Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer. (b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan. (c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 9 contracts
Sources: Pooling and Servicing Agreement (Benchmark 2025-V17 Mortgage Trust), Pooling and Servicing Agreement (Benchmark 2025-V18 Mortgage Trust), Pooling and Servicing Agreement (BBCMS Mortgage Trust 2025-5c37)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth (4th) paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: :
(i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided ) that such transactions are Master Servicer Decisions; and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision or a Special Servicer Decision, then the Master Servicer shall be entitled to 50% of such Excess Modification Fees,
(ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (other than a Non-Serviced Mortgage Loan) that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing or approval of that the Special Servicer is required entitled to under clause this Agreement); and
(xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as ) relating to Master Servicer Decisions; and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision or a Special Servicer Decision, (v) then the Master Servicer shall be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, demands and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan Loan, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein With respect to any of the contrarypreceding fees as to which both the Master Servicer and the Special Servicer are entitled to receive a portion thereof, the Master Servicer and the Special Servicer shall each have the right in their sole discretion, but not any obligation, to reduce or elect not to charge its respective portion of such fee; provided, that (A) neither the Master Servicer nor the Special Servicer will have the right to reduce or elect not to charge the portion of any such fee due to the other and (B) to the extent either the Master Servicer or the Special Servicer exercises its right to reduce or elect not to charge its respective portion in any such fee, the party that reduced or elected not to charge its respective portion of such fee will not have any right to share in any part of the other party’s portion of such fee. If the Master Servicer decides not to charge any fee, the Special Servicer shall nevertheless be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf its portion of the related Mortgagorfee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and the Master Servicer will not be entitled to any of such fee charged by the Special Servicer. Similarly, if the Special Servicer decides not to charge any fee, the Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Master Servicer would have been entitled if the Special Servicer had charged a fee and the Special Servicer shall not be entitled to any portion of such fee charged by the Master Servicer. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC ▇▇▇▇▇ Fargo Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Pari Passu Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC ▇▇▇▇▇ Fargo Bank, National Association, as Master Servicer Servicer, hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of of
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, ,
(Bii) 50100% of Excess Modification Fees related all assumption application fees and other similar items received with respect to modifications, waivers, extensions or amendments Specially Serviced Loans and 100% of any all assumption application fees and other similar items received with respect to Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related Loans to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the extent the Special Servicer processes the underlying assumption-related transaction, ,
(iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18fees, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, ,
(iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans,
(v) (A) 50% of all waiver feesExcess Modification Fees and assumption, waiver, consent and earnout and other similar fees (other than assumption application fees and consent fees defeasance fees) pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees 3.18 received in each case with respect to all any Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided Loans to the extent that such transaction qualifies as the matter involves a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account and Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, the Special Servicer shall be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan) reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and only to the extent actually paid by or on behalf of the related Mortgagor. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Loan at the Workout Fee Rate on such Corrected Loan for so long as it remains a Corrected Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount received by the Special Servicer; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Corrected Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Loan (including any related Serviced Companion Loan) being equal to $25,000. The Workout Fee shall be reduced (but not below zero) with respect to each collection on such Corrected Loan from which fee would otherwise be payable until an amount equal to the Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Loan will cease to be payable if such loan again becomes a Specially Serviced Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Loan again becomes a Corrected Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Loans prior t
Appears in 8 contracts
Sources: Pooling and Servicing Agreement (Morgan Stanley Capital I Trust 2016-Bnk2), Pooling and Servicing Agreement (GS Mortgage Securities Trust 2017-Gs7), Pooling and Servicing Agreement (UBS Commercial Mortgage Trust 2017-C1)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Loan, Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Co-Lender Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (other than any Non-Serviced Mortgage Loan) including any related Serviced Companion Loans that are not Specially Serviced Mortgage Loans, to the extent not prohibited by the related Co-Lender Agreement and that are not Specially Serviced Mortgage Loans that do not involve a Special Servicer Major Decision or a Special Servicer Non-Major Decision and 50% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Mortgage Loans (other than any Non-Serviced Mortgage Loan) and any related Serviced Companion Loans that are not Specially Serviced Mortgage Loans to the extent not prohibited by the related Co-Lender Agreement and that involve one or more Special Servicer Major Decisions or Special Servicer Non-Major Decisions (whether or not processed by the Special Servicer); (ii) 100% of all assumption application fees received on any Mortgage Loans, only for which the Master Servicer is processing the underlying assumption related transaction (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Co-Lender Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any fee actually paid by a Mortgagor in connection with the such defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and fees shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee Fees or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed fees in connection with a defeasance transaction for which the consent, processing or approval of that the Special Servicer is required entitled to under clause this Agreement); (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees, review fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, Loan to the extent not prohibited by the related Intercreditor Co-Lender Agreement), provided that such transactions qualify as Master ) which do not involve a Special Servicer Decisions, Major Decision or a Special Servicer Non-Major Decision; and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees, review fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, Loan to the extent not prohibited by the related Intercreditor Co-Lender Agreement), provided that such transaction qualifies as ) which involve a Special Servicer Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Non-Major Decision (whether or not processed by the Special Servicer Decision on a non-Specially Serviced Servicer) and only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge retain as additional servicing compensation (other than with respect to a Non-Serviced Mortgage Loan) any charges for processing Mortgagor requests or beneficiary statements (to the extent such beneficiary statements are prepared by the Master Servicer), fees in connection with defeasance, if any, and other customary charges, and amounts collected for checks returned for insufficient funds related to the accounts held by the Master Servicer, in each case only to the extent actually paid by the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Serviced Whole Loan Custodial Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. In addition, the Master Servicer shall also be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents documents, and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectivelyMortgagor. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Serviced Whole Loan Custodial Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Master Servicer Remittance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan Loan, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. With respect to any of the preceding fees as to which both the Master Servicer and the Special Servicer are entitled to receive a portion thereof, the Master Servicer and the Special Servicer shall each have the right, but not any obligation, to reduce or elect not to charge its respective portion of such fee; provided that (A) neither the Master Servicer nor the Special Servicer shall have the right to reduce or elect not to charge the portion of any such fee due to the other and (B) to the extent either the Master Servicer or the Special Servicer exercises its right to reduce or elect not to charge its respective portion in any such fee, the party that reduced or elected not to charge its respective portion of such fee shall not have any right to share in any part of the other party’s portion of such fee. If the Master Servicer decides not to charge any fee, the Special Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and the Master Servicer shall not be entitled to any of such fee charged by the Special Servicer. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Servicing Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to on any Mortgage Loans and any related Serviced Companion Loan (to the extent not prohibited by the related Co-Lender Agreement), only for which the Special Servicer processes is processing the underlying assumption-assumption related transaction, (iii) 50100% of the portion of all assumption fees and other related fees received on any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer DecisionSpecially Serviced Mortgage Loans, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees and similar fees, pursuant to Section 3.08 and Section 3.18, 3.18 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced LoansMortgagor, and (v) (A) 50% of all waiver feesExcess Modification Fees and assumption, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.18 and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 050% of all assumption earnout fees, consent review fees and earnout similar fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), Loan to the extent not prohibited by the related Intercreditor Co-Lender Agreement) (excluding any Non-Serviced Mortgage Loan) that are not Specially Serviced Loans, provided Mortgage Loans that such transaction qualifies as a involve one or more Special Servicer Major Decisions or Special Servicer Non-Major Decisions regardless of whether the Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Servicer processes such Major Decision or Special Servicer Non-Major Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viiiB) 100% of all fees related to Major Decisions and Special Servicer Non-Major Decisions with respect to the accounts held by the Special ServicerSpecially Serviced Mortgage Loans, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d); (ii) beneficiary statement charges (to the extent such beneficiary statements are prepared by the Special Servicer); (iii) amounts collected for checks returned for insufficient funds related to the accounts held by the Special Servicer; and (iv) interest or other income earned on deposits relating to the Trust Fund in the applicable REO Account and Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the Master Servicer Remittance Date related to such Distribution Date). In addition, each Specific Servicer shall also be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan) reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and only to the extent actually paid by the related Mortgagor. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Loan at the Workout Fee Rate on such Corrected Loan for so long as it remains a Corrected Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Corrected Loan (including any related
Appears in 8 contracts
Sources: Pooling and Servicing Agreement (GS Mortgage Securities Trust 2018-Gs9), Pooling and Servicing Agreement (Wells Fargo Commercial Mortgage Trust 2017-C42), Pooling and Servicing Agreement (Bank 2017-Bnk9)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating with respect to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) and any Serviced Companion Loan in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by defeasance fees actually collected during the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor Collection Period in connection with the defeasance of a Mortgage Loan (other than a Non-or Serviced Mortgage Whole Loan) and any related Serviced Companion Loan , if applicable (provided, howeverthat for the avoidance of doubt, that 50% of the portion of any Excess such defeasance fee shall not include any Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing with respect to any Major Decisions or approval of the Special Servicer is required under clause Decisions); (xiiiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (ivx) 10050% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant Excess Modification Fees actually collected during the related Collection Period related to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including and any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, paid in connection with a consent, loan service transaction and earnout fees and approval or other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided action that such transaction qualifies as is a Major Decision or Special Servicer Decision (in each case, regardless of who processes such consent, approval or other action) and (viy) 50100% of any fees Excess Modification Fees actually collected during the related Collection Period related to Non-Specially Serviced Loans (and any related Serviced Companion Loan) and paid in connection with a consent, approval or other action that does not involve a Major Decision or Special Servicer Decision on a nonDecision; (iii) (x) 100% of assumption fees, waiver fees, loan service transaction fees, earnout fees and other similar fees collected during the related Collection Period with respect to Non-Specially Serviced Loan Loans (and any related Serviced Companion Loan) in connection with a consent, approval or other than action that does not involve a Major Decision or a Special Servicer Decision, and (y) 50% of assumption fees, waiver fees, loan-service transaction fees, earnout fees or other similar fees and other similar items collected during the related Collection Period with respect to Non-Specially Serviced Loans (and any related Serviced Companion Loan) in connection with a consent, approval or other action that is a Major Decision or a Special Servicer Decision (in each case, regardless of who processes such consent, approval or other action); (iv) 100% of assumption application fees, defeasance fees, liquidation fees, workout fees and other similar fees collected during the related Collection Period with respect to Serviced Mortgage Loans (and any other fees separately addressed herein). In addition, related Serviced Companion Loan) for which the Master Servicer shall be entitled to charge is processing the underlying assumption transaction (whether or not consent of the Special Servicer is required); (v) (x) 100% of consent fees on Non-Specially Serviced Loans (and retain as additional servicing compensation any related Serviced Companion Loan) in connection with a consent that does not involve a Major Decision or a Special Servicer Decision, and (y) 50% of consent fees on Non-Specially Serviced Loans (and any related Serviced Companion Loan) in connection with a consent that is a Major Decision or a Special Servicer Decision (in each case, regardless of who processes such consent, approval or other than action); (vi) with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared accounts held by the Master Servicer, any and all amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer on all Mortgage Loans and any Serviced Companion Loan and reasonable review fees and loan service transaction fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), ; (ii) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagors to the extent such items are prepared by the master servicer; (iii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account Investment Accounts or the Companion Distribution Account Loss of Value Reserve Fund maintained by the Master Servicer, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account or Loss of Value Reserve Fund for each Collection Period and, further, in the period from and including case of the prior Distribution Date to and including the P&I Advance Date related Servicing Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are is not required by applicable law or the related Mortgage Loan to be paid to any Mortgagor under applicable law or under the Mortgagor, related Mortgage Loan) and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan Loan, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein The Master Servicer shall be entitled to charge and collect customary fees in connection with any review or consent granted under this Agreement. Such fees may include, but are not limited to, a review fee or an expedited processing fee, which may be retained by the contraryMaster Servicer; provided, however, that such fees shall not be deemed a substitute for or in lieu of any fee that is to be split between the Special Servicer and the Master Servicer in accordance with the allocations set forth in Section 3.11 of this Agreement. All fees shall be consistent with the Servicing Standard. With respect to any of the preceding fees as to which both the Master Servicer and the Special Servicer are entitled to receive a portion thereof (other than a split fee with respect to Penalty Charges), the Master Servicer and the Special Servicer shall each have the right, but not any obligation, to reduce or elect not to charge or waive only its respective portion of such fee; provided that (A) neither the Master Servicer nor the Special Servicer shall have the right to reduce or elect not to charge or waive the portion of any such fee due to the other and (B) to the extent either the Master Servicer or the Special Servicer exercises its right to reduce or elect not to charge or waive its respective portion in any such fee, the party that reduced, waived or elected not to charge its respective portion of such fee shall not have any right to share in any part of the other party’s portion of such fee. If the Master ▇▇▇▇▇▇▇▇ decides not to charge any fee (other than with respect to Penalty Charges), the Special Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and retain reasonable review fees the Master Servicer shall not be entitled to any of such fee charged by the Special Servicer. For the avoidance of doubt, the Special Servicer may, in connection with a workout or other modification of a Mortgage Loan and without consent of the Master Servicer, waive any Mortgagor request or all related Penalty Charges, regardless of when they accrued. If the Special Servicer has partially waived Penalty Charges (part of which accrued prior to the extent related Servicing Transfer Event), any collections in respect of such fees are (i) Penalty Charge shall be shared pro rata by the Master Servicer and the Special Servicer based on the respective portions of such Penalty Charges to which each would otherwise have been entitled. For the avoidance of doubt, the Master Servicer shall not prohibited under the related Mortgage Loan documents, (ii) not charged charge a fee in lieu of any fee that is otherwise to be split between the master servicer Master Servicer and special servicer, and (iii) actually paid by or on behalf of the related MortgagorSpecial Servicer. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association Association, may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-market rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the any Transferable Servicing Interest to the holder of the such Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees actually collected during the related Collection Period with respect to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are or any successor REO Loan; (ii) 50% of Excess Modification Fees collected during the related Collection Period with respect to Non-Specially Serviced LoansLoans (and any related Serviced Companion Loan) in connection with a consent, provided approval or other action that such transaction qualifies as is a Major Decision or a Special Servicer Decision and (Bin each case, regardless of who processes such consent, approval or other action); (iii)(x) 0100% of all assumption fees, consent waiver fees, loan-service transaction fees, earnout fees and earnout other similar fees received collected during the related Collection Period with respect to all Mortgage Specially Serviced Loans (other than Non-Serviced Mortgage Loans, but including and any related Serviced Pari Passu Companion Loan(s), Loan to the extent not prohibited by the related Intercreditor Agreement) and (y) 50% of assumption fees, waiver fees, loan-service transaction fees and earnout fees and other similar items collected during the related Collection Period with respect to Non-Specially Serviced Loans (and any related Serviced Companion Loan) in connection with a consent, approval or other action that is a Major Decision or a Special Servicer Decision (in each case, regardless of who processes such consent, approval or other action); (iv) 100% of assumption application fees and other similar fees collected during the related Collection Period with respect to Mortgage Loans (and any related Serviced Companion Loan, if applicable) for which the Special Servicer is processing the underlying assumption transaction; (v)(x) 100% of consent fees on Specially Serviced Loans (and any related Serviced Companion Loan) in connection with a consent that involves no modification, waiver or amendment of the terms of any Mortgage Loan (or Serviced Companion Loan, as applicable), or that are Mortgages Loans that are not Specially Serviced LoansLoans in connection with a consent that involves no modification, provided waiver or amendment of the terms of any Mortgage Loan (or Serviced Companion Loan, as applicable) that such transaction qualifies as is a Master Special Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared Decision processed by the Special Servicer, Servicer and (viiy) 50% of any consent fees related to a Major Decision or Special Servicer Decision on a nonNon-Specially Serviced Loan Loans (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed hereinrelated Serviced Companion Loan) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servicon
Appears in 7 contracts
Sources: Pooling and Servicing Agreement (BMO 2025-C13 Mortgage Trust), Pooling and Servicing Agreement (Benchmark 2025-B41 Mortgage Trust), Pooling and Servicing Agreement (BMO 2025-C11 Mortgage Trust)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)) for which it acts as a master servicer. As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any applicable Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related MortgagorMortgagor and any related Companion Loan: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided ) that such transactions are Master Servicer Decisions; and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision or a Special Servicer Decision, then the Master Servicer shall be entitled to 50% of such Excess Modification Fees; (ii) 100% of all assumption application fees and other similar items received on any Serviced Mortgage Loans that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing or approval of that the Special Servicer is required entitled to under clause this Agreement); and (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as ) relating to Master Servicer Decisions; and, for any matter for a Mortgage Loan (vincluding any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision or a Special Servicer Decision), then the Master Servicer shall be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors demands (to the extent such beneficiary statements or demand charges were demands are prepared by the Master Servicer) and other customary charges, amounts collected for checks returned for insufficient funds with respect (relating to the accounts held by the Master Servicer Servicer) and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the its Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in its Collection Account, the Collection Account Loss of Value Reserve Fund or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan Loan, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the its Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to For the contraryavoidance of doubt, the Master Servicer and the Special Servicer shall each be entitled to may not charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged a fee in lieu of any fee that is otherwise to be split between the master servicer Master Servicer and special servicerSpecial Servicer. Notwithstanding anything to the contrary, if either the Master Servicer or the Special Servicer has partially waived any Penalty Charge (part of which accrued when the related Mortgage Loan was not a Specially Serviced Loan and part of which accrued when the related Mortgage Loan was a Specially Serviced Loan), any collections in respect of such Penalty Charge will be shared pro rata by the Master Servicer and the Special Servicer based on the respective portions of such Penalty Charge to which each would otherwise have been entitled. With respect to any of the preceding fees (other than Penalty Charges) as to which both the Master Servicer and the Special Servicer are entitled to receive all or a portion thereof, the Master Servicer and the Special Servicer shall each have the right in their sole discretion, but not any obligation, to reduce, waive or elect not to charge its respective portion of such fee; provided, that (A) neither the Master Servicer nor the Special Servicer will have the right to reduce, waive or elect not to charge the portion of any such fee due to the other and (iiiB) actually paid by to the extent either of the Master Servicer or on behalf the Special Servicer exercises its right to reduce, waive or elect not to charge its respective portion in any such fee, the party that reduced, waived or elected not to charge its respective portion of such fee will not have any right to share in any part of the other party’s portion of such fee. If the Master Servicer decides not to charge any fee (other than Penalty Charges), the Special Servicer shall nevertheless be entitled to charge its portion of the related Mortgagorfee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and the Master Servicer will not be entitled to any of such fee charged by the Special Servicer. Similarly, if the Special Servicer decides not to charge any fee (other than Penalty Charges), the Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Master Servicer would have been entitled if the Special Servicer had charged a fee and the Special Servicer shall not be entitled to any portion of such fee charged by the Master Servicer. For the avoidance of doubt, the Special Servicer may, in connection with a workout or other modification of a Mortgage Loan and without the consent of the Master Servicer, waive any or all related Penalty Charges, regardless of who is entitled to receive such payments as compensation; provided that any collections in respect of such Penalty Charges shall be shared pro rata by the Master Servicer and Special Servicer based on the respective portions of such Penalty Charges to which each would otherwise have been entitled pursuant to Section 3.11(d). Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Pari Passu Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, Association as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The No Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of of
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, ,
(Bii) 50100% of Excess Modification Fees related all assumption application fees and other similar items received with respect to modifications, waivers, extensions or amendments Specially Serviced Loans and 100% of any all assumption application fees and other similar items received with respect to Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related Loans to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the extent the Special Servicer processes the underlying assumption-related transaction, ,
(iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18fees, or fees in respect of other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, ,
(iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans,
(v) (A) 50% of all waiver feesExcess Modification Fees and assumption, assumption fees and waiver, consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees and other similar fees (other than assumption application fees and defeasance fees) received in each case with respect to all any Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided Loans to the extent that such transaction qualifies as the matter involves a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, ,
(vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating funds, and
(vii) 100% of charges for beneficiary statements and demand charges actually paid by the Mortgagors to the accounts held extent such beneficiary statements or demand charges are prepared by the Special Servicer, For the avoidance of doubt, the Special Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer. Such additional servicing compensation shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, the Special Servicer shall be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loa
Appears in 7 contracts
Sources: Pooling and Servicing Agreement (BBCMS Mortgage Trust 2025-5c38), Pooling and Servicing Agreement (Morgan Stanley Bank of America Merrill Lynch Trust 2025-5c2), Pooling and Servicing Agreement (Benchmark 2025-V17 Mortgage Trust)
Servicing Compensation. (a) As compensation for its activities hereunder, the applicable Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)) for which it acts as a master servicer. As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any applicable Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the applicable Master Servicer▇▇▇▇▇▇▇▇’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the applicable Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Each Master Servicer shall be entitled to retain, and shall not be required to deposit in the its Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related MortgagorMortgagor and any related Companion Loan for which it acts as Master Servicer: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement); provided, provided that if any such transactions are matter involves a Major Decision or Special Servicer Decision, then such Master Servicer Decisions, shall be entitled to 50% of such Excess Modification Fees; (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (other than a Non-Serviced Mortgage Loan) that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the such Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which that the consent, processing or approval of the applicable Special Servicer is required entitled to under clause this Agreement); and (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or fees in respect of other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement); provided, provided that if any such transactions qualify as matter involves a Major Decision or Special Servicer Decision, then the applicable Master Servicer Decisions, (v) shall be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the applicable Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary demand charges actually paid by the related Mortgagors (to the extent such beneficiary statements or and demand charges were are prepared by the applicable Master Servicer) and other customary charges, amounts collected for checks returned for insufficient funds with respect (relating to the accounts held by the such applicable Master Servicer Servicer) and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the its Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the applicable Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the its Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan for which it acts as Master Servicer during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The applicable Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the its Collection Account and the applicable Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein With respect to any of the contrary, preceding fees as to which both the applicable Master Servicer and the applicable Special Servicer are entitled to receive a portion thereof, the applicable Master Servicer and the applicable Special Servicer shall each have the right in their sole discretion, but not any obligation, to reduce or elect not to charge its respective portion of such fee; provided, that (A) neither the applicable Master Servicer nor the applicable Special Servicer will have the right to reduce or elect not to charge the portion of any such fee due to the other and (B) to the extent either of the applicable Master Servicer or the applicable Special Servicer exercises its right to reduce or elect not to charge its respective portion in any such fee, the party that reduced or elected not to charge its respective portion of such fee will not have any right to share in any part of the other party’s portion of such fee. If the applicable Master Servicer decides not to charge any fee, the applicable Special Servicer shall nevertheless be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf its portion of the related Mortgagorfee to which such Special Servicer would have been entitled if such Master Servicer had charged a fee and such Master Servicer will not be entitled to any of such fee charged by such Special Servicer. Similarly, if the applicable Special Servicer decides not to charge any fee, the applicable Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which such Master Servicer would have been entitled if such Special Servicer had charged a fee and such Special Servicer shall not be entitled to any portion of such fee charged by such Master Servicer. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division each of PNC Trimont LLC and National Cooperative Bank, National Association N.A. may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Pari Passu Companion Loan (and any successor REO Loan)) for which it acts as Master Servicer; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The applicable Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the such Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan ServicesTrimont LLC as General Master Servicer, a Division of PNC or National Cooperative Bank, National AssociationN.A., as NCB Master Servicer Servicer, as applicable, hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the each Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the applicable Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The No Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Each Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of of:
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, ,
(Bii) 50100% of Excess Modification Fees related all assumption application fees and other similar items received with respect to modifications, waivers, extensions or amendments Specially Serviced Loans and 100% of any all assumption application fees and other similar items received with respect to Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related Loans to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the extent the applicable Special Servicer processes the underlying assumption-related transaction, ,
(iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18fees, or fees in respect of other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, ,
(iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans,
(v) (A) 50% of all waiver feesExcess Modification Fees and assumption, assumption fees and waiver, consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees and other similar fees (other than assumption application fees and defeasance fees) received in each case with respect to all any Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided Loans to the extent that such transaction qualifies as the matter involves a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, ;
(vi) 100% of charges for beneficiary statements or demands and demand charges actually paid by the related Mortgagor Mortgagors to the extent such beneficiary statements or demands were demand charges are prepared by the such Special Servicer, ; and
(vii) 50100% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks intended for deposit in the applicable REO Account maintained by such Special Servicer and returned for insufficient funds relating to the accounts held by the Special Servicer, and funds. Such additional servicing compensation shall be promptly paid to the each Special Servicer by the applicable Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the applicable Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), each Special Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account and Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, each Special ServiServicer shall be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan) reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and only to the extent actually paid by or on behalf of the related Mortgagor. Each Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Loan at the Workout Fee Rate on such Corrected Loan for so long as it remains a Corrected Loan; provided, however, that after receipt by the applicable Special Servicer of Workout Fees with respect to such Corrected Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount received by the applicable Special Servicer; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the applicable Special Servicer shall be entitled to an amount from the final payment on the related Corrected Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the applicable Special Servicer in respect of that Corrected Loan (including any related Serviced Companion Loan) being equal to $
Appears in 5 contracts
Sources: Pooling and Servicing Agreement (BMO 2025-C13 Mortgage Trust), Pooling and Servicing Agreement (Morgan Stanley Bank of America Merrill Lynch Trust 2025-C35), Pooling and Servicing Agreement (BBCMS Mortgage Trust 2025-C35)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth third paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating with respect to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) and any Serviced Companion Loan in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement); provided, provided that if any such transactions are matter involves a Major Decision or Special Servicer Decision, then the Master Servicer Decisions, shall be entitled to 50% of such Excess Modification Fees; (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (other than a Non-Serviced Mortgage Loan) that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing or approval of that the Special Servicer is required entitled to under clause this Agreement); and (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement); provided, provided that if any such transactions qualify as matter involves a Major Decision or Special Servicer Decision, then the Master Servicer Decisions, (v) shall be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors demands (to the extent such beneficiary statements or demand charges were and demands are prepared by the Master Servicer) and other customary charges, amounts collected for checks returned for insufficient funds with respect (relating to the accounts held by the Master Servicer Servicer) and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), ; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan Loan, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein With respect to any of the contrarypreceding fees as to which both the Master Servicer and the Special Servicer are entitled to receive a portion thereof, the Master Servicer and the Special Servicer shall each have the right in their sole discretion, but not any obligation, to reduce or elect not to charge its respective portion of such fee; provided that (A) neither the Master Servicer nor the Special Servicer shall have the right to reduce or elect not to charge the portion of any such fee due to the other and (B) to the extent either the Master Servicer or the Special Servicer exercises its right to reduce or elect not to charge its respective portion in any such fee, the party that reduced or elected not to charge its respective portion of such fee shall not have any right to share in any part of the other party’s portion of such fee. If the Master Servicer decides not to charge any fee, the Special Servicer shall nevertheless be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf its portion of the related Mortgagorfee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and the Master Servicer shall not be entitled to any of such fee charged by the Special Servicer. Similarly, if the Special Servicer decides not to charge any fee, the Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Master Servicer would have been entitled if the Special Servicer had charged a fee and the Special Servicer shall not be entitled to any portion of such fee charged by the Master Servicer. Notwithstanding anything herein to the contrary, Midland Loan ServicesTrimont LLC, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National AssociationTrimont LLC, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National AssociationTrimont LLC, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of of:
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, ,
(Bii) 50100% of Excess Modification Fees related all assumption application fees and other similar items received with respect to modifications, waivers, extensions or amendments Specially Serviced Loans and 100% of any all assumption application fees and other similar items received with respect to Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related Loans to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the extent the Special Servicer processes the underlying assumption-related transaction, ,
(iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18fees, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, ,
(iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans,
(v) (A) 50% of all waiver feesExcess Modification Fees and assumption, assumption fees and waiver, consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees and other similar fees (other than assumption application fees and defeasance fees) received in each case with respect to all any Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided Loans to the extent that such transaction qualifies as the matter involves a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, ;
(vi) 100% of charges for beneficiary statements or and demands actually paid by the related Mortgagor Mortgagors to the extent such beneficiary statements or demands were are prepared by the Special Servicer, ; and
(vii) 50100% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to charges collected for checks intended for deposit in the accounts held by the Special Servicer, 100% of charges applicable REO Account maintained by the Special Servicer collected for checks and returned for insufficient funds relating to the accounts held by the Special Servicer, and funds. Such additional servicing compensation shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special Servicer shall also be entitled to additional servicing compensation in the form of (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account and the Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, the Special Servicer shall be entitled to charge any Mortgagor for, and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan), reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and are actually paid by or on behalf of the related Mortgagor. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee equal to the lesser of (i) the amount calculated with respect to each Corrected Loan at the Workout Fee Rate on such Corrected Loan for so long as it remains a Corrected Loan and (ii) $1,000,000 in the aggregate with respect to any particular workout of a Corrected Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Corrected Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Loan (including any related Serviced Companion Loan) equal to $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Loan from which fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Loan will cease to be payable if such loan again becomes a Specially Serviced Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Loan again becomes a Corrected Loan. The Special Servi
Appears in 5 contracts
Sources: Pooling and Servicing Agreement (Wells Fargo Commercial Mortgage Trust 2025-5c6), Pooling and Servicing Agreement (BBCMS Mortgage Trust 2025-5c37), Pooling and Servicing Agreement (Bank5 2025-5yr16)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate (in accordance with the same terms of the related Mortgage Note as are applicable to the accrual of interest at the Mortgage Rate) and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retainpay, and shall not be required to deposit in from its own funds, the Collection Account pursuant to Section 3.04(a), additional annual fees of each Rating Agency. Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of one-half of all assumption and modification fees paid by the following amounts Mortgagor on Mortgage Loans that are not Specially Serviced Mortgage Loans and only to the extent collected from that all amounts then due and payable with respect to the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loanincluding interest on Advances) have been paid, and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, demands and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor Mortgagor, shall be retained by the Servicer and shall not be required to deposit such amounts be deposited in the Collection Account or the Companion Distribution Certificate Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master The Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges received on the Mortgage Loans (other than Specially Serviced Mortgage Loans), but only to the extent provided in Section 3.11(d), actually paid by the related Mortgagor and to the extent that all amounts then due and payable with respect to the related Mortgage Loan (including interest on Advances) have been paid; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Accounts in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the each period from and including the prior any Distribution Date to and including the immediately succeeding P&I Advance Date related to the current Distribution Date), ; and (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate (in accordance with the same terms of the related Mortgage Note as are applicable to the accrual of interest at the Mortgage Rate) and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with to the provisions of extent permitted by Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, Additional servicing compensation in the case form of the Poinciana Lakes Plaza Serviced Whole Loan, one-half of all assumption and modification fees and all extension fees received on or with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of and all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (assumption and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout extension fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor received on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), only to the extent not prohibited by actually collected from the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision Mortgagor and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), only to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees all amounts then due and any other fees separately addressed herein) and (viii) payable with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating related Mortgage Loan (including those payable to the accounts held by the Special ServicerServicer pursuant to Section 3.11(a)) have been paid, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by ). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause or by resignation), it shall retain the right to receive any and all Workout Fees payable with respect to Mortgage Loans that became Corrected Mortgage Loans during the period that it acted as Special Servicer and were Corrected Mortgage Loans at the time of such termination (and the successor Special Servicer shall not be entitled to any portion of such Workout Fees), in each case until the Workout Fee for any such loan ceases to be payable in accordance with the terms hereof. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds subject to the Master exceptions set forth in the definition of Liquidation Fee. Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the repurchase of any Mortgage Loan by the Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation, the purchase of any Specially Serviced Mortgage Loan by the Servicer or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds that constitute principal and/or interest on such Mortgage Loan. The Special Servicer will also be entitled to additional fees in the form of Penalty Charges on Specially Serviced Mortgage Loans (but only to the extent actually collected from the related Mortgagor and to the extent that all amounts then due and payable with respect to the related Mortgage Loan (including interest on Advances) have been paid). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are received by not payable directly out of the Certificate Account or the REO Account, and the Special Servicer. Subject Servicer shall not be entitled to Section 3.11(d), the Special Servireimbursement therefor except as expressly provided in this Agreement.
Appears in 4 contracts
Sources: Pooling and Servicing Agreement (Bear Stearns Commercial Mortgage Securities Inc), Pooling and Servicing Agreement (Bear Stearns Commercial Mortgage Securities Inc), Pooling and Servicing Agreement (Chase Commercial Mortgage Securities Corp)
Servicing Compensation. (a) As compensation for its activities hereunderhereunder with respect to the Mortgage Loans, the Master Primary Servicer shall be entitled to receive the Servicing Fee a primary servicing fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA"Primary Servicing Fee"). As to each Mortgage Loan, Companion Loan and REO Loan, the Primary Servicing Fee shall accrue from time to time at the rate per annum as specified in Exhibit C hereof (the "Primary Servicing Fee Rate Rate") and shall be computed on the basis of the Stated Scheduled Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan (or deemed to be due due) on such REO Mortgage Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Primary Servicing Fee shall be payable monthly, on a loan-by-loan basis. With respect to the Mortgage Loans, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master the Primary Servicer shall be entitled to recover unpaid pay itself the Primary Servicing Fees in respect of Fee from actual collections on the respective Mortgage Loans.
(b) The Primary Servicer shall retain all rights to the Excess Servicing Fee for the Mortgage Loans, even if (a) any Mortgage Loan, Companion Loan or REO Mortgage Loans become Specially Serviced Mortgage Loans; (b) the Primary Servicer's servicing is terminated with respect to particular Mortgage Loans or (c) the Primary Servicer is in default, is terminated or resigns under this Agreement. If the Primary Servicer is unable to deduct the Excess Servicing Fee because it no longer services a Mortgage Loan out or Mortgage Loans or for any other reason (other than transfer or assignment of that portion of related paymentsthe rights to the Excess Servicing Fee), Insurance then the Master Servicer (and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in any successor) shall cause the case of an REO Loan) allocable as recoveries of interestExcess Servicing Fee to be paid on the Mortgage Loans to the Primary Servicer, to the extent permitted of any amounts received by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. .
(c) The Master Primary Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain receive as additional primary servicing compensation (other than with respect to any Non-Serviced Mortgage Loan "Additional Primary Servicing Compensation"), the percentage specified below of the income, fee or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicercharge described below, in each case only to the extent that such income, fee or charge is actually collected by the Primary Servicer from the Borrower or earned and paid by or on behalf any account:
(i) 100% of the related Mortgagor and shall not be required earnings on the earnings on the Escrow Accounts (to deposit such amounts in the Collection Account or extent that the Companion Distribution Account pursuant to Primary Servicer is entitled thereto under Section 3.04(a) or Section 3.04(b3.03(e), respectively. Subject to Section 3.11(d), the Master Primary Certificate Account (to the extent that the Primary Servicer is entitled thereto under Section 3.04(e)) and, subject to the related Mortgage Loan Documents and applicable law, any other accounts held by the Primary Servicer hereunder.
(ii) 50% of any fee associated with a Borrower request including but not limited to loan assumptions, modifications, waivers, consents and extensions relating to transactions not requiring Special Servicer consent pursuant to the PSA.
(iii) 25% of any fee associated with a Borrower request (other than the non-refundable processing fee relating to assumptions and transfers) including but not limited to loan assumptions, modifications, waivers, consents and extensions relating to transactions requiring Special Servicer consent pursuant to the PSA. In addition, the Primary Servicer shall be entitled to any Borrower-paid administration fees associated with any Escrow Account maintained by the Primary Servicer. The Primary Servicer shall also be entitled to additional servicing compensation that portion of any late charges collected from or on behalf of any Borrower that remains after application to any advance interest due to the Trust, on a "loan-by-loan" basis, in the form of: manner set forth in clause first and clause second of Section 3.26(a) of the PSA, other than the portion thereof (iif any) Penalty Charges to which the Special Servicer is entitled as set forth in clause third of Section 3.26(a) of the PSA. With respect to the extent provided Mortgage Loans, the Primary Servicer shall not be entitled to Additional Primary Servicing Compensation in Section 3.11(d), (ii) respect of interest or other income earned on deposits relating in any account that is not maintained by the Primary Servicer. The Primary Servicer shall not be entitled to any default interest, prepayment premiums, yield maintenance charges or additional interest, including excess interest collected on any Mortgage Loan. Any fees, charges or miscellaneous collections not specified as payable to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only Primary Servicer above are payable to the extent Master Servicer.
(d) Notwithstanding the preceding provisions of this Section 3.10, the Net Investment Earnings, if any, Primary Servicer shall not be entitled to any Additional Primary Servicing Compensation with respect to such account for the period from any Mortgage Loan that has become a Specially Serviced Mortgage Loan (other than interest and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other investment income earned on deposits funds in its Investment Accounts accounts maintained by the Primary Servicer) or with respect to which are not required by applicable law or the related Mortgage Loan to Primary Servicer has been terminated as Primary Servicer hereunder; provided, however, the Primary Servicer shall be paid entitled to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsExcess Servicing Fee. The Master Primary Servicer shall be required to pay out of its own funds funds, without reimbursement therefor, all overhead and general and administrative expenses incurred by it in connection with its servicing activities hereunder hereunder, including costs for office space, office equipment, supplies and related expenses, employee salaries and related expenses and similar internal costs and expenses.
(including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and e) The fee addendum hereto as Exhibit Q (the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), "Fee Addendum") is hereby incorporated by reference as if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreementfully set forth herein. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split Any conflict between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms provisions of this Agreement and such reduction. The Master Servicer the Fee Addendum shall pay the Transferable Servicing Interest to the holder be resolved in favor of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special ServicerFee Addendum.
(bf) As compensation for its activities hereunder, the Special The Primary Servicer shall be entitled to receive withdraw from the Special Primary Certificate Account and pay to itself the Primary Servicing Fee, the Excess Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Additional Primary Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed Compensation on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Primary Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, Remittance Date but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly only from the related Mortgagor) to sources of funds from which such payment may be made as specified hereunder and the extent such fees are paid by the Mortgagor Pooling and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special ServiServicing Agreement.
