Registration of Residual Interest Clause Samples
The 'Registration of Residual Interest' clause establishes the requirement for a party to formally record any remaining ownership or financial interest in an asset after certain rights or claims have been satisfied. In practice, this may involve registering the residual interest with a relevant authority or in a public registry, ensuring that the party’s ongoing stake is legally recognized even after other interests, such as secured debts, have been paid off. This clause serves to protect the holder’s rights to any remaining value in the asset and provides transparency to third parties regarding the existence of such interests.
Registration of Residual Interest. The Issuer appoints the Owner Trustee to be the “Trust Registrar” and to keep a register (the “Trust Register”) of the holders of the Residual Interest and transfers of the Residual Interest. If the Trust Registrar resigns, the Administrator, on behalf of the Issuer, will promptly appoint a successor or, if it elects not to make the appointment, assume the obligations of Trust Registrar. The “holder of the Residual Interest” will be the Person registered as the holder of the Residual Interest on the Trust Register.