Common use of Depositor Status Clause in Contracts

Depositor Status. The Depositor understands and acknowledges that the method by which Trust Certificates will be created and traded may raise certain issues under applicable securities laws. For example, because new Trust Certificates may be issued and sold by the Trust on an ongoing basis, at any point a “distribution,” as such term is used in the Securities Act, may occur. The Depositor understands and acknowledges that some activities on its part, depending on the circumstances, may result in its being deemed a participant in a distribution in a manner which could render it a statutory underwriter and subject it to the prospectus delivery and liability provisions of the Securities Act.