Common use of Defeasance Portfolio Clause in Contracts

Defeasance Portfolio. (a) The Warranty Provider may exercise the remedies provided in Section 4.1(c) at any time after the occurrence of a Trigger Event or Market Initiated Defeasance Event. If the Warranty Provider exercises the remedy provided by Section 4.1(c)(i)(A), the Warranty Provider shall have the right to instruct the Adviser to immediately allocate all of the assets of the Fund to the Defeasance Portfolio in accordance with subsection (i) of the definition of Defeasance Portfolio under Section 1.1. If the Warranty Provider exercises the remedy provided by Section 4.1(c)(i)(B), the Warranty Provider shall have the right to deliver to the Custodian the Irrevocable Instructions instructing the Custodian to invest all of the assets of the Fund in a Defeasance Portfolio in accordance with subsection (ii) of the definition of Defeasance Portfolio under Section 1.1 and such Irrevocable Instructions. For the avoidance of doubt, the parties hereby agree that (i) the Warranty Provider may at its election, in its sole discretion, exercise the remedy provided in Section 4.1(c)(i)(B) after it has exercised the remedy provided in Section 4.1(c)(i)(A) and (ii) if the Warranty Provider exercises its rights to adjust the Multiple under Section 4.1(c)(ii), the Warranty Provider shall not be precluded subsequent thereto from exercising its rights under Sections 4.1(c)(i)(A) and/or 4.1