent has notified the Seller and the Servicer that the Conduit Purchaser shall not make any more Reinvestment Purchases, allocated ratably among the Committed PurchasersSection 2.5(a)(i).

Allocation of Collections. ON PAYMENT DATES PRE-TERMINATION DATE. (a) On each Payment Date before the Termination Remittance Date, the Servicer shall deposit into apply Collections (including, without limitation, the Collection Account all Collections set aside and held in trust pursuant to SECTION 2.04(b) above during amount of Deemed Collections)for the immediately preceding Settlement Period, and Collection Period in the Agent shall apply all such Collections as followsfollowing order: (i) first, in payment of the following amounts in the following order for allocation to the relevant Affected Parties: (1) Yield, (2) Ongoing Liquidity Fees, (3) Program Fees, (4) Conduit Fees, (5) Other Fees and (6) repay any unreimbursed Servicer Fees, in each case to the extent accrued and unpaidAdvances; (ii) second, to the extent payment to the Agent of any amounts set aside under CLAUSES (B) or (C) of SECTION 2.04(b)(i), to the Purchasers in reduction of outstanding Capital, to be distributed (x) in the case of amounts set aside under clause (C), to the Purchasers ratably in accordance with the Receivables Interests of the Purchasers accrued and (y) in the case of amounts set aside under clause (B), to the Conduit Purchaser in an amount equal to the Conduit Purchaser's ratable share (in accordance with the Receivables Interests of the Purchasers) of such amounts until the Conduit Purchaser's outstanding Capital is reduced to zero; andunpaid Carrying Costs for any preceding Collection Period; (iii) third, to the Seller in payment Agent for the benefit of the Purchase Price for a Reinvestment Purchase (allocated ratably among all Owners, in reduction of the Purchasers orNet Investment, if any excess of the Net Investment over the amount of the Eligible Pool Balance as of the last Business Day of the immediately preceding Collection Period; (iv) fourth, to the Servicer for any accrued and unpaid Servicing Fees for any preceding Collection Period; (v) fifth, to the Transferor to be applied to the purchase of additional undivided percentage interests in the Receivables pursuant to Section 2.2(e) equal to the aggregate amount of principal receivables purchases made by Obligors during such Collection Period, minus the amount of purchases made pursuant to Sections 2.2(a) and 2.2(e) since the preceding Remittance Date; (vi) sixth, to the Agent has notified in reduction of the Seller Net Investment, until the Net Investment is reduced to zero; (vii) seventh, to the Agent, without duplication, in satisfaction of all other Aggregate Unpaids that are due and owing on such Remittance Date; and (viii) eighth, any amounts remaining after application in accordance with clauses (i) through (vii) above shall be distributed to the Transferor. (b) In the event that, on any date, there are not sufficient Collections to pay the Carrying Costs due and payable on such day, the Servicer, acting upon written notice from the Agent, shall make an advance in an amount equal to the shortfall in funds available on such day (each, a "Servicer Advance") and pay to the Agent, the amount of such advance, provided, that the Servicer that the Conduit Purchaser shall not be required to make a Servicer Advance to the extent that it determines, in its sole discretion, that such advance is unlikely to be recovered from Collections in subsequent Collection Periods. On each Remittance Date, the Servicer shall be entitled to reimbursement, without interest, for any more Reinvestment Purchases, allocated ratably among the Committed PurchasersServicer Advances not previously reimbursed in accordance with Section 2.5(a)(i). (c) Subject to Section 2.12, the Servicer may apply Collections to pay Carrying Costs related to the funding of the Net Investment through the issuance of Related Commercial Paper on any date that such Related Commercial Paper becomes due and payable.