Appears in 4 contracts
Sources: Primary Servicing Agreement (Bear Stearns Commercial Mortgage Securities Trust 2006-Pwr13), Primary Servicing Agreement (Bear Stearns Commercial Mortgage Securities Trust 2006-Pwr14), Primary Servicing Agreement (Bear Stearns Commercial Mortgage Securities Trust 2007-Pwr15)
Servicing Compensation. (a) As compensation In consideration for its activities services hereunder, until the Master Retirement of the Securitized Utility Tariff Bonds, the Servicer shall receive an annual fee (the “Servicing Fee”) in an amount equal to (i) 0.05% of the initial principal amount of the Securitized Utility Tariff Bonds for so long as Evergy Missouri West or an Affiliate of Evergy Missouri West is the Servicer or (ii) if Evergy Missouri West or any of its Affiliates is not the Servicer, an amount agreed upon by the Successor Servicer and the Indenture Trustee acting at the direction of the Holders of a majority of the Securitized Utility Tariff Bonds, provided that such fee shall not exceed 0.60% of the initial principal amount of the Securitized Utility Tariff Bonds unless such higher rate is approved by the MPSC, plus, in either case, reasonable out-of-pocket administrative expenses to cover the Servicer’s incremental costs and expenses in servicing the Securitized Utility Tariff Bond. The Servicing Fee owing shall be calculated based on the initial principal amount of the Securitized Utility Tariff Bonds and shall be paid semi-annually with half of the Servicing Fee being paid on each Payment Date (provided that the first payment may be adjusted for a longer or shorter first Payment Period). The Servicer also shall be entitled to receive retain as additional compensation (i) any interest earnings on Securitized Utility Tariff Charge Payments received by the Servicing Fee with respect Servicer and invested by the Servicer during each Collection Period prior to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related remittance to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, and (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasancelate payment charges, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Customers; provided, however, that in if the event Servicer has failed to remit the Daily Remittance to the General Subaccount of any resignation or termination of Midland Loan ServicesCollection Account on the Servicer Business Day that such payment is to be made pursuant to Section 6.11 on more than three (3) occasions during the period that the Securitized Utility Tariff Bonds are outstanding, a Division of PNC Bank, National Association, as then thereafter the Master Servicer, all or any portion of the Transferable Servicing Interest may Servicer will be reduced by the Trustee required to pay to the extent reasonably necessary (in Indenture Trustee interest on each Daily Remittance accrued at the sole discretion of Federal Funds Rate from the Trustee) for the Trustee Servicer Business Day on which such Daily Remittance was required to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject made to the terms of this Agreement and date that such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer Daily Remittance is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Serviceractually made.
(b) As compensation for its activities hereunder, the Special Servicer The Servicing Fee set forth in Section 6.06(a) shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect paid to the related Mortgage Loan. The Special Servicing Fee shall be payable monthlyServicer by the Indenture Trustee, on a loan-by-loan basis, each Payment Date in accordance with the provisions priorities set forth in Section 8.02(e) of Section 3.05(a)the Indenture, by wire transfer of immediately available funds from the Collection Account to an account designated by the Servicer. The right to receive Any portion of the Special Servicing Fee may not paid on any such date should be transferred added to the Servicing Fee payable on the subsequent Payment Date. In no event shall the Indenture Trustee be liable for the payment of any Servicing Fee or other amounts specified in whole or in part except in connection with this Section 6.06; provided that this Section 6.06 does not relieve the transfer Indenture Trustee of all any duties it has to allocate funds for payment for such fees under Section 8.02 of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion LoanIndenture.
(c) The Special Servicer foregoing Servicing Fees constitute a fair and reasonable price for the obligations to be performed by the Servicer. Such Servicing Fee shall be entitled determined without regard to additional servicing compensation relating the income of the Issuer, shall not be deemed to each Mortgage Loan (other than with respect constitute distributions to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments recipient of any Specially Serviced Loansprofit, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions loss or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% capital of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, Issuer and shall be promptly paid considered an Operating Expense of the Issuer subject to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent limitations on such fees are paid by the Mortgagor and shall not be required to be deposited expenses set forth in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special ServiFinancing Order.
Appears in 4 contracts
Sources: Intercreditor Agreement (Evergy Missouri West Storm Funding I, LLC), Securitized Utility Tariff Property Servicing Agreement (Evergy Missouri West Storm Funding I, LLC), Securitized Utility Tariff Property Servicing Agreement (Evergy Missouri West Storm Funding I, LLC)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including without limitation each Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)and each REO Mortgage Loan. As to each Mortgage Loan, Companion including without limitation each Specially Serviced Mortgage Loan and each REO Mortgage Loan, the Master Servicing Fee shall accrue on the related Stated Principal Balance of such Mortgage Loan outstanding from time to time at the applicable Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due or deemed due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Mortgage Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Master Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues Income allocable as interest on each REO Mortgage Loan and the interest portion of P&I Advances on each Mortgage Loan, and as otherwise provided by Section 3.05(a)including without limitation each REO Mortgage Loan. The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or including without limitation each REO Loan Mortgage Loan, out of that portion of related paymentsInsurance Proceeds, Insurance and Condemnation Proceeds, Liquidation Proceeds, Repurchase Proceeds and REO Revenues (in the case or payments of an REO Loan) Substitution Shortfall Amounts allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer5.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (Morgan Stanley Capital I Inc), Pooling and Servicing Agreement (Morgan Stanley Capital I Inc), Pooling and Servicing Agreement (Morgan Stanley Capital I Inc Com Mort Ps THR Cer Se 1998-Cf1)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Pari Passu Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans provided that such modifications, waivers, extensions or amendments are not Major Decisions or Special Servicer Decisions (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of any fee actually paid by a Mortgagor in connection with the all defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (fees; provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval consent of the Special Servicer is required under clause (xiiiSection 3.20(i) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must hereof shall be paid by the Master Servicer to the Special Servicer), ; (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies ) as a Major Decision or to which the Special Servicer Decision exercised its approval rights pursuant to Section 3.08, and (viv) 50% of any all fees related to a Major Decision or Special Servicer Decision on a nonDecisions with respect to Non-Specially Serviced Mortgage Loans and 50% of all fees related to Special Servicer Decisions processed by the Master Servicer with the prior consent of the Special Servicer as provided for in the definition of Special Servicer Decision, but only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding the foregoing, the Master Servicer shall not be entitled to any additional servicing compensation in the form of fees earned with respect to the processing of any Special Servicer Decision performed solely by the Special Servicer. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of all Excess Modification Fees and assumption and consent fees pursuant to Section 3.08 or Section 3.20 and 50% of all earnout fees received on any Non-Specially Serviced Mortgage Loan (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) as to which Special Servicer exercised its approval rights pursuant to Section 3.08, (iv) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval consent of the Special Servicer is required (under Section 3.20(i) hereof, and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant related to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case Major Decisions with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision Mortgage Loans and (B) 050% of all assumption fees, consent fees and earnout fees received with respect related to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited Special Servicer Decisions processed by the related Intercreditor Agreement) that are not Specially Serviced Loans, Master Servicer with the prior consent of the Special Servicer as provided that such transaction qualifies as a Master for in the definition of Special Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) ), in each case, to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid ). In addition, the Special Servicer shall also be entitled to additional servicing compensation in the form of 100% of all fees related to the processing solely by the Special Servicer of any Special Servicer Decision and 100% of all fees related to the Master Servicer to the extent the funds are received processing solely by the Special ServicerServicer of any Major Decisions related to Specially Serviced Mortgage Loans. Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the Corrected Mortgage Loan (including any Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had determined to grant a forbearance or cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after te
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C21), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C19), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C18)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Mortgage Loans, the Master Owner shall pay the Servicer the applicable Servicing Fee and Other Fees the Servicer is entitled to each month. The obligation of the Owner to pay the Servicing Fee and Other Fees with regard to the Mortgage Loans shall be irrespective of Monthly Payments collected by the Servicer on the Mortgage Loans. The Servicer shall deliver to the Owner on the tenth (10th) calendar day of each month or, if the 10th day is not a Business Day, the next succeeding Business Day, an invoice setting forth the Servicing Fees and Other Fees, including accrued and unpaid Servicing Fees and Other Fees, with respect to the Mortgage Loans serviced by the Servicer during the preceding calendar month, and the Owner shall pay such invoice via wire transfer (in accordance with written instructions to be provided by the Servicer) no later than the related Distribution Date. With respect to amounts due to the Servicer that remain unpaid after the Distribution Date pursuant to this section, interest shall be due on such late payment at an annual rate equal to the Prime Rate, adjusted as of the date of each change, plus one percentage point, but in no event greater than the maximum amount permitted by applicable law. Such interest shall be paid on the date such late payment is made and shall cover the period commencing with the day following the Business Day on which such payment was due and ending with the Business Day on which such payment is made, both inclusive. The Servicer shall be entitled to receive the Servicing Fee with respect deduct such unpaid amounts due to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed Servicer on the basis of Remittance Date following the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided Distribution Date that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent amounts were due if Owner has not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)already made payment. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional Additional servicing compensation in the form of: (i) Penalty Charges to of Ancillary Income shall be retained by the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period Servicer to the extent not required to be paid as Compensating Interest Paymentsdeposited in the Custodial Account. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor thereof except as expressly specifically provided in this Agreementfor herein. Notwithstanding anything herein set forth in this section related to the contraryAncillary Income, the Master Servicer shall not collect from the Mortgagor, pass through as an advance or as a liquidation expense any charges other than bona fide fees, which fees must be in compliance with local law. Servicer can not add on a processing, or review fee or any additional fee, ▇▇▇▇ up or otherwise directly make a profit on or from services or activities rendered by a third party or affiliate (examples include but not limited to: letters and notices, force placed insurance, BPOs, appraisals, inspections, property preservation costs). Servicer may collect any third party fees which are charged in accordance with Accepted Servicing Practices. In no event shall Servicer retain the Prepayment Penalties. In the event of a dispute arising from any act or omission by the Servicer or the Owner hereunder during the course of this Servicing Agreement, the Servicer and the Special Servicer Owner shall each be entitled use best efforts to charge and retain reasonable review fees work together in connection with any Mortgagor request good faith to the extent resolve such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee dispute within a time period that is otherwise to be split between reasonable in the master servicer and special servicer, and (iii) actually paid by or on behalf context of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion cause of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reductiondispute. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, Except in the case of a monetary error, the Poinciana Lakes Plaza Serviced Whole Loan, excluding Owner and the Poinciana Lakes Plaza Companion Loan), as Servicer shall both work together in good faith to resolve the dispute within thirty (30) days of a formal notice from either party. In the case may beof a monetary error, and the party holding the amounts due the other party shall use reasonable efforts to submit the amount in error within ten (10) Business Days from the same manner as date the error was uncovered. With respect to amounts due a party after the tenth (10th) Business Day after the date the error was uncovered, interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to shall be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect late payment at an annual rate equal to the related Mortgage Loanfederal funds rate as is publicly announced from time to time, plus three hundred basis points (3.00%) but in no event greater than the maximum amount permitted by applicable law. The Special Servicing Fee Such interest shall be payable monthly, paid on a loan-by-loan basis, in accordance the date such late payment is made and shall cover the period commencing with the provisions of Section 3.05(a). The right to receive day following the Special Servicing Fee may not be transferred in whole or in part except in connection Business Day on which such payment was due and ending with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein Business Day on which such payment is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan ormade, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loanboth inclusive.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 3 contracts
Sources: Servicing Agreement (PennyMac Mortgage Investment Trust), Servicing Agreement (PennyMac Mortgage Investment Trust), Servicing Agreement (PennyMac Mortgage Investment Trust)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Trust Companion Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan, REO Loan and REO Trust Companion Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Trust Companion Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan, REO Loan or REO Trust Companion Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan, Companion Loan or Trust Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan, REO Loan or REO Trust Companion Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan, Trust Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan, Trust Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. In the event that the Senior Trust Advisor exercises its right to resign in the case where the only Mortgage Loan remaining in the Trust is the Mortgage Loan identified as “U-Haul Self Storage Pool 5” on the Mortgage Loan Schedule pursuant to Section 3.31(r) hereto, any Senior Trust Advisor Fee payable on the next Distribution Date and each subsequent Distribution Date shall be payable to the Master Servicer. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan or Trust Companion Loan, as applicable, to the extent not prohibited by the related Intercreditor Agreement), ; provided that with respect to such transactions are transactions, the consent of the Special Servicer is not required to take such action and, in the event that the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan or Trust Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any all defeasance fees), must be paid by the Master Servicer to the Special Servicer), ; (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan or Trust Companion Loan, as applicable, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisions, actions and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan or Trust Companion Loan, as applicable, to the extent not prohibited by the related Intercreditor Agreement) for which the Special Servicer’s consent or approval is required on the Non- Specially Serviced Mortgage Loans and in each of clauses (i) through (iv), provided only to the extent that such transaction qualifies as a Major Decision or Special Servicer Decision all amounts then due and (vi) 50% of any fees payable with respect to the related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans and any Serviced Pari Passu Companion Loan or the Trust Pari Passu Companion Loan, as applicable, during the related Due Period to the extent not required to be paid as Compensating Interest Payments and (v) all Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced each Trust Subordinate Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and assumption fees and other similar items related fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees fees, pursuant to Section 3.08 and Section 3.18, 3.20 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, and (v) (Aiv) 50% of all waiver fees, Excess Modification Fees and assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and 50% of all earnout fees received in each case with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s)Loan or Trust Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) in each of clauses (i) through (iv) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Corrected Mortgage Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan (including any related Serviced Companion Loan) to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan or Trust Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had determined to grant a forbearance or cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of suc
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C25), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C24), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C23)
Servicing Compensation. Interest on Servicing Advances; Payment of Certain Expenses; Obligations of the Trustee Regarding Back-up Servicing Advances.
(a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including, without limitation, each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the applicable Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, same principal amount and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period number of days respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed under the terms of the related Mortgage Note (as such terms may be changed or modified at any time following the Closing Date) and applicable law, and without giving effect to any Additional Interest that may accrue on any Hyper-Amortization Loan after its Anticipated Repayment Date. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Xroceeds or Liquidation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer under this Agreement or except as provided in accordance with the terms hereofSection 3.22(d). With respect The Master Servicer shall, monthly out of its Master Servicing Fee, pay to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to any Sub-Servicer retained by the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion LoanSub-Servicer's sub-servicing fee (including, subject without limitation, any Primary Servicing Fee, if applicable), to the terms of extent such Sub-Servicer is entitled thereto under the related Intercreditor applicable Sub-Servicing Agreement. .
(b) The Master Servicer shall be entitled to retainreceive as additional servicing compensation:
(i) Default Charges, assumption fees, modification fees, charges for beneficiary statements or demands and shall not be required to deposit in the Collection Account pursuant to Section 3.04(aany similar fees (excluding Prepayment Premiums), additional servicing compensation relating to in each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts case to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of respect to a Mortgage Loan (other than that is not a Non-Specially Serviced Mortgage Loan;
(ii) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or a Mortgagor with respect to any Mortgage Loan;
(iii) any Prepayment Interest Excesses collected on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: Mortgage Loans;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account Certificate Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account the Certificate Account for the period from and including the prior Distribution Date to and including the P&I Advance Date related each Collection Period); and
(v) to the current Distribution Date)extent not required to be paid to any Mortgagor under applicable law or under the related Mortgage, (iii) any interest or other income earned on deposits in its Investment the Servicing Accounts which are not required maintained by applicable law or the Master Servicer; provided that with respect to the items of additional servicing compensation set forth in clauses (i) and (ii) above, the Master Servicer shall, in turn, pay the amounts described therein to the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the NonSub-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period Servicer to the extent not required to be paid as Compensating Interest Paymentssuch Sub-Servicer is entitled thereto under the applicable Sub-Servicing Agreement. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers Servicer retained by it and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, same principal amount and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period number of days respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed under the terms of the related Mortgage Note (as such terms may be modified at any time following the Closing Date) and applicable law, and without giving effect to any Additional Interest that may accrue on any Hyper-Amortization Loan after its Anticipated Repayment Date. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Standby Fee with respect to each Mortgage Loan and each REO Loan. As to each Mortgage Loan and each REO Loan, the Standby Fee shall accrue from time to time at the Standby Fee Rate on the basis of the same principal amount and for the same number of days respecting which any related interest payment due on such Mortgage Loan or deemed to be due on such REO Loan is computed under the terms of the related Mortgage LoanNote (as such terms may be modified at any time following the Closing Date) and applicable law, and without giving effect to any Additional Interest that may accrue on any Hyper-Amortization Loan after its Anticipated Repayment Date. The Special Servicing Fee Standby Fees shall be payable monthly, monthly by the Master Servicer on a loan-by-loan basisbasis out of its Master Servicing Fees received with respect to each Mortgage Loan and each REO Loan. As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, unless the basis on which such Mortgage Loan became a Corrected Mortgage Loan was the remediation of a circumstance or condition relating to the Mortgage Loan Seller's obligation to repurchase such Mortgage Loan pursuant to Section 2.03, in which case, if such Mortgage Loan is repurchased within the ______ day period described in Section 2.03(a), no Workout Fee will be payable from or based upon the receipt of, any Purchase Price paid by the Mortgage Loan Seller in satisfaction of such repurchase obligation. Furthermore, no Workout Fees will be payable from or based upon the receipt of any Liquidation Proceeds paid by any Majority Certificateholder of the Controlling Class or the Master Servicer in connection with the purchase of all the Mortgage Loans and any REO Properties in the Trust Fund pursuant to Section 9.01 hereof. As to each Corrected Mortgage Loan, subject to the exceptions provided for in the two preceding sentences, the Workout Fee shall be payable from, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Default Interest and, in the case of a Hyper-Amortization Loan after its Anticipated Repayment Date, Additional Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee will become payable if and when such Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated other than for cause or resigns in accordance with clause (ii) of the first paragraph of Section 6.04, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans that became Corrected Mortgage Loans during the period that it acted as Special Servicer and were still such at the time of such termination or resignation (and the successor Special Servicer shall not be entitled to any portion of such Workout Fees), in each case until the Workout Fee for any such Mortgage Loan ceases to be payable in accordance with the provisions preceding sentence. As further compensation for its activities hereunder, the Special Servicer shall also be entitled to receive a Liquidation Fee with respect to each Specially Serviced Mortgage Loan or REO Property as to which it receives any full or discounted payoff from the related Mortgagor or any Liquidation Proceeds (other than in connection with the purchase of any such Specially Serviced Mortgage Loan or REO Property by the Special Servicer pursuant to Section 3.05(a3.18, by the Master Servicer or the Majority Certificateholder of the Controlling Class pursuant to Section 3.18 or Section 9.01, or by the Mortgage Loan Seller pursuant to Section 2.03 within _____ days of its discovery or notice of the breach or Document Defect that gave rise to the repurchase obligation, and other than in connection with the condemnation or other governmental taking of a Mortgaged Property or REO Property). As to each such Specially Serviced Mortgage Loan or REO Property, the Liquidation Fee shall be payable from, and shall be calculated by application of the Liquidation Fee Rate to, such full or discounted payoff and/or Liquidation Proceeds (excluding any portion of such payoff and/or proceeds that represents accrued but unpaid Additional Interest with respect to a Hyper-Amortization Loan after its Anticipated Repayment Date or accrued but unpaid Default Interest); provided that no Liquidation Fee will be payable with respect to any such Specially Serviced Mortgage Loan that becomes a Corrected Mortgage Loan; and provided, further, that (without limiting the Special Servicer's right to any Workout Fee that is properly payable therefrom), no Liquidation Fee will be payable from, or based upon the receipt of, Liquidation Proceeds collected as a result of any purchase of a Specially Serviced Mortgage Loan or REO Property described in the parenthetical to the first sentence of this paragraph or in connection with a condemnation or other governmental taking of a Mortgaged Property or REO Property. Notwithstanding anything to the contrary herein, a Liquidation Fee and a Workout Fee relating to the same Mortgage Loan shall not be paid from the same proceeds on or with respect to such Mortgage Loan. The Special Servicer's right to receive the Special Servicing Fee, the Standby Fee, the Workout Fee and/or the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(cd) The Special Servicer shall be entitled to receive as additional special servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of compensation:
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of the extent allocable to the period when any Mortgage Loan is a Specially Serviced LoansMortgage Loan or to the extent allocable to an REO Loan, any Net Default Charges actually collected on such Mortgage Loan or REO Loan, as the case may be, and (B) 50% of Excess Modification Fees related assumption fees, modification fees, charges for beneficiary statements or demands and any similar fees (excluding Prepayment Premiums) actually collected on or with respect to modifications, waivers, extensions or amendments of any Specially Serviced Mortgage Loans or REO Loans; and
(ii) interest or other than Non-Serviced Mortgage Loansincome earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) and Serviced Companion Loans that (but only to the extent of the Net Investment Earnings, if any, with respect to the REO Account for each Collection Period). To the extent the amounts described in clause (i)(B) of the preceding paragraph are Non-Specially Serviced Loanscollected by the Master Servicer, provided that the Master Servicer shall promptly pay such transaction qualifies as a Major Decision or a amounts to the Special Servicer Decisionand shall not be required to deposit such amounts in the Certificate Account pursuant to Section 3.04(a). Additional servicing compensation to which the Master Servicer (or, if so provided by the applicable Sub-Servicing Agreement, any Sub-Servicer retained thereby) is entitled pursuant to Section 3.11(b) in the form of assumption fees, modification fees, charges for beneficiary statements or demands and any similar fees (Cexcluding Prepayment Premiums) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any collected by the Special Servicer on Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Mortgage Loans or REO Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% or in the form of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer amounts collected for checks returned for insufficient funds relating with respect to any Mortgage Loans (including, without limitation, Specially Serviced Mortgage Loans), shall be paid promptly to the accounts held Master Servicer by the Special Servicer. The Special Servicer shall be required to pay out of its own funds all overhead, general and administrative expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any Sub-Servicers retained by it and the premiums for any blanket policy obtained by it insuring against hazard losses pursuant to Section 3.07(b)), if and to the extent such expenses are not payable directly out of the Certificate Account or the REO Account and the Master Servicer is not required to advance such expenses at the direction of the Special Servicer, and shall be promptly paid to the Special Servicer shall not be entitled to reimbursement except as expressly provided in this Agreement.
(e) If the Master Servicer or Special Servicer is required under this Agreement to make a Servicing Advance, but neither does so within 15 days after such Servicing Advance is required to be made, the Trustee shall, if it has actual knowledge of such failure on the part of the Master Servicer or Special Servicer, as the case may be, give notice of such failure, as applicable, to the Master Servicer and/or the Special Servicer. If such Servicing Advance is not made by the Master Servicer or the Special Servicer within one Business Day after such notice then (or directly from subject to Section 3.11(g) below), the related Mortgagor) to the extent Trustee shall make such fees are paid Servicing Advance. Any failure by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) Master Servicer or paid by the Special Servicer to make a Servicing Advance it is required to make hereunder shall constitute an Event of Default by the Master Servicer or the Special Servicer, as the case may be, subject to and as provided in Section 7.01(a).
(f) As and to the extent the funds are received permitted by the Special Servicer. Subject to Section 3.11(d3.05(a), the Master Servicer, the Special ServiServicer (to the extent it has not already been reimbursed for any such Servicing Advance by the Master Servicer) and the Trustee shall each be entitled to receive interest at the Reimbursement Rate in effect from time to time, accrued on the amount of each Servicing Advance made thereby (out of its own funds) for so long as such Servicing Advance is outstanding, and such interest will be paid: first, out of any Default Charges collected on or in respect of the related Mortgage Loan during, and allocable to, the period, if any, that it was a Specially Serviced Mortgage Loan or an REO Loan; and second, at any time coinciding with or following the reimbursement of such Servicing Advance, out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account. As and to the extent provided in Sections 3.03(a) and 3.05(a), the Master Servicer shall reimburse itself, the Special Servicer or the Trustee, as appropriate, for any Servicing Advance made thereby as soon as practicable after funds available for such purpose are(deposited in the Certificate Account or a Servicing Account.
(g) Notwithstanding anything to the contrary set forth herein, none of the Master Servicer, the Special Servicer or the Trustee, shall be required to make any Servicing Advance (including, without limitation, an Emergency Advance) that it determines in its reasonable, good faith judgment would constitute a Nonrecoverable Servicing Advance. In addition, Nonrecoverable Servicing Advances shall be reimbursable pursuant to Section 3.05(a)(vii) out of general collections on the Mortgage Pool on depo
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (Nationslink Funding Corp), Pooling and Servicing Agreement (Nationslink Funding Corp), Pooling and Servicing Agreement (Nationslink Funding Corp)
Servicing Compensation. (a) As compensation for its activities hereunder, the applicable Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any applicable Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth (4th) paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the applicable Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the applicable Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Each Master Servicer shall be entitled to retain, and shall not be required to deposit in the its Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: Mortgagor relating to a Mortgage Loan and any related Serviced Companion Loan for which it acts as Master Servicer:
(i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided ) that such transactions are Master Servicer Decisions; and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision, then such Master Servicer will be entitled to 50% of such Excess Modification Fees;
(ii) 100% of all assumption application fees and other similar items received on any Serviced Mortgage Loans that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the such Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which that the consent, processing or approval of the applicable Special Servicer is required entitled to under clause this Agreement); and
(xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consentconsent and earnout fees, loan service transaction and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as ) relating to Master Servicer Decisions; and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision, (v) then the applicable Master Servicer will be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the applicable Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors demands to the extent such beneficiary statements or demand charges were demands are prepared by the applicable Master ServicerServicer and other customary charges, amounts collected for checks returned for insufficient funds with respect (relating to the accounts held by the such applicable Master Servicer Servicer) and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the its Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the applicable Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the its Collection Account Account, Loss of Value Reserve Fund or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan for which it acts as Master Servicer, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The applicable Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the its Collection Account and the applicable Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the The applicable Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review collect customary fees in connection with any Mortgagor request to the extent review or consent granted under this Agreement. Such fees may include, but are not limited to, a review fee or an expedited processing fee, which may be retained by such Master Servicer; provided, however, that such fees are (i) will not prohibited under the related Mortgage Loan documents, (ii) not charged be deemed a substitute for or in lieu of any fee that is otherwise to be split between the master servicer applicable Special Servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The applicable Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions allocations set forth hereunder. All fees shall be consistent with the Servicing Standard. With respect to any of Section 3.05(a). The the preceding fees as to which both the applicable Master Servicer and the applicable Special Servicer are entitled to receive a portion thereof, the applicable Master Servicer and the applicable Special Servicer shall each have the right in its sole discretion, but not any obligation, to reduce or elect not to charge its respective portion of such fee; provided, that (A) neither the applicable Master Servicer nor the applicable Special Servicer will have the right to receive reduce or elect not to charge the portion of any such fee due to the other and (B) to the extent either of the applicable Master Servicer or the applicable Special Servicing Fee may Servicer exercises its right to reduce or elect not to charge its respective portion in any such fee, the party that reduced or elected not to charge its respective portion of such fee will not have any right to share in any part of the other party’s portion of such fee. If the applicable Master Servicer decides not to charge any fee, the applicable Special Servicer shall nevertheless be entitled to charge its portion of the related fee to which such Special Servicer would have been entitled if such Master Servicer had charged a fee and such Master Servicer will not be transferred in whole or in part except in connection with entitled to any of such fee charged by such Special Servicer. Similarly, if the transfer of all applicable Special Servicer decides not to charge any fee, the applicable Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which such Master Servicer would have been entitled if such Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into Servicer had charged a fee sharing agreement with the Directing Certificateholder or any other party. The and such Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan orportion of such fee charged by such Master Servicer. Notwithstanding the foregoing, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The applicable Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modificationsmay, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which workout or other modification of a Mortgage Loan and without the consent, processing or approval consent of the applicable Master Servicer, waive any or all related Penalty Charges, regardless of who is entitled to receive such payments as compensation; provided, that any Penalty Charges actually collected and available as additional servicing compensation after application of the terms of Section 3.11(d) shall be shared pro rata by the applicable Master Servicer and the applicable Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement based on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% respective portions of all waiver fees, assumption fees and consent fees pursuant such Penalty Charges to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in which each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Serviwould otherwise have been entitled.
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (Morgan Stanley Bank of America Merrill Lynch Trust 2025-C35), Pooling and Servicing Agreement (Benchmark 2025-B41 Mortgage Trust), Pooling and Servicing Agreement (Morgan Stanley Bank of America Merrill Lynch Trust 2025-C35)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)) for which it acts as a master servicer. As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any applicable Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related MortgagorMortgagor and any related Companion Loan: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided ) that such transactions are Master Servicer Decisions; provided, that if any such matter involves a Major Decision, then the Master Servicer shall be entitled to 50% of such Excess Modification Fees; (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (other than a Non-Serviced Mortgage Loan) that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing or approval of that the Special Servicer is required entitled to under clause this Agreement); and (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as ) relating to Master Servicer Decisions; provided, that if any such matter involves a Major Decision (v) regardless of whether it relates to a Master Servicer Decision), then the Master Servicer shall be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors demands (to the extent such beneficiary statements or demand charges were demands are prepared by the Master Servicer) and other customary charges, amounts collected for checks returned for insufficient funds with respect (relating to the accounts held by the Master Servicer Servicer) and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the its Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the its Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan Loan, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the its Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein With respect to any of the contrarypreceding fees as to which both the Master Servicer and the Special Servicer are entitled to receive a portion thereof, the Master Servicer and the Special Servicer shall each have the right in their sole discretion, but not any obligation, to reduce, waive or elect not to charge its respective portion of such fee; provided, that (A) neither the Master Servicer nor the Special Servicer will have the right to reduce, waive or elect not to charge the portion of any such fee due to the other and (B) to the extent either of the Master Servicer or the Special Servicer exercises its right to reduce, waive or elect not to charge its respective portion in any such fee, the party that reduced, waived or elected not to charge its respective portion of such fee will not have any right to share in any part of the other party’s portion of such fee. If the Master Servicer decides not to charge any fee, the Special Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and retain reasonable review fees the Master Servicer will not be entitled to any of such fee charged by the Special Servicer. Similarly, if the Special Servicer decides not to charge any fee, the Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Master Servicer would have been entitled if the Special Servicer had charged a fee and the Special Servicer shall not be entitled to any portion of such fee charged by the Master Servicer. For the avoidance of doubt, the Special Servicer may, in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related a workout or other modification of a Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between and without the master servicer and special servicer, and (iii) actually paid by or on behalf consent of the Master Servicer, waive any or all related MortgagorPenalty Charges, regardless of who is entitled to receive such payments as compensation; provided that any collections in respect of such Penalty Charges shall be shared pro rata based on the respective portions of such Penalty Charges to which each would otherwise have been entitled pursuant to Section 3.11(d). Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association Trimont LLC may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Pari Passu Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, Trimont LLC as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The No Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of of
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, ,
(Bii) 50100% of Excess Modification Fees related all assumption application fees and other similar items received with respect to modifications, waivers, extensions or amendments Specially Serviced Loans and 100% of any all assumption application fees and other similar items received with respect to Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related Loans to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the extent the Special Servicer processes the underlying assumption-related transaction, ,
(iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18fees, or fees in respect of other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, ,
(iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans,
(v) (A) 50% of all waiver feesExcess Modification Fees and assumption, assumption fees and waiver, consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees and other similar fees (other than assumption application fees and defeasance fees) received in each case with respect to all any Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by that the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as matter involves a Master Servicer Major Decision, ,
(vi) 100% of charges for beneficiary statements or demands and demand charges actually paid by the related Mortgagor Mortgagors to the extent such beneficiary statements or demands were demand charges are prepared by the Special Servicer, and
(vii) 50100% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks intended for deposit in the applicable REO Account maintained by the such Special Servicer and returned for insufficient funds relating to the accounts held by the Special Servicer, and funds. shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account and Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, the Special Servicer shall be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan) reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and only to the extent actually paid by or on behalf of the related Mortgagor. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Loan at the Workout Fee Rate on such Corrected Loan for so long as it remains a Corrected Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount received by the Special Servicer; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Corrected Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Loan (including any related Serviced Companion Loan) being equal to $25,000. The Workout Fee shall be reduced (but not below zero) with respect to each collection
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (Bank5 2025-5yr15), Pooling and Servicing Agreement (Wells Fargo Commercial Mortgage Trust 2025-5c4), Pooling and Servicing Agreement (Bank5 2025-5yr14)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Pari Passu Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and 100% of all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision ) for which the Special Servicer’s consent or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision approval is required on a nonthe Non-Specially Serviced Mortgage Loans and only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees fees, pursuant to Section 3.08 and Section 3.18, 3.20 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, and (v) (Aiv) 50% of all waiver fees, Excess Modification Fees and assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and 50% of all earnout fees received in each case with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s)Loan, to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loansand, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of in all assumption feescases, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the Corrected Mortgage Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had determined to grant a forbearance or cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. The Special Servicer shall be required to pay
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2014-C20), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C19), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C19)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Collateral Interests and Commercial Real Estate Loans subject to this Agreement, the Master Servicer shall be entitled to receive the a Servicing Fee with respect for each Collateral Interest and each Companion Participation related to each Mortgage a Serviced Commercial Real Estate Loan (including without limitation a Specially Serviced Loan, Serviced Companion a REO Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) Collateral Interest (including Specially Serviced Loans and the Issuer’s interest in any REO Property related to a Non-Serviced Mortgage Loan constituting Collateral Interest)) remaining subject to this Agreement during any calendar month or part thereof; provided that any Servicing Fee payable in respect of a “specially serviced loan” under Companion Participation and the related Companion Participation Holder’s interest in any related Non-Serviced PSA)REO Property shall only be paid from collections in respect of the related Commercial Real Estate Loan that are allocated to such Companion Participation. As to each Mortgage Loan, Companion Loan and REO Loan, the The Servicing Fee shall accrue from time be payable monthly on the Remittance Date (or earlier pursuant to time at the Servicing Fee Rate related Participation Agreement) of each month and shall be computed on the basis of the Stated Principal Balance outstanding principal balance of such Mortgage Loan, the related Collateral Interest or on the Companion Loan or REO Loan, Participation as of the case may be, and first Business Day following the Determination Date in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial immediately preceding calendar month interest payment, and for the same period respecting with respect to which any related interest payment due on such Mortgage Loan the related Collateral Interest or on the Companion Loan Participation or deemed to be due distribution on such REO Loan the related Collateral Interest or on the Companion Participation is computed. The Servicer may pay itself the Servicing Fee with respect to any Mortgage Loan, Companion Loan on the Remittance Date (or REO Loan shall cease to accrue if a Liquidation Event occurs with respect earlier pursuant to the related Mortgage LoanParticipation Agreement) of each month from amounts on deposit in the Collection Account or the Participated Loan Collection Account, except as applicable, or such other funds permitted under the related Participation Agreement. To the extent that if such Mortgage amounts on deposit in the Collection Account or the Participated Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues Collection Account, as applicable, on the Remittance Date are insufficient to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then pay the applicable Servicing Fee shall continue allocated to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion any Commercial Real Estate Loan and REO Revenues allocable as interest on each or related REO Loan, and as otherwise provided by Section 3.05(a)the Issuer shall pay any such shortfall to the Servicer within ten (10) Business Days after the Issuer’s receipt of an itemized invoice therefor. The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with (i) delegation in respect of servicing of a Commercial Real Estate Loan in respect of which there is a Companion Participation to a sub-servicer, which sub-servicer or an affiliate of such sub-servicer is also the servicer under the related A-1 Participation Servicing Agreement, or (ii) the transfer of all of the Master Servicer’s duties responsibilities and obligations hereunder under and as permitted pursuant to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loanthis Agreement.
(b) As further compensation for its activities hereunder, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account or the Participated Loan Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer3.03, amounts collected for checks returned for insufficient funds constituting Additional Servicing Compensation with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(aCommercial Real Estate Loans.
(c) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out all expenses related to the Servicer’s internal costs, consisting of its own funds all overhead and employee costs and expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor thereof except as expressly specifically provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerherein.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 3 contracts
Sources: Servicing Agreement (Granite Point Mortgage Trust Inc.), Servicing Agreement (Granite Point Mortgage Trust Inc.), Servicing Agreement (Granite Point Mortgage Trust Inc.)
Servicing Compensation. (a) As compensation In consideration for its activities services hereunder, until the Master Collection in Full of the Charges, the Servicer shall be entitled receive an annual fee (the “Servicing Fee”) in an amount equal to receive (i) 0.05% of the Servicing Fee with respect to each Mortgage Loanaggregate initial principal amount of all Deferred Fuel Cost Bonds plus reimbursable expenses for so long as VEPCO or an Affiliate of VEPCO is the Servicer or (ii) if VEPCO or any of its Affiliates is not the Servicer, Serviced Companion Loan an amount agreed upon by the Successor Servicer and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage LoanIndenture Trustee, Companion Loan and REO Loan, provided that the annual Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis not exceed 0.60% of the Stated Principal Balance aggregate initial principal amount of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedall Deferred Fuel Cost Bonds. The Servicing Fee owing shall be calculated based on the initial principal amount of the Deferred Fuel Cost Bonds and shall be paid semi-annually, with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to half of the related Mortgage LoanServicing Fee being paid on each Payment Date, except that if such Mortgage Loan is part the amount of a Serviced Whole Loan and such Serviced Whole Loan continues the fee to be serviced and administered under paid on the first Payment Date shall be calculated based on the number of days that this Servicing Agreement notwithstanding has been in effect as of such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurdate. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to retain as additional servicing compensation in the form of: (i) Penalty Charges any interest earnings on Deferred Fuel Cost Charge Collections received by the Servicer and invested by the Servicer prior to remittance to the extent provided in Section 3.11(d), Collection Account and (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earningsall late payment charges, if any, with respect collected from Customers; provided, however, that if the Servicer fails to remit the Daily Remittance to the General Subaccount of the Collection Account on the Servicer Business Day that such account for payment is to be made pursuant to Section 6.11 on more than 5 occasions during the period from and including that the prior Distribution Date to and including Deferred Fuel Cost Bonds are Outstanding, then thereafter the P&I Advance Date related Servicer shall pay to the current Distribution Date), (iii) Indenture Trustee interest or other income earned accrued at the Federal Funds Rate on deposits in its Investment Accounts each Daily Remittance from the Servicer Business Day on which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not such Daily Remittance was required to be made to the date that such Daily Remittance is actually made. In addition, the Servicer shall be entitled to be reimbursed by the Issuer for filing fees and fees and expenses for attorneys, accountants, printing or other professional services retained by the Issuer and paid as Compensating Interest Paymentsfor by the Servicer (or procured by the Servicer on behalf of the Issuer and paid for by the Servicer) to meet the Issuer’s obligations under the Basic Documents (“Reimbursable Expenses”). The Master Except for such Reimbursable Expenses, the Servicer shall be required to pay out of its own funds all other costs and expenses incurred by it the Servicer in connection with performing its servicing activities hereunder (includingbut, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, excluding any such costs and expenses incurred by the Master Servicer may not charge a fee in lieu of any fee that its capacity as Administrator to the extent the Servicer is otherwise to be split between the Master Servicer and Special Servicerthen serving as Administrator).
(b) As compensation for its activities hereunder, the Special Servicer The Servicing Fee set forth in Section 6.06(a) shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect paid to the related Mortgage Loan. The Special Servicing Fee shall be payable monthlyServicer by the Indenture Trustee, on a loan-by-loan basis, each Payment Date in accordance with the provisions priorities set forth in Section 8.02(e) of Section 3.05(a)the Indenture, by wire transfer of immediately available funds from the Collection Account to an account designated by the Servicer. The right to receive Any portion of the Special Servicing Fee may not paid on any such date shall be transferred added to the Servicing Fee payable on the subsequent Payment Date. In no event shall the Indenture Trustee be liable for the payment of any Servicing Fee or other amounts specified in whole or in part except in connection with this Section 6.06; provided, that this Section 6.06 does not relieve the transfer Indenture Trustee of all any duties it has to allocate funds for payment for such fees under Section 8.02 of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion LoanIndenture.
(c) The Special Servicer and the Issuer acknowledge and agree that the Deferred Fuel Cost Charge Collections on some days might exceed the Servicer’s deemed collections, and that the Deferred Fuel Cost Charge Collections on other days might be less than the Servicer’s deemed collections. The Servicer and the Issuer further acknowledge and agree that the amount of these variances are likely to be small and are not likely to be biased in favor of over-remittances or under-remittances. Consequently, so long as the Servicer faithfully makes all daily remittances based on the Collection Lag, as provided for herein, the Servicer and the Issuer agree that no actual or deemed investment earnings shall be entitled payable in respect of such over-remittances or under-remittances.
(d) The Issuer and the Servicer acknowledge and agree that the foregoing Servicing Fee constitutes a fair and reasonable compensation for the obligations to additional servicing compensation relating be performed by the Servicer. Such Servicing Fee shall be determined without regard to each Mortgage Loan (other than with respect the income of the Issuer, shall not be deemed to a Non-Serviced Mortgage Loan) in constitute distributions to the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments recipient of any Specially Serviced Loansprofit, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions loss or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% capital of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, Issuer and shall be promptly paid considered a fixed Operating Expense of the Issuer subject to any limitations on such expenses set forth in the Special Servicer Financing Order.
(e) Any services required for or contemplated by the Master Servicer (or directly from performance of the related Mortgagor) to the extent such fees are paid above-referenced services by the Mortgagor and shall not be required Servicer to be deposited in provided by unaffiliated third parties may, if provided for or otherwise contemplated by the Collection Account pursuant to Section 3.04(aFinancing Order and if the Issuer deems it necessary or appropriate, be arranged by the Issuer or by the Servicer at the direction (which may be general or specific) of the Issuer. Costs and expenses associated with the contracting for such third-party professional services may be paid directly by the Issuer or paid by the Special Servicer and reimbursed by the Issuer in accordance with Section 6.06(a), or otherwise as the Servicer and the Issuer may mutually arrange. It is expressly acknowledged that the payment of fees to the Master Rating Agencies shall be at the expense of the Issuer and that, if the Servicer advances such payments to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d)Rating Agencies, the Special ServiIssuer shall reimburse the Servicer for any such advances.
Appears in 3 contracts
Sources: Deferred Fuel Cost Property Servicing Agreement (Virginia Power Fuel Securitization, LLC), Deferred Fuel Cost Property Servicing Agreement (Virginia Power Fuel Securitization, LLC), Deferred Fuel Cost Property Servicing Agreement (Virginia Power Fuel Securitization, LLC)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any applicable Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth (4th) paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: Mortgagor relating to a Mortgage Loan and any related Serviced Companion Loan:
(i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided ) that such transactions are Master Servicer Decisions; and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter
involves a Major Decision or a Special Servicer Decision, then the Master Servicer shall be entitled to 50% of such Excess Modification Fees;
(ii) 100% of all assumption application fees and other similar items received on any Serviced Mortgage Loans that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing or approval of that the Special Servicer is required entitled to under clause this Agreement); and
(xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as ) relating to Master Servicer Decisions; and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision or a Special Servicer Decision, (v) then the Master Servicer will be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors demands (to the extent such beneficiary statements or demand charges were demands are prepared by the Master Servicer) and other customary charges, amounts collected for checks returned for insufficient funds with respect (relating to the accounts held by the Master Servicer Servicer) and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Period Period, to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, if either the Master Servicer or the Special Servicer has partially waived any Penalty Charge (part of which accrued when the related Mortgage Loan was not a Specially Serviced Loan and part of which accrued when the related Mortgage Loan was a Specially Serviced Loan), any collections in respect of such Penalty Charge will be shared pro rata by the Master Servicer and the Special Servicer based on the respective portions of such Penalty Charge to which each would otherwise have been entitled. With respect to any of the preceding fees (other than Penalty Charges) as to which both the Master Servicer and the Special Servicer are entitled to receive all or a portion thereof, the Master Servicer and the Special Servicer shall each have the right in its sole discretion, but not any obligation, to reduce, waive or elect not to charge its respective portion of such fee; provided, that (A) neither the Master Servicer nor the Special Servicer will have the right to reduce, waive or elect not to charge the portion of any such fee due to the other and (B) to the extent either of the Master Servicer or the Special Servicer exercises its right to reduce, waive or elect not to charge its respective portion in any such fee, the party that reduced, waived or elected not to charge its respective portion of such fee will not have any right to share in any part of the other party’s portion of such fee. If the Master Servicer decides not to charge any fee (other than Penalty Charges), the Special Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and retain reasonable review fees the Master Servicer will not be entitled to any of such fee charged by the Special Servicer. Similarly, if the Special Servicer decides not to charge any fee (other than Penalty Charges), the Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Master Servicer would have been entitled if the Special Servicer had charged a fee and the Special Servicer shall not be entitled to any portion of such fee charged by the Master Servicer. For the avoidance of doubt, the Special Servicer may, in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related a workout or other modification of a Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between and without the master servicer and special servicer, and (iii) actually paid by or on behalf consent of the Master Servicer, waive any or all related MortgagorPenalty Charges, regardless of who is entitled to receive such payments as compensation; provided that any collections in respect of such Penalty Charges allocated to additional servicing compensation will be shared pro rata by the Master Servicer and Special Servicer based on the respective portions of such Penalty Charges to which each would otherwise have been entitled pursuant to Section 3.11(d). Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Pari Passu Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer Servicer, hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of of:
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, ;
(ii) 100% of assumption application fees and other similar items received with respect to Specially Serviced Loans and 100% of all assumption application fees and other similar items received with respect to Serviced Mortgage Loans for which and Serviced Companion Loans that are Non-Specially Serviced Loans to the extent the Special Servicer processes the underlying assumption-related transaction, ;
(iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18, or fees in respect of other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, ;
(iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans;
(v) (A) 50% of all waiver feesExcess Modification Fees and assumption, assumption fees and waiver, consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees and other similar fees (other than assumption application fees and defeasance fees) received in each case with respect to all any Serviced Mortgage Loans (other than Non-or Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) Loans that are Non-Specially Serviced Loans, provided Loans to the extent that such transaction qualifies as the matter involves a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, ;
(vi) 100% of charges for beneficiary statements or demands and demand charges actually paid by the related Mortgagor Mortgagors to the extent such beneficiary statements or demands were demand charges are prepared by the Special Servicer, ; and
(vii) 50100% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to charges collected for checks intended for deposit in the accounts held by the Special Servicer, 100% of charges applicable REO Account maintained by the Special Servicer collected for checks and returned for insufficient funds relating to the accounts held by the Special Servicer, and funds. Such additional servicing compensation shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account and Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, the Special Servicer shall be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan) reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and only to the extent actually paid by or on behalf of the related Mortgagor. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Worko
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (Morgan Stanley Bank of America Merrill Lynch Trust 2025-C35), Pooling and Servicing Agreement (Bank 2025-Bnk50), Pooling and Servicing Agreement (Bank 2025-Bnk49)
Servicing Compensation. (a) As compensation for its activities services hereunder, the Master Servicer shall be entitled to receive the fees specified in the Servicing Fee with respect Schedule detailed on Exhibit D to each Mortgage Loanthis Agreement. Such fees shall be payable monthly by Servicer’s debit of such fees from the Custodial Account. Notwithstanding anything in this Agreement to the contrary, Serviced Companion Loan and REO Loan (other than if the portion Servicer is unable to withdraw the full amount of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Custodial Account in any month, then the outstanding amount of the Servicing Fee Rate and due to the Servicer shall be computed on due and payable by the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect Owner to the Servicer in immediately available funds and the related Mortgage Loan, except that if Owner shall pay the Servicer such Mortgage Loan is part outstanding amount within twenty (20) Business Days of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurpresentation of an invoice therefor. The Servicing Fee All servicing compensation shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loanin arrears, and as otherwise provided by Section 3.05(a). The Master Servicer all servicing compensation shall be entitled to recover unpaid Servicing Fees in respect of fully earned if the Mortgage Loan is serviced for any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, month and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision prorated on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)per diem basis. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional Additional servicing compensation in the form of: (i) Penalty Charges to of Ancillary Income shall be retained by the extent Servicer. Except as specifically provided in Section 3.11(d)for herein, (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due other than Servicing Advances or Expenses) and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided thereof. If a Mortgage Loan transitions into a different category for purposes of the Servicing Fee during a month, the Servicing Fee will be based on the status of the Mortgage Loan at the end of such month (based on the MBA Methodology) (or the end of the prior month if the Mortgage Loan is liquidated, paid in full, or transferred out during the month). Notwithstanding anything set forth to the contrary in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer parties hereby acknowledge and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documentsagree that, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest delinquency status with respect to any Mortgage Loan determining the Servicer’s compensation and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive determined using the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion LoanMBA Methodology.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 3 contracts
Sources: Loan Servicing Agreement (Franklin Credit Management Corp), Loan Servicing Agreement (Franklin Credit Holding Corp/De/), Loan Servicing Agreement (Franklin Credit Holding Corp/De/)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such the Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement)Mortgage Loans, provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement)Mortgage Loans, provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Mortgage Loans for which the Special Servicer’s consent or approval is required on the Non-Specially Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption(other than a Non-Serviced Mortgage Loan and any successor REO Loan related transaction, thereto) and (iii) 50% of the portion of any all Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 050% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loansand, but including any related Serviced Pari Passu Companion Loan(s)in all cases, to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the Corrected Mortgage Loan that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on the related Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Companion Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Master Servicer, the Special Servicer or the Trustee for interest on Advances on such Mortgage Loan or related Companion Loan, if applicable (and, in connection with a Non-Serviced Mortgage Loan, the applicable Non-Serviced Master Servicer, the appl
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-C10), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-C10), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-C10)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such the Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced the Legacy Place Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced the Legacy Place Pari Passu Companion Loan, subject to the terms of the related Legacy Place Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement)Mortgage Loans, provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement)Mortgage Loans, provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Mortgage Loans for which the Special Servicer’s consent or approval is required on the Non-Specially Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption(other than a Non-Serviced Mortgage Loan and any successor REO Loan related transaction, thereto) and (iii) 50% of the portion of any all Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 050% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loansand, but including any related Serviced Pari Passu Companion Loan(s)in all cases, to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the Corrected Mortgage Loan that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Companion Loan since the prior Distribution Date shall be applied (in such order) to r
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-Lc11), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-Lc11), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-Lc11)
Servicing Compensation. (a) As compensation for its activities hereunder, the applicable Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any applicable Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth (4th) paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the applicable Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the applicable Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Each Master Servicer shall be entitled to retain, and shall not be required to deposit in the its Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: Mortgagor relating to a Mortgage Loan and any related Serviced Companion Loan for which it acts as Master Servicer:
(i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided ) that such transactions are Master Servicer Decisions; provided, that if any such matter involves a Major Decision (regardless of whether it relates to a Master Servicer Decision), then such Master Servicer will be entitled to 50% of such Excess Modification Fees;
(ii) 100% of all assumption application fees and other similar items received on any Serviced Mortgage Loans that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the such Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which that the consent, processing or approval of the applicable Special Servicer is required entitled to under clause this Agreement); and
(xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as ) relating to Master Servicer Decisions; provided, that if any such matter involves a Major Decision (v) regardless of whether it relates to a Master Servicer Decision), then such Master Servicer will be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the applicable Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors demands (to the extent such beneficiary statements or demand charges were demands are prepared by the applicable Master Servicer) and other customary charges, amounts collected for checks returned for insufficient funds with respect (relating to the accounts held by the such applicable Master Servicer Servicer) and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the its Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the applicable Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the its Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan for which it acts as Master Servicer during the related Collection Period Period, to the extent not required to be paid as Compensating Interest Payments. The applicable Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the its Collection Account and the applicable Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein With respect to any of the contrary, preceding fees as to which both the applicable Master Servicer and the applicable Special Servicer are entitled to receive all or a portion thereof, the applicable Master Servicer and the applicable Special Servicer shall each have the right in its sole discretion, but not any obligation, to reduce, waive or elect not to charge its respective portion of such fee; provided, that (A) neither the applicable Master Servicer nor the applicable Special Servicer will have the right to reduce, waive or elect not to charge the portion of any such fee due to the other and (B) to the extent either of the applicable Master Servicer or the applicable Special Servicer exercises its right to reduce, waive or elect not to charge its respective portion in any such fee, the party that reduced, waived or elected not to charge its respective portion of such fee will not have any right to share in any part of the other party’s portion of such fee. If the applicable Master Servicer decides not to charge any fee, the applicable Special Servicer shall nevertheless be entitled to charge its portion of the related fee to which such Special Servicer would have been entitled if such Master Servicer had charged a fee and retain reasonable review fees such Master Servicer will not be entitled to any of such fee charged by such Special Servicer. Similarly, if the applicable Special Servicer decides not to charge any fee, the applicable Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which such Master Servicer would have been entitled if such Special Servicer had charged a fee and such Special Servicer shall not be entitled to any portion of such fee charged by such Master Servicer. For the avoidance of doubt, the applicable Special Servicer may, in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related a workout or other modification of a Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between and without the master servicer and special servicer, and (iii) actually paid by or on behalf consent of the applicable Master Servicer, waive any or all related MortgagorPenalty Charges, regardless of who is entitled to receive such payments as compensation; provided that any collections in respect of such Penalty Charges allocated to additional servicing compensation will be shared pro rata by the applicable Master Servicer and applicable Special Servicer based on the respective portions of such Penalty Charges to which each would otherwise have been entitled. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association Trimont LLC may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)) for which it acts as Master Servicer; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The applicable Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the such Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National AssociationTrimont LLC, as Master Servicer Servicer, hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the each Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the applicable Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The No Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Each Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-each Serviced Mortgage Loan) Loan and Serviced Companion Loan for which it acts as special servicer or performs duties in the form of of:
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions Loans whether or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-not such fees become due while such loan is Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Corrected Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, ;
(ii) 100% of assumption application fees and other similar items received with respect to Specially Serviced Loans and 100% of all assumption application fees and other similar items received with respect to Serviced Mortgage Loans for which and Serviced Companion Loans that are Non-Specially Serviced Loans to the extent the applicable Special Servicer processes the underlying assumption-related transaction, ;
(iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the any Specially Serviced Loans Loan or certain other similar fees paid by the related Mortgagor on Mortgagor;
(iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans, ;
(v) (A) 50% of all waiver feesExcess Modification Fees and assumption, assumption fees and waiver, consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees and other similar fees (other than assumption application fees and defeasance fees) received in each case with respect to all any Serviced Mortgage Loans (other than Non-or Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) Loans that are Non-Specially Serviced Loans, provided Loans to the extent that such transaction qualifies as the matter involves a Major Decision or any other action requiring the consent (or deemed consent) of a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, special servicer;
(vi) 100% of charges for beneficiary statements or demands and demand charges actually paid by the related Mortgagor Mortgagors to the extent such beneficiary statements or demands were demand charges are prepared by the such Special Servicer, ;
(vii) 50100% of any fees related to a Major Decision or charges collected for checks intended for deposit in the accounts maintained by such Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and returned for insufficient funds; and
(viii) with respect Penalty Charges to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and extent provided in Section 3.11(d). Such additional servicing compensation shall be promptly paid to the each Special Servicer by the applicable Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the applicable Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), each Special Servicer shall also be entitled to additional servicing compensation in the form of interest or other income earned on deposits relating to the Trust Fund in the REO Account and Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, each Special ServiServicer shall be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan) reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and only to the extent actually paid by or on behalf of the related Mortgagor. Each Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Loan at the Workout Fee Rate on such Corrected Loan for so long as it remains a Corrected Loan; provided, that after receipt by the applicable Special Servicer of Workout Fees with respect to such Corrected Loan in an amount equal to $25,
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (Bank5 2025-5yr17), Pooling and Servicing Agreement (Wells Fargo Commercial Mortgage Trust 2025-5c6), Pooling and Servicing Agreement (Bank5 2025-5yr16)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan, Companion Loan or Companion REO Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). 3.05
(a) Except as set forth in the following sentence, the fourth third paragraph of this Section 3.11(a), Section 6.03, Section 6.05 ) and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreementpart. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(e), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer's consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption defeasance fees and 50% of all application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the Mortgagor and for which the Special Servicer's consent or approval is required on the Non-Specially Serviced Mortgage Loans and only to the extent that all amounts then due and payable with respect to the related Intercreditor AgreementMortgage Loan have been paid; provided, that for purposes of this Section 3.11(a), provided that such transactions qualify as the Master Servicer Decisions, (v) 50will be entitled to receive 100% of all Excess Modification Fees and the assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 3.08(a) and Section 3.18 3.08(b) on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a nonNon-Specially Serviced Mortgage Loans if the related assumption, transfer or encumbrance is permitted without the consent of the mortgagee provided that certain conditions set forth in the related Mortgage Loan (other than assumption application feesdocuments are satisfied, defeasance feesand provided further, liquidation feesthat, workout notwithstanding the foregoing, with respect to each Mortgage Loan set forth on Schedule 4, if any, the percentage of the fees and any other fees separately addressed herein)to be paid to the Master Servicer with respect to assumptions shall be as set forth on Schedule 4. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d3.11 (d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, [________] may at its option, option assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer Servicer (which successor may include the Trustee) that meets the requirements of Section 6.05 6.04 and who requires market-market rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest (i.e., [________] or any such third party) at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer [________] hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and defeasance fees, in each case, received on any Specially Serviced LoansMortgage Loans to the extent such fees are paid by the Mortgagor, (Bii) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 3.08(a) and 3.08(b) or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a); provided, that, notwithstanding the foregoing with respect to each Mortgage Loan set forth on Schedule 4, if any, the percentage of the fees to be paid to the Master Servicer with respect to assumptions shall be as set forth on Schedule 4. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan or REO Property as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master Servicer exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the extent contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the funds repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the 90-day period or such other additional period provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan by the Majority Controlling Class Certificateholder or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received by with respect to any Corrected Mortgage Loan and the Special ServicerServicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any subordinate Companion Loan, the Liquidation Fee, if any, will be computed as provided in the related Intercreditor Agreement. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Master Servicer or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (other than Special Servicing Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges remaining thereafter shall be distributed to the Master Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan.
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (Jp Morgan Chase Commercial Mortgage Securities Corp), Pooling and Servicing Agreement (Jp Morgan Chase Commercial Mortgage Securities Corp), Pooling and Servicing Agreement (Jp Morgan Chase Commercial Mortgage Securities Corp)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Pari Passu Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision ) for which the Special Servicer’s consent or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision approval is required on a nonthe Non-Specially Serviced Mortgage Loans and only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees fees, pursuant to Section 3.08 and Section 3.18, 3.20 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, and (v) (Aiv) 50% of all waiver fees, Excess Modification Fees and assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 050% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loansand, but including any related Serviced Pari Passu Companion Loan(s)in all cases, to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the Corrected Mortgage Loan that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premi
Appears in 3 contracts
Sources: Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C18), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2013-C14), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2013-C14)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Pari Passu Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or similar fees earned pursuant to other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision ) for which the Special Servicer’s consent or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision approval is required on a nonthe Non-Specially Serviced Mortgage Loans and only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees fees, pursuant to Section 3.08 and Section 3.18, 3.20 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, and (v) (Aiv) 50% of all waiver fees, Excess Modification Fees and assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 050% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loansand, but including any related Serviced Pari Passu Companion Loan(s)in all cases, to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the Corrected Mortgage Loan that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-C13), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-C13)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSALoans). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s 's duties and obligations hereunder to a successor master servicer in accordance with the terms hereofof this Agreement). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating in the form of (i) 100% of modification, waiver and consent fees pursuant to each Mortgage Loan Section 3.08(e) (other than with respect to a Non-Serviced the Universal Hotel Portfolio Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and 50% of all application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiverextension, consentearnout, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion other than with respect to the Universal Hotel Portfolio Mortgage Loan), to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees for which the Special Servicer's consent or approval is required on the Non-Specially Serviced Mortgage Loans (other than assumption application and defeasance fees), pursuant with respect to Section 3.08 and Section 3.18 on any the Universal Hotel Portfolio Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced the Universal Hotel Portfolio Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments, as determined on a pool-wide basis. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced the Universal Hotel Portfolio Mortgage Loan and any successor REO Loan relating to a Non-Serviced Mortgaged PropertyLoan). As to each Specially Serviced Mortgage Loan and REO Loan (other than the Universal Hotel Portfolio Mortgage Loan and any successor REO Loan), the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced the Universal Hotel Portfolio Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and all defeasance fees, in each case, received on any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced the Universal Hotel Portfolio Mortgage LoansLoan and any successor REO Loan) and Serviced Companion Loans that to the extent such fees are paid by the Mortgagor, (ii) 50% of all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any all assumption, extension, material modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 3.08(a) and Section 3.18, 3.08(b) or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to the Universal Hotel Portfolio Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after a termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than with respect to the Universal Hotel Portfolio Whole Loan) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the period (including any extension thereof) provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan, within the first 90 days after the Special Servicer's initial determination of the fair value of such Specially Serviced Mortgage Loan, by the Majority Controlling Class Certificateholder or the Special Servicer, the purchase of any Specially Serviced Mortgaged Loan by the Master Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the extent the funds are received by contrary, the Special ServicerServicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any subordinate Companion Loan, the Liquidation Fee, if any, will be computed as provided in the related Intercreditor Agreement. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Master Servicer or the Trustee for interest on Advances on such Mortgage Loan (and, in connection with the Universal Hotel Portfolio Mortgage Loan, the Universal Hotel Portfolio Master Servicer, the Universal Hotel Portfolio Special Servicer, the Universal Hotel Portfolio Paying Agent or the Universal Hotel Portfolio Trustee for interest on the Servicing Advances made by any such party with respect to the Universal Hotel Portfolio Whole Loan pursuant to the Universal Hotel Portfolio Pooling Agreement, to the extent so provided in the Universal Hotel Portfolio Intercreditor Agreement), due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof (and, in connection with the Universal Hotel Portfolio Mortgage Loan, the Universal Hotel Portfolio Trust for all interest on Servicing Advances reimbursed by the Universal Hotel Portfolio Trust to any party under the Universal Hotel Portfolio Pooling Agreement, which resulted in an additional trust fund expense for the Universal Hotel Portfolio Trust, to the extent so provided in the Universal Hotel Portfolio Intercreditor Agreement) with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (including Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges (other than with respect to the Universal Hotel Portfolio Mortgage Loan, which shall be payable as additional servicing compensation under the Universal Hotel Portfolio Pooling Agreement) remaining thereafter shall be distributed to the Master Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent actually collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan.
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (JPMorgan Chase Commercial Mortgage Securities Corp Series 2005-Ldp3), Pooling and Servicing Agreement (JPMorgan Chase Commercial Mortgage Securities Corp Series 2005-Ldp3)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Mortgage Loans subject to this Agreement, the Master Servicer shall be entitled to receive the a Servicing Fee with respect to for each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of remaining subject to this Agreement during any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)calendar month or part thereof. As to each Mortgage Loan, Companion Loan and REO Loan, the Such Servicing Fee shall accrue from time to time at be payable monthly on the Servicing Fee Rate Remittance Date and shall be computed on the basis of the Stated Principal Balance number of Mortgage Loans serviced during the calendar month as more specifically set forth in Exhibit “C.” The Master Servicer may pay itself the Servicing Fee on each Remittance Date from amounts on deposit in the related Collection Account. As further compensation for its activities hereunder, the Master Servicer, or the Special Servicer, as applicable, shall be entitled to retain any interest or investment income earned on funds deposited in the Accounts to the extent permitted hereunder and by the Mortgage Documents, subject to any loss payable by the Master Servicer or the Special Servicer, as applicable, pursuant to Section 3.04 and to any other amount or collections received by it which are in the nature of Additional Servicing Compensation. For Reserve Administration Fee, the relevant Borrower shall pay such fees to the Master Servicer or Special Servicer, as applicable, at the time of the draw. If the relevant Borrower fails to pay such fees, Owner shall pay such fees to the Master Servicer or the Special Servicer, as applicable. As compensation for its special servicing activities hereunder, the Special Servicer shall be entitled to the Special Servicing Fee for each Specially Serviced Mortgage Loan, Companion Loan or REO Loan, as Property remaining subject to this Agreement during any calendar month or part thereof. Such Special Servicing Fee shall be payable monthly on the case may be, Remittance Date and in shall be computed on the basis of the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, outstanding principal balance and for the same period respecting with respect to which any related interest payment due on such the related Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Master Servicer may pay itself or such other Special Servicer the Special Servicing Fee on each Remittance Date from amounts on deposit in the related Collection Account. In addition to the other servicing compensation provided for in this Agreement, and not in lieu thereof, the Special Servicer shall be entitled to (a) the Disposition Fee, which shall be payable out of Net Proceeds prior to the deposit of Net Proceeds into the Collection Account in the event of a transfer, sale, foreclosure, a deed in lieu of foreclosure or other liquidation of a Specially Serviced Mortgage Loan or REO Property and (b) the Workout Fee, which shall be payable from amounts on deposit in the related Collection Account in the event of the curing of any monetary event of default under any Mortgage Loan through modification, assumption, restructure or work-out of such Mortgage Loan (if such modification, assumption, restructure or work-out is effected by the Special Servicer). If the Master Servicer is terminated, it shall retain the right to receive any and all Disposition Fees otherwise payable to it with respect to any Mortgage Loan, Companion Loan or REO Property, as applicable, that (A) became a Corrected Mortgage Loan shall cease to accrue if during the period that Master Servicer acted as such and that was a Liquidation Event occurs with respect Corrected Mortgage Loan at the time of such termination, (B) becomes a Corrected Mortgage Loan subsequent to the related time of such termination if Master Servicer resolved the circumstances and/or conditions (including by way of a modification of such Mortgage Loan, except that if ) which caused such Mortgage Loan is part to become a Specially Serviced Mortgage Loan but such Mortgage Loan had not, when the Master Servicer was terminated, become a Corrected Mortgage Loan because the related Borrower had not then made three (3) consecutive monthly debt service payments (but the related Borrower then makes those three (3) monthly debt service payments, and such Mortgage Loan subsequently becomes a Corrected Mortgage Loan as a result of the Borrower making those three (3) monthly debt service payments); (C) the Master Servicer has identified a buyer or transferee of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Property and a sale of such Mortgage Loan out or REO Property to such buyer or transferee, an Affiliate or related party is closed within six (6) months of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole termination or in part (except in connection with a transfer of all resignation of the Master Servicer’s duties ; or (D) notice of a judicial or non-judicial sale has been provided to the Borrower and obligations hereunder the Mortgaged Property is sold to a successor servicer in accordance with third-party purchaser at a judicial or non-judicial sale. To the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from extent that amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to on deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in are insufficient for the form payment of the following amounts Servicing Fee, Special Servicing Fee or Workout Fee, the Owner shall pay any such shortfall to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), as applicable, within ten (iv10) 100% Business Days after the Owner’s receipt of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Paymentsan itemized invoice therefor. The Master Servicer or the Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (includinghereunder, without limitationsuch as costs for office space, payment of any amounts due office equipment, supplies and owing to any of its Sub-Servicers related expenses, employee salaries and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07)related expenses and similar internal costs, if overhead and to the extent such expenses are not payable directly out of the Collection Account expenses, and the Master Servicer shall not be entitled to reimbursement therefor thereof except as expressly specifically provided for herein. Owner shall not be obligated to pay any Servicing Fee, Additional Servicing Compensation, or Special Servicing Fee, unless the amount of such fee or basis for calculation of such fee is specifically set forth in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, Agreement as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue amended from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loantime.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 2 contracts
Sources: Servicing Agreement, Servicing Agreement (Pennymac Financial Services, Inc.)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Mortgage Loans, the Master Owner shall pay the Servicer the applicable Servicing Fee and Other Fees the Servicer is entitled to each month. The obligation of the Owner to pay the Servicing Fee and Other Fees with regard to the Mortgage Loans shall be irrespective of Monthly Payments collected by the Servicer on the Mortgage Loans (but this shall not be construed to limit the effect of any provision hereof, including Exhibit 9, for the calculation of any fee by reference to one or more specified amounts collected on or in respect of the Mortgage Loans). The Servicer shall deliver to the Owner on the tenth (10th) calendar day of each month or, if the 10th day is not a Business Day, the next succeeding Business Day, an invoice setting forth the Servicing Fees and Other Fees, including accrued and unpaid Servicing Fees and Other Fees, with respect to the Mortgage Loans serviced by the Servicer during the preceding calendar month, and the Owner shall pay such invoice via wire transfer (in accordance with written instructions to be provided by the Servicer) no later than the last day of the calendar month in which such invoice was delivered. With respect to amounts due to the Servicer that remain unpaid after the Remittance Date pursuant to this Section, interest shall accrue at an annual rate equal to the Prime Rate, adjusted as of the date of each change, plus one percentage point, but in no event greater than the maximum amount permitted by Applicable Law. Such interest shall accrue from and including the day following the Business Day on which such payment was due to and including the Business Day when such payment is made and shall be payable on the date when such payment is so made. The Servicer shall be entitled to receive the Servicing Fee with respect deduct such unpaid amounts due to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed Servicer on the basis of Remittance Date following the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided Remittance Date that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent amounts were due if Owner has not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)already made payment. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional Additional servicing compensation in the form of: (i) Penalty Charges to of Ancillary Income shall be retained by the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicer. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor thereof except as expressly specifically provided in this Agreementfor herein. Notwithstanding anything herein set forth in this section related to the contraryAncillary Income, the Master Servicer shall not collect from the Mortgagor, pass through as an advance or as a liquidation expense any charges other than bona fide fees, which fees must be in compliance with local law. Servicer cannot add on a processing, or review fee or any additional fee, mark up or otherwise directly make a profit on or from services or activities rendered by a third party or affiliate (examples include but not limited to: letters and notices, force placed insurance, BPOs, appraisals, inspections, property preservation costs). The Servicer may collect any third party fees which are charged in accordance with Accepted Servicing Practices. In no event shall Servicer retain the Prepayment Penalties. In the event of a dispute arising from any act or omission by the Servicer or the Owner hereunder during the course of this Agreement, the Servicer and the Special Owner shall use reasonable efforts to cooperate with each other in good faith to resolve such dispute within a time period that is reasonable under the circumstances surrounding the dispute. Except in the case of a monetary error, the Owner and the Servicer shall use reasonable efforts to cooperate with each other in good faith to resolve the dispute within thirty (30) days of a formal notice from either party. In the case of a monetary error, the party holding the amounts due the other party shall use reasonable efforts to submit the amount in error within ten (10) Business Days following the discovery of the error. With respect to amounts due a party after the tenth (10th) Business Day following the discovery of the error, interest shall be entitled to charge and retain reasonable review fees in connection with any Mortgagor request accrue on such late payment at an annual rate equal to the extent federal funds rate as is publicly announced from time to time, plus three hundred basis points (3.00%), but in no event greater than the maximum amount permitted by Applicable Law. Such interest shall accrue from and including the day following the Business Day on which such fees are (i) not prohibited under payment was due to and including the related Mortgage Loan documents, (ii) not charged in lieu of any fee that Business Day when such late payment is otherwise to made and shall be split between payable on the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagordate when such late payment is so made. Notwithstanding anything herein to the contrarycontrary contained herein, Midland Loan Servicesupon the written request (a “Fee Negotiation Request”) of the Owner or the Servicer following a determination by the Owner or the Servicer that the rates of compensation payable to the Servicer hereunder differ materially from market rates of compensation for services comparable to those provided hereunder, which request includes a Division proposal for revised rates of PNC Bankcompensation hereunder, National Association may, at its option, assign or pledge the parties hereto shall negotiate in good faith to any third party or retain amend the provisions of this Agreement relating to the compensation of the Servicer in order to cause such compensation to be materially consistent with market rates of compensation for itself the Transferable Servicing Interest with respect services comparable to any Mortgage Loan and any Serviced Companion Loan those provided hereunder (and any successor REO Loana “Fee Amendment”); provided, however, that in no such request shall be made until the event second anniversary of the effective date of this Agreement, after which time each party may make such request (i) once with respect to fees to be paid during the remainder of the Initial Term, which request shall be made prior to the expiration of the Initial Term, and (ii) once with respect to fees to be paid during any resignation Automatic Renewal Term, which request shall be made at least 210 days prior to the start of such Automatic Renewal Term. If the parties are unable to reach agreement on the terms of a Fee Amendment within thirty (30) days of the date of delivery of the relevant Fee Negotiation Request, then the terms of such Fee Amendment shall be determined by final and binding arbitration as described below. All disputes, differences and controversies of the Owner or termination of Midland Loan Servicesthe Servicer relating to a Fee Amendment (individually, a Division of PNC Bank“Dispute” and, National Associationcollectively, as the Master Servicer, all or any portion of the Transferable Servicing Interest may “Disputes”) shall be reduced resolved by final and binding arbitration administered by the Trustee to the extent reasonably necessary American Arbitration Association (in the sole discretion of the Trustee“AAA”) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rateunder its Commercial Arbitration Rules, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms following provisions:
(a) Following the delivery of this Agreement a written demand for arbitration by either the Owner or the Servicer, each party shall choose one (1) arbitrator within ten (10) Business Days after the date of such written demand and the two chosen arbitrators shall mutually, within ten (10) Business Days after selection select a third (3rd) arbitrator (each, an “Arbitrator” and together, the “Arbitrators”), each of whom shall be a retired judge selected from a roster of arbitrators provided by the AAA. If the third (3rd) Arbitrator is not selected within fifteen (15) Business Days after delivery of the written demand for arbitration (or such reduction. The Master other time period as the Owner and the Servicer may agree), the Owner and the Servicer shall pay promptly request that the Transferable Servicing Interest to the holder commercial panel of the Transferable Servicing Interest at AAA select an independent Arbitrator meeting such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicercriteria.
(b) As compensation for its activities hereunderThe rules of arbitration shall be the Commercial Rules of the American Arbitration Association; provided, however, that notwithstanding any provisions of the Commercial Arbitration Rules to the contrary, unless otherwise mutually agreed to by the Owner and the Servicer, the Special Servicer sole discovery available to each party shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The its right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer conduct up to two (2) non-expert depositions of all no more than three (3) hours of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loantestimony each.
(c) The Special Arbitrators shall render a decision by majority decision within three (3) months after the date of appointment, unless the Owner and the Servicer agree to extend such time. The decision shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in final and binding upon the form of (i) (A) 100% of all Excess Modification Fees related to modificationsOwner and the Servicer; provided, waivershowever, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision decision shall not restrict either the Owner or a Special the Servicer Decision, and from terminating this Agreement pursuant to the terms hereof.
(Cd) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely Each party shall pay its own expenses in connection with the resolution of Disputes, including attorneys’ fees, unless determined otherwise by the Arbitrator.
(e) The Owner and the Servicer agree that the existence, conduct and content of any modificationarbitration pursuant to this Section 7.01 shall be kept confidential and neither the Owner nor the Servicer shall disclose to any Person any information about such arbitration, waiver, amendment or consent executed except in connection with a defeasance transaction for which the consent, processing such arbitration or approval of the Special Servicer is as may be required (and specifically excluding by law or by any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer regulatory authority (or directly from the related Mortgagor) to the extent any exchange on which such fees party’s securities are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(alisted) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servifor financial reporting purposes in such party’s financial statements.
Appears in 2 contracts
Sources: Flow Servicing Agreement (PennyMac Financial Services, Inc.), Flow Servicing Agreement (PennyMac Mortgage Investment Trust)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Mortgage Loans, the Master Owner shall pay the Servicer the applicable Servicing Fee and Other Fees the Servicer is entitled to each month. The obligation of the Owner to pay the Servicing Fee and Other Fees with regard to the Mortgage Loans shall be irrespective of Monthly Payments collected by the Servicer on the Mortgage Loans (but this shall not be construed to limit the effect of any provision hereof, including Exhibit 9, for the calculation of any fee by reference to one or more specified amounts collected on or in respect of the Mortgage Loans). The Servicer shall deliver to the Owner on the tenth (10th) calendar day of each month or, if the 10th day is not a Business Day, the next succeeding Business Day, an invoice setting forth the Servicing Fees and Other Fees, including accrued and unpaid Servicing Fees and Other Fees, with respect to the Mortgage Loans serviced by the Servicer during the preceding calendar month, and the Owner shall pay such invoice via wire transfer (in accordance with written instructions to be provided by the Servicer) no later than the related Remittance Date. With respect to amounts due to the Servicer that remain unpaid after the Remittance Date pursuant to this Section, interest shall accrue at an annual rate equal to the Prime Rate, adjusted as of the date of each change, plus one percentage point, but in no event greater than the maximum amount permitted by applicable law. Such interest shall accrue from and including the day following the Business Day on which such payment was due to and including the Business Day when such payment is made and shall be payable on the date when such payment is so made. The Servicer shall be entitled to receive the Servicing Fee with respect deduct such unpaid amounts due to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed Servicer on the basis of Remittance Date following the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided Remittance Date that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent amounts were due if Owner has not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)already made payment. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional Additional servicing compensation in the form of: (i) Penalty Charges to of Ancillary Income shall be retained by the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicer. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor thereof except as expressly specifically provided in this Agreementfor herein. Notwithstanding anything herein set forth in this section related to the contraryAncillary Income, the Master Servicer shall not collect from the Mortgagor, pass through as an advance or as a liquidation expense any charges other than bona fide fees, which fees must be in compliance with local law. Servicer cannot add on a processing, or review fee or any additional fee, ▇▇▇▇ up or otherwise directly make a profit on or from services or activities rendered by a third party or affiliate (examples include but not limited to: letters and notices, force placed insurance, BPOs, appraisals, inspections, property preservation costs). The Servicer may collect any third party fees which are charged in accordance with Accepted Servicing Practices. In no event shall Servicer retain the Prepayment Penalties. In the event of a dispute arising from any act or omission by the Servicer or the Owner hereunder during the course of this Agreement, the Servicer and the Special Owner shall use reasonable efforts to cooperate with each other in good faith to resolve such dispute within a time period that is reasonable under the circumstances surrounding the dispute. Except in the case of a monetary error, the Owner and the Servicer shall use reasonable efforts to cooperate with each other in good faith to resolve the dispute within thirty (30) days of a formal notice from either party. In the case of a monetary error, the party holding the amounts due the other party shall use reasonable efforts to submit the amount in error within ten (10) Business Days following the discovery of the error. With respect to amounts due a party after the tenth (10th) Business Day following the discovery of the error, interest shall be entitled to charge and retain reasonable review fees in connection with any Mortgagor request accrue on such late payment at an annual rate equal to the extent federal funds rate as is publicly announced from time to time, plus three hundred basis points (3.00%), but in no event greater than the maximum amount permitted by applicable law. Such interest shall accrue from and including the day following the Business Day on which such fees are (i) not prohibited under payment was due to and including the related Mortgage Loan documents, (ii) not charged in lieu of any fee that Business Day when such late payment is otherwise to made and shall be split between payable on the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagordate when such late payment is so made. Notwithstanding anything herein to the contrarycontrary contained herein, Midland Loan Servicesupon the written request (a “Fee Negotiation Request”) of the Owner or the Servicer following a determination by the Owner or the Servicer that the rates of compensation payable to the Servicer hereunder differ materially from market rates of compensation for services comparable to those provided hereunder, which request includes a Division proposal for revised rates of PNC Bankcompensation hereunder, National Association may, at its option, assign or pledge the parties hereto shall negotiate in good faith to any third party or retain amend the provisions of this Agreement relating to the compensation of the Servicer in order to cause such compensation to be materially consistent with market rates of compensation for itself the Transferable Servicing Interest with respect services comparable to any Mortgage Loan and any Serviced Companion Loan those provided hereunder (and any successor REO Loana “Fee Amendment”); provided, however, that in no such request shall be made until the event second anniversary of the effective date of this Agreement, after which time each party may make such request (i) once with respect to fees to be paid during the remainder of the Initial Term, which request shall be made prior to the expiration of the Initial Term, and (ii) once with respect to fees to be paid during any resignation Automatic Renewal Term, which request shall be made at least 210 days prior to the start of such Automatic Renewal Term. If the parties are unable to reach agreement on the terms of a Fee Amendment within thirty (30) days of the date of delivery of the relevant Fee Negotiation Request, then the terms of such Fee Amendment shall be determined by final and binding arbitration as described below. All disputes, differences and controversies of the Owner or termination of Midland Loan Servicesthe Servicer relating to a Fee Amendment (individually, a Division of PNC Bank“Dispute” and, National Associationcollectively, as the Master Servicer, all or any portion of the Transferable Servicing Interest may “Disputes”) shall be reduced resolved by final and binding arbitration administered by the Trustee to the extent reasonably necessary American Arbitration Association (in the sole discretion of the Trustee“AAA”) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rateunder its Commercial Arbitration Rules, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms following provisions:
(a) Following the delivery of this Agreement a written demand for arbitration by either the Owner or the Servicer, each party shall choose one (1) arbitrator within ten (10) Business Days after the date of such written demand and the two chosen arbitrators shall mutually, within ten (10) Business Days after selection select a third (3rd) arbitrator (each, an “Arbitrator” and together, the “Arbitrators”), each of whom shall be a retired judge selected from a roster of arbitrators provided by the AAA. If the third (3rd) Arbitrator is not selected within fifteen (15) Business Days after delivery of the written demand for arbitration (or such reduction. The Master other time period as the Owner and the Servicer may agree), the Owner and the Servicer shall pay promptly request that the Transferable Servicing Interest to the holder commercial panel of the Transferable Servicing Interest at AAA select an independent Arbitrator meeting such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicercriteria.
(b) As compensation for its activities hereunderThe rules of arbitration shall be the Commercial Rules of the American Arbitration Association; provided, however, that notwithstanding any provisions of the Commercial Arbitration Rules to the contrary, unless otherwise mutually agreed to by the Owner and the Servicer, the Special Servicer sole discovery available to each party shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The its right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer conduct up to two (2) non-expert depositions of all no more than three (3) hours of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loantestimony each.
(c) The Special Arbitrators shall render a decision by majority decision within three (3) months after the date of appointment, unless the Owner and the Servicer agree to extend such time. The decision shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in final and binding upon the form of (i) (A) 100% of all Excess Modification Fees related to modificationsOwner and the Servicer; provided, waivershowever, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision decision shall not restrict either the Owner or a Special the Servicer Decision, and from terminating this Agreement pursuant to the terms hereof.
(Cd) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely Each party shall pay its own expenses in connection with the resolution of Disputes, including attorneys’ fees, unless determined otherwise by the Arbitrator.
(e) The Owner and the Servicer agree that the existence, conduct and content of any modificationarbitration pursuant to this Section 7.01 shall be kept confidential and neither the Owner nor the Servicer shall disclose to any Person any information about such arbitration, waiver, amendment or consent executed except in connection with a defeasance transaction for which the consent, processing such arbitration or approval of the Special Servicer is as may be required (and specifically excluding by law or by any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer regulatory authority (or directly from the related Mortgagor) to the extent any exchange on which such fees party’s securities are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(alisted) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servifor financial reporting purposes in such party’s financial statements.
Appears in 2 contracts
Sources: Flow Servicing Agreement (PennyMac Mortgage Investment Trust), Flow Servicing Agreement (Pennymac Financial Services, Inc.)
Servicing Compensation. (a) As compensation for its activities hereunder, the each Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan (to the extent permitted in the related Intercreditor Agreement) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Loans) that it is responsible for servicing hereunder. As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Loan or Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan, Companion Loan or Companion REO Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof, except that if such Mortgage Loan asset is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable by the holder thereof as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). 3.05
(a) Except as set forth in the following sentence, the fourth third paragraph of this Section 3.11(a), Section 6.03Sections 6.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof)part. With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Each Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection its Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a the Non-Serviced Mortgage LoanLoans) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, Section 3.08(e) with respect to the extent not prohibited by the related Intercreditor Agreement)Mortgage Loans that such Master Servicer is responsible for servicing, provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer's consent is required, then the applicable Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application defeasance fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any and all assumption application fees (or, in the event that (x) the Master Servicer enters into an assumption or substitution agreement pursuant to Section 3.08(a) and the related loan documents do not provide for an assumption fee actually in connection therewith, or (y) the proposed transfer or assumption under Section 3.08(a) is approved and/or processed but does not occur or (z) the proposed transfer or assumption under Section 3.08(a) is not approved or is denied and does not occur and, additionally, in the case of (x), (y) and (z), assumption fees are paid by a the Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (providedtherewith, however, that then 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiiisuch assumption application fees) of the definition of “Major Decision” all application fees received on Non-Specially Serviced Mortgage Loans that it is responsible for servicing and (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 10050% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loanthat it is responsible for servicing, to the extent not prohibited that such fees are paid by the Mortgagor and only to the extent that all amounts then due and payable with respect to the related Intercreditor AgreementMortgage Loan have been paid; provided, the applicable Master Servicer shall not be entitled to any fees for defeasances, releases or assumptions received on the Non-Serviced Mortgage Loans; provided further, that for purposes of this Section 3.11(a), provided that such transactions qualify as the applicable Master Servicer Decisions, (v) will also be entitled to receive 50% of all Excess Modification Fees and the assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 3.08(a) and Section 3.18 3.08(b) on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a nonNon-Specially Serviced Mortgage Loans if the related assumption, transfer or encumbrance is permitted without the consent of the mortgagee provided that certain conditions set forth in the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). documents are satisfied.. In addition, the each Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any the Non-Serviced Mortgage Loan or Specially Serviced LoanLoans) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection its Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) ); provided, the applicable Master Servicer shall not be entitled to any charge or Section 3.04(b)fees for defeasances, respectivelyreleases or assumptions received on the Non-Serviced Mortgage Loans. Subject to Section 3.11(d), the each Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection its Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Each Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection its Certificate Account and the such Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related MortgagorNo. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, 1 may at its option, option assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.05 6.04 and who requires market-market rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer No. 1 shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer No. 1 is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer No. 1 hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a the Non-Serviced Mortgage Loan Loans and any successor REO Loan relating to a Non-Serviced Mortgaged PropertyLoan). As to each Specially Serviced Mortgage Loan and REO Loan (other than the Non-Serviced Mortgage Loans and any successor REO Loan), the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a the Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion LoanLoans.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and defeasance fees, in each case, received on any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than the Non-Serviced Mortgage Loans) Loans and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage successor REO Loan) and Serviced Companion Loans that to the extent such fees are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decisionpaid by the Mortgagor, (ii) 10050% of all assumption application fees and other similar items received with respect to on Non-Specially Serviced Mortgage Loans for which in the event that (x) the Special Servicer processes enters into an assumption or substitution agreement pursuant to Section 3.08(a) and the underlying assumption-related transactionloan documents do not provide for an assumption fee in connection therewith, or (y) the proposed transfer or assumption under Section 3.08(a) is approved and/or processed but does not occur or (z) the proposed transfer or assumption under Section 3.08(a) is not approved or is denied and does not occur and, additionally, in the case of (x), (y) and (z), assumption application fees are paid by the Mortgagor in connection therewith, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 3.08(a) and 3.08(b) or Section 3.18, loan service transaction fees and earnout fees 3.20 received in each case with respect to all Non Specially Serviced Mortgage Loans and for which the Special Servicer's consent or approval is required and (other than iv) without duplication, 100% of any fees for defeasances, releases or assumptions received on the Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the applicable Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection applicable Certificate Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to the Non-Serviced Mortgage Loans. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than the Non-Serviced Mortgage Loans) or REO Property as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds as set forth in the proviso to the definition of "Liquidation Fee." If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any subordinate Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed only if permitted, and to the extent provided, in the funds are received by the Special Servicerrelated Intercreditor Agreement. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the applicable Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicers or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the applicable Master Servicer or the Trustee for interest on Advances on such Mortgage Loan (and, in connection with any Non-Serviced Mortgage Loan, the related master servicer, special servicer or trustee under t
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2006-Ldp9), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2006-Ldp9)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan (to the extent permitted in the related Intercreditor Agreement) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Loans) that it is responsible for servicing hereunder. As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Loan or Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan, Companion Loan or Companion REO Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof, except that if such Mortgage Loan asset is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable by the holder thereof as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). 3.05
(a) Except as set forth in the following sentence, the fourth third paragraph of this Section 3.11(a), Section 6.03Sections 6.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof)part. With respect to each Serviced the JQH Hotel Portfolio Pari Passu Companion Loan, the Servicing Fee shall be payable cease to accrue upon the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms occurrence of the related Intercreditor AgreementJQH Hotel Portfolio Servicing Transfer Event. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection its Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced the JQH Hotel Portfolio Mortgage LoanLoan after the JQH Hotel Portfolio Servicing Transfer Event) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees on transactions made pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, Section 3.08(e) with respect to the extent not prohibited by Mortgage Loans that the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisionsis responsible for servicing; provided the consent of the Special Servicer is not required to take such action, (ii) 100% of all assumption defeasance fees and 50% of all application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer that it is processing the underlying transaction (whether or not the consent of the Special Servicer is required), responsible for servicing and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any all assumption, extension, modification, waiverearnout, amendment or waiver and consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) on transactions made pursuant to Section 3.08 3.08(a), Section 3.08(b) and Section 3.18 or other actions performed in connection with this Agreement 3.20 on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loanthat it is responsible for servicing, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced the JQH Hotel Portfolio Mortgage Loan or Specially Serviced Loanafter the JQH Hotel Portfolio Servicing Transfer Event) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection its Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) ); provided, the Master Servicer shall not be entitled to any charge or Section 3.04(b)fees for defeasances, respectivelyreleases or assumptions received on the JQH Hotel Portfolio Mortgage Loan after the JQH Hotel Portfolio Servicing Transfer Event. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection its Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection its Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced the JQH Hotel Portfolio Mortgage Loan after the JQH Hotel Portfolio Servicing Transfer Event and any successor REO Loan relating to a Non-Serviced Mortgaged PropertyLoan). As to each Specially Serviced Mortgage Loan and REO Loan (other than the JQH Hotel Portfolio Mortgage Loan after the JQH Hotel Portfolio Servicing Transfer Event and any successor REO Loan), the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced the JQH Hotel Portfolio Mortgage Loan or, in after the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion LoanJQH Hotel Portfolio Servicing Transfer Event.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and defeasance fees, in each case, received on any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced the JQH Hotel Portfolio Mortgage LoansLoan after the JQH Hotel Portfolio Servicing Transfer Event and any successor REO Loan) and Serviced Companion Loans that to the extent such fees are paid by the Mortgagor, (ii) 50% of all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiverextension, consentmodification, loan service transaction earnout, waiver and earnout consent fees on transactions made pursuant to Section 3.08 3.08(a) and Section 3.18, 3.08(b) or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection applicable Certificate Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to the JQH Hotel Portfolio Mortgage Loan after the JQH Hotel Portfolio Servicing Transfer Event. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than the JQH Hotel Portfolio Mortgage Loan after the JQH Hotel Portfolio Servicing Transfer Event) or REO Property as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds as set forth in the proviso to the definition of "Liquidation Fee." If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any subordinate Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed only if permitted, and to the extent provided, in the funds are received by the Special Servicerrelated Intercreditor Agreement. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the applicable Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Master Servicer or the Trustee for interest on Advances on such Mortgage Loan (and, after the JQH Hotel Portfolio Servicing Transfer Event, in connection with the JQH Hotel Portfolio Mortgage Loan, the BACM 2007-3 Master Servicer, BACM 2007-3 Special Servicer or BACM 2007-3 Trustee for interest on the servicing advances made by any such party with respect to the JQH Hotel Portfolio Whole Loan pursuant to the BACM 2007-3 Pooling Agreement, to the extent so provided in the JQH Hotel Portfolio Intercreditor Agreement) due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof (and, after the JQH Hotel Portfolio Servicing Transfer Event, in connection with the JQH Hotel Portfolio Mortgage Loan, the BACM 2007-3 Trust for all interest on servicing advances reimbursed by the BACM 2007-3 Trust to any party under the BACM 2007-3 Pooling Agreement, which resulted in an additional trust fund expense for the BACM 2007-3 Trust, to the extent so provided in the JQH Hotel Portfolio Intercreditor Agreement with respect to the JQH Hotel Portfolio Mortgage Loan) and (iii) the Trust Fund for costs of all additional Trust Fund expenses (including Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges (other than with respect to the JQH Hotel Portfolio Mortgage Loan after the JQH Hotel Portfolio Servicing Transfer Event, which shall be payable as additional servicing compensation under the BACM 2007-3 Pooling Agreement) remaining thereafter shall be distributed to the Master Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent actually collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan. Notwithstanding the foregoing, Penalty Charges with respect to any subordinate Companion Loan will be allocated pursuant to the applicable Intercreditor Agreement after payment of all related Advances and interest thereon. Notwithstanding the foregoing, but subject to the terms of any related Intercreditor Agreement, with respect to any Serviced Whole Loan Remittance Date, any and all Penalty Charges that are actually collected on the related Serviced Whole Loan since the prior related Serviced Whole Loan Remittance Date, shall be applied for the following purposes and in the fol
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2007-Ldp11), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2007-Ldp11)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating with respect to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) and any Serviced Companion Loan in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by defeasance fees actually collected during the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor Collection Period in connection with the defeasance of a Mortgage Loan (other than a Non-or Serviced Mortgage Whole Loan) and any related Serviced Companion Loan , if applicable (provided, howeverthat for the avoidance of doubt, that 50% of the portion of any Excess such defeasance fee shall not include any Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing with respect to any Major Decisions or approval of the Special Servicer is required under clause Decisions); (xiiiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (ivx) 10050% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant Excess Modification Fees actually collected during the related Collection Period related to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including and any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, paid in connection with a consent, loan service transaction and earnout fees and approval or other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided action that such transaction qualifies as is a Major Decision or Special Servicer Decision (in each case, regardless of who processes such consent, approval or other action) and (viy) 50100% of any fees Excess Modification Fees actually collected during the related Collection Period related to Non-Specially Serviced Loans (and any related Serviced Companion Loan) and paid in connection with a consent, approval or other action that does not involve a Major Decision or Special Servicer Decision on a nonDecision; (iii) (x) 100% of assumption fees, waiver fees, earnout fees and other similar fees collected during the related Collection Period with respect to Non-Specially Serviced Loan Loans (and any related Serviced Companion Loan) in connection with a consent, approval or other than action that does not involve a Major Decision or a Special Servicer Decision, and (y) 50% of assumption fees, waiver fees, earnout fees or other similar fees and other similar items collected during the related Collection Period with respect to Non-Specially Serviced Loans (and any related Serviced Companion Loan) in connection with a consent, approval or other action that is a Major Decision or a Special Servicer Decision (in each case, regardless of who processes such consent, approval or other action); (iv) 100% of assumption application fees, defeasance fees, liquidation fees, workout fees and other similar fees collected during the related Collection Period with respect to serviced Mortgage Loans (and any other fees separately addressed herein). In addition, related Serviced Companion Loan) for which the Master Servicer shall be entitled to charge is processing the underlying assumption transaction (whether or not consent of the Special Servicer is required); (v) (x) 100% of consent fees on Non-Specially Serviced Loans (and retain as additional servicing compensation any related Serviced Companion Loan) in connection with a consent that does not involve a Major Decision or a Special Servicer Decision, and (y) 50% of consent fees and other than similar fees on Non-Specially Serviced Loans (and any related Serviced Companion Loan) in connection with a consent that is a Major Decision or a Special Servicer Decision (in each case, regardless of who processes such consent, approval or other action); (vi) with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared accounts held by the Master Servicer, any and all amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer on all Mortgage Loans and any Serviced Companion Loan and reasonable review fees and loan service transaction fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), ; (ii) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagors to the extent such items are prepared by the master servicer; (iii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or Investment Accounts maintained by the Companion Distribution Account Master Servicer, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account for each Collection Period and, further, in the period from and including case of the prior Distribution Date to and including the P&I Advance Date related Servicing Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are is not required by applicable law or the related Mortgage Loan to be paid to any Mortgagor under applicable law or under the Mortgagor, related Mortgage Loan) and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan Loan, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein The Master Servicer shall be entitled to charge and collect customary fees in connection with any review or consent granted under this Agreement. Such fees may include, but are not limited to, a review fee or an expedited processing fee, which may be retained by the contraryMaster Servicer; provided, however, that such fees shall not be deemed a substitute for or in lieu of any fee that is to be split between the Special Servicer and the Master Servicer in accordance with the allocations set forth in Section 3.11 of this Agreement. All fees shall be consistent with the Servicing Standard. With respect to any of the preceding fees as to which both the Master Servicer and the Special Servicer are entitled to receive a portion thereof (other than a split fee with respect to Penalty Charges), the Master Servicer and the Special Servicer shall each have the right, but not any obligation, to reduce or elect not to charge or waive only its respective portion of such fee; provided that (A) neither the Master Servicer nor the Special Servicer shall have the right to reduce or elect not to charge or waive the portion of any such fee due to the other and (B) to the extent either the Master Servicer or the Special Servicer exercises its right to reduce or elect not to charge or waive its respective portion in any such fee, the party that reduced, waived or elected not to charge its respective portion of such fee shall not have any right to share in any part of the other party’s portion of such fee. If the Master ▇▇▇▇▇▇▇▇ decides not to charge any fee (other than with respect to Penalty Charges), the Special Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and retain reasonable review fees the Master Servicer shall not be entitled to any of such fee charged by the Special Servicer. For the avoidance of doubt, the Special Servicer may, in connection with a workout or other modification of a Mortgage Loan and without consent of the Master Servicer, waive any Mortgagor request or all related Penalty Charges, regardless of who is entitled to receive such payments as compensation. If the Special Servicer has partially waived Penalty Charges (part of which accrued prior to the extent related Servicing Transfer Event), any collections in respect of such fees are (i) not prohibited under Penalty Charge shall be shared pro rata by the related Mortgage Loan documents, (ii) not charged in lieu Master Servicer and the Special Servicer based on the respective portions of any fee that is such Penalty Charges to which each would otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagorhave been entitled. Notwithstanding anything herein to the contrary, Midland Loan ServicesTrimont LLC, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National AssociationTrimont LLC, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-market rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the any Transferable Servicing Interest to the holder of the such Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, Trimont LLC as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees actually collected during the related Collection Period with respect to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are or any successor REO Loan; (ii) 50% of Excess Modification Fees collected during the related Collection Period with respect to Non-Specially Serviced LoansLoans (and any related Serviced Companion Loan) in connection with a consent, provided approval or other action that such transaction qualifies as is a Major Decision or a Special Servicer Decision and (Bin each case, regardless of who processes such consent, approval or other action); (iii)(x) 0100% of all assumption fees, consent waiver fees, earnout fees and earnout other similar fees received collected during the related Collection Period with respect to all Mortgage Specially Serviced Loans (other than Non-Serviced Mortgage Loans, but including and any related Serviced Pari Passu Companion Loan(s), Loan to the extent not prohibited by the related Intercreditor Agreement) and (y) 50% of assumption fees, waiver fees and earnout fees and other similar items collected during the related Collection Period with respect to Non-Specially Serviced Loans (and any related Serviced Companion Loan) in connection with a consent, approval or other action that is a Major Decision or a Special Servicer Decision (in each case, regardless of who processes such consent, approval or other action); (iv) 100% of assumption application fees and other similar fees collected during the related Collection Period with respect to Mortgage Loans (and any related Serviced Companion Loan, if applicable) for which the Special Servicer is processing the underlying assumption transaction; (v)(x) 100% of consent fees on Specially Serviced Loans (and any related Serviced Companion Loan) in connection with a consent that involves no modification, waiver or amendment of the terms of any Mortgage Loan (or Serviced Companion Loan, as applicable), or that are Mortgages Loans that are not Specially Serviced LoansLoans in connection with a consent that involves no modification, provided waiver or amendment of the terms of any Mortgage Loan (or Serviced Companion Loan, as applicable) that is a Special Servicer Decision processed by the Special Servicer and (y) 50% of consent fees on Non-Specially Serviced Loans (and any related Serviced Companion Loan) in connection with a consent that involves no modification, waiver or amendment of the terms of any Mortgage Loan (or Serviced Companion Loan, as applicable) and is paid in connection with a consent that involves a Major Decision or a Special Servicer Decision (in each case, regardless of who processes such transaction qualifies as a Master Servicer Decisionconsent, approval or other action); (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor Mortgagors to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (Benchmark 2025-V16 Mortgage Trust), Pooling and Servicing Agreement (BBCMS Mortgage Trust 2025-5c34)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Mortgage Loans, the Master Owner shall pay the Servicer the applicable Servicing Fee and Other Fees the Servicer is entitled to each month. The obligation of the Owner to pay the Servicing Fee and Other Fees with regard to the Mortgage Loans shall be irrespective of Monthly Payments collected by the Servicer on the Mortgage Loans (but this shall not be construed to limit the effect of any provision hereof, including Exhibit 9, for the calculation of any fee by reference to one or more specified amounts collected on or in respect of the Mortgage Loans). Notwithstanding anything in this Agreement to the contrary, the Servicer shall not be entitled to collect more than one of any of the following Other Fees within any twelve month period: Liquidation Fee, Reperformance Fee and Modification Fee. The Servicer shall deliver to the Owner on the tenth (10th) calendar day of each month or, if the 10th day is not a Business Day, the next succeeding Business Day, an invoice setting forth the Servicing Fees and Other Fees, including accrued and unpaid Servicing Fees and Other Fees, with respect to the Mortgage Loans serviced by the Servicer during the preceding calendar month, and the Owner shall pay such invoice via wire transfer (in accordance with written instructions to be provided by the Servicer) no later than the last day of the calendar month in which such invoice was delivered. With respect to amounts due to the Servicer that remain unpaid after the Remittance Date pursuant to this Section, interest shall accrue at an annual rate equal to the Prime Rate, adjusted as of the date of each change, plus one percentage point, but in no event greater than the maximum amount permitted by applicable law. Such interest shall accrue from and including the day following the Business Day on which such payment was due to and including the Business Day when such payment is made and shall be payable on the date when such payment is so made. The Servicer shall be entitled to receive the Servicing Fee with respect deduct such unpaid amounts due to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed Servicer on the basis of Remittance Date following the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided Remittance Date that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent amounts were due if Owner has not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)already made payment. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional Additional servicing compensation in the form of: (i) Penalty Charges to of Ancillary Income shall be retained by the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicer. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor thereof except as expressly specifically provided in this Agreementfor herein. Notwithstanding anything herein set forth in this section related to the contraryAncillary Income, the Master Servicer shall not collect from the Mortgagor, pass through as an advance or as a liquidation expense any charges other than bona fide fees, which fees must be in compliance with local law. Servicer cannot add on a processing, or review fee or any additional fee, ▇▇▇▇ up or otherwise directly make a profit on or from services or activities rendered by a third party or affiliate (examples include but not limited to: letters and notices, force placed insurance, BPOs, appraisals, inspections, property preservation costs). The Servicer may collect any third party fees which are charged in accordance with Accepted Servicing Practices. In no event shall Servicer retain the Prepayment Penalties. In the event of a dispute arising from any act or omission by the Servicer or the Owner hereunder during the course of this Agreement, the Servicer and the Special Owner shall use reasonable efforts to cooperate with each other in good faith to resolve such dispute within a time period that is reasonable under the circumstances surrounding the dispute. Except in the case of a monetary error, the Owner and the Servicer shall use reasonable efforts to cooperate with each other in good faith to resolve the dispute within thirty (30) days of a formal notice from either party. In the case of a monetary error, the party holding the amounts due the other party shall use reasonable efforts to submit the amount in error within ten (10) Business Days following the discovery of the error. With respect to amounts due a party after the tenth (10th) Business Day following the discovery of the error, interest shall be entitled to charge and retain reasonable review fees in connection with any Mortgagor request accrue on such late payment at an annual rate equal to the extent federal funds rate as is publicly announced from time to time, plus three hundred basis points (3.00%), but in no event greater than the maximum amount permitted by applicable law. Such interest shall accrue from and including the day following the Business Day on which such fees are (i) not prohibited under payment was due to and including the related Mortgage Loan documents, (ii) not charged in lieu of any fee that Business Day when such late payment is otherwise to made and shall be split between payable on the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagordate when such late payment is so made. Notwithstanding anything herein to the contrarycontrary contained herein, Midland Loan Servicesupon the written request (a “Fee Negotiation Request”) of the Owner or the Servicer following a determination by the Owner or the Servicer that the rates of compensation payable to the Servicer hereunder differ materially from market rates of compensation for services comparable to those provided hereunder, which request includes a Division proposal for revised rates of PNC Bankcompensation hereunder, National Association may, at its option, assign or pledge the parties hereto shall negotiate in good faith to any third party or retain amend the provisions of this Agreement relating to the compensation of the Servicer in order to cause such compensation to be materially consistent with market rates of compensation for itself the Transferable Servicing Interest with respect services comparable to any Mortgage Loan and any Serviced Companion Loan those provided hereunder (and any successor REO Loana “Fee Amendment”); provided, however, that in no such request shall be made until the event second anniversary of the effective date of this Agreement, after which time each party may make such request (i) once with respect to fees to be paid during the remainder of the Initial Term, which request shall be made prior to the expiration of the Initial Term, and (ii) once with respect to fees to be paid during any resignation Automatic Renewal Term, which request shall be made at least 210 days prior to the start of such Automatic Renewal Term. If the parties are unable to reach agreement on the terms of a Fee Amendment within thirty (30) days of the date of delivery of the relevant Fee Negotiation Request, then the terms of such Fee Amendment shall be determined by final and binding arbitration as described below. All disputes, differences and controversies of the Owner or termination of Midland Loan Servicesthe Servicer relating to a Fee Amendment (individually, a Division of PNC Bank“Dispute” and, National Associationcollectively, as the Master Servicer, all or any portion of the Transferable Servicing Interest may “Disputes”) shall be reduced resolved by final and binding arbitration administered by the Trustee to the extent reasonably necessary American Arbitration Association (in the sole discretion of the Trustee“AAA”) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rateunder its Commercial Arbitration Rules, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms following provisions:
(a) Following the delivery of this Agreement a written demand for arbitration by either the Owner or the Servicer, each party shall choose one (1) arbitrator within ten (10) Business Days after the date of such written demand and the two chosen arbitrators shall mutually, within ten (10) Business Days after selection select a third (3rd) arbitrator (each, an “Arbitrator” and together, the “Arbitrators”), each of whom shall be a retired judge selected from a roster of arbitrators provided by the AAA. If the third (3rd) Arbitrator is not selected within fifteen (15) Business Days after delivery of the written demand for arbitration (or such reduction. The Master other time period as the Owner and the Servicer may agree), the Owner and the Servicer shall pay promptly request that the Transferable Servicing Interest to the holder commercial panel of the Transferable Servicing Interest at AAA select an independent Arbitrator meeting such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicercriteria.
(b) As compensation for its activities hereunderThe rules of arbitration shall be the Commercial Rules of the American Arbitration Association; provided, however, that notwithstanding any provisions of the Commercial Arbitration Rules to the contrary, unless otherwise mutually agreed to by the Owner and the Servicer, the Special Servicer sole discovery available to each party shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The its right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer conduct up to two (2) non-expert depositions of all no more than three (3) hours of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loantestimony each.
(c) The Special Arbitrators shall render a decision by majority decision within three (3) months after the date of appointment, unless the Owner and the Servicer agree to extend such time. The decision shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in final and binding upon the form of (i) (A) 100% of all Excess Modification Fees related to modificationsOwner and the Servicer; provided, waivershowever, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision decision shall not restrict either the Owner or a Special the Servicer Decision, and from terminating this Agreement pursuant to the terms hereof.
(Cd) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely Each party shall pay its own expenses in connection with the resolution of Disputes, including attorneys’ fees, unless determined otherwise by the Arbitrator.
(e) The Owner and the Servicer agree that the existence, conduct and content of any modificationarbitration pursuant to this Section 7.01 shall be kept confidential and neither the Owner nor the Servicer shall disclose to any Person any information about such arbitration, waiver, amendment or consent executed except in connection with a defeasance transaction for which the consent, processing such arbitration or approval of the Special Servicer is as may be required (and specifically excluding by law or by any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer regulatory authority (or directly from the related Mortgagor) to the extent any exchange on which such fees party’s securities are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(alisted) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servifor financial reporting purposes in such party’s financial statements.
Appears in 2 contracts
Sources: Flow Servicing Agreement (PennyMac Mortgage Investment Trust), Flow Servicing Agreement (Pennymac Financial Services, Inc.)
Servicing Compensation. Interest on Servicing Advances; Payment of Certain Expenses; Obligations of the Trustee Regarding Back-up Servicing Advances.
(a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including, without limitation, each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the applicable Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, same principal amount and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period number of days respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed under the terms of the related Mortgage Note (as such terms may be changed or modified at any time following the Closing Date) and applicable law, and without giving effect to any Additional Interest that may accrue on any Hyper-Amortization Loan after its Anticipated Repayment Date. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds or Liquidation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer under this Agreement or except as provided in accordance with the terms hereofSection 3.22(d). With respect The Master Servicer shall, monthly out of its Master Servicing Fee, pay to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to any Sub-Servicer retained by the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion LoanSub-Servicer's sub-servicing fee (including, subject without limitation, any Primary Servicing Fee, if applicable), to the terms of extent such Sub-Servicer is entitled thereto under the related Intercreditor applicable Sub-Servicing Agreement. .
(b) The Master Servicer shall be entitled to retainreceive as additional servicing compensation:
(i) Default Charges, assumption fees, modification fees, charges for beneficiary statements or demands and shall not be required to deposit in the Collection Account pursuant to Section 3.04(aany similar fees (excluding Prepayment Premiums), additional servicing compensation relating to in each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts case to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of respect to a Mortgage Loan (other than that is not a Non-Specially Serviced Mortgage Loan;
(ii) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or a Mortgagor with respect to any Mortgage Loan;
(iii) any Prepayment Interest Excesses collected on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: Mortgage Loans;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account Certificate Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account the Certificate Account for the period from and including the prior Distribution Date to and including the P&I Advance Date related each Collection Period); and
(v) to the current Distribution Date)extent not required to be paid to any Mortgagor under applicable law or under the related Mortgage, (iii) any interest or other income earned on deposits in its Investment the Servicing Accounts which are not required maintained by applicable law or the Master Servicer; provided that with respect to the items of additional servicing compensation set forth in clauses (i) and (ii) above, the Master Servicer shall, in turn, pay the amounts described therein to the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the NonSub-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period Servicer to the extent not required to be paid as Compensating Interest Paymentssuch Sub-Servicer is entitled thereto under the applicable Sub-Servicing Agreement. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers Servicer retained by it and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, same principal amount and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period number of days respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed under the terms of the related Mortgage Note (as such terms may be modified at any time following the Closing Date) and applicable law, and without giving effect to any Additional Interest that may accrue on any Hyper-Amortization Loan after its Anticipated Repayment Date. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special ServiSpecially
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (Banc of America Commercial Mortgage Inc), Pooling and Servicing Agreement (Banc of America Commercial Mortgage Inc)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Trust Companion Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan, REO Loan and REO the Trust Companion Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Trust Companion Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan, REO Loan or REO Trust Companion Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan, Companion Loan or Trust Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan, REO Loan or REO Trust Companion Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan, the Trust Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan, Trust Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. In the event that the Senior Trust Advisor exercises its right to resign in the case where the only Mortgage Loans remaining in the Trust are either of the Mortgage Loans identified as “U-Haul Self Storage” or “Mercy Health Building” on the Mortgage Loan Schedule pursuant to Section 3.31(r) hereto, any Senior Trust Advisor Fee payable on the next Distribution Date and each subsequent Distribution Date shall be payable to the Master Servicer. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan or the Trust Companion Loan, as applicable, to the extent not prohibited by the related Intercreditor Agreement), ; provided that with respect to such transactions are transactions, the consent of, and/or processing by, the Special Servicer is not required to take such action and, in the event that the Special Servicer’s consent and/or processing is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan or Trust Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any all defeasance fees), must be paid by the Master Servicer to the Special Servicer), ; (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan or the Trust Companion Loan, as applicable, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisions, actions and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan or the Trust Companion Loan, as applicable, to the extent not prohibited by the related Intercreditor Agreement)) for which the Special Servicer’s processing, provided consent or approval is required and only to the extent that such transaction qualifies as a Major Decision or Special Servicer Decision all amounts then due and (vi) 50% of any fees payable with respect to the related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan or the Trust Companion Loan, as applicable, during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and assumption fees and other similar items related fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees fees, pursuant to Section 3.08 and Section 3.18, 3.20 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, and (v) (Aiv) 50% of all waiver fees, Excess Modification Fees and assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and 50% of all earnout fees received in each case with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s)Loan or the Trust Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loansand, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of in all assumption feescases, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s processing, (vii) 50% of any fees related to a Major Decision consent or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application feesapproval is required, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Corrected Mortgage Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan (including any related Serviced Companion Loan) to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan or the Trust Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had determined to grant a forbearance or cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mo
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C23), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C22)
Servicing Compensation. (a) As compensation for its activities hereunder, the each Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Loans) that it is responsible for servicing hereunder. As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). 3.05
(a) Except as set forth in the following sentence, the fourth third paragraph of this Section 3.11(a), Section 6.03, Section 6.05 ) and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the applicable Master Servicer’s 's duties and obligations hereunder to a successor master servicer in accordance with the terms hereofof this Agreement). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Each Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection its Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(e), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and 50% of all application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiverextension, consentearnout, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the each Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection its Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the each Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection its Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including to, but excluding, the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest PaymentsPayments as determined on a Servicing Group basis. The Each Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection its Certificate Account and the such Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related MortgagorNo. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, 1 may at its option, option assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.05 6.04 and who requires market-market rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer No. 1 shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer No. 1 is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer No. 1 hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan; provided, however, no Special Servicing Fee will accrue on the Jordan Creek Loan (other than a Non-Serviced Mortgage Pair or the Brookdale Office Portfolio Loan and any REO Pair solely due to an imminent event of default on the related Loan relating to a Non-Serviced Mortgaged Property)Pair. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and all defeasance fees, in each case, received on any Specially Serviced LoansMortgage Loans to the extent such fees are paid by the Mortgagor, (Bii) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any all assumption, extension, material modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 3.08(a) and Section 3.18, 3.08(b) or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the applicable Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection applicable Certificate Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan (other than with respect to the Jordan Creek Loan Pair, the Brookdale Office Portfolio Loan Pair or the Houston Galleria Whole Loan if such loan was a Specially Serviced Mortgage Loan as a result of a Servicing Transfer Event under clause (x) of the definition thereof that did not result in an actual (as opposed to imminent) Event of Default) at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the period (including any extension thereof) provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan, within the first 90 days after the Special Servicer's initial determination of the fair value of such Specially Serviced Mortgage Loan, by the Majority Controlling Class Certificateholder or the Special Servicer, the purchase of any Specially Serviced Mortgage Loan by the applicable Master Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any subordinate Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent the funds are received by the Special Servicersuch Intercreditor Agreement is silent, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the applicable Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicers or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the applicable Master Servicer or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the applicable Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (including Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges remaining thereafter shall be distributed to the applicable Master Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent actually collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan. Notwithstanding the foregoing, Penalty Charges with respect to any subordinate Companion Loan will be allocated pursuant to the applicable Intercreditor Agreement after payment of all related Advances and interest thereon.
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (JPMorgan Chase Commercial Mortgage Securities Corp. Series 2005-Ldp5), Pooling and Servicing Agreement (JPMorgan Chase Commercial Mortgage Securities Corp. Series 2005-Ldp5)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof, except that if such Mortgage Loan asset is part of a Serviced the Grace Building Whole Loan and such Serviced the Grace Building Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s 's duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(e), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), Mortgage Loan have been paid; provided that notwithstanding the foregoing, with respect to each Mortgage Loan set forth on Schedule 3, the percentage of the fees to be paid to the Servicer with respect to assumptions shall be as set forth on such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)Schedule 3. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Certificate Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(dsubsection (d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Certificate Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsDue Period. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any successor REO Loan relating to a Non-Serviced Mortgaged PropertyLoan). As to each Specially Serviced Mortgage Loan and REO Loan (other than any successor REO Loan), the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with to the provisions of extent permitted by Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and defeasance fees, in each case, received on any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage successor REO Loan) to the extent such fees are paid by the Mortgagor and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 3.08(a) and 3.08(b) or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a); provided that, notwithstanding the foregoing, with respect to each Mortgage Loan set forth on Schedule 3, the percentage of the fees to be paid to the Special Servicer with respect to assumptions shall be as set forth on such Schedule 3. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master Servicer exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, insurance and condemnation proceeds). Notwithstanding anything to the extent contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the funds repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the 90-day period or such other additional period provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan by the Majority Controlling Class Certificateholder, the Servicer or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received by with respect to any Corrected Mortgage Loan and the Special ServicerServicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan (other than the Grace Building Mortgage Loan) since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Servicer, the Special Servicer, the Fiscal Agent or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Servicer, the Special Servicer, the Fiscal Agent or the Trustee pursuant to Section 3.05(a)(vi) hereof with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (other than Special Servicing Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges remaining thereafter shall be distributed to the Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan. Notwithstanding the foregoing, with respect to any Grace Building Remittance Date, any and all Penalty Charges that are actually collected on the Grace Building Whole Loan since the prior Grace Building Remittance Date, shall be applied for the following purposes and in the following order, in each case to the extent of the remaining portion of such Penalty Charges: first, toward the payment of or reimbursement for accrued and unpaid interest on (i) any presently outstanding Servicing Advances made with respect to the Grace Building Whole Loan to the extent that the advance interest would be paid from a source other than (to the extent permitted by the Grace Building Co-Lender Agreement) amounts otherwise allocable on the Grace Building B Notes, and (ii) any previously paid Servicing Advances made with respect to the Grace Building Whole Loan to the extent that the advance interest has been paid from a source other than Penalty Charges and (to the extent permitted by the Grace Building Co-Lender Agreement) amounts otherwise allocable on the Grace Building B Note; second, toward the payment of or reimbursement for accrued and unpaid interest on (i) any presently outstanding principal and interest advances (including P&I Advances hereunder and any advances comparable to P&I Advances made under a securitization agreement governing a Grace Building Companion Note) made with respect to the Grace Building Mortgage Loan and/or the Grace Building Senior Companion Notes, to the extent that the advance interest would be paid from a source other (to the extent permitted by the Grace Building Co-Lender Agreement) amounts otherwise allocable on the Grace Building B Notes, and (ii) any previously paid principal and interest advances (including P&I Advances hereunder and any advances comparable to P&I Advances made under a securitization agreement governing a Grace Building Senior Companion Note) made with respect to the Grace Building Mortgage Loan and/or the Grace Building Senior Companion Notes, to the extent that the advance interest has been paid from a source other than Penalty Charges and (to the extent permitted by the Grace Building Co-Lender Agreement) amounts otherwise allocable on the Grace Building B Notes; third, toward the payment of or reimbursement for (i) any presently outstanding Co-Lender Expenses (as defined under the Grace Building Co-Lender Agreement), other than Special Servicing Fees, to the extent that the expense would be paid from a source other than (to the extent permitted by the Grace Building Co-Lender Agreement) amounts otherwise allocable on the Grace Building B Notes, and (ii) any previously paid Co-Lender Expenses (as defined under the Grace Building Co-Lender Agreement), other than Special Servicing Fees, to the extent that the expense has been paid from a source other than Penalty Charges and (to the extent permitted by the Grace Building Co-Lender Agreement) amounts otherwise allocable on the Grace Building B Note; and fourth, to pay any remaining portion of such Penalty Charges with respect to the Grace Building Whole Loan as additional servicing compensation to the Servicer, to the extent received, if and to the extent collected wh
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Corp. Commercial Mortgage Pass-Through Certificates, Series 2004-C2), Pooling and Servicing Agreement (J.P.Morgan Chase Commercial Mortgage Securities Series 2004-Cibc9)
Servicing Compensation. (a) As compensation for its activities hereunder, the each Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan (to the extent permitted in the related Intercreditor Agreement) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Loans) that it is responsible for servicing hereunder. As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Loan or Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan, Companion Loan or Companion REO Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof, except that if such Mortgage Loan asset is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable by the holder thereof as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). 3.05
(a) Except as set forth in the following sentence, the fourth third paragraph of this Section 3.11(a), Section 6.03Sections 6.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof)part. With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Each Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection its Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a the Non-Serviced Mortgage LoanLoans) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees on transactions made pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, Section 3.08(e) with respect to the extent not prohibited by the related Intercreditor Agreement)Mortgage Loans that such Master Servicer is responsible for servicing, provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and 50% of all application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer that it is processing the underlying transaction (whether or not the consent of the Special Servicer is required), responsible for servicing and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) on transactions made pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loanthat it is responsible for servicing, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the each Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any the Non-Serviced Mortgage Loan or Specially Serviced LoanLoans) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection its Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) ); provided, the applicable Master Servicer shall not be entitled to any charge or Section 3.04(b)fees for defeasances, respectivelyreleases or assumptions received on the Non-Serviced Mortgage Loans. Subject to Section 3.11(d), the each Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection its Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Each Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection its Certificate Account and the such Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related MortgagorNo. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, 1 may at its option, option assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer Master Servicer (which successor may include the Co-Trustee) that meets the requirements of Section 6.05 6.04 and who requires market-market rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer No. 1 shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer No. 1 is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer No. 1 hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a the Non-Serviced Mortgage Loan Loans and any successor REO Loan relating to a Non-Serviced Mortgaged PropertyLoan). As to each Specially Serviced Mortgage Loan and REO Loan (other than the Non-Serviced Mortgage Loans and any successor REO Loan), the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a the Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion LoanLoans.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and defeasance fees, in each case, received on any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than the Non-Serviced Mortgage LoansLoans and any successor REO Loan) and Serviced Companion Loans that to the extent such fees are paid by the Mortgagor, (ii) 50% of all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees on transactions made pursuant to Section 3.08 3.08(a) and Section 3.18, 3.08(b) or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the applicable Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection applicable Certificate Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to the Non-Serviced Mortgage Loans. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than the Non-Serviced Mortgage Loans) or REO Property as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds as set forth in the proviso to the definition of "Liquidation Fee." If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any subordinate Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed only if permitted, and to the extent provided, in the funds are received by the Special Servicerrelated Intercreditor Agreement. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the applicable Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicers or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the applicable Master Servicer or the Co-Trustee for interest on Advances on such Mortgage Loan (and, in connection with any Non-Serviced Mortgage Loan, the related master servicer, special servicer or trustee under the related Non-Serviced Pooling Agreement for interest on the Servicing Advances made by any such party with respect to the related Whole Loan pursuant to the related Non-Serviced Pooling Agreement, to the extent so provided in the related Intercreditor Agreement) due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the applicable Master Servicer or the Co-Trustee pursuant to Section 3.05(a)(vi) hereof (and, in connection with the Skyline Portfolio Mortgage Loan or the Solana Mortgage Loan, the BACM 2007-1 Trust for all interest on Servicing Advances reimbursed by the BACM 2007-1 Trust to any party under the BACM 2007-1 Pooling Agreement, which resulted in an additional trust fund expense for the BACM 2007-1 Trust, to the extent so provided in the Skyline Portfolio Intercreditor Agreement or the Solana Intercreditor Agreement, as applicable, and, in connection with the Americold Pool 2 Mortgage Loan, the JPMCC 2007-CIBC18 Trust for all interest on Servicing Advances reimbursed by the JPMCC 2007-CIBC18 Trust to any party under the JPMCC 2007-CIBC18 Pooling Agreement, which resulted in an additional trust fund expense for the JPMCC 2007-CIBC18 Trust, to the extent so provided in the Americold Pool 2 Intercreditor Agreement) with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (including Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges (other than with respect to the Non-Serviced Mortgage Loans, which shall be payable as additional servicing compensation under the applicable Non-Serviced Pooling Agreement) remaining thereafter shall be distributed to the applicable Master Servicer, if and to the extent collected while the Mortgage Loan was
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2007-Ldp10), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2007-Ldp10)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and 100% of all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision ) for which the Special Servicer’s consent or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision approval is required on a nonthe Non-Specially Serviced Mortgage Loans and only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees fees, pursuant to Section 3.08 and Section 3.18, 3.20 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, and (v) (Aiv) 50% of all waiver fees, Excess Modification Fees and assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and 50% of all earnout fees received in each case with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s)Loan, to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loansand, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of in all assumption feescases, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Corrected Mortgage Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan (including any related Serviced Companion Loan) to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had determined to grant a forbearance or cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. T
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C22), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C21)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSALoans). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such the Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a the Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement)Mortgage Loans, provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement)Mortgage Loans, provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any the Non-Specially Serviced Mortgage Loan Loans for which the Special Servicer’s consent or approval is required on the Non-Specially Serviced Mortgage Loans (other than a Specially with respect to the Non-Serviced Mortgage Loan) (including any related Serviced Companion Loan, and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any the Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption(other than a Non-Serviced Mortgage Loan and any successor REO Loan related transaction, thereto) and (iii) 50% of the portion of any all Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 050% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loansand, but including any related Serviced Pari Passu Companion Loan(s)in all cases, to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the Corrected Mortgage Loan that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on the related Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Companion Loan since the prior Distribution Date shall be applied (in such
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2012-Lc9), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2012-Lc9)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Mortgage Loans, the Master Owner shall pay the Servicer the applicable Servicing Fee and Other Fees the Servicer is entitled to each month. The obligation of the Owner to pay the Servicing Fee and Other Fees with regard to the Mortgage Loans shall be irrespective of Monthly Payments collected by the Servicer on the Mortgage Loans (but this shall not be construed to limit the effect of any provision hereof, including Exhibit 9, for the calculation of any fee by reference to one or more specified amounts collected on or in respect of the Mortgage Loans). The Servicer shall deliver to the Owner on the tenth (10th) calendar day of each month or, if the 10th day is not a Business Day, the next succeeding Business Day, an invoice setting forth the Servicing Fees and Other Fees, including accrued and unpaid Servicing Fees and Other Fees, with respect to the Mortgage Loans serviced by the Servicer during the preceding calendar month, and the Owner shall pay such invoice via wire transfer (in accordance with written instructions to be provided by the Servicer) no later than the last day of the calendar month in which such invoice was delivered. With respect to amounts due to the Servicer that remain unpaid after the Remittance Date pursuant to this Section, interest shall accrue at an annual rate equal to the Prime Rate, adjusted as of the date of each change, plus one percentage point, but in no event greater than the maximum amount permitted by applicable law. Such interest shall accrue from and including the day following the Business Day on which such payment was due to and including the Business Day when such payment is made and shall be payable on the date when such payment is so made. The Servicer shall be entitled to receive the Servicing Fee with respect deduct such unpaid amounts due to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed Servicer on the basis of Remittance Date following the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided Remittance Date that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent amounts were due if Owner has not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)already made payment. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional Additional servicing compensation in the form of: (i) Penalty Charges to of Ancillary Income shall be retained by the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicer. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor thereof except as expressly specifically provided in this Agreementfor herein. Notwithstanding anything herein set forth in this section related to the contraryAncillary Income, the Master Servicer shall not collect from the Mortgagor, pass through as an advance or as a liquidation expense any charges other than bona fide fees, which fees must be in compliance with local law. Servicer cannot add on a processing, or review fee or any additional fee, mark up or otherwise directly make a profit on or from services or activities rendered by a third party or affiliate (examples include but not limited to: letters and notices, force placed insurance, BPOs, appraisals, inspections, property preservation costs). The Servicer may collect any third party fees which are charged in accordance with Accepted Servicing Practices. In no event shall Servicer retain the Prepayment Penalties. In the event of a dispute arising from any act or omission by the Servicer or the Owner hereunder during the course of this Agreement, the Servicer and the Special Owner shall use reasonable efforts to cooperate with each other in good faith to resolve such dispute within a time period that is reasonable under the circumstances surrounding the dispute. Except in the case of a monetary error, the Owner and the Servicer shall use reasonable efforts to cooperate with each other in good faith to resolve the dispute within thirty (30) days of a formal notice from either party. In the case of a monetary error, the party holding the amounts due the other party shall use reasonable efforts to submit the amount in error within ten (10) Business Days following the discovery of the error. With respect to amounts due a party after the tenth (10th) Business Day following the discovery of the error, interest shall be entitled to charge and retain reasonable review fees in connection with any Mortgagor request accrue on such late payment at an annual rate equal to the extent federal funds rate as is publicly announced from time to time, plus three hundred basis points (3.00%), but in no event greater than the maximum amount permitted by applicable law. Such interest shall accrue from and including the day following the Business Day on which such fees are (i) not prohibited under payment was due to and including the related Mortgage Loan documents, (ii) not charged in lieu of any fee that Business Day when such late payment is otherwise to made and shall be split between payable on the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagordate when such late payment is so made. Notwithstanding anything herein to the contrarycontrary contained herein, Midland Loan Servicesupon the written request (a “Fee Negotiation Request”) of the Owner or the Servicer following a determination by the Owner or the Servicer that the rates of compensation payable to the Servicer hereunder differ materially from market rates of compensation for services comparable to those provided hereunder, which request includes a Division proposal for revised rates of PNC Bankcompensation hereunder, National Association may, at its option, assign or pledge the parties hereto shall negotiate in good faith to any third party or retain amend the provisions of this Agreement relating to the compensation of the Servicer in order to cause such compensation to be materially consistent with market rates of compensation for itself the Transferable Servicing Interest with respect services comparable to any Mortgage Loan and any Serviced Companion Loan those provided hereunder (and any successor REO Loana “Fee Amendment”); provided, however, that in no such request shall be made until the event second anniversary of the effective date of this Agreement, after which time each party may make such request (i) once with respect to fees to be paid during the remainder of the Initial Term, which request shall be made prior to the expiration of the Initial Term, and (ii) once with respect to fees to be paid during any resignation Automatic Renewal Term, which request shall be made at least 210 days prior to the start of such Automatic Renewal Term. If the parties are unable to reach agreement on the terms of a Fee Amendment within thirty (30) days of the date of delivery of the relevant Fee Negotiation Request, then the terms of such Fee Amendment shall be determined by final and binding arbitration as described below. All disputes, differences and controversies of the Owner or termination of Midland Loan Servicesthe Servicer relating to a Fee Amendment (individually, a Division of PNC Bank“Dispute” and, National Associationcollectively, as the Master Servicer, all or any portion of the Transferable Servicing Interest may “Disputes”) shall be reduced resolved by final and binding arbitration administered by the Trustee to the extent reasonably necessary American Arbitration Association (in the sole discretion of the Trustee“AAA”) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rateunder its Commercial Arbitration Rules, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms following provisions:
(a) Following the delivery of this Agreement a written demand for arbitration by either the Owner or the Servicer, each party shall choose one (1) arbitrator within ten (10) Business Days after the date of such written demand and the two chosen arbitrators shall mutually, within ten (10) Business Days after selection select a third (3rd) arbitrator (each, an “Arbitrator” and together, the “Arbitrators”), each of whom shall be a retired judge selected from a roster of arbitrators provided by the AAA. If the third (3rd) Arbitrator is not selected within fifteen (15) Business Days after delivery of the written demand for arbitration (or such reduction. The Master other time period as the Owner and the Servicer may agree), the Owner and the Servicer shall pay promptly request that the Transferable Servicing Interest to the holder commercial panel of the Transferable Servicing Interest at AAA select an independent Arbitrator meeting such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicercriteria.
(b) As compensation for its activities hereunderThe rules of arbitration shall be the Commercial Rules of the American Arbitration Association; provided, however, that notwithstanding any provisions of the Commercial Arbitration Rules to the contrary, unless otherwise mutually agreed to by the Owner and the Servicer, the Special Servicer sole discovery available to each party shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The its right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer conduct up to two (2) non-expert depositions of all no more than three (3) hours of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loantestimony each.
(c) The Special Arbitrators shall render a decision by majority decision within three (3) months after the date of appointment, unless the Owner and the Servicer agree to extend such time. The decision shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in final and binding upon the form of (i) (A) 100% of all Excess Modification Fees related to modificationsOwner and the Servicer; provided, waivershowever, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision decision shall not restrict either the Owner or a Special the Servicer Decision, and from terminating this Agreement pursuant to the terms hereof.
(Cd) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely Each party shall pay its own expenses in connection with the resolution of Disputes, including attorneys’ fees, unless determined otherwise by the Arbitrator.
(e) The Owner and the Servicer agree that the existence, conduct and content of any modificationarbitration pursuant to this Section 7.01 shall be kept confidential and neither the Owner nor the Servicer shall disclose to any Person any information about such arbitration, waiver, amendment or consent executed except in connection with a defeasance transaction for which the consent, processing such arbitration or approval of the Special Servicer is as may be required (and specifically excluding by law or by any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer regulatory authority (or directly from the related Mortgagor) to the extent any exchange on which such fees party’s securities are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(alisted) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servifor financial reporting purposes in such party’s financial statements.
Appears in 2 contracts
Sources: Flow Servicing Agreement (PennyMac Mortgage Investment Trust), Flow Servicing Agreement (PennyMac Financial Services, Inc.)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-including each Specially Serviced Companion Mortgage Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)each REO Loan. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or an REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The foregoing sentence notwithstanding, the Master Servicing Fee shall not accrue with respect to any Closing Date Deposit Mortgage Loan for the interest accrual period to which the Closing Date Deposit relates. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or any REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, monthly on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or any REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a)(iii) or Section 3.05(e), as applicable, and in the case of a Trust Mortgage Loan or a Trust REO Loan, out of such other amounts as may be permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement or the transfer of all or a portion of the Master Servicer's right to receive the Excess Servicing Strip. Notwithstanding anything herein to the contrary, Midland (and its successors and assigns) may at its option assign or pledge to any third party or retain for itself the Excess Servicing Strip (in any event, in whole as to the entire Mortgage Pool but not in part); provided that any assignee or pledgee of the Excess Servicing Strip must be a successor servicer Qualified Institutional Buyer or Institutional Accredited Investor (other than a Plan); and provided, further, that no transfer, sale, pledge or other assignment of the Excess Servicing Strip shall be made unless that transfer, sale, pledge or other assignment is exempt from the registration and/or qualification requirements of the Securities Act and any applicable state securities laws and is otherwise made in accordance with the terms hereof). With Securities Act and such state securities laws; and provided, further, that in the event of any resignation or termination of Midland in its capacity as the Master Servicer, all or any portion of the Excess Servicing Strip may be reduced by the Trustee through a reduction in the Excess Servicing Strip Rate with respect to one or more Mortgage Loans and REO Loans to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.04 and that requires market rate servicing compensation (including compensation necessary to pay primary servicing fees) that accrues at a per annum rate in excess of the sum of (i) 0.01% (one basis point) per annum, and (ii) with respect to any Mortgage Loan or REO Loan that is not primary serviced by Midland, the primary servicing fee rate, if any, for such Mortgage Loan or REO Loan. Midland and each Serviced Pari Passu Companion holder of the Excess Servicing Strip desiring to effect a transfer, sale, pledge or other assignment of the Excess Servicing Strip shall, and Midland hereby agrees, and each such holder of the Excess Servicing Strip by its acceptance of the Excess Servicing Strip shall be deemed to have agreed, in connection with any transfer of the Excess Servicing Strip effected by such Person, to indemnify the Certificateholders, the Trust, the Depositor, the Underwriters, the Trustee, any Fiscal Agent, the Master Servicer, the Certificate Registrar and the Special Servicer against any liability that may result if such transfer is not exempt from registration and/or qualification under the Securities Act or other applicable federal and state securities laws or is not made in accordance with such federal and state laws or in accordance with the foregoing provisions of this paragraph. By its acceptance of the Excess Servicing Strip, the holder thereof shall be deemed to have agreed (i) to keep all information relating to the Trust and the Trust Fund and made available to it by the Master Servicer confidential (except as permitted pursuant to clause (iii) below or, in the case of the Master Servicer, as contemplated hereby in the performance of its duties and obligations hereunder), (ii) not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificate pursuant to the Securities Act, and (iii) not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such holder's auditors, legal counsel and regulators, except to the extent such disclosure is required by law, court order or other legal requirement or to the extent such information is of public knowledge at the time of disclosure by such holder or has become generally available to the public other than as a result of disclosure by such holder; provided, however, that such holder may provide all or any part of such information to any other Person who is contemplating an acquisition of the Excess Servicing Strip if, and only if, such Person (x) confirms in writing such prospective acquisition and (y) agrees in writing to keep such information confidential, not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificates pursuant to the Securities Act and not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such Persons' auditors, legal counsel and regulators. From time to time following any transfer, sale, pledge or assignment of the Excess Servicing Strip, the Person then acting as the Master Servicer shall pay, out of each amount paid to such Master Servicer as Master Servicing Fees with respect to any Mortgage Loan or REO Loan, as the case may be, the portion of the Excess Servicing Fee shall be payable Strip attributable to such Mortgage Loan or REO Loan to the holder of the Excess Servicing Strip within one Business Day following the payment of such Master Servicing Fees to the Master Servicer from amounts payable Servicer, in respect of each case in accordance with payment instructions provided by such Serviced Pari Passu Companion Loan, subject holder in writing to the terms Master Servicer. The holder of the related Intercreditor AgreementExcess Servicing Strip shall not have any rights under this Agreement except as set forth in the preceding sentences of this paragraph. The Master Servicer shall be entitled pay the Excess Servicing Strip to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form holder of the following amounts to the extent collected from the related Mortgagor: Excess Servicing Strip (ii.e., Midland or any such third party) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that at such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees time and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing entitled to receive payment of its Master Servicing Fees hereunder, notwithstanding any resignation or termination of Midland hereunder (subject to reduction as provided above and in the underlying transaction next paragraph). In the event that Midland is terminated or resigns as Master Servicer, it (whether and its successors and assigns) will be entitled to retain the Excess Servicing Strip, except to the extent that any portion of such Excess Servicing Strip is needed (as determined by the Trustee in its sole discretion) to compensate any replacement Master Servicer for assuming the duties of Midland under this Agreement.
(b) Additional master servicing compensation in the form of:
(i) any and all Default Charges (or portion thereof that is comprised of late payment charges) collected with respect to a Mortgage Loan that is not a Specially Serviced Mortgage Loan, to the extent provided in clause seventh of Section 3.26;
(ii) 50% of any and all assumption application fees, assumption fees, modification fees, extension fees, consent fees, release fees, waiver fees, fees paid in connection with defeasance and earn-out fees actually paid by a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgage Loan (provided, however, that if the consent of the Special Servicer is required), (iii) 100% not required pursuant to the terms of any fee actually paid by a Mortgagor this Agreement in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (providedunderlying servicing action, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, then the Master Servicer shall be entitled to charge and retain as additional servicing compensation receive 100% of such fees;
(other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loaniii) any and all charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and other loan processing fees actually paid by a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgaged Loan and, in the accounts held case of checks returned for insufficient funds, with respect to a Specially Serviced Mortgage Loan;
(iv) any and all Prepayment Interest Excesses collected with respect to a Trust Mortgage Loan, including a Specially Serviced Mortgage Loan (after deduction of the amounts required to be deposited by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or for the Companion related Distribution Account Date pursuant to Section 3.04(a3.19(a) or Section 3.04(bin connection with Prepayment Interest Shortfalls and Casualty/Condemnation Interest Shortfalls), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: ;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or Investment Accounts maintained by the Companion Distribution Account in accordance with Section 3.06(b) Master Servicer (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account for each Collection Period and, further, in the period from and including the prior Distribution Date to and including the P&I Advance Date related case of a Servicing Account or Reserve Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent is not required to be paid to any Mortgagor under applicable law or under the related Mortgage Loan documents); and
(vi) other customary charges; may be retained by the Master Servicer (subject to Section 3.11(e) and are not required to be deposited in the Collection Account; provided that the Master Servicer's right to receive Default Charges pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay, or reimburse the Trust for, interest on Advances, Additional Trust Fund Expenses and property inspection costs in respect of the related Mortgage Loan or REO Loan as Compensating Interest Paymentsprovided in Sections 3.03(d), 3.12(a) and 4.03(d) or as otherwise provided in Section 3.26. Any of the amounts described in clauses (i) through (v) that are collected by the Special Servicer shall be promptly paid to the Master Servicer. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account or, with respect to a Loan Combination, out of the related Loan Combination Custodial Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs with in respect to the related thereof or it becomes a Corrected Mortgage Loan. The Subject to the penultimate paragraph of Section 3.11(c), earned but unpaid Special Servicing Fee Fees shall be payable monthly, monthly out of related Liquidation Proceeds and then general collections on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited REO Properties on deposit in the Collection Account pursuant to Section 3.04(a) or paid by 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan again became a Corrected Mortgage Loan. If the Special Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related Mortgagor had not made three consecutive monthly debt service payments (but had made the most recent monthly debt service payment prior to the Master Servicer to the extent the funds are received by termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making such three consecutive payments. Subject The successor Special Servicer will not be entitled to Section 3.11(d)any portion of those Workout Fees. In addition, subject to the following sentence, the Special ServiServicer shall be entitled to a Principal Recovery Fee with respect to each Specially Serviced Mortgage Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof) for which it obtains a full or discounted payoff from the related Mortgagor, and the Special Servicer shall also be entitled to the Principal Recovery Fee with respect to any Specially Serviced Mortgage Loan or REO Property as to which it receives any Liquidation Proceeds or Insurance Proceeds and allocable as a recovery of principal, interest (other than Additional Interest and Penalty Interest) and expenses in accordance with Section 3.02(b) or the definition of
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (Merrill Lynch Mortgage Trust 2005-McP1), Pooling and Servicing Agreement (Merrill Lynch Mortgage Trust 2005-McP1)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Pari Passu Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and 100% of all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision ) for which the Special Servicer’s consent or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision approval is required on a nonthe Non-Specially Serviced Mortgage Loans and only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees fees, pursuant to Section 3.08 and Section 3.18, 3.20 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, and (v) (Aiv) 50% of all waiver fees, Excess Modification Fees and assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 050% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loansand, but including any related Serviced Pari Passu Companion Loan(s)in all cases, to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the Corrected Mortgage Loan that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had determined to grant a forbearance or cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Pr
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C18), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2013-C17)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and 100% of all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision ) for which the Special Servicer’s consent or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision approval is required on a nonthe Non-Specially Serviced Mortgage Loans and only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees fees, pursuant to Section 3.08 and Section 3.18, 3.20 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, and (v) (Aiv) 50% of all waiver fees, Excess Modification Fees and assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and 50% of all earnout fees received in each case with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s)Loan, to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loansand, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of in all assumption feescases, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) ), to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Corrected Mortgage Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan (including any related Serviced Companion Loan) to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had determined to grant a forbearance or cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges.
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2014-C21), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2014-C20)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced ) and REO Loan. No Master Servicing Fee shall be payable with respect to any Companion Loan and REO Loan (other than unless such fee is expressly set forth in the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Intercreditor Agreement. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to the Non-Serviced Mortgage Loans will be set forth on the Mortgage Loan Schedule. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii) and otherwise as provided in Section 3.05(a)(vii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagorof: (i) 100% of Excess Modification Fees related all late payment charges, Penalty Interest, modification fees for modifications to any modifications, waivers, extensions Mortgage Loans or amendments of any Non-Companion Loans that are not Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Mortgage Loan or on behalf Companion Loan and, with respect to late payment charges and penalty charges, all of the foregoing only to the extent accrued during the time that such Mortgage Loan or Companion Loan was not a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of all assumption application fees (other than for any initial tenant-in-common syndications specifically permitted by and in accordance with the related Mortgage Loan documents for which the Master Servicer shall receive 100% of such assumption application fees) and fifty percent (50%) of any assumption fees or tenant in common loan assumption fees (other than for initial tenant-in-common syndications specifically permitted by and in accordance with the related Mortgage Loan documents for which the Master Servicer shall receive 100% of such assumption fees), in each case to the extent actually paid by a Mortgagor with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and shall are not be required to be deposited in the Certificate Account; provided that the Master Servicer’s right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances as provided in Sections 3.03(d) and 4.03(d) or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) or interest on Advances pursuant to this Section 3.11(b). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan and not previously reimbursed to the Trust Fund, the Master Servicer shall deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related to such Mortgage Loan since the Closing Date for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan incurred since the Closing Date and not previously reimbursed to the Trust Fund. To the extent that the Master Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Master Servicer shall deposit such amounts late payment charges and Penalty Interest in the Collection Account Certificate Account. Penalty Interest or late payment charges in respect of any Mortgage Loan or Companion Loan which has accrued during the period when the related Mortgage Loan or Companion Distribution Account pursuant Loan is not a Specially Serviced Mortgage Loan shall be additional compensation to Section 3.04(a) the Master Servicer even if collected during the period when the related Mortgage Loan or Section 3.04(b), respectivelyCompanion Loan is a Specially Serviced Mortgage Loan. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Interest Reserve Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan or Companion Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and each REO Loan (other than a Nonthe 2007-C30 Serviced Mortgage Loans, the ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ 2007-IQ14 Serviced Mortgage Loan and any the GECMC 2007-C1 Serviced Mortgage Loan and the related REO Loan relating to a Non-Serviced Mortgaged PropertyLoan, if any). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans, Companion Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to the related each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. The Special Servicing As to each Corrected Mortgage Loan, the Workout Fee shall be payable monthlyout of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan or Companion Loan for so long as it remains a loanCorrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer, or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan; provided, that, with respect to any Intercreditor Agreement or any mezzanine intercreditor agreement which expressly excludes payment of a Workout Fee as part of any exercise of a purchase option thereunder, no Workout Fee shall be payable hereunder and instead, to the extent provided in the related Intercreditor Agreement, or any mezzanine intercreditor agreement and herein, a Liquidation Fee shall be payable. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan and, if applicable, Companion Loan again became a Corrected Mortgage Loan. If the Special Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related Mortgagor had not made three consecutive monthly debt service payments (but made the most recent monthly debt service payment prior to the termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making three such consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan (other than the Non-byServiced Mortgage Loans) or Mortgage Loan subject to repurchase by the applicable Mortgage Loan Seller (to the extent such Mortgage Loan was not repurchased within the cure period specified in the related Mortgage Loan Purchase Agreement) (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Liquidation Fee payable out of, and calculated by application of the Liquidation Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues or a full or discounted payoff by the Mortgagor) received in respect of such Mortgage Loan or Companion Loan (or, in the case of an REO Loan (other than the Non-loan basisServiced Mortgage Loans) in respect of the related REO Property) and allocable as a full or partial recovery of principal, interest and expenses in accordance with Section 3.02(b) or the provisions definition of “REO Loan,” as applicable; provided that no Liquidation Fee shall be payable in connection with, or out of (i) Insurance Proceeds and (ii) condemnation proceeds and (iii) Liquidation Proceeds resulting from the purchase of any Mortgage Loan or REO Property by a Mortgage Loan Seller pursuant to the applicable Mortgage Loan Purchase Agreement if purchased within the cure period set forth in Section 3.05(a3(c) of such Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder, the Companion Holder, or the Special Servicer pursuant to Section 3.18(c), Section 3.18(d), Section 3.18(e), Section 3.18(h) or by the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder or the purchasing Certificateholder pursuant to Section 9.01, or any mezzanine lender pursuant to the related mezzanine intercreditor agreement if purchased by the mezzanine lender within 90 days of the related Mortgage Loan becoming a Specially Serviced Mortgage Loan; and (iii) Liquidation Proceeds resulting from the remittance by the related Mortgage Loan Seller pursuant to Section 2.03 (if remitted within the cure period set forth for repurchase in the related Mortgage Loan Purchase Agreement); and provided, further, that no Liquidation Fee shall be payable (i) in connection with a Periodic Payment received in connection with such Mortgage Loan or (ii) to the extent a Workout Fee is payable concerning the Liquidation Proceeds. The Special Servicer’s right to receive the Special Servicing Fee, the Workout Fee and the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit Sections 6.02, 6.04 and 6.09.
(d) Additional servicing compensation in the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder form of: (i) all late payment charges, Penalty Interest received on or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Specially Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole LoanLoans actually collected that, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each late payment charges and penalty charges, accrued during the time that the related Mortgage Loan was a Specially Serviced Mortgage Loan, (ii) one hundred percent (100%) of any assumption application fees and assumption fees with respect to any Specially Serviced Mortgage Loan and fifty percent (50%) of any assumption fees and any assumption application fees (other than with respect to any initial tenant-in-common syndications specifically permitted by and in accordance with the Mortgage Loan documents for which the Master Servicer shall receive 100% of such fees) with respect to such Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Non-Specially Serviced Mortgage Loan, in each case to the extent actually paid by a Mortgagor, and (iii) in the form of (i) (A) 100% of modification fees collected on all Excess Modification Fees related to modifications, waivers, extensions Mortgage Loans or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Companion Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a modifications made by the Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.183.20(i)), or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account Certificate Account; provided that the Special Servicer’s right to receive late payment charges and Penalty Interest pursuant to Section 3.04(aclause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or paid by Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) pursuant to this Section 3.11(d). To the extent the Master Servicer or the Special Servicer to the Master Servicer to the extent the funds are received by the receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicer. Subject to Section 3.11(d)Servicing Fees, the Special ServiWorkout Fees and
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (Wachovia Bank Commercial Mortgage Trust Series 2007-C31), Pooling and Servicing Agreement (Wachovia Bank Commercial Mortgage Trust Series 2007-C31)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-including each Specially Serviced Companion Mortgage Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)each REO Loan. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or an REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or any REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, monthly on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or any REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a)(iii) or Section 3.05(e), as applicable, and in the case of a Trust Mortgage Loan or a Trust REO Loan, out of such other amounts as may be permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement or the transfer of all or a portion of the Master Servicer's right to receive the Excess Servicing Strip. Notwithstanding anything herein to the contrary, KRECM (and its successors and assigns) may at its option assign or pledge to any third party or retain for itself the Excess Servicing Strip (in whole but not in part); provided that any assignee or pledgee of the Excess Servicing Strip must be a successor servicer Qualified Institutional Buyer or Institutional Accredited Investor (other than a Plan); and provided, further, that no transfer, sale, pledge or other assignment of the Excess Servicing Strip shall be made unless that transfer, sale, pledge or other assignment is exempt from the registration and/or qualification requirements of the Securities Act and any applicable state securities laws and is otherwise made in accordance with the terms hereof). With Securities Act and such state securities laws; and provided, further, that in the event of any resignation or termination of KRECM in its capacity as the Master Servicer, all or any portion of the Excess Servicing Strip may be reduced by the Trustee through a reduction in the Excess Servicing Strip Rate with respect to each Serviced Pari Passu Companion one or more Mortgage Loans and REO Loans to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.04 and that requires market rate servicing compensation that accrues at a per annum rate in excess of the sum of the sum of (i) 0.01% (one basis point) per annum, (ii) the primary servicing fee rate, if any, for such Mortgage Loan or REO Loan and (iii) with respect to any Broker Strip Loan, the Broker Strip Rate for such Broker Strip Loan. KRECM and each holder of the Excess Servicing Fee Strip desiring to effect a transfer, sale, pledge or other assignment of the Excess Servicing Strip shall, and KRECM hereby agrees, and each such holder of the Excess Servicing Strip by its acceptance of the Excess Servicing Strip shall be payable deemed to have agreed, in connection with any transfer of the Excess Servicing Strip effected by such Person, to indemnify the Certificateholders, the Trust, the Depositor, the Underwriters, the Trustee, the Master Servicer, the Certificate Registrar and the Special Servicer against any liability that may result if such transfer is not exempt from registration and/or qualification under the Securities Act or other applicable federal and state securities laws or is not made in accordance with such federal and state laws or in accordance with the foregoing provisions of this paragraph. By its acceptance of the Excess Servicing Strip, the holder thereof shall be deemed to have agreed (i) to keep all information relating to the Trust and the Trust Fund and made available to it by the Master Servicer confidential (except as permitted pursuant to clause (iii) below or, in the case of the Master Servicer, as contemplated hereby in the performance of its duties and obligations hereunder), (ii) not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificate pursuant to the Securities Act, and (iii) not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such holder's auditors, legal counsel and regulators, except to the extent such disclosure is required by law, court order or other legal requirement or to the extent such information is of public knowledge at the time of disclosure by such holder or has become generally available to the public other than as a result of disclosure by such holder; provided, however, that such holder may provide all or any part of such information to any other Person who is contemplating an acquisition of the Excess Servicing Strip if, and only if, such Person (x) confirms in writing such prospective acquisition and (y) agrees in writing to keep such information confidential, not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificates pursuant to the Securities Act and not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such Persons' auditors, legal counsel and regulators. From time to time following any transfer, sale, pledge or assignment of the Excess Servicing Strip, the Person then acting as the Master Servicer shall pay, out of each amount paid to such Master Servicer as Master Servicing Fees with respect to any Mortgage Loan or REO Loan, as the case may be, the portion of the Excess Servicing Strip attributable to such Mortgage Loan or REO Loan to the holder of the Excess Servicing Strip within one Business Day following the payment of such Master Servicing Fees to the Master Servicer from amounts payable Servicer, in respect of each case in accordance with payment instructions provided by such Serviced Pari Passu Companion Loan, subject holder in writing to the terms Master Servicer. The holder of the related Intercreditor AgreementExcess Servicing Strip shall not have any rights under this Agreement except as set forth in the preceding sentences of this paragraph. The Master Servicer shall be entitled pay the Excess Servicing Strip to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form holder of the following amounts to the extent collected from the related Mortgagor: Excess Servicing Strip (ii.e., KRECM or any such third party) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that at such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees time and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing entitled to receive payment of its Master Servicing Fees hereunder, notwithstanding any resignation or termination of KRECM hereunder (subject to reduction as provided above and in the underlying transaction next paragraph). In the event that KRECM is terminated or resigns as Master Servicer, it (whether or and its successors and assigns) will be entitled to retain the Excess Servicing Strip, except to the extent that any portion of such Excess Servicing Strip is needed (as determined by the Trustee in its sole discretion) to compensate any replacement Master Servicer for assuming the duties of KRECM under this Agreement.
(b) Additional master servicing compensation in the form of:
(i) any and all Default Charges collected with respect to a Mortgage Loan that is not a Specially Serviced Mortgage Loan, to the extent provided in clause seventh of Section 3.26;
(ii) 50% of any and all assumption application fees, assumption fees, modification fees, extension fees, consent fees, release fees, waiver fees, fees paid in connection with defeasance and earn-out fees actually paid by a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgage Loan (provided, however, that if the consent of the Special Servicer is required), (iii) 100% not required pursuant to the terms of any fee actually paid by a Mortgagor this Agreement in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (providedunderlying servicing action, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, then the Master Servicer shall be entitled to charge and retain as additional servicing compensation receive 100% of such fees);
(other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loaniii) any and all charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and other loan processing fees actually paid by a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgaged Loan and, in the accounts held case of checks returned for insufficient funds, with respect to a Specially Serviced Mortgage Loan;
(iv) any and all Prepayment Interest Excesses collected with respect to a Trust Mortgage Loan, including a Specially Serviced Mortgage Loan (after deduction of the amounts required to be deposited by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or for the Companion related Distribution Account Date pursuant to Section 3.04(a3.19(a) or Section 3.04(bin connection with Prepayment Interest Shortfalls), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: ;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or Investment Accounts maintained by the Companion Distribution Account in accordance with Section 3.06(b) Master Servicer (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account for each Collection Period and, further, in the period from and including the prior Distribution Date to and including the P&I Advance Date related case of a Servicing Account or Reserve Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent is not required to be paid to any Mortgagor under applicable law or under the related Mortgage); and
(vi) other customary charges; may be retained by the Master Servicer and are not required to be deposited in the Collection Account; provided, that the Master Servicer's right to receive Default Charges pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay, or reimburse the Trust for, interest on Advances, Additional Trust Fund Expenses and property inspection costs in respect of the related Mortgage Loan or REO Loan as Compensating Interest Paymentsprovided in Sections 3.03(d), 3.12(a) and 4.03(d) or as otherwise provided in Section 3.26. Any of the amounts described in clauses (i) through (v) that are collected by the Special Servicer shall be promptly paid to the Master Servicer. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account or, with respect to the Great Mall Loan Pair, out of the Great Mall Custodial Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contraryIn respect of each Broker Strip Loan, the Master Servicer and shall, on a monthly basis, by the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf last day of the related Mortgagor. Notwithstanding anything herein to month following the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that month in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent which the Master Servicer is entitled to receive payment of its Servicing Fees hereundercollected such Broker Strip, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant remit to the preceding sentence). For applicable Broker Strip Payee the avoidance amount of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special ServicerBroker Strip so collected.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days); provided, however, that the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and each REO Loan (or, if applicable, with respect to the entire Great Mall Loan Pair) shall not be less than $4,000 for any one-month period during which such Special Servicing Fee accrues. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs with in respect to the related thereof or it becomes a Corrected Mortgage Loan. The Subject to the penultimate paragraph of Section 3.11(c), earned but unpaid Special Servicing Fee Fees shall be payable monthly, monthly out of Liquidation Proceeds and then general collections on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited REO Properties on deposit in the Collection Account pursuant to Section 3.04(a) or paid by 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan again became a Corrected Mortgage Loan. If the Special Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related Mortgagor had not made three consecutive monthly debt service payments (but had made the most recent monthly debt service payment prior to the Master Servicer to the extent the funds are received by termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making such three consecutive payments. Subject The successor Special Servicer will not be entitled to Section 3.11(d)any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof) for which it obtains a full or discounted payoff from the related Mortgagor, the Special ServiServicer shall also be entitled to the Principal Recovery Fee with respect to any Specially Serviced Mortgage Loan or REO Property as to which it receives any Liquidation Proceeds or Insurance Proceeds and allocable as a recovery of principal, interest (other than Additional Interest and Penalty Interest) and expenses in accordance with Section 3.02(b) or the definition of "REO Loan", as applicable. The Prin
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (Merrill Lynch Mortgage Investors Inc Trust 2004-Mkb1), Pooling and Servicing Agreement (Merrill Lynch Mortgage Investors Inc Trust 2004-Mkb1)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Subordinate Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSALoans). As to each Mortgage Loan, Subordinate Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Subordinate Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Subordinate Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Subordinate Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Subordinate Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Subordinate Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Subordinate Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement)Mortgage Loans, provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees pursuant to Section 3.08 and Section 3.20 on the Non-Specially Serviced Mortgage Loans, provided the consent of the Special Servicer is not required to take such actions, and (iv) 50% of all assumption, waiver, consent and earnout fees, and other processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Mortgage Loans for which the Special Servicer’s consent or approval is required on the Non-Specially Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Subordinate Companion Loan Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Subordinate Companion Loan Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any all Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 050% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loansand, but including any related Serviced Pari Passu Companion Loan(s)in all cases, to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Mortgage Loan that would result in the total Workout Fees payable to the Special Servicer in respect of that Mortgage Loan to be $25,000. Notwithstanding the foregoing, the Workout Fee payable with respect to the 100 West P▇▇▇▇▇ ▇▇ Whole Loan will be limited to $500,000, provided, however, that if a Workout Fee is paid to the Special Servicer and the 1▇▇ ▇▇▇▇ ▇▇▇▇▇▇ ▇▇ Whole Loan again becomes subject to a Workout Fee for a subsequent default, then a separate Workout Fee shall be payable, subject to an additional $500,000 limit. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on the related Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or the Subordinate Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan or REO Property as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Subordinate Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Subordinate Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan and any Subordinate Companion Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Master Servicer, the Special Servicer or the Trustee for interest on Advances on such Mortgage Loan or such Subordinate Companion Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof with respect to such Mortgage Loan or such Subordinate Companion Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (other than Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan or such Subordinate Companion Loan; Penalty Charges remaining thereafter shall be distributed to the Master Servicer, if and to the extent accrued while such Mortgage Loan or such Subordinate Companion Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent accrued on such Mortgage Loan during the period such Mortgage Loan was a Specially
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2012-Cibx), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2012-Cibx)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling and Servicing Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans provided that such modifications, waivers, extensions or amendments are not Major Decisions or Special Servicer Decisions (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of any fee actually paid by a Mortgagor in connection with the all defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (fees; provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval consent of the Special Servicer is required under clause (xiiiSection 3.20(i) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must hereof shall be paid by the Master Servicer to the Special Servicer), ; (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies ) as a Major Decision or to which the Special Servicer Decision exercised its approval rights pursuant to Section 3.08, and (viv) 50% of any all fees related to a Major Decision or Special Servicer Decision on a nonDecisions with respect to Non-Specially Serviced Mortgage Loans and 50% of all fees related to Special Servicer Decisions processed by the Master Servicer with the prior consent of the Special Servicer as provided for in the definition of Special Servicer Decision, but only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2013-C12), Pooling and Servicing Agreement (JPMBB Commercial Mortgage Securities Trust 2013-C12)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s 's duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(f), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement 3.08(a) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demandsdemands reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Certificate Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges collected on Mortgage Loans during the period such Mortgage Loans were Non-Specially Serviced Mortgage Loans, but only to the extent provided in Section 3.11(d)actually paid by the related Mortgagor and to the extent that all interest on related Advances and all additional Trust Fund expenses (other than Special Servicing Fees) payable with respect to such Mortgage Loan have been paid since the Closing Date, (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Certificate Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsDue Period. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with to the provisions of extent permitted by Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying application, assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any extension, modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (earnout and specifically excluding any defeasance fees), provided that in each case, received on any Specially Serviced Mortgage Loans to the extent such transaction qualifies as a Major Decision or Special Servicer Decision, fees are paid by the Mortgagor and (ivii) 10050% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement3.08(a) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master exceptions set forth in the definition of Liquidation Fee. Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the 90-day period or such other additional period provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan by the Majority Controlling Class Certificateholder (or with respect to the One Post Office Square B Note, by the One Post Office Square Controlling Holder pursuant to Section 3.18(g), the Servicer or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Subject to clause (d) below, the Special Servicer will also be entitled to additional fees in the form of Penalty Charges on Specially Serviced Mortgage Loans which are collected during such time as such Mortgage Loan was a Specially Serviced Mortgage Loan, but only to the extent actually collected from the related Mortgagor and to the extent that all interest on Advances and additional Trust Fund expenses payable with respect to the related Mortgage Loan have been paid since the Closing Date. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are received not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Servicer, the Special Servicer or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Servicer, the Special Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof and (iii) the Trust Fund for costs of inspections by the Special Servicer. Subject , all unpaid Advances and additional Trust Fund expenses (other than Special Servicing Fees) incurred since the Closing Date, Penalty Charges remaining thereafter shall be distributed to Section 3.11(d)the Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special ServiServicer if and to the extent collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan.
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (Jp Morgan Chase Com Mort Sec Corp Ps THR Certs Ser 2003-Ln1), Pooling and Servicing Agreement (Jp Morgan Chase Com Mort Sec Corp Ps THR Certs Ser 2003-Ln1)
Servicing Compensation. (a) As compensation for its activities hereunderhereunder with respect to the Mortgage Loans, the Master Primary Servicer shall be entitled to receive the Servicing Fee a primary servicing fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA"Primary Servicing Fee"). As to each Mortgage Loan, Companion Loan and REO Loan, the Primary Servicing Fee shall accrue from time to time at the rate per annum as specified in Exhibit C hereof (the "Primary Servicing Fee Rate Rate") and shall be computed on the basis of the Stated Scheduled Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan (or deemed to be due due) on such REO Mortgage Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Primary Servicing Fee shall be payable monthly, on a loan-by-loan basis. With respect to the Mortgage Loans, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master the Primary Servicer shall be entitled to recover unpaid pay itself the Primary Servicing Fees in respect of Fee from actual collections on the respective Mortgage Loans.
(b) The Primary Servicer shall retain all rights to the Excess Servicing Fee for the Mortgage Loans, even if (a) any Mortgage Loan, Companion Loan or REO Mortgage Loans become Specially Serviced Mortgage Loans; (b) the Primary Servicer's servicing is terminated with respect to particular Mortgage Loans or (c) the Primary Servicer is in default, is terminated or resigns under this Agreement. If the Primary Servicer is unable to deduct the Excess Servicing Fee because it no longer services a Mortgage Loan out or Mortgage Loans or for any other reason (other than transfer or assignment of that portion of related paymentsthe rights to the Excess Servicing Fee), Insurance then the Master Servicer (and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in any successor) shall cause the case of an REO Loan) allocable as recoveries of interestExcess Servicing Fee to be paid on the Mortgage Loans to the Primary Servicer, to the extent permitted of any amounts received by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. .
(c) The Master Primary Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain receive as additional primary servicing compensation (other than with respect to any Non-Serviced Mortgage Loan "Additional Primary Servicing Compensation"), the percentage specified below of the income, fee or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicercharge described below, in each case only to the extent that such income, fee or charge is actually collected by the Primary Servicer from the Borrower or earned and paid by or on behalf any account:
(i) 100% of the related Mortgagor and shall not be required earnings on the earnings on the Escrow Accounts (to deposit such amounts in the Collection Account or extent that the Companion Distribution Account pursuant to Primary Servicer is entitled thereto under Section 3.04(a) or Section 3.04(b3.03(e), respectively. Subject to Section 3.11(d), the Master Primary Certificate Account (to the extent that the Primary Servicer is entitled thereto under Section 3.04(e)) and, subject to the related Mortgage Loan Documents and applicable law, any other accounts held by the Primary Servicer hereunder.
(ii) 50% of any fee associated with a Borrower request including but not limited to loan assumptions, modifications, waivers, consents and extensions relating to transactions not requiring Special Servicer consent pursuant to the PSA.
(iii) 25% of any fee associated with a Borrower request (other than the non-refundable processing fee relating to assumptions and transfers) including but not limited to loan assumptions, modifications, waivers, consents and extensions relating to transactions requiring Special Servicer consent pursuant to the PSA. In addition, the Primary Servicer shall be entitled to any Borrower-paid administration fees associated with any Escrow Account maintained by the Primary Servicer. The Primary Servicer shall also be entitled to additional servicing compensation that portion of any late charges collected from or on behalf of any Borrower that remains after application to any advance interest due to the Trust, on a "loan-by-loan" basis, in the form of: manner set forth in clause first and clause second of Section 3.26(a) of the PSA, other than the portion thereof (iif any) Penalty Charges to which the Special Servicer is entitled as set forth in clause third of Section 3.26(a) of the PSA. With respect to the extent provided Mortgage Loans, the Primary Servicer shall not be entitled to Additional Primary Servicing Compensation in Section 3.11(d), (ii) respect of interest or other income earned on deposits relating in any account that is not maintained by the Primary Servicer. The Primary Servicer shall not be entitled to any default interest, prepayment premiums, yield maintenance charges or additional interest, including excess interest collected on any Mortgage Loan. Any fees, charges or miscellaneous collections not specified as payable to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only Primary Servicer above are payable to the extent Master Servicer.
(d) Notwithstanding the preceding provisions of this Section 3.10, the Net Investment Earnings, if any, Primary Servicer shall not be entitled to any Additional Primary Servicing Compensation with respect to such account for the period from any Mortgage Loan that has become a Specially Serviced Mortgage Loan (other than interest and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other investment income earned on deposits funds in its Investment Accounts accounts maintained by the Primary Servicer) or with respect to which are not required by applicable law or the related Mortgage Loan to Primary Servicer has been terminated as Primary Servicer hereunder; provided, however, the Primary Servicer shall be paid entitled to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsExcess Servicing Fee. The Master Primary Servicer shall be required to pay out of its own funds funds, without reimbursement therefor, all overhead and general and administrative expenses incurred by it in connection with its servicing activities hereunder hereunder, including costs for office space, office equipment, supplies and related expenses, employee salaries and related expenses and similar internal costs and expenses.
(includinge) The fee, without limitationtiming and consent addendum hereto as Exhibit Q (the "Fee, payment of any amounts due Timing and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), Consent Addendum") is hereby incorporated by reference as if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreementfully set forth herein. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split Any conflict between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms provisions of this Agreement and such reduction. The Master Servicer the Fee, Timing and Consent Addendum shall pay the Transferable Servicing Interest to the holder be resolved in favor of the Transferable Servicing Interest at such time Fee, Timing and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special ServicerConsent Addendum.
(bf) As compensation for its activities hereunder, the Special The Primary Servicer shall be entitled to receive withdraw from the Special Primary Certificate Account and pay to itself the Primary Servicing Fee, the Excess Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Additional Primary Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed Compensation on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Primary Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, Remittance Date but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly only from the related Mortgagor) to sources of funds from which such payment may be made as specified hereunder and the extent such fees are paid by the Mortgagor Pooling and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special ServiServicing Agreement.
Appears in 2 contracts
Sources: Primary Servicing Agreement (Bear Stearns Commercial Mortgage Securities Trust 2007-Pwr17), Primary Servicing Agreement (Bear Stearns Commercial Mortgage Securities Trust 2007-Pwr18)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)) for which it acts as a master servicer. As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any applicable Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related MortgagorMortgagor and any related Companion Loan: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided ) that such transactions are Master Servicer Decisions; provided, that if any such matter involves a Major Decision, then the Master Servicer shall be entitled to 50% of such Excess Modification Fees; (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (other than a Non-Serviced Mortgage Loan) that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing or approval of that the Special Servicer is required entitled to under clause this Agreement); and (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as ) relating to Master Servicer Decisions; provided, (v) that if any such matter involves a Major Decision, then the Master Servicer shall be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors demands (to the extent such beneficiary statements or demand charges were demands are prepared by the Master Servicer) and other customary charges, amounts collected for checks returned for insufficient funds with respect (relating to the accounts held by the Master Servicer Servicer) and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan Loan, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein With respect to any of the contrarypreceding fees as to which both the Master Servicer and the Special Servicer are entitled to receive a portion thereof, the Master Servicer and the Special Servicer shall each have the right in their sole discretion, but not any obligation, to reduce or elect not to charge its respective portion of such fee; provided, that (A) neither the Master Servicer nor the Special Servicer will have the right to reduce or elect not to charge the portion of any such fee due to the other and (B) to the extent either of the Master Servicer or the Special Servicer exercises its right to reduce or elect not to charge its respective portion in any such fee, the party that reduced or elected not to charge its respective portion of such fee will not have any right to share in any part of the other party’s portion of such fee. If the Master Servicer decides not to charge any fee, the Special Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and retain reasonable review fees the Master Servicer will not be entitled to any of such fee charged by the Special Servicer. Similarly, if the Special Servicer decides not to charge any fee, the Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Master Servicer would have been entitled if the Special Servicer had charged a fee and the Special Servicer shall not be entitled to any portion of such fee charged by the Master Servicer. For the avoidance of doubt, the Special Servicer may, in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related a workout or other modification of a Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between and without the master servicer and special servicer, and (iii) actually paid by or on behalf consent of the Master Servicer, waive any or all related MortgagorPenalty Charges, regardless of who is entitled to receive such payments as compensation; provided that any collections in respect of such Penalty Charges allocated to additional servicing compensation shall be shared pro rata by the Master Servicer and Special Servicer based on the respective portions of such Penalty Charges to which each would otherwise have been entitled. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association Trimont LLC may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Pari Passu Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, Trimont LLC as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of of:
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, ,
(Bii) 50100% of Excess Modification Fees related all assumption application fees and other similar items received with respect to modifications, waivers, extensions or amendments Specially Serviced Loans and 100% of any all assumption application fees and other similar items received with respect to Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related Loans to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the extent the Special Servicer processes the underlying assumption-related transaction, ,
(iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18fees, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, ,
(iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans,
(v) (A) 50% of all waiver feesExcess Modification Fees and assumption, assumption fees and waiver, consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees and other similar fees (other than assumption application fees and defeasance fees) received in each case with respect to all any Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s)) that are Non-Specially Serviced Loans to the extent that the matter involves a Major Decision, regardless of who processes such decision,
(vi) late payment charges and default interest paid by the Mortgagors and accrued while the related Mortgage Loans (including the related Companion Loan, if applicable, and to the extent not prohibited by the related Intercreditor Agreement) were Specially Serviced Loans and that are not needed to pay interest on Advances or certain additional trust fund expenses (including Special Servicing Fees, Workout Fees and Liquidation Fees) with respect to the related Mortgage Loan (including the related Companion Loan, if applicable, to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to since the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, Closing Date,
(vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating funds, and
(viii) 100% of charges for beneficiary statements and demand charges actually paid by the Mortgagors to the accounts held extent such beneficiary statements or demand charges are prepared by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account and Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, the Special Servicer shall be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan) reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and only to the extent actually paid by or on behalf of the related Mortgagor. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Loan at the Workout Fee Rate on such Corrected Loan for so long as it remains a Corrected Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount received by
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (Benchmark 2025-V18 Mortgage Trust), Pooling and Servicing Agreement (Bank5 2025-5yr17)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Pari Passu Companion Loan) (including Specially Serviced Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced mortgage loan” under any related Non-Serviced PSAPooling Agreement). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentencenext two sentences, the fourth third paragraph of this Section 3.11(a), Section 6.036.02, Section 6.05 6.04 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided the consent of the Special Servicer is not required to take such action and, in the event that such transactions are the Special Servicer’s consent is required, then the Master Servicer Decisionsshall be entitled to 50% of such fees, (ii) 100% of all assumption application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required)) and 100% of all defeasance fees, (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 3.20 or other actions performed in connection with this Agreement on the Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that the consent of the Special Servicer is not required to take such transactions qualify as Master Servicer Decisionsactions, and (viv) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar processing fees (other than assumption application fees and defeasance fees), pursuant to Section 3.08 and Section 3.18 3.20 on any Non-Specially Serviced Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision ) for which the Special Servicer’s consent or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision approval is required on a nonthe Non-Specially Serviced Mortgage Loans and only to the extent that all amounts then due and payable with respect to the related Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any a Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 6.04 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items assumption fees received with respect to on any Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionLoans, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees fees, pursuant to Section 3.08 and Section 3.18, 3.20 or other actions performed in connection with this Agreement on the Specially Serviced Mortgage Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, and (v) (Aiv) 50% of all waiver fees, Excess Modification Fees and assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees 3.20 and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 050% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loansand, but including any related Serviced Pari Passu Companion Loan(s)in all cases, to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer’s consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Corrected Mortgage Loan for so long as it remains a Corrected Mortgage Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Mortgage Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the Corrected Mortgage Loan that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Mortgage Loan to be $25,000. The Workout Fee shall be reduced (but not below zero) pursuant to the preceding sentence with respect to each collection on such Corrected Mortgage Loan from which such fee would otherwise be payable until an amount equal to such Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than a Non-Serviced Mortgage Loan) or REO Property (other than a Non-Serviced Mortgaged Property) as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent such Intercreditor Agreement is silent or refers to this Agreement or indicates such fees are paid in accordance with this Agreement, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special Servicer will also be entitled to additional fees in the form of Penalty Charges. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of RE
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-C16), Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2013-C16)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-including each Specially Serviced Companion Mortgage Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)each REO Loan. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or an REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or any REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, monthly on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or any REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a)(iii) or Section 3.05(e), as applicable, and in the case of a Trust Mortgage Loan or a Trust REO Loan, out of such other amounts as may be permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement or the transfer of all or a portion of the Master Servicer's right to receive the Excess Servicing Strip. Notwithstanding anything herein to the contrary, KRECM (and its successors and assigns) may at its option assign or pledge to any third party or retain for itself the Excess Servicing Strip (in any event, in whole as to the entire Mortgage Pool but not in part); provided that any assignee or pledgee of the Excess Servicing Strip must be a successor servicer Qualified Institutional Buyer or Institutional Accredited Investor (other than a Plan); and provided, further, that no transfer, sale, pledge or other assignment of the Excess Servicing Strip shall be made unless that transfer, sale, pledge or other assignment is exempt from the registration and/or qualification requirements of the Securities Act and any applicable state securities laws and is otherwise made in accordance with the terms hereof). With Securities Act and such state securities laws; and provided, further, that in the event of any resignation or termination of KRECM in its capacity as the Master Servicer, all or any portion of the Excess Servicing Strip may be reduced by the Trustee through a reduction in the Excess Servicing Strip Rate with respect to each Serviced Pari Passu Companion one or more Mortgage Loans and REO Loans to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.04 and that requires market rate servicing compensation (including compensation necessary to pay primary servicing fees and Broker Strips) that accrues at a per annum rate in excess of the sum of (i) 0.01% (one basis point) per annum, (ii) the primary servicing fee rate, if any, for such Mortgage Loan or REO Loan and (iii) with respect to any Broker Strip Loan, the Broker Strip Rate for such Broker Strip Loan. KRECM and each holder of the Excess Servicing Fee Strip desiring to effect a transfer, sale, pledge or other assignment of the Excess Servicing Strip shall, and KRECM hereby agrees, and each such holder of the Excess Servicing Strip by its acceptance of the Excess Servicing Strip shall be payable deemed to have agreed, in connection with any transfer of the Excess Servicing Strip effected by such Person, to indemnify the Certificateholders, the Trust, the Depositor, the Underwriters, the Trustee, the Fiscal Agent, the Master Servicer, the Certificate Registrar and the Special Servicer against any liability that may result if such transfer is not exempt from registration and/or qualification under the Securities Act or other applicable federal and state securities laws or is not made in accordance with such federal and state laws or in accordance with the foregoing provisions of this paragraph. By its acceptance of the Excess Servicing Strip, the holder thereof shall be deemed to have agreed (i) to keep all information relating to the Trust and the Trust Fund and made available to it by the Master Servicer confidential (except as permitted pursuant to clause (iii) below or, in the case of the Master Servicer, as contemplated hereby in the performance of its duties and obligations hereunder), (ii) not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificate pursuant to the Securities Act, and (iii) not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such holder's auditors, legal counsel and regulators, except to the extent such disclosure is required by law, court order or other legal requirement or to the extent such information is of public knowledge at the time of disclosure by such holder or has become generally available to the public other than as a result of disclosure by such holder; provided, however, that such holder may provide all or any part of such information to any other Person who is contemplating an acquisition of the Excess Servicing Strip if, and only if, such Person (x) confirms in writing such prospective acquisition and (y) agrees in writing to keep such information confidential, not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificates pursuant to the Securities Act and not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such Persons' auditors, legal counsel and regulators. From time to time following any transfer, sale, pledge or assignment of the Excess Servicing Strip, the Person then acting as the Master Servicer shall pay, out of each amount paid to such Master Servicer as Master Servicing Fees with respect to any Mortgage Loan or REO Loan, as the case may be, the portion of the Excess Servicing Strip attributable to such Mortgage Loan or REO Loan to the holder of the Excess Servicing Strip within one Business Day following the payment of such Master Servicing Fees to the Master Servicer from amounts payable Servicer, in respect of each case in accordance with payment instructions provided by such Serviced Pari Passu Companion Loan, subject holder in writing to the terms Master Servicer. The holder of the related Intercreditor AgreementExcess Servicing Strip shall not have any rights under this Agreement except as set forth in the preceding sentences of this paragraph. The Master Servicer shall be entitled pay the Excess Servicing Strip to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form holder of the following amounts to the extent collected from the related Mortgagor: Excess Servicing Strip (ii.e., KRECM or any such third party) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that at such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees time and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing entitled to receive payment of its Master Servicing Fees hereunder, notwithstanding any resignation or termination of KRECM hereunder (subject to reduction as provided above and in the underlying transaction next paragraph). In the event that KRECM is terminated or resigns as Master Servicer, it (whether and its successors and assigns) will be entitled to retain the Excess Servicing Strip, except to the extent that any portion of such Excess Servicing Strip is needed (as determined by the Trustee in its sole discretion) to compensate any replacement Master Servicer for assuming the duties of KRECM under this Agreement.
(b) Additional master servicing compensation in the form of:
(i) any and all Default Charges (or portion thereof that is comprised of late payment charges) collected with respect to a Mortgage Loan that is not a Specially Serviced Mortgage Loan, to the extent provided in clause seventh of Section 3.26(a);
(ii) 50% of any and all assumption application fees, assumption fees, modification fees, extension fees, consent fees, release fees, waiver fees, fees paid in connection with defeasance and earn-out fees actually paid by a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgage Loan (provided, however, that if the consent of the Special Servicer is required), (iii) 100% not required pursuant to the terms of any fee actually paid by a Mortgagor this Agreement in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (providedunderlying servicing action, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, then the Master Servicer shall be entitled to charge and retain as additional servicing compensation receive 100% of such fees);
(other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loaniii) any and all charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and other loan processing fees actually paid by a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgaged Loan and, in the accounts held case of checks returned for insufficient funds, with respect to a Specially Serviced Mortgage Loan;
(iv) any and all Prepayment Interest Excesses collected with respect to a Trust Mortgage Loan, including a Specially Serviced Mortgage Loan (after deduction of the amounts required to be deposited by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or for the Companion related Distribution Account Date pursuant to Section 3.04(a3.19(a) or Section 3.04(bin connection with Prepayment Interest Shortfalls and Casualty/Condemnation Interest Shortfalls), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: ;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or Investment Accounts maintained by the Companion Distribution Account in accordance with Section 3.06(b) Master Servicer (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account for each Collection Period and, further, in the period from and including the prior Distribution Date to and including the P&I Advance Date related case of a Servicing Account or Reserve Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent is not required to be paid to any Mortgagor under applicable law or under the related Mortgage Loan documents); and
(vi) other customary charges; may be retained by the Master Servicer (subject to Section 3.11(e) and are not required to be deposited in the Collection Account; provided that the Master Servicer's right to receive Default Charges pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay, or reimburse the Trust for, interest on Advances, Additional Trust Fund Expenses and property inspection costs in respect of the related Mortgage Loan or REO Loan as Compensating Interest Paymentsprovided in Sections 3.03(d), 3.12(a) and 4.03(d) or as otherwise provided in Section 3.26. Any of the amounts described in clauses (i) through (v) that are collected by the Special Servicer shall be promptly paid to the Master Servicer. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account or, with respect to a Loan Combination, out of the related Loan Combination Custodial Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contraryIn respect of each Broker Strip Loan, the Master Servicer and shall, on a monthly basis, by the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf last day of the related Mortgagor. Notwithstanding anything herein to month following the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that month in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent which the Master Servicer is entitled to receive payment of its Servicing Fees hereundercollected such Broker Strip, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant remit to the preceding sentence). For applicable Broker Strip Payee the avoidance amount of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special ServicerBroker Strip so collected.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs with in respect to the related thereof or it becomes a Corrected Mortgage Loan. The Subject to the penultimate paragraph of Section 3.11(c), earned but unpaid Special Servicing Fee Fees shall be payable monthly, monthly out of related Liquidation Proceeds and then general collections on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited REO Properties on deposit in the Collection Account pursuant to Section 3.04(a) or paid by 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan again became a Corrected Mortgage Loan. If the Special Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related Mortgagor had not made three consecutive monthly debt service payments (but had made the most recent monthly debt service payment prior to the Master Servicer to the extent the funds are received by termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making such three consecutive payments. Subject The successor Special Servicer will not be entitled to Section 3.11(d)any portion of those Workout Fees. In addition, subject to the following sentence, the Special ServiServicer shall be entitled to a Principal Recovery Fee with respect to each Specially Serviced Mortgage Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof) for which it obtains a full or discounted payoff from the related Mortgagor, and the Special Servicer shall also be entitled to the Principal Recovery Fee with respect to any Specially Serviced Mortgage Loan or REO Property as to which it receives any Liquidation Proceeds or Insurance Proceeds and allocable as a recovery of principal, interest (other than Additional Interest and Penalt
Appears in 2 contracts
Sources: Pooling and Servicing Agreement (Merrill Lynch Mortgage Trust 2005-Cki1), Pooling and Servicing Agreement (Merrill Lynch Mortgage Trust 2005-Cki1)
Servicing Compensation. Interest on Servicing Advances; Payment of Certain Expenses; Obligations of the Trustee Regarding Back-up Servicing Advances.
(a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-including each Specially Serviced Companion Mortgage Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any each related Non-Serviced PSA)REO Loan. As to each such Mortgage Loan, Companion Loan and REO Loan, for each calendar month (commencing with [____________]) or any applicable portion thereof, the Master Servicing Fee shall accrue at the related Master Servicing Fee Rate on the same principal amount, and without giving effect to any Excess Interest that may accrue on any ARD Loan after its Anticipated Repayment Date, as interest accrues from time to time during such calendar month (or portion thereof) on such Mortgage Loan or is deemed to accrue from time to time at during such calendar month (or portion thereof) on such REO Loan, as the Servicing Fee Rate case may be, and shall be computed calculated on the basis of the Stated Principal Balance of same Interest Accrual Basis as is applicable for such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs in respect thereof. Master Servicing Fees earned with respect to the related Mortgage Loan, except that if any such Mortgage Loan is part of a Serviced Whole or REO Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, monthly from payments of interest on each such Mortgage Loan, Companion Loan and or REO Revenues allocable as interest on each such REO Loan, and as otherwise provided by Section 3.05(a)the case may be. The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that the portion of any related payments, Insurance and Condemnation Proceeds, Condemnation Proceeds or Liquidation Proceeds and allocable as interest on such Mortgage Loan or REO Revenues (in Loan, as the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a)may be. Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer under this Agreement and except as otherwise expressly provided in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. following paragraph.
(b) The Master Servicer shall be entitled to retain, and shall not be required to deposit in receive the Collection Account pursuant to Section 3.04(a), following items as additional servicing compensation relating to each Mortgage Loan (other than the following items, collectively, "Additional Master Servicing Compensation"):
(i) any and all Net Default Charges, Net Assumption Application Fees, Net Modification Application Fees and earnout fees accrued with respect to a Non-Serviced Performing Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited Loan and actually paid by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, Borrower;
(ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100[___]% of any fee and all Net Assumption Fees actually paid by a Mortgagor in connection with the defeasance of respect to a Mortgage Loan (other than a Non-Serviced Performing Mortgage Loan;
(iii) and any related Serviced Companion Loan (provided, however, that 50[___]% of the portion of any Excess and all Net Modification Fee or Fees, extension fees, consent fees and waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be fees actually paid by the Master Servicer a Mortgagor with respect to the Special Servicer), a Performing Mortgage Loan;
(iv) 100% of assumption, waiver, consent, loan service transaction any and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and other Mortgage Loan processing fees actually paid by a Mortgagor with respect to a Performing Mortgage Loan and, in the accounts held by the Master Servicer case of checks returned for insufficient funds, with respect to a Specially Serviced Mortgage Loan;
(v) any and reasonable review fees in connection with any Mortgagor request all Prepayment Interest Excess (to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise required to be split between used to offset any net Prepayment Interest Shortfalls in accordance with Section 3.19(e)) collected on the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: Mortgage Mortgage Loans;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iivi) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or Investment Accounts maintained by the Companion Distribution Account Master Servicer, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account for each Collection Period and, further, in the period from and including the prior Distribution Date to and including the P&I Advance Date related case of a Servicing Account or Reserve Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent is not required to be paid as Compensating Interest Paymentsto any Mortgagor under applicable law or under the related Mortgage); and
(vii) [___]% of any and all substitution fees (net of any costs incurred in connection with any substitution) collected on a Performing Loan. The Notwithstanding the foregoing with respect to any sharing of fees referenced in this Section 3.11(b), the Master Servicer shall be required entitled to pay out of its own funds all expenses incurred by it in connection such fees if with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing respect to the activity related to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and fee the Master Servicer shall is not be entitled required to reimbursement therefor except as expressly provided in seek the consent and/or approval of the Special Servicer pursuant to this Agreement. Notwithstanding anything herein to To the contraryextent that any of the amounts described in the preceding paragraph are collected by the Special Servicer, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request promptly pay such amounts to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive monthly the Special Servicing Fee with respect to each Mortgage Loan that is a Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)for which it is responsible. As to each Mortgage Loan that is a Specially Serviced Mortgage Loan and each REO Loan, for any particular calendar month or applicable portion thereof, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of same principal amount as interest accrues from time to time during such calendar month (or portion thereof) on such Specially Serviced Mortgage Loan or is deemed to accrue from time to time during such calendar month (or portion thereof) on such REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is shall be calculated on the same Interest Accrual Basis as is applicable for such Specially Serviced Loans Mortgage Loan or REO LoansLoan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any such a Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or, in the case of a Specially Serviced Mortgage Loan, as of the date it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees with respect to Specially Serviced Mortgage Loans and REO Loans shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each payment of interest (other than Default Interest and Excess Interest) and principal received from the related Mortgagor on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any such Corrected Mortgage Loan will cease to be payable if a new Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when the subject Loan again became a Corrected Mortgage Loan. If the Special Servicer is terminated, including pursuant to Section 3.23, or resigns in accordance with Section 6.04, it shall retain the right to receive any and all Workout Fees payable in respect of (i) any Mortgage Loans serviced by it that became Corrected Mortgage Loans during the period that it acted as Special Servicer and that were still Corrected Mortgage Loans at the time of such termination or resignation and (ii) any Specially Serviced Mortgage Loans for which such Special Servicer has resolved the circumstances and/or conditions causing any such Mortgage Loan to be a Specially Serviced Mortgage Loan, but that had not as of the time the Special Servicer was terminated become a Corrected Mortgage Loan solely because the related Mortgagor had not made three consecutive timely Monthly Payments and that subsequently becomes a Corrected Mortgage Loan as a result of the related Mortgagor making such three consecutive timely monthly payments (and the successor to the Special Servicer shall not be entitled to any portion of such Workout Fees), in each case until the Workout Fee for any such loan ceases to be payable in accordance with the preceding sentence; provided that, in the case of any Specially Serviced Mortgage Loan described in clause (ii) of this sentence, the terminated Special Servicer shall immediately deliver the related Servicing File to the Master Servicer, and the Master Servicer shall (without further compensation) monitor that all conditions precedent to such Mortgage Loan's becoming a Corrected Mortgage Loan are satisfied and, further, shall immediately transfer such Servicing File to the new Special Servicer if and when it becomes apparent to the Master Servicer that such conditions precedent will not be satisfied. Notwithstanding the foregoing, the Special Servicer will not be entitled to any Workout Fees in the event that the Special Servicer is terminated for cause. As further compensation for its activities hereunder, the Special Servicer shall also be entitled to receive a Liquidation Fee with respect to each Specially Serviced Mortgage Loan or REO Loan as to which it receives any full, partial or discounted payoff from the related Mortgagor or any Insurance Proceeds, Condemnation Proceeds or Liquidation Proceeds. Notwithstanding the foregoing and for the avoidance of doubt, no Liquidation Fee shall be payable in connection with (a) the purchase of a Defaulted Mortgage Loan by the Majority Certificateholder of the Controlling Class or the related Mezzanine Loan Holder (if the related Defaulted Mortgage Loan has a related Mezzanine Loan) pursuant to the applicable Intercreditor Agreement or Mezzanine Intercreditor Agreement, if any such purchase occurs or purchase right is exercised not later than [___] days from the date that such purchase option is exercisable, or the purchase of a Defaulted Mortgage Loan pursuant to Section 3.18(c) within [___] days of the date that the Special Servicer has initially determined the fair value of the related Mortgage Loan (b) the purchase option of the Majority Certificateholder of the Controlling Class, the Master Servicer or the Special Servicer pursuant to Section 9.01 or (c) the repurchase or replacement of a Mortgage Loan by the Mortgage Loan Seller pursuant to the Mortgage Loan Purchase and Sale Agreement if such repurchase occurs not later than [___] days after the Mortgage Loan Seller has been notified of its obligation to so repurchase. As to each such Specially Serviced Mortgage Loan or REO Loan, the Liquidation Fee shall be payable out of, and shall be calculated by application of the Liquidation Fee Rate to, any such full, partial or discounted payoff, Condemnation Proceeds and/or Liquidation Proceeds received or collected in respect thereof (other than any portion of such payment or proceeds that represents Default Charges, Excess Interest or a Prepayment Premium). The Liquidation Fee with respect to any such Specially Serviced Mortgage Loan will not be payable if such Mortgage Loan becomes a Corrected Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The Servicer's right to receive the any Special Servicing Fee, Workout Fee and/or Liquidation Fee to which it is entitled may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion LoanAgreement and except as otherwise expressly provided herein.
(cd) The Special Servicer shall be entitled to receive the following items as additional special servicing compensation relating to each Mortgage Loan (other than the following items, collectively, the "Additional Special Servicing Compensation"):
(i) any and all Net Default Charges collected with respect to a Non-Specially Serviced Mortgage Loan or REO Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, ;
(ii) 100% of any and all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionNet Assumption Fees, (iii) 50% of the portion of any Excess Net Assumption Application Fees, Net Modification Fees or waiver fees payable solely in connection with any modificationFees, waiverNet Modification Application Fees, amendment or substitution fees, extension fees, consent executed in connection with a defeasance transaction for which the consentfees, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees late payment charges and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands that accrue on or with respect to a Specially Serviced Mortgage Loan or REO Loan and are actually paid by the related Mortgagor Borrower;
(iii) [___]% of any and all Net Assumption Fees, modification fees, extension fees, consent fees and waiver fees that are actually received on or with respect to a Performing Loan;
(iv) interest or other income earned on deposits in the Special Servicer's applicable REO Account in accordance with Section 3.06(b) but only to the extent of the Net Investment Earnings, if any, with respect to such beneficiary statements or demands were prepared by the Special Servicer, REO Account for each Collection Period); and
(viiv) 50[___]% of any and all substitution fees related to a Major Decision or Special Servicer Decision (net of any costs incurred in connection with any substitution) collected on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) Performing Loan. Notwithstanding the foregoing with respect to the accounts held by fees referenced in the Special Servicerimmediately preceding clauses (iii) and (v), 100% of charges by the Special Servicer shall not be entitled to such fees unless the Master Servicer was required to seek the approval or consent of the Special Servicer pursuant to this Agreement with respect to any consent, extension, modification or waiver related to any such fee. To the extent that any of the amounts described in the preceding paragraph are collected for checks returned for insufficient funds relating to the accounts held by the Special ServicerMaster Servicer with respect to a Specially Serviced Mortgage Loan, and the Master Servicer shall be promptly paid pay such amounts to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited deposit such amounts in the Collection Account Certificate Account.
(e) The Master Servicer and the Special Servicer shall each be required (subject to Section 3.11(h) below) to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including payment of any amounts due and owing to any Sub-Servicers retained by it (including any termination fees) and the premiums for any blanket policy or the standby fee or similar premium, if any, for any master force placed policy obtained by it insuring against hazard losses pursuant to Section 3.04(a) 3.07(b)), if and to the extent such expenses are not payable directly out of the Certificate Account, the Reserve Accounts or paid by an REO Account, and neither the Master Servicer nor the Special Servicer shall be entitled to reimbursement for any such expense incurred by it except as expressly provided in this Agreement. If the Master Servicer is required to make any Servicing Advance hereunder at the direction of the Special Servicer in accordance with Section 3.03(c), Section 3.19 or otherwise, the Special Servicer shall promptly provide the Master Servicer with such documentation regarding the subject Servicing Advance as the Master Servicer may reasonably request.
(f) If the Master Servicer is required under this Agreement to make a Servicing Advance, but does not do so within ten days after such Advance is required to be made, the Trustee shall, if it has actual knowledge of such failure on the part of the Master Servicer give notice of such failure to the defaulting party. If such Advance is not made by the Master Servicer within [___] Business Days after such notice, then (subject to Section 3.11(h) below) the Trustee shall make such Advance. Any failure by the Master Servicer to the extent the funds are received make a Servicing Advance it is required to make hereunder shall constitute an Event of Default by the Special Master Servicer. Subject , subject to and as provided in Section 3.11(d7.01(a).
(g) The Master Servicer, the Special ServiServicer and the Trustee shall each be entitled to receive interest at the Reimbursement Rate in effect from time to time, accrued on the amount of each Advance made thereby (with its own funds), for so long as such Advance is outstanding. Such interest with respect to any Advances shall be payable: (i) first, in accordance with Sections 3.05 and 3.27, out of any Default Charges subsequently collected on or in respect of the Mortgage Pool; and (ii) then, after such Advance is reimbursed, but only if and to the extent that such Default Charges are insufficient to cover such Advance Interest, out of general collections on the Mortgage Loans and REO Properties on deposit in the Certificate Account. The Master Servicer shall reimburse itself, the Special Servicer or the Trustee, as appropriate, for any Advance made by any such Person as soon as practicable after funds available for such purpose are deposited into the Certificate Account. Notwithstanding anything herein to the contrary, no interest shall be payable with respect to any P&I Advance of a payment due on a Mortgage Loan during the applicable grace period and interest shall cease to accrue on any Workout-Delayed Reimbursement Amount to the extent such amount has been rei
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Banc of America Commercial Mortgage Inc)
Servicing Compensation. (a) As compensation for its activities hereunder, subject to Section 3.11(e), the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan and REO Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Mortgage Loan is computedcomputed and be calculated on the same interest accrual basis (i.e., an Actual/360 Basis or a 30/360 Basis) as such Mortgage Loan or REO Mortgage Loan (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Mortgage Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Mortgage Loan, and as otherwise provided by Section 3.05(a). The Master Servicer Servicer, on behalf of itself and the holder of the related Excess Servicing Strip, shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Mortgage Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this 3.05(a)(iii) or Section 3.11(a3.05(g)(iii), Section 6.03, Section 6.05 and Section 7.01(c)as applicable. Subject to the next paragraph, the right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement. There will be no Master Servicing Fee with respect to the B-Note Loans or any successor REO Loans with respect thereto. Notwithstanding anything herein to the contrary, [_____________________________] (and its successors and assigns) may at its option assign or pledge to any third party or retain for itself the aggregate Excess Servicing Strip for the Mortgage Pool (in whole but not in part); provided that any assignee or pledgee of the aggregate Excess Servicing Strip for the Mortgage Pool must be a successor servicer Qualified Institutional Buyer or Institutional Accredited Investor (other than a Plan); and provided, further, that no transfer, sale, pledge or other assignment of the aggregate Excess Servicing Strip for the Mortgage Pool shall be made unless that transfer, sale, pledge or other assignment is exempt from the registration and/or qualification requirements of the Securities Act and any applicable state securities laws and is otherwise made in accordance with the terms hereof)Securities Act and such state securities laws; and provided, further, that in the event of any resignation or termination of [_____________________________], all or any portion of the aggregate Excess Servicing Strip for the Mortgage Pool may, to protect REMIC I against an associated increase in expenses, be reduced by the Trustee to the extent necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor Master Servicer (which successor may include the Trustee) that meets the requirements of Sections 6.04 and 7.02 and that requires market rate servicing compensation that, in the case of each Mortgage Loan and REO Mortgage Loan, accrues at a per annum rate greater than the excess of the related Master Servicing Fee Rate over the then related Excess Servicing Fee Rate. With For the avoidance of doubt, a Sub-Servicer to a Sub-Servicing Agreement dated the date hereof shall not be deemed to be the holder of an Excess Servicing Strip with respect to any sub-servicing fee payable thereunder. [_____________________________] and each Serviced Pari Passu Companion holder of the aggregate Excess Servicing Strip for the Mortgage Pool desiring to effect a transfer, sale, pledge or other assignment of the aggregate Excess Servicing Strip for the Mortgage Pool shall, and [_____________________________] hereby agrees, and each such holder of the aggregate Excess Servicing Strip for the Mortgage Pool by its acceptance thereof shall be deemed to have agreed, in connection with any transfer, sale, pledge or other assignment of the aggregate Excess Servicing Strip for the Mortgage Pool effected by such Person, to indemnify the Certificateholders, the Trust, the Depositor, the Underwriters, the Trustee, the Master Servicer, the Certificate Registrar and the Special Servicer against any liability that may result if such transfer, sale, pledge or other assignment is not exempt from registration and/or qualification under the Securities Act or other applicable federal and state securities laws or is not made in accordance with such federal and state laws or in accordance with the foregoing provisions of this paragraph. By its acceptance of the aggregate Excess Servicing Strip for the Mortgage Pool, the holder thereof shall be deemed to have agreed (i) to keep all information relating to the Trust and the Trust Fund and made available to it by the Master Servicer confidential (except as permitted pursuant to clause (iii) below or, in the case of the Master Servicer, as contemplated hereby in the performance of its duties and obligations hereunder), (ii) not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the aggregate Excess Servicing Strip for the Mortgage Pool or any Non-Registered Certificate pursuant to the Securities Act, and (iii) not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such holder's auditors, legal counsel and regulators, except to the extent such disclosure is required by law, court order or other legal requirement or to the extent such information is of public knowledge at the time of disclosure by such holder or has become generally available to the public other than as a result of disclosure by such holder; provided, however, that such holder may provide all or any part of such information to any other Person who is contemplating an acquisition of the aggregate Excess Servicing Strip for the Mortgage Pool if, and only if, such Person (x) confirms in writing such prospective acquisition and (y) agrees in writing to keep such information confidential, not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the aggregate Excess Servicing Strip for the Mortgage Pool or any Non-Registered Certificates pursuant to the Securities Act and not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such Persons' auditors, legal counsel and regulators. From time to time following any transfer, sale, pledge or assignment of the aggregate Excess Servicing Strip for the Mortgage Pool, the Person then acting as the Master Servicer shall pay, out of each amount paid to such Master Servicer as Master Servicing Fees with respect to any Mortgage Loan or REO Mortgage Loan, as the case may be, the Excess Servicing Fee shall be payable Strip attributable to such Mortgage Loan or REO Mortgage Loan to the holder of the aggregate Excess Servicing Strip for the Mortgage Pool within one Business Day following the payment of such Master Servicing Fees to the Master Servicer from amounts payable Servicer, in respect of each case in accordance with payment instructions provided by such Serviced Pari Passu Companion Loan, subject holder in writing to the terms Master Servicer. The holder of the related Intercreditor Agreementaggregate Excess Servicing Strip for the Mortgage Pool shall not have any rights under this Agreement except as set forth in the preceding sentences of this paragraph. The Master Servicer shall be entitled to retain, and shall not be required to deposit in pay the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Excess Servicing Strip for any Mortgage Loan (other than with respect or REO Mortgage Loan to a Non-Serviced Mortgage Loan) in the form holder of the following amounts to aggregate Excess Servicing Strip for the extent collected from the related Mortgagor: Mortgage Pool (ii.e., [_____________________________] or any such third party) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that at such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees time and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing entitled to receive payment of its Master Servicing Fees for such Mortgage Loan or REO Mortgage Loan, as the underlying transaction case may be, hereunder, notwithstanding any resignation or termination of [_____________________________] hereunder (whether or not the consent of the Special Servicer is requiredsubject to reduction as provided above this paragraph).
(b) Subject to Section 3.11(e), additional servicing compensation in the form of (iiii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage all late payment charges, Penalty Interest, assumption application fees, modification fees for Serviced Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid modifications made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(h), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by or on behalf a Mortgagor with respect to a Serviced Loan and, with respect to assumption application fees, late payment charges and Penalty Interest, accrued during the time that such Serviced Loan was not a Specially Serviced Loan, and (ii) 50% of any assumption fee to the related extent actually paid by a Mortgagor with respect to any Serviced Loan that is not a Specially Serviced Loan, may be retained by the Master Servicer and shall are not be required to deposit such amounts be deposited in the Collection Certificate Account or, if applicable, an A/B Custodial Account; provided that the Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or to reimburse the Companion Distribution Account Trust Fund for previously incurred Additional Trust Fund Expenses pursuant to this Section 3.11(b). To the extent the Master Servicer receives late payment charges or Penalty Interest on a Serviced Loan for which interest on Advances or inspection costs pursuant to Section 3.04(a3.12(a) are outstanding or Section 3.04(bany Additional Trust Fund Expenses related to such Serviced Loan have been incurred during the preceding 12-month period immediately preceding the receipt of such late payment charges or Penalty Interest and not previously reimbursed to the Trust Fund, the Master Servicer shall deposit in the Certificate Account, by the end of the Collection Period in which such late payment charges or Penalty Interest, as the case may be, was received (or, if later, upon its receipt from the Special Servicer), respectivelyan amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Serviced Loan or (ii) the sum of (A) the amount of interest on Advances related to such Serviced Loan then due and payable hereunder in accordance with Section 3.03(d) and/or (except with respect to any B-Note Loan or any successor REO B-Note Loan with respect thereto) Section 4.03(d), (B) the amount of any unpaid inspection costs pursuant to Section 3.12(a) related to such Serviced Loan and (C) without duplication, the amount of Additional Trust Fund Expenses (including, without limitation, interest on Advances and inspection costs pursuant to Section 3.12(a)) related to such Serviced Loan incurred during the preceding 12-month period and not previously reimbursed to the Trust Fund. To the extent that the Master Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Master Servicer shall deposit such late payment charges and Penalty Interest in the Certificate Account. Subject to Section 3.11(d)the two preceding sentences, Penalty Interest or late payment charges in respect of any Serviced Loan that have accrued during the period when the related Serviced Loan is not a Specially Serviced Loan shall be additional compensation to the Master Servicer even if collected during the period when the related Serviced Loan is a Specially Serviced Loan. Notwithstanding the foregoing, any late payment charges or penalty interest allocated to the Outside Serviced Mortgage Loan, in accordance with the related Co-Lender Agreement, shall be applied to pay interest on P&I Advances made on and to Additional Trust Fund Expenses allocated to such Outside Serviced Mortgage Loan in accordance with the related Co-Lender Agreement. The Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges Prepayment Interest Excesses on the Serviced Mortgage Loans (subject to the extent provided in Section 3.11(d3.11(e), ); (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account and any A/B Custodial Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Serviced Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and Servicing Accounts maintained thereby (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period but only to the extent not required of the Net Investment Earnings, if any, with respect to be paid as Compensating Interest Paymentseach such account for each Collection Period). The Master Servicer shall be required to pay out of its own funds all allocable overhead and all general and administrative expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Certificate Account or, with respect to an A/B Loan Combination, out of the related A/B Custodial Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to without the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer's prior written consent.
(bc) As compensation for its activities hereunder, subject to Section 3.11(e), the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and each REO Loan (other than a Non-Serviced Mortgage Loan and any that relates to an Administered REO Loan relating to a Non-Serviced Mortgaged Property). As to each such Specially Serviced Loan and each such REO LoanLoan that relates to an Administered REO Property, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. computed and be calculated on the same interest accrual basis (i.e., an Actual/360 Basis or a 30/360 Basis) as such Specially Serviced Loan or such REO Loan (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Specially Serviced Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days); [provided that the Special Servicing Fee with respect to any such Specially Serviced Loan or any such REO Loan (or, if part of an A/B Loan Combination, with respect to such A/B Loan Combination) shall not be less than $[________] for any one-month period during which such Special Servicing Fee accrues (or, in those cases where such Special Servicing Fee is accruing for a partial period of less than one month, shall not be less than the prorated portion of such $[________] amount).] The Special Servicing Fee with respect to any Specially Serviced Loan or any REO Loan that relates to an Administered REO Property shall cease to accrue if as of the date a Liquidation Event occurs with in respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servithe
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Citigroup Commercial Mortgage Securities Inc)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate (in accordance with the same terms of the related Mortgage Note as are applicable to the accrual of interest at the Mortgage Rate) and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, a 360-day year consisting of twelve 30-day months and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). 3.05
(a) The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any the Mortgage Loans (including any related Serviced Companion Loan, to the extent that are not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Specially Serviced Mortgage Loan) Loans and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees assumption and assumptionmodification fees on Mortgage Loans that are not Specially Serviced Mortgage Loans (provided, waiver, consent, loan service transaction that the Servicer shall be entitled to 100% of all modification fees with respect to the modifications described in Section 3.08(f)) to the extent that such fees are paid by the Mortgagor on Mortgage Loans that are not Specially Serviced Mortgage Loans and earnout fees only to the extent that all amounts then due and other similar fees (other than assumption application and defeasance fees), pursuant payable with respect to Section 3.08 and Section 3.18 on any the related Mortgage Loan (other than a Specially Serviced Loanincluding interest on Advances) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor borrower requests, beneficiary statements or demands, fees in connection with defeasance, if any, demands and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Certificate Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master The Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges received on the Mortgage Loans and accrued during such time as such Mortgage Loan was not a Specially Serviced Mortgage Loan, but only to the extent provided in Section 3.11(d), actually paid by the related Mortgagor and to the extent that all amounts then due and payable with respect to the related Mortgage Loan (including interest on Advances) and all unpaid Advances and additional Trust Fund expenses payable during the preceding 12-month period have been paid; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Accounts in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the each period from and including the prior any Distribution Date to and including the immediately succeeding P&I Advance Date related to the current Distribution Date), ) and (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate (in accordance with the same terms of the related Mortgage Note as are applicable to the accrual of interest at the Mortgage Rate) and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case and a 360-day year consisting of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, 30-day months and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with to the provisions of extent permitted by Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout modification fees received in each case with respect to all on Specially Serviced Mortgage Loans (other than Non-Serviced and 50% of all assumption and modification fees received on any Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), Loan to the extent not prohibited by required to be paid to the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect pursuant to all Mortgage Loans (other than Non-Serviced Mortgage LoansSection 3.11(a), but including any related Serviced Pari Passu Companion Loan(s), only to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by collected from the related Mortgagor and only to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees that all amounts then due and any other fees separately addressed herein) and (viii) payable with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating related Mortgage Loan (including those payable to the accounts held by the Special ServicerServicer pursuant to Section 3.11(a)) have been paid, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by ). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided, that a new Workout Fee will become payable if and when such Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable with respect to Mortgage Loans that became Corrected Mortgage Loans prior to the Master time of that termination or resignation. The successor special servicer will not be entitled to any portion of such Workout Fees. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds subject to the exceptions set forth in the definition of Liquidation Fee. Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the repurchase of any Mortgage Loan by the Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation, the purchase of any Specially Serviced Mortgage Loan by the Directing Certificateholder pursuant to Section 3.18(b), the Servicer or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. The Special Servicer will also be entitled to additional fees in the form of Penalty Charges on Specially Serviced Mortgage Loans which accrued during such time as such Mortgage Loan was a Specially Serviced Mortgage Loan, but only to the extent actually collected from the related Mortgagor and to the extent that all amounts then due and payable with respect to the related Mortgage Loan (including interest on Advances) and all unpaid Advances and additional Trust Fund expenses payable during the preceding 12-month period have been paid. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are received by not expressly payable directly out of the Certificate Account or the REO Account or as a Servicing Advance, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(c) In determining the compensation of the Servicer or Special Servicer. Subject , as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Servicer or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Servicer or the Trustee pursuant to Section 3.11(d), 3.05(vi) hereof and (iii) the Trust Fund for all unpaid Advances and additional Trust Fund expenses incurred during the prior 12 months and any Penalty Charges remaining thereafter shall be distributed pro rata to the Servicer and the Special ServiServicer based upon the amount of Penalty Charges the Servicer or the Special Servicer would otherwise have been entitled to receive during such period without any such application.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Ge Commercial Mortgage Corp)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs in respect thereof. Earned but unpaid Master Servicing Fees shall be payable monthly (or, with respect to the related Mortgage Loan, except that if such any Semi-Annual Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthlysemi-annually), on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modificationslate charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees, modification fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a for Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid modifications made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by or a Mortgagor with respect to a Mortgage Loan and accrued during the time that such Mortgage Loan was not a Specially Serviced Mortgage Loan, and (ii) one-hundred percent (100%) of any assumption fee to the extent actually paid by a Mortgagor with respect to any Mortgage Loan, other than a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account provided that the Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances in respect of the related Mortgagor Mortgage Loan as provided in Sections 3.03(d) and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b4.03(d), respectively. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account, the Interest Reserve Account or and the Companion Distribution Account Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan (butLoan, in on the case basis of the Poinciana Lakes Plaza Serviced Whole Loan, actual number of days to elapse from and including the related Due Date to but excluding the Poinciana Lakes Plaza Companion Loandate of such Principal Prepayment or Liquidation Event in a month consisting of 30 days), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan again became a Corrected Mortgage Loan. If the Special Servicing Servicer is terminated or resigns in accordance with Section 6.04, it shall no longer have the right to receive any Workout Fees payable in respect of Mortgage Loans that became Corrected Mortgage Loans during the period that it acted as Special Servicer. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan (or Qualified Substitution Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Principal Recovery Fee payable out of, and calculated by application of the Principal Recovery Fee Rate to, all amounts (whether in the form of payments Liquidation Proceeds or REO Revenues) received in respect of such Mortgage Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a recovery of principal, interest and expenses in accordance with Section 3.02(b) or the definition of "REO Loan", as applicable; provided that no Principal Recovery Fee shall be payable monthlyin connection with, on a loan-by-loan basisor out of (i) Insurance Proceeds and (ii) Liquidation Proceeds resulting from, in accordance with the provisions purchase of any Mortgage Loan or REO Property by the applicable Mortgage Loan Seller pursuant to the respective Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder pursuant to Section 3.05(a3.18(b), by the Master Servicer or the Special Servicer pursuant to Section 3.18(c) or by the Depositor, the Master Servicer, Chase Manhattan, the Special Servicer or the Majority Subordinate Certificateholder pursuant to Section 9.01. The Special Servicer's right to receive the Special Servicing Fee, the Workout Fee and the Principal Recovery Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan orSections 6.02, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan6.04 and 6.09.
(cd) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related late charges, Penalty Interest and assumption application fees received on or with respect to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-actually collected that accrued during the time that the related Mortgage Loan was a Specially Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) one-hundred percent (100% %) of assumption fees collected on all assumption application fees and other similar items received with respect to Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver modification fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement collected on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(smodifications made by the Master Servicer pursuant to Section 3.20(i)), in each case to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the ). The Special Servicer shall also be entitled to additional servicing compensation in the Master Servicer form of: (i) interest or other income earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) (but only to the extent of the funds are received Net Investment Earnings, if any, with respect to the REO Account for each Collection Period); and (ii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in the Servicing Accounts maintained by the Special Servicer. Subject The Special Servicer shall be required to Section 3.11(d)pay out of its own funds all general and administrative expenses incurred by it in connection with its servicing activities hereunder, and the Special ServiServicer shall not be entitled to reimbursement therefor except as expressly provided in Section 3.05(a) if and to the extent such expenses are not payable directly out of the Certificate Account or the REO Account.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Commercial Mortgage Pass Through Certiticates Series 1999 C2)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-including each Specially Serviced Companion Mortgage Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)each REO Loan. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis, an Actual/360 Basis or an Actual/365 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or an REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The foregoing sentence notwithstanding, the Master Servicing Fee shall not accrue with respect to any Closing Date Deposit Mortgage Loan for the interest accrual period to which the related Closing Date Deposit relates. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or any REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, monthly on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or any REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a)(iii) or Section 3.05(e), as applicable, and in the case of a Trust Mortgage Loan or a Trust REO Loan, out of such other amounts as may be permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit .
(b) Additional master servicing compensation in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan form of:
(other than i) any and all Default Charges (or portion thereof that is comprised of late payment charges) collected with respect to a Non-Mortgage Loan that is not a Specially Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreementprovided in clause seventh of Section 3.26(a), provided that such transactions are Master Servicer Decisions, ;
(ii) 10050% of any and all assumption application fees, assumption fees, modification fees, extension fees, consent fees, release fees, waiver fees, fees paid in connection with defeasance and other similar items received on any earn-out fees actually paid by a Mortgagor with respect to a Mortgage Loans Loan that is not a Specially Serviced Mortgage Loan (including any related Serviced Companion Loanprovided, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not however, that if the consent of the Special Servicer is required), (iii) 100% not required pursuant to the terms of any fee actually paid by a Mortgagor this Agreement in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (providedunderlying servicing action, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, then the Master Servicer shall be entitled to charge and retain as additional servicing compensation receive 100% of such fees);
(other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loaniii) any and all charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and other loan processing fees actually paid by a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgaged Loan and, in the accounts held case of checks returned for insufficient funds, with respect to a Specially Serviced Mortgage Loan;
(iv) any and all Prepayment Interest Excesses collected with respect to a Trust Mortgage Loan, including a Specially Serviced Mortgage Loan (after deduction of the amounts required to be deposited by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or for the Companion related Distribution Account Date pursuant to Section 3.04(a3.19(a) or Section 3.04(bin connection with Prepayment Interest Shortfalls and Casualty/Condemnation Interest Shortfalls), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: ;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or Investment Accounts maintained by the Companion Distribution Account in accordance with Section 3.06(b) Master Servicer (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account for each Collection Period and, further, in the period from and including the prior Distribution Date to and including the P&I Advance Date related case of a Servicing Account or Reserve Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent is not required to be paid to any Mortgagor under applicable law or under the related Mortgage Loan documents); and
(vi) other customary charges; may be retained by the Master Servicer (subject to Section 3.11(e) and are not required to be deposited in the Collection Account; provided that the Master Servicer's right to receive Default Charges pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay, or reimburse the Trust for, interest on Advances, Additional Trust Fund Expenses and property inspection costs in respect of the related Mortgage Loan or REO Loan as Compensating Interest Paymentsprovided in Sections 3.03(d), 3.12(a) and 4.03(d) or as otherwise provided in Section 3.26. Any of the amounts described in clauses (i) through (v) that are collected by the Special Servicer shall be promptly paid to the Master Servicer. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account or, with respect to a Loan Combination, out of the related Loan Combination Custodial Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis, an Actual/360 Basis or an Actual/365 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Subject to the penultimate paragraph of Section 3.11(c), earned but unpaid Special Servicing Fees shall be payable monthly out of related Liquidation Proceeds and then general collections on the Mortgage Loans and any REO Properties on deposit in the Collection Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan again became a Corrected Mortgage Loan. If the Special Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related Mortgagor had not made three consecutive monthly debt service payments and subsequently becomes a Corrected Mortgage Loan as a result of making such three consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, subject to the following sentence, the Special Servicer shall be entitled to a Principal Recovery Fee with respect to each Specially Serviced Mortgage Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof) for which it obtains a full or discounted payoff from the related Mortgagor, and the Special Servicer shall also be entitled to the Principal Recovery Fee with respect to any Specially Serviced Mortgage Loan or REO Property as to which it receives any Liquidation Proceeds or Insurance Proceeds and allocable as a recovery of principal, interest (other than Additional Interest and Penalty Interest) and expenses in accordance with Section 3.02(b) or the definition of "REO Loan", as applicable; and as to each such Specially Serviced Mortgage Loan and REO Loan, the Principal Recovery Fee shall be payable from, and will be calculated by application of the Principal Recovery Fee Rate to the related payment or proceeds. Notwithstanding the foregoing, no Principal Recovery Fee shall be payable in connection with, or out of proceeds received in connection with: the repurchase or substitution of any Mortgage Loan or REO Property by a Mortgage Loan Seller pursuant to the related Mortgage Loan Purchase Agreement due to a Breach or a Document Defect within (i) the time period (or extension thereof) provided for such repurchase or substitution or (ii) if such repurchase or substitution occurs after such time period (or extension thereof) and the Mortgage Loan Seller was acting in good faith to resolve such Breach or Document Defect; or the purchase of any Trust Mortgage Loan or related REO Property by the Plurality Subordinate Certificateholder, the Special Servicer or any Person (except an assignee meeting the requirements of Section 3.18(c)) pursuant to Section 3.18, by the related B-Note Loan Holder pursuant to the related Loan Combination Intercreditor Agreement unless the purchase price with respect thereto includes the Principal Recovery Fee, or by the Master Servicer, the Special Servicer or the Plurality Subordinate Certificateholder pursuant to Section 9.01; or the purchase of any Mortgage Loan by a mezzanine lender pursuant to the related mezzanine intercreditor agreement unless the purchase price with respect thereto includes the Principal Recovery Fee; or the removal of any Mortgage Loan or REO Property from the Trust by the Sole Certificate Owner in connection with an exchange of all of the outstanding Certificates owned by the Sole Certificate Owner for all of the Trust Mortgage Loans and each REO Property remaining in the Trust Fund pursuant to Section 9.01; and further no Principal Recovery Fee shall, with respect to any Mortgage Loan, be payable (i) in connection with a Periodic Payment received in connection with such Mortgage Loan or (ii) to the extent a Workout Fee is payable concerning the related payment, Liquidation Proceeds or Insurance Proceeds. Notwithstanding the foregoing, any Special Servicing Fee, Workout Fee and/or Principal Recovery Fee payable in accordance with the three preceding paragraphs with respect to a Loan Combination (including, without limitation, any successor REO Loans comprising same) shall be paid from the collections received on such Loan Combination on deposit in the related Loan Combination Custodial Account that may be applied to pay such fees in accordance with the related Loan Combination Intercreditor Agreement, pursuant to Section 3.05(e). Insofar as any Special Servicing Fee, Workout Fee and/or Principal Recovery Fee is payable in respect of a Non-Trust Loan, such fee shall be payable solely from collections in respect of such Non-Trust Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The Servicer's right to receive the Special Servicing Fee, the Workout Fee and the Principal Recovery Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein Sections 6.02, 6.04 and 6.09.
(d) Additional servicing compensation in the form of: (i) all Default Charges (or portion thereof that is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees comprised of late payment charges) collected with respect to a Non-Specially Serviced Mortgage Loan orLoans, to the extent provided in clause seventh of Section 3.26(a), and (subject to Section 3.11(b)(ii)) assumption application fees collected with respect to Specially Serviced Mortgage Loans and (ii) one-hundred percent (100%) of any assumption fee or modification fee to the case of the Poinciana Lakes Plaza Serviced Whole Loan, extent actually paid by a Mortgagor with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Specially Serviced Mortgage Loan and (other than with respect subject to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (BSection 3.11(b)(ii)) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees, assumption fees, modification fees, extension fees, consent fees, release fees, waiver fees, fees paid in connection with defeasance and other similar items received earn-out fees actually paid by a Mortgagor with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the that is a Mortgage Loan for which Special Servicer, 100% of charges Servicer consent is required shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagorsubject to Section 3.11(e)) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account or any Loan Combination Custodial Account, as the case may be; provided that the Special Servicer's right to receive Default Charges pursuant to Section 3.04(aclause (i) above shall be limited to the portion of such items that have not been applied to pay or reimburse the Trust for interest on Advances, Additional Trust Fund Expenses and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or paid by the as otherwise provided in Section 3.26. The Special Servicer shall also be entitled to additional servicing compensation in the Master Servicer form of: (i) interest or other income earned on deposits in the REO Accounts, if established, in accordance with Section 3.06(b) (but only to the extent of the funds are received Net Investment Earnings, if any, with respect to the REO Accounts for each Collection Period); and (ii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in the Servicing Accounts maintained by the Special Servicer. Subject The Special Servicer shall be required to pay out of its own funds all general and administrative expenses incurred by it in connection with its servicing activities hereunder, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in Section 3.11(d)3.05(a) and/or Section 3.05(e) if and to the extent such expenses are not payable directly out of the Collection Account, the Loan Combination Custodial Accounts or the REO Accounts, as the case may be.
(e) If the Master Servicer or the Special ServiServicer collects an assumption fee or an assumption application fee in connection with any transfer or proposed transfer of any interest in a Mortgagor or a Mortgaged Property in respect of a Mortgage Loan, then (notwithstanding anything herein to the contrary) the Master Servicer or the Special Servicer, as applicable, will apply that fee to cover the costs and expenses associated with that transfer or proposed transfer that are not otherwise paid by the related Mortgagor and that would otherwise be payable or reimbursable out of the Trust Fund, including any Rating Agency fees and expenses to the ext
Appears in 1 contract
Sources: Pooling and Servicing Agreement (MLCFC Commercial Mortgage Trust Series 2006-1)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, same principal amount and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance feeslate charges, liquidation feesPenalty Interest, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by or on behalf of a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgage Loan, may be retained by the related Mortgagor Master Servicer and shall are not be required to deposit such amounts be deposited in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectivelyCertificate Account. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to Prepayment Interest Excesses (but only insofar as the extent provided in Section 3.11(daggregate of such Prepayment Interest Excesses collected during any Collection Period exceeds the aggregate amount of Prepayment Interest Shortfalls incurred during such Collection Period), ; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in its Investment the Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Paymentsmaintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, same principal amount and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). In addition, with respect to each Specially Serviced Mortgage Loan, Corrected Mortgage Loan and REO Loan, the Special Servicer shall be entitled to the Principal Recovery Fee payable out of, and equal to 0.25% of, all amounts (whether in the form of payments, Insurance Proceeds, Liquidation Proceeds or REO Revenues) received in respect of such Mortgage Loan (or, in the case of an REO Loan, in respect of the related Mortgage REO Property) and allocable as a recovery of principal in accordance with Section 3.02(b) or the definition of "REO Loan. The Special Servicing ", as applicable; provided that no Principal Recovery Fee shall be payable monthlyin connection with, on or out of Liquidation Proceeds resulting from, the purchase of any Mortgage Loan or REO Property by the applicable Mortgage Loan Seller pursuant to the respective Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder pursuant to Section 3.18(b), by the Master Servicer or the Special Servicer pursuant to Section 3.18(c) or by the Master Servicer or the Depositor pursuant to Section 9.01; provided further that if any Person is acting as Special Servicer at such time as any Specially Serviced Mortgage Loan became a loan-by-loan basisCorrected Mortgage Loan and such Person is subsequently terminated as Special Servicer hereunder, and if such Corrected Mortgage Loan was still a Corrected Mortgage Loan at the time of such termination, then such Person shall, following such termination, continue to be entitled to all Principal Recovery Fees payable in respect to such Corrected Mortgage Loan, and no successor Special Servicer shall be entitled to any Principal Recovery Fees payable in respect thereof, in accordance either case unless and until such Corrected Mortgage Loan again becomes a Specially Serviced Mortgage Loan or becomes an REO Loan; and provided further that if any Person is terminated as Special Servicer hereunder while the sale of any Specially Serviced Mortgage Loan or REO Property is pending, then (subject to the second preceding proviso) such Person shall be entitled to all, and the successor Special Servicer shall be entitled to none, of the Principal Recovery Fee payable in connection with the provisions receipt of Section 3.05(a)the Liquidation Proceeds derived from such sale. The Special Servicer's right to receive the Special Servicing Fee and Principal Recovery Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan orSections 6.02, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan6.04 and 6.09.
(cd) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions late charges and assumption fees received on or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of: (i) interest or other income earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to the REO Account for each Collection Period); and (ii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in the Servicing Accounts maintained thereby. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket policy obtained by it insuring against hazard losses pursuant to Section 3.07(b)), if and to the extent such expenses are not payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall be entitled to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to reimbursement therefor as expressly provided in Section 3.11(d3.05(a), the Special Servi.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Merrill Lynch Mortgage Investors Inc)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced ) and REO Loan. No Master Servicing Fee shall be payable with respect to any Companion Loan and REO Loan (other than unless such fee is expressly set forth in the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Intercreditor Agreement. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagorof: (i) 100% of Excess Modification Fees related to any modificationsall late payment charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees, modification fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a for Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced or Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid modifications made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Mortgage Loan or on behalf Companion Loan and, with respect to late payment charges and penalty charges, accrued during the time that such Mortgage Loan or Companion Loan was not a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of any assumption fees or modification fees (other than modifications made by the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account Master Servicer pursuant to Section 3.04(a3.20(i)) to the extent actually paid by a Mortgagor with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account; provided that the Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances as provided in Sections 3.03(d) and 4.03(d) or Additional Trust Fund Expenses pursuant to this Section 3.04(b3.11(b), respectively. Subject To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses related to Section 3.11(d)such Mortgage Loan during the preceding 18-month period immediately preceding the receipt of such late payment charges or Penalty Interest and not previously reimbursed to the Trust Fund, the Master Servicer shall deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related to such Mortgage Loan during the preceding 18-month period for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses related to such Mortgage Loan incurred during the preceding 18-month period and not previously reimbursed to the Trust Fund. To the extent that the Master Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Master Servicer shall deposit such late payment charges and Penalty Interest in the Certificate Account. Penalty Interest or late payment charges in respect of any Mortgage Loan or Companion Loan which has accrued during the period when the related Mortgage Loan is not a Specially Serviced Mortgage Loan shall be additional compensation to the Master Servicer even if collected during the period when the related Mortgage Loan or Companion Loan is a Specially Serviced Mortgaged Loan. The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges Prepayment Interest Excesses (after deduction of the amounts required to be deposited by the extent provided Master Servicer in the Certificate Account for the related Distribution Date pursuant to Section 3.11(d3.19(a) in connection with Prepayment Interest Shortfalls), ; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Interest Reserve Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan or Companion Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans, Companion Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan and, if applicable, Companion Loan again became a Corrected Mortgage Loan. If the Special Servicing Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related borrower had not made three consecutive monthly debt service payments (but had made the most recent monthly debt service payment prior to the termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making such three consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Principal Recovery Fee payable out of, and calculated by application of the Principal Recovery Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues) received in respect of such Mortgage Loan or Companion Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a recovery of principal, interest and expenses in accordance with Section 3.02(b) or the definition of "REO Loan," as applicable; provided that no Principal Recovery Fee shall be payable monthlyin connection with, on or out of Liquidation Proceeds resulting from the purchase of any Mortgage Loan or REO Property by: (1) a loan-by-loan basisMortgage Loan Seller pursuant to the Wachovia Mortgage Loan Purchase Agreement, in accordance the Artesia Mortgage Loan Purchase Agreement or the Nomura Mortgage Loan Purchase Agreement, (2) the Majority Subordinate Certificateholder, the Companion Holder, the Special Servicer or any assignee pursuant to Section 3.18(c), Section 3.18(d), Section 3.18(e) or Section 3.18(h), provided, however, a Principal Recovery Fee shall be payable if the Mortgage Loan is acquired by a Person not Affiliated with the provisions of Majority Subordinate Certificateholder, the Companion Holder or the Special Servicer, or (3) the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder pursuant to Section 3.05(a)9.01; and provided, further, that no Principal Recovery Fee shall be payable (i) in connection with a Periodic Payment received in connection with such Mortgage Loan or (ii) to the extent a Workout Fee is payable concerning the Liquidation Proceeds. The Special Servicer's right to receive the Special Servicing Fee, the Workout Fee and the Principal Recovery Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan orSections 6.02, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan6.04 and 6.09.
(cd) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of of: (i) (A) 100% of all Excess Modification Fees related to modificationslate payment charges, waiversPenalty Interest, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent modification fees received on or with respect to Specially Serviced Mortgage Loans actually collected that, with respect to late payment charges and penalty charges, accrued during the time that the related Mortgage Loan was a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of any assumption fees or modification fees (other than modifications made by the Master Servicer pursuant to Section 3.08 or Section 3.183.20(i)), loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s)case, to the extent not prohibited actually paid by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received Mortgagor with respect to all any Mortgage Loans (other than Non-Loan or Companion Loan that is not a Specially Serviced Mortgage LoansLoan, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account provided that the Special Servicer's right to receive late payment charges and Penalty Interest pursuant to Section 3.04(aclause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or paid by Additional Trust Fund Expenses pursuant to this Section 3.11(d). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses related to such Mortgage Loan during the preceding 18-month period and not previously reimbursed to the Trust Fund, the Special Servicer shall transfer to the Master Servicer for deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related to such Mortgage Loan incurred during the preceding 18-month period for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses related to such Mortgage Loan during the preceding 18-month period and not previously reimbursed to the Trust Fund. To the extent that the Special Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Special Servicer shall promptly transfer such late payment charges and Penalty Interest to the Master Servicer who shall deposit such late payment charges and Penalty Interest in the Certificate Account. The Special Servicer shall also be entitled to additional servicing compensation in the form of: (i) interest or other income earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) (but only to the extent of the funds are received Net Investment Earnings, if any, with respect to the REO Account for each Collection Period); and (ii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in the Servicing Accounts maintained by the Special Servicer. Subject The Special Servicer shall be required to Section 3.11(d)pay out of its own funds all general and administrative expenses incurred by it in connection with its servicing activities hereunder, and the Special ServiServicer shall not be entitled to reimbursement therefor except as expressly provided in Section 3.05(a) if and to the extent such expenses are not payable directly out of the Certificate Account or the REO Account.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Wachovia Commercial Mort Pass Thru Cert Ser 2002-C2)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including without limitation each Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)and each REO Mortgage Loan. As to each Mortgage Loan, Companion including without limitation each Specially Serviced Mortgage Loan and each REO Mortgage Loan, the Master Servicing Fee shall accrue on the related Scheduled Principal Balance of such Mortgage Loan outstanding from time to time at the applicable Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due or deemed due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Master Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues Income allocable as interest on each REO Mortgage Loan and the interest portion of P&I Advances on each Mortgage Loan, and as otherwise provided by Section 3.05(a)including without limitation each REO Mortgage Loan. The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or including without limitation each REO Loan Mortgage Loan, out of that portion of related paymentsInsurance Proceeds, Insurance and Condemnation Proceeds, Liquidation Proceeds, Repurchase Proceeds and REO Revenues (in the case or payments of an REO Loan) Substitution Shortfall Amounts allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer5.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Morgan Stanley Capital I Inc)
Servicing Compensation. (a) As compensation for its activities hereunderhereunder with respect to the Mortgage Loans, the Master Primary Servicer shall be entitled to receive the Servicing Fee a primary servicing fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSAPrimary Servicing Fee”). As to each Mortgage Loan, Companion Loan and REO Loan, the Primary Servicing Fee shall accrue from time to time at the rate per annum as specified in Exhibit C hereof (the “Primary Servicing Fee Rate Rate”) and shall be computed on the basis of the Stated Scheduled Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan (or deemed to be due due) on such REO Mortgage Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Primary Servicing Fee shall be payable monthly, on a loan-by-loan basis. With respect to the Mortgage Loans, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master the Primary Servicer shall be entitled to recover unpaid pay itself the Primary Servicing Fees in respect of Fee from actual collections on the respective Mortgage Loans.
(b) The Primary Servicer shall retain all rights to the Excess Servicing Fee for the Mortgage Loans, even if (a) any Mortgage Loan, Companion Loan or REO Mortgage Loans become Specially Serviced Mortgage Loans; (b) the Primary Servicer’s servicing is terminated with respect to particular Mortgage Loans or (c) the Primary Servicer is in default, is terminated or resigns under this Agreement. If the Primary Servicer is unable to deduct the Excess Servicing Fee because it no longer services a Mortgage Loan out or Mortgage Loans or for any other reason (other than transfer or assignment of that portion of related paymentsthe rights to the Excess Servicing Fee), Insurance then the Master Servicer (and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in any successor) shall cause the case of an REO Loan) allocable as recoveries of interestExcess Servicing Fee to be paid on the Mortgage Loans to the Primary Servicer, to the extent permitted of any amounts received by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. .
(c) The Master Primary Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain receive as additional primary servicing compensation (other than with respect to any Non-Serviced Mortgage Loan “Additional Primary Servicing Compensation”), the percentage specified below of the income, fee or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicercharge described below, in each case only to the extent that such income, fee or charge is actually collected by the Primary Servicer from the Borrower or earned and paid by or on behalf any account:
(i) 100% of the related Mortgagor and shall not be required earnings on the earnings on the Escrow Accounts (to deposit such amounts in the Collection Account or extent that the Companion Distribution Account pursuant to Primary Servicer is entitled thereto under Section 3.04(a) or Section 3.04(b3.03(e), respectively. Subject to Section 3.11(d), the Master Primary Certificate Account (to the extent that the Primary Servicer is entitled thereto under Section 3.04(e)) and, subject to the related Mortgage Loan Documents and applicable law, any other accounts held by the Primary Servicer hereunder.
(ii) 50% of any fee associated with a Borrower request including but not limited to loan assumptions, modifications, waivers, consents and extensions relating to transactions not requiring Special Servicer consent pursuant to the PSA.
(iii) 25% of any fee associated with a Borrower request (other than the non-refundable processing fee relating to assumptions and transfers) including but not limited to loan assumptions, modifications, waivers, consents and extensions relating to transactions requiring Special Servicer consent pursuant to the PSA. In addition, the Primary Servicer shall be entitled to any Borrower-paid administration fees associated with any Escrow Account maintained by the Primary Servicer. The Primary Servicer shall also be entitled to additional servicing compensation that portion of any late charges collected from or on behalf of any Borrower that remains after application to any advance interest due to the Trust, on a “loan-by-loan” basis, in the form of: manner set forth in clause first and clause second of Section 3.26(a) of the PSA, other than the portion thereof (iif any) Penalty Charges to which the Special Servicer is entitled as set forth in clause third of Section 3.26(a) of the PSA. With respect to the extent provided Mortgage Loans, the Primary Servicer shall not be entitled to Additional Primary Servicing Compensation in Section 3.11(d), (ii) respect of interest or other income earned on deposits relating in any account that is not maintained by the Primary Servicer. The Primary Servicer shall not be entitled to any default interest, prepayment premiums, yield maintenance charges or additional interest, including excess interest collected on any Mortgage Loan. Any fees, charges or miscellaneous collections not specified as payable to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only Primary Servicer above are payable to the extent Master Servicer.
(d) Notwithstanding the preceding provisions of this Section 3.10, the Net Investment Earnings, if any, Primary Servicer shall not be entitled to any Additional Primary Servicing Compensation with respect to such account for the period from any Mortgage Loan that has become a Specially Serviced Mortgage Loan (other than interest and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other investment income earned on deposits funds in its Investment Accounts accounts maintained by the Primary Servicer) or with respect to which are not required by applicable law or the related Mortgage Loan to Primary Servicer has been terminated as Primary Servicer hereunder; provided, however, the Primary Servicer shall be paid entitled to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsExcess Servicing Fee. The Master Primary Servicer shall be required to pay out of its own funds funds, without reimbursement therefor, all overhead and general and administrative expenses incurred by it in connection with its servicing activities hereunder hereunder, including costs for office space, office equipment, supplies and related expenses, employee salaries and related expenses and similar internal costs and expenses.
(including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and e) The fee addendum hereto as Exhibit Q (the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), “Fee Addendum”) is hereby incorporated by reference as if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreementfully set forth herein. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split Any conflict between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms provisions of this Agreement and such reduction. The Master Servicer the Fee Addendum shall pay the Transferable Servicing Interest to the holder be resolved in favor of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special ServicerFee Addendum.
(bf) As compensation for its activities hereunder, the Special The Primary Servicer shall be entitled to receive withdraw from the Special Primary Certificate Account and pay to itself the Primary Servicing Fee, the Excess Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Additional Primary Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed Compensation on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Primary Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, Remittance Date but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly only from the related Mortgagor) to sources of funds from which such payment may be made as specified hereunder and the extent such fees are paid by the Mortgagor Pooling and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special ServiServicing Agreement.
Appears in 1 contract
Sources: Primary Servicing Agreement (Bear Stearns Commercial Mortgage Securities Trust 2007-Pwr16)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced ) and REO Loan. No Master Servicing Fee shall be payable with respect to any Companion Loan unless such fee is expressly set forth in the related Intercreditor Agreement; provided, that so long as its related Co-Lender Loan is in the Trust Fund, the Master Servicing Fee Rate for the 17 Battery Place Companion Loan shall be 0.015% and REO the Master Servic▇▇▇ ▇▇▇ ▇▇▇▇ ▇▇▇ the AON Office Building Companion Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)shall be 0.030%. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to the 175 West Jackson Loan and the 180 Maiden Lane Loan will be as set for▇▇ ▇▇ ▇▇▇ ▇▇▇▇▇▇ge Loan Schedu▇▇. ▇▇▇ ▇▇▇▇▇▇ Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii) and otherwise as provided in Section 3.05(a)(vii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagorof: (i) 100% of Excess Modification Fees related to any modificationsall late payment charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any if the related assumption is completed, modification fees for modifications to Mortgage Loans (including any related Serviced or Companion Loan, to the extent Loans that are not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Specially Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid Loans made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Mortgage Loan or Companion Loan and, with respect to late payment charges and penalty charges, accrued during the time that such Mortgage Loan or Companion Loan was not a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of (A) any assumption fees and (B) any assumption application fees if the related assumption fails to be completed, in each case to the extent actually paid by a Mortgagor with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account; provided that the Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances as provided in Sections 3.03(d) and 4.03(d) or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) or interest on Advances pursuant to this Section 3.11(b). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan and not previously reimbursed to the Trust Fund, the Master Servicer shall deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related Mortgagor to such Mortgage Loan since the Closing Date for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan incurred since the Closing Date and not previously reimbursed to the Trust Fund. To the extent that the Master Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Master Servicer shall not be required to deposit such amounts late payment charges and Penalty Interest in the Collection Account Certificate Account. Penalty Interest or late payment charges in respect of any Mortgage Loan or Companion Loan which has accrued during the period when the related Mortgage Loan or Companion Distribution Account pursuant Loan is not a Specially Serviced Mortgage Loan shall be additional compensation to Section 3.04(a) the Master Servicer even if collected during the period when the related Mortgage Loan or Section 3.04(b), respectivelyCompanion Loan is a Specially Serviced Mortgage Loan. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Interest Reserve Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan or Companion Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and each REO Loan (other than a Nonthe 2004-C15 Serviced Mortgage Loan Loans and any related REO Loan relating to a Non-Serviced Mortgaged PropertyLoans). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans, Companion Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer, or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan and, if applicable, Companion Loan again became a Corrected Mortgage Loan. If the Special Servicing Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related borrower had not made three consecutive monthly debt service payments (but made the most recent monthly debt service payment prior to the termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making three such consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan or Mortgage Loan subject to repurchase by the applicable Mortgage Loan Seller (to the extent such Mortgage Loan was not repurchased within the cure period specified in the related Mortgage Loan Purchase Agreement) (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Liquidation Fee payable out of, and calculated by application of the Liquidation Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues or a full or discounted payoff by the Mortgagor) received in respect of such Mortgage Loan or Companion Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a full or partial recovery of principal, interest and expenses in accordance with Section 3.02(b) or the definition of "REO Loan," as applicable; provided that no Liquidation Fee shall be payable monthlyin connection with, on or out of (i) Insurance Proceeds and (ii) Liquidation Proceeds resulting from the purchase of any Mortgage Loan or REO Property by a loan-by-loan basisMortgage Loan Seller pursuant to the applicable Mortgage Loan Purchase Agreement if purchased within the cure period set forth in Section 3(c) of such Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder, the Companion Holder, or the Special Servicer pursuant to Section 3.18(c), Section 3.18(d), Section 3.18(e), Section 3.18(h) or by the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder or the purchasing Certificateholder pursuant to Section 9.01, or any mezzanine lender pursuant to the related mezzanine intercreditor agreement if purchased by the mezzanine lender within 90 days of the related Mortgage Loan becoming a Specially Serviced Mortgage Loan; and (iii) Liquidation Proceeds resulting from the remittance by the related Mortgage Loan Seller pursuant to Section 2.03 (if remitted within the cure period set forth for repurchase in accordance the related Mortgage Loan Purchase Agreement); and provided, further, that no Liquidation Fee shall be payable (i) in connection with a Periodic Payment received in connection with such Mortgage Loan or (ii) to the provisions of Section 3.05(a)extent a Workout Fee is payable concerning the Liquidation Proceeds. The Special Servicer's right to receive the Special Servicing Fee, the Workout Fee and the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit Sections 6.02, 6.04 and 6.09.
(d) Additional servicing compensation in the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder form of: (i) all late payment charges, Penalty Interest received on or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Specially Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole LoanLoans actually collected that, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each late payment charges and penalty charges, accrued during the time that the related Mortgage Loan was a Specially Serviced Mortgage Loan, (other than ii) one hundred percent (100%) of any assumption application fees and assumption fees with respect to any Specially Serviced Mortgage Loan and fifty percent (50%) of (A) any assumption fees and (B) any assumption application fees if the related assumption fails to be completed with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Non-Specially Serviced Mortgage Loan, in each case to the extent actually paid by a Mortgagor, and (iii) in the form of (i) (A) 100% of modification fees collected on all Excess Modification Fees related to modifications, waivers, extensions Mortgage Loans or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Companion Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a modifications made by the Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.183.20(i)), or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account Certificate Account; provided that the Special Servicer's right to receive late payment charges and Penalty Interest pursuant to Section 3.04(aclause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or paid by Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) pursuant to this Section 3.11(d). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan and not previously reimbursed to the Trust Fund, the Special Servicer shall transfer to the Master Servicer for deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related to such Mortgage Loan incurred since the Closing Date for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan since the Closing Date and not previously reimbursed to the Trust Fund. To the extent the funds are received by that the Special Servicer. Subject Servicer is not entitled to Section 3.11(d), the Special Servilate payment charges
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Wachovia Bank Commercial Mortgage Trust Series 2005-C16)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage LoanLoan (including Specially Serviced Mortgage Loans), Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreementpart. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Certificate Account or the related Component Mortgage Loan Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(f), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement 3.08(a) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demandsdemands reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution related Component Mortgage Loan Collection Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d3.11(c), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges collected on Mortgage Loans during the period said Mortgage Loans were Non-Specially Serviced Mortgage Loans, but only to the extent provided in Section 3.11(d)actually paid by the related Mortgagor and to the extent that all interest on related Advances and all additional Trust Fund expenses (other than Special Servicing Fees) payable with respect to such Mortgage Loan have been paid since the Closing Date, (ii) interest or other income earned on deposits relating to the Trust Fund in the Certificate Account and the related Component Mortgage Loan Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsDue Period. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Certificate Account or the related Component Mortgage Loan Collection Account Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with to the provisions of extent permitted by Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying application, assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any extension, modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (earnout and specifically excluding any defeasance fees), provided that in each case, received on any Specially Serviced Mortgage Loans to the extent such transaction qualifies as a Major Decision or Special Servicer Decision, fees are paid by the Mortgagor and (ivii) 10050% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement3.08(a) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Certificate Account or the related Component Mortgage Loan Collection Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor special servicer will not be entitled to any portion of such Workout Fees. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master exceptions set forth in the definition of Liquidation Fee. Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the 90-day period or such other additional period provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan by the Majority Controlling Class Certificateholder pursuant to Section 3.18(a), the Servicer or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Subject to clause (c) below, the Special Servicer will also be entitled to additional fees in the form of Penalty Charges on Specially Serviced Mortgage Loans which are collected during such time as such Mortgage Loan was a Specially Serviced Mortgage Loan, but only to the extent actually collected from the related Mortgagor and to the extent that all interest on Advances and additional Trust Fund expenses payable with respect to the related Mortgage Loan have been paid since the Closing Date. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are received not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Servicer, the Special Servicer or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Servicer, the Special Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof and (iii) the Trust Fund for costs of inspections by the Special Servicer. Subject , all unpaid Advances and additional Trust Fund expenses (other than Special Servicing Fees) incurred since the Closing Date, Penalty Charges remaining thereafter shall be distributed to Section 3.11(d)the Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special ServiServicer if and to the extent collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Jp Morgan Chase Com Sec Corp Pass Thru Cert Ser 2003-Cibc6)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Mortgage Loans subject to this Agreement, the Master Servicer shall be entitled to receive the a Servicing Fee with respect to for each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of remaining subject to this Agreement during any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)calendar month or part thereof. As to each Mortgage Loan, Companion Loan and REO Loan, the Such Servicing Fee shall accrue from time to time at be payable monthly on the Servicing Fee Rate Remittance Date and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, same outstanding principal balance and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting with respect to which any related interest payment due on such the related Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicer may pay itself the Servicing Fee with respect on each Remittance Date from amounts on deposit in the related Collection Account. As further compensation for its activities hereunder, the Servicer shall be entitled to retain any payments or collections received by it which are in the nature of Additional Servicing Compensation. As compensation for its special servicing activities hereunder, the Servicer shall be entitled to the Special Servicing Fee for each Specially Serviced Mortgage Loan, Companion Loan or REO Loan shall cease Property remaining subject to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurduring any calendar month or part thereof. The Such Special Servicing Fee shall be payable monthly, monthly on a loan-by-loan basis, from payments the Remittance Date and shall be computed on the basis of the same outstanding principal balance and for the period with respect to which any related interest payment on the related Mortgage Loan is computed. The Servicer may pay itself the Special Servicing Fee on each Remittance Date from amounts on deposit in the related Collection Account. The Servicer shall not be entitled to the Servicing Fee for any Mortgage Loan in the event the Servicer is entitled to receive the Special Servicing Fee for such Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan. In addition to the other servicing compensation provided for in this Agreement, and as otherwise provided by Section 3.05(a). The Master not in lieu thereof, the Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan(i) the Disposition Fee, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee which shall be payable out of Net Liquidation Proceeds prior to the Master Servicer from amounts payable in respect deposit of such Serviced Pari Passu Companion Loan, subject to Net Liquidation Proceeds into the terms of Collection Account; and (ii) the related Intercreditor Agreement. The Master Servicer Workout Fee which shall be entitled to retain, and shall not be required to payable on each Remittance Date. To the extent that amounts on deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in are insufficient for the form payment of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modificationsServicing Fee, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Servicing Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In additionWorkout Fee, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to pay any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors such shortfall to the extent such beneficiary statements or demand charges were prepared by Servicer within ten (10) Business Days after the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu ’s receipt of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Paymentsan itemized invoice therefor. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor thereof except as expressly specifically provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagorfor herein. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, Inc. (and its successors and assigns) shall also be entitled to the Excess Servicing Strip with respect to the Mortgage Loans that it is servicing and may at its option, option assign or pledge to any third party or retain for itself the Transferable Excess Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reductionStrip. The Master Servicer (or its successor hereunder, if any) shall pay the Transferable Excess Servicing Interest Strip to the holder of the Transferable Excess Servicing Interest Strip (i.e., Midland Loan Services, Inc. or any such third party) at such time and to the extent the Master Servicer is entitled to receive payment of its Master Servicing Fees hereunder, notwithstanding any resignation or termination of the Master Servicer hereunder. In the event that Midland Loan Services, a Division of PNC BankInc. is terminated or resigns as servicer, National Association, as Master Servicer hereunder it (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bits successors and assigns) As compensation for its activities hereunder, the Special Servicer shall will be entitled to receive retain the Special Excess Servicing Fee with respect Strip. Pursuant to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loanthe Reimbursement Agreement, the Special Servicing Fee Servicer shall accrue from time to time at the Special Servicing Fee Rate and shall be computed also receive interest for any Advances made by it on the Mortgage Loans on an actual/360 day basis of for the Stated Principal Balance time period from the date of such Specially Serviced Loan or REO Loan (but, initial Advance until the time such Advance is reimbursed. The interest rate on such Advance will be determined by reference to the Prime Rate as most recently published in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, Wall Street Journal for the same time period respecting which any related interest payment due on from the date of such Specially Serviced Loan or deemed to be due on initial Advance until the time such REO Loan Advance is computedreimbursed. The Special Servicing Fee amount of interest paid on an Advance with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such shall be offset with late fees are paid collected by the Mortgagor and shall not be required Servicer with respect to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servisuch Mortgage Loan.
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Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Mortgage Loans subject to this Agreement, the Master Servicer shall be entitled to receive the a Servicing Fee with respect to for each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under (including any related Non-Specially Serviced PSA). As to each Mortgage Loan, Companion Loan and or REO Loan) remaining subject to this Agreement during any calendar month or part thereof; provided that any Servicing Fee allocable to a Funded Companion Participation or Future Funding Participation shall be paid only from amounts allocated to such Funded Companion Participation, the Future Funding Participation. The Servicing Fee shall accrue from time to time at be payable monthly on the Servicing Fee Rate Remittance Date of each month and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, same outstanding principal balance and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting with respect to which any related interest payment due on such the related Mortgage Loan or Companion Loan or deemed to be due distribution on such REO the related Mortgage Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive may pay itself the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer on the Remittance Date of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer month from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to on deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b)Participated Mortgage Loan Collection Account, respectivelyas applicable. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to To the extent provided in Section 3.11(d), (ii) interest or other income earned that amounts on deposits relating to the Trust Fund deposit in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Participated Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected Collection Account on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required Remittance Date are insufficient to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing the Servicing Fee allocated to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and or REO Loan, the Special Servicing Fee Issuer shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of pay any such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect shortfall to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with Servicer within ten (10) Business Days after the provisions Issuer’s receipt of Section 3.05(a)an itemized invoice therefor. The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(cb) The Special As further compensation for its activities hereunder, the Servicer shall be entitled to additional servicing compensation relating retain in the nature of Additional Servicing Compensation, and shall not be required to each deposit in the Collection Account or the Participated Mortgage Loan (other than with respect Collection Account pursuant to a Non-Serviced Mortgage Loan) in the form of Section 3.03, (i) (A) 100% of all Excess Modification Fees related late payment, modification, waiver, assumption, transfer, processing, consent fees and other similar fees if the consent of the Special Servicer is not required to modificationstake such action, waivers, extensions or amendments of any Specially Serviced Loans, (B) and 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any all such fees for Performing Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision for which the Special Servicer's consent or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decisionapproval is required, (ii) 100% of all assumption defeasance fees and application fees received on Performing Mortgage Loans and other similar items received all assumption, waiver and consent fees pursuant to Section 3.09(a) and 3.09(b) on the Performing Mortgage Loans, to the extent that such fees are paid by the Obligor and for which the Special Servicer's consent or approval is not required on the Performing Mortgage Loans and only to the extent that all amounts then due and payable with respect to the related Mortgage Loan have been paid, and 50% of all such fees for Performing Mortgage Loans for which the Special Servicer processes the underlying assumption-related transactionServicer's consent or approval is required, (iii) 50% of the portion of any Excess Modification Fees charges for processing Obligor requests, beneficiary statements or waiver demands, reasonable and customary consent fees, fees payable solely in connection with any modificationdefeasance, waiverif any, amendment or consent executed in connection with a defeasance transaction for which the consentand other customary charges, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer amounts collected for checks returned for insufficient funds relating funds, in each case only to the accounts held extent actually paid by the Special Servicerrelated Obligor, (iv) all income and gain realized from the investment of funds deposited in the Accounts to which it is entitled pursuant to Section 3.04 and (v) Additional Servicing Compensation payable to the Servicer pursuant to Section 3.15(f). Notwithstanding the foregoing, collections representing Retained Interest shall not be included in Additional Servicing Compensation and shall be promptly paid remitted to the Special Seller pursuant to Section 3.03(b)(vii).
(c) The Servicer by the Master Servicer (or directly from the shall be required to pay all expenses related Mortgagor) to the extent such fees are paid Servicer’s internal costs, consisting of overhead and employee costs and expenses incurred by the Mortgagor it in connection with its servicing activities hereunder and shall not be required entitled to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servireimbursement thereof except as specifically provided for herein.
Appears in 1 contract
Servicing Compensation. Interest on Servicing Advances; Payment of Certain Expenses; Obligations of the Trustee Regarding Back-up Servicing Advances.
(a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-including each Specially Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)each REO Loan. As to each such Mortgage Loan, Companion Loan and REO Loan, for each calendar month (commencing with April 2003) or any applicable portion thereof, the Master Servicing Fee shall accrue at the related Master Servicing Fee Rate on the same principal amount as interest accrues from time to time during such calendar month (or portion thereof) on such Mortgage Loan or is deemed to accrue from time to time at during such calendar month (or portion thereof) on such REO Loan, as the Servicing Fee Rate case may be, and shall be computed calculated on the basis of the Stated Principal Balance of same Interest Accrual Basis as is applicable for such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs in respect thereof. Master Servicing Fees earned with respect to the related Mortgage Loan, except that if such Mortgage any Loan is part of a Serviced Whole or REO Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, monthly from payments of interest on each Mortgage Loan, Companion such Loan and or REO Revenues allocable as interest on each such REO Loan, and as otherwise provided by Section 3.05(a)the case may be. The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that the portion of any related payments, Insurance and Condemnation Proceeds, Condemnation Proceeds or Liquidation Proceeds and allocable as interest on such Loan or REO Revenues (in Loan, as the case may be. In the case of an REO the ES Component Mortgage Loan and the SB Component Mortgage Loan) allocable as recoveries of interest, the Master Servicing Fee with respect to the extent permitted by Section 3.05(a). Except as set forth in the following sentenceES Component Mortgage Loan Senior Component, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c)ES Component Mortgage Loan Subordinate Components, the SB Component Mortgage Loan Senior Component, the SB Component Mortgage Loan Subordinate Components and additional servicing compensation with respect to the ES Component Mortgage Loan and the SB Component Mortgage Loan shall be an expense of the Component Mortgage Loan REMIC. The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer under this Agreement and except as otherwise expressly provided in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. following paragraph.
(b) The Master Servicer shall be entitled to retainreceive the following items as additional servicing compensation, and which shall not be paid prior to remittance of such amounts, if any, which are required to deposit in be paid to any Companion Loan Holder under any Co-Lender Agreement (the Collection Account pursuant to Section 3.04(a)following items, additional servicing compensation relating to each Mortgage Loan collectively, "Additional Master Servicing Compensation"):
(other than i) any and all Net Default Charges, Net Assumption Application Fees, Net Modification Application Fees and earnout fees collected with respect to a Non-Serviced Mortgage Performing Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, ;
(ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 10050% of any fee and all Net Assumption Fees actually paid by a Mortgagor in connection with the defeasance of respect to a Mortgage Loan Performing Loan;
(other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (viiii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application and all Net Modification Fees, extension fees, defeasance fees, liquidation fees, workout consent fees and any other waiver fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than actually paid by a Mortgagor with respect to any Non-Serviced Mortgage Loan or Specially Serviced a Performing Loan;
(iv) any and all charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and other loan processing fees actually paid by a Mortgagor with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage a Performing Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerand, in each the case only of checks returned for insufficient funds, with respect to a Specially Serviced Loan;
(v) any and all Prepayment Interest Excess collected on the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: Mortgage Loans; and
(i) Penalty Charges to the extent provided in Section 3.11(d), (iivi) interest or other income earned on deposits relating in the Investment Accounts maintained by the Master Servicer, in accordance with Section 3.06(b) (but only to the Trust Fund extent of the Net Investment Earnings, if any, with respect to any such Investment Account for each Collection Period and, further, in the Collection case of a Servicing Account or Reserve Account, only to the extent such interest or other income is not required to be paid to any Mortgagor under applicable law or under the related Mortgage). Notwithstanding the foregoing with respect to any 50% sharing of fees referenced in this Section 3.11(b), the Master Servicer shall be entitled to all such fees if with respect to the activity related to any such fee the Master Servicer is not required to seek the consent and/or approval of the Special Servicer pursuant to this Agreement. To the extent that any of the amounts described in the preceding paragraph are collected by the Special Servicer, the Special Servicer shall promptly pay such amounts to the Master Servicer.
(c) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive monthly the Special Servicing Fee with respect to each Specially Serviced Loan and each REO Loan for which it is responsible. As to each Specially Serviced Loan and REO Loan, for any particular calendar month or applicable portion thereof, the Special Servicing Fee shall accrue at the Special Servicing Fee Rate on the same principal amount as interest accrues from time to time during such calendar month (or portion thereof) on such Specially Serviced Loan or is deemed to accrue from time to time during such calendar month (or portion thereof) on such REO Loan, as the case may be, and shall be calculated on the same Interest Accrual Basis as is applicable for such Specially Serviced Loan or REO Loan, as the case may be. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue as of the date a Liquidation Event occurs in respect thereof or, in the case of a Specially Serviced Loan, as of the date it becomes a Corrected Loan. Earned but unpaid Special Servicing Fees with respect to Specially Serviced Loans and REO Loans shall be payable monthly out of general collections on the Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a); provided, however, if a Loan Pair is involved, first out of funds on deposit in the related Loan Pair Custodial Account pursuant to Section 3.05(f). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Loan. As to each Corrected Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each payment of interest (other than Default Interest) and principal received from the related Mortgagor on such Loan for so long as it remains a Corrected Loan. The Workout Fee with respect to any Corrected Loan will cease to be payable if a new Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when the subject Loan again became a Corrected Loan. If the Special Servicer is terminated, including pursuant to Section 3.23, or resigns in accordance with Section 6.04, it shall retain the right to receive any and all Workout Fees payable in respect of (i) any Loans serviced by it that became Corrected Loans during the period that it acted as Special Servicer and that were still Corrected Loans at the time of such termination or resignation and (ii) any Specially Serviced Loans for which such Special Servicer has resolved the circumstances and/or conditions causing any such Loan to be a Specially Serviced Loan, but which had not as of the time the Special Servicer was terminated become a Corrected Loan solely because the related Mortgagor had not made three consecutive timely Monthly Payments and which subsequently becomes a Corrected Loan as a result of the related Mortgagor making such three consecutive timely monthly payments (and the successor to the Special Servicer shall not be entitled to any portion of such Workout Fees), in each case until the Workout Fee for any such loan ceases to be payable in accordance with the preceding sentence; provided that, in the case of any Specially Serviced Loan described in clause (ii) of this sentence, the terminated Special Servicer shall immediately deliver the related Servicing File to the Master Servicer, and the Master Servicer shall (without further compensation) monitor that all conditions precedent to such Loan's becoming a Corrected Loan are satisfied and, further, shall immediately transfer such Servicing File to the new Special Servicer if and when it becomes apparent to the Master Servicer that such conditions precedent will not be satisfied. As further compensation for its activities hereunder, the Special Servicer shall also be entitled to receive a Liquidation Fee with respect to each Specially Serviced Loan or REO Loan as to which it receives any full, partial or discounted payoff from the related Mortgagor or any Insurance Proceeds, Condemnation Proceeds or Liquidation Proceeds. Notwithstanding the foregoing and for the avoidance of doubt, no Liquidation Fee shall be payable in connection with (a) the purchase of a Defaulted Mortgage Loan by the Majority Certificateholder of the Controlling Class, any CBA B Noteholder (if the related Defaulted Mortgage Loan is a CBA Mortgage Loan), the ES Controlling Holder (if the related Defaulted Mortgage Loan is the ES Component Mortgage Loan), the SB Controlling Holder (if the related Defaulted Mortgage Loan is the SB Component Mortgage Loan) or the Wellbridge Note B Holder and/or the Wellbridge Mezzanine Lender (if the related Defaulted Mortgage Loan is a Wellbridge Trust Mortgage Loan) pursuant to any applicable purchase right set forth in Section 3.18(c), (l) or (m) of this Agreement or with respect to a purchase of a related Defaulted Mortgage Loan at its fair value as determined in Section 3.18, if any such purchase occurs or purchase right is exercised not later than ninety (90) days from the date that the Special Servicer has initially determined the fair value of the related Loan, (b) the purchase option of the Majority Certificateholder of the Controlling Class, the Master Servicer or the Special Servicer pursuant to Section 9.01 of this Agreement or (c) the repurchase or replacement of a Mortgage Loan by the Mortgage Loan Seller pursuant to the Mortgage Loan Purchase and Sale Agreement if such repurchase occurs not later than 270 days after the Mortgage Loan Seller has been notified of its obligation to so repurchase. As to each such Specially Serviced Loan or REO Loan, the Liquidation Fee shall be payable out of, and shall be calculated by application of the Liquidation Fee Rate to, any such full, partial or discounted payoff, Condemnation Proceeds and/or Liquidation Proceeds received or collected in respect thereof (other than any portion of such payment or proceeds that represents Default Charges or a Prepayment Premium). The Liquidation Fee with respect to any such Specially Serviced Loan will not be payable if such Loan becomes a Corrected Loan. In the case of the ES Component Mortgage Loan and the SB Component Mortgage Loan, as applicable, a Liquidation Fee and/or Workout Fee with respect to the ES Component Mortgage Loan Senior Component, the SB Component Mortgage Loan Senior Component, the ES Component Mortgage Loan Subordinate Components and the SB Component Mortgage Loan Subordinate Components shall be an expense of the Component Mortgage Loan REMIC. The Special Servicer's right to receive any Special Servicing Fee, Workout Fee and/or Liquidation Fee to which it is entitled may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer's responsibilities and obligations under this Agreement and except as otherwise expressly provided herein.
(d) The Special Servicer shall be entitled to receive the following items as additional special servicing compensation, which shall be paid prior to remittance of such amounts, if any, which are required to be paid to any Companion Distribution Loan Holder under any Co-Lender Agreement (the following items, collectively, the "Additional Special Servicing Compensation"):
(i) any and all Net Default Charges collected with respect to a Specially Serviced Loan or an REO Loan;
(ii) any and all Net Assumption Fees, Net Assumption Application Fees, Net Modification Fees, Net Modification Application Fees, extension fees, consent fees, waiver fees, earnout fees, late payment charges and charges for beneficiary statements or demands that are actually received on or with respect to a Specially Serviced Loan or REO Loan;
(iii) 50% of any and all Net Assumption Fees, modification fees, extension fees, consent fees and waiver fees that are actually received on or with respect to a Performing Loan; and
(iv) interest or other income earned on deposits in the Special Servicer's applicable REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account REO Account for each Collection Period). Notwithstanding the period from and including foregoing with respect to the prior Distribution Date fees referenced in the immediately preceding clause (iii), the Special Servicer shall not be entitled to and including such fees unless the P&I Advance Date Master Servicer was required to seek the approval or consent of the Special Servicer pursuant to this Agreement with respect to any consent, extension, modification or waiver related to any such fee. To the current Distribution Date)extent that any of the amounts described in the preceding paragraph are collected by the Master Servicer with respect to a Specially Serviced Loan, (iii) interest the Master Servicer shall promptly pay such amounts to the Special Servicer and shall not be required to deposit such amounts in the Certificate Account or other income earned on deposits if a Loan Pair is involved in its Investment Accounts which are not required by applicable law or the related Loan Pair Custodial Account. In the case of the ES Component Mortgage Loan and the SB Component Mortgage Loan, as applicable, amounts described in Sections 3.11(d)(i)-(iv) with respect to a ES Component Mortgage Loan Senior Component and the SB Component Mortgage Loan Senior Component, as applicable, shall be paid to an expense of the Mortgagor, and Component Mortgage Loan REMIC.
(ive) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer and the Special Servicer shall each be required (subject to Section 3.11(h) below) to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, including payment of any amounts due and owing to any of its Sub-Servicers retained by it (including any termination fees) and the premiums for any blanket Insurance Policy policy or the standby fee or similar premium, if any, for any master force placed policy obtained by it insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, the related Loan Pair Custodial Account, the Reserve Accounts or an REO Account, and neither the Master Servicer nor the Special Servicer shall not be entitled to reimbursement therefor for any such expense incurred by it except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent If the Master Servicer is entitled required to receive payment make any Servicing Advance hereunder at the direction of its Servicing Fees hereunderthe Special Servicer in accordance with Section 3.03(c), notwithstanding any resignation Section 3.19 or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunderotherwise, the Special Servicer shall be entitled to receive promptly provide the Master Servicer with such documentation regarding the subject Servicing Advance as the Master Servicer may reasonably request.
(f) If the Master Servicer or the Special Servicer is required under this Agreement to make a Servicing Fee with respect Advance, but neither does so within ten (10) days after such Advance is required to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loanbe made, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed Trustee shall, if it has actual knowledge of such failure on the basis part of the Stated Principal Balance of such Specially Serviced Loan Master Servicer or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan)Special Servicer, as the case may be, and in give notice of such failure to the same manner as interest defaulting party. If such Advance is calculated on not made by the Specially Serviced Loans Master Servicer or REO Loansthe Special Servicer within three (3) Business Days after such notice, as then (subject to Section 3.11(h) below) the case may beTrustee shall make such Advance. To the extent the Trustee fails to make such Servicing Advance, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on Fiscal Agent will make such Specially Serviced Loan or deemed to be due on such REO Loan is computedAdvance. The Special making of such Advance by the Fiscal Agent will cure the Trustee's failure to make such Servicing Fee with respect Advance. Any failure by the Master Servicer to any Specially Serviced Loan or REO Loan make a Servicing Advance it is required to make hereunder shall cease constitute an Event of Default by the Master Servicer, subject to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, and as provided in accordance with the provisions of Section 3.05(a7.01(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(cg) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modificationsMaster Servicer, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related the Trustee and the Fiscal Agent shall each be entitled to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servirecei
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Commercial Mortgage Pass Through Certificates Series 2003-1)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSALoans). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s 's duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(e), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and 50% of all application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement)Mortgage Loan have been paid; provided, provided that such transaction qualifies that, notwithstanding the foregoing with respect to each Mortgage Loan set forth on Schedule 4, the percentage of the fees to be paid to the Master Servicer with respect to assumptions shall be as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision set forth on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)Schedule 4. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Certificate Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Certificate Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and defeasance fees, in each case, received on any Specially Serviced LoansMortgage Loans to the extent such fees are paid by the Mortgagor, (Bii) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 3.08(a) and 3.08(b) or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a); provided, that, notwithstanding the foregoing with respect to each Mortgage Loan set forth on Schedule 4, the percentage of the fees to be paid to the Master Servicer with respect to assumptions shall be as set forth on Schedule 4. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master Servicer exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the extent contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the funds repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the 90-day period or such other additional period provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan by the Majority Controlling Class Certificateholder or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received by with respect to any Corrected Mortgage Loan and the Special ServicerServicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Master Servicer or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (including Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges remaining thereafter shall be distributed to the Master Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent actually collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan.
Appears in 1 contract
Servicing Compensation. Interest on Servicing Advances; Payment of Certain Expenses; Obligations of the Trustee Regarding Back-up Servicing Advances.
(a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including, without limitation, each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the applicable Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance as of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and Due Date in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, immediately preceding Collection Period and for the same period number of days respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed under the terms of the related Mortgage Note (as such terms may be changed or modified at any time following the Closing Date) and applicable law, and without giving effect to any Excess Interest that may accrue on any ARD Loan after its Anticipated Repayment Date. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds or Liquidation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in accordance with the following paragraph, except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer under this Agreement or except as provided in accordance with the terms hereofSection 3.22(d). With respect The Master Servicer shall, monthly out of its Master Servicing Fee, pay to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to any Sub-Servicer retained by the Master Servicer from amounts payable such Sub-Servicer's sub-servicing fee (including, without limitation, any Primary Servicing Fee, if applicable), to the extent such Sub-Servicer is entitled thereto under the applicable Sub-Servicing Agreement. PAR may, at its option and at its expense, sell or pledge the rights to the "Transferable Portion" (as hereinafter defined) of its Master Servicing Fee; provided that in respect the event of any resignation or termination of PAR (or any successor thereto) as Master Servicer, the rights of PAR or any transferee of such Serviced Pari Passu Companion LoanTransferable Portion shall terminate (except for the right to receive the Excess Portion (as defined below), if any, on any Distribution Date as set forth in the penultimate sentence of this paragraph). In the event of the appointment of a successor Master Servicer, the Trustee shall cooperate with PAR to attempt to appoint a successor (which may be the Trustee) which, subject to the terms Directing Certificateholder's approval, which approval will not be unreasonably withheld or delayed, and the Trustee's satisfaction as to quality of servicing and the best interests of Certificateholders and the requirements of Article VII of this Agreement, will perform the services of the Master Servicer for payment of an amount (the "Successor Servicer Retained Fee") less than the full Master Servicing Fee expressed as a fixed number of basis points such that the Transferable Portion is reduced only to the extent reasonably necessary (in the sole discretion of the Trustee) to provide market rate compensation (except that the Transferable Portion shall be reduced to zero during any period for which the Trustee serves as successor servicer hereunder by reason of a default by the Master Servicer). If, and only if, the successor Master Servicer shall have so agreed to perform such services for less than the full Master Servicing Fee, then while such successor Master Servicer will be entitled to receive the full Master Servicing Fee, it shall pay the excess of the Transferable Portion (which would otherwise be payable) over the Successor Servicer Retained Fee on each Distribution Date (any such excess, the "Excess Portion") to PAR or any transferee of the Transferable Portion, as applicable, at such time and to the extent the Master Servicer is entitled to receive payment of the Master Servicing Fees under this Agreement, notwithstanding any termination of PAR under this Agreement. If the successor Master Servicer shall not have agreed to perform such services for such lesser amount, the rights of PAR or any transferee to the Transferable Portion shall terminate. The "Transferable Portion" of the Master Servicing Fee is the amount by which the Master Servicing Fee exceeds the sum of (i) the Primary Servicing Fee, and (ii) the amount of the related Intercreditor Agreement. Master Servicing Fee calculated using a rate of 0.02% per annum.
(b) The Master Servicer shall be entitled to retainreceive as additional servicing compensation:
(i) Net Default Charges, assumption fees, application fees, modification fees, charges for beneficiary statements or demands and shall not be required to deposit in the Collection Account pursuant to Section 3.04(aany similar fees (excluding Prepayment Premiums), additional servicing compensation relating in each case to each Mortgage Loan (other than the extent actually collected during the related Collection Period with respect to a Non-Mortgage Loan that is not a Specially Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, ;
(ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or a Mortgagor with respect to any Mortgage Loan;
(iii) any Prepayment Interest Excesses collected on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant Mortgage Loans (subject, however, to Section 3.04(a3.19(e) or Section 3.04(bof this Agreement), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: ;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account Certificate Account, in accordance with Section 3.06(b) (but ), subject to Section 3.19(e)(but only to the extent of the Net Investment Earnings, if any, with respect to such account the Certificate Account for the period from and including the prior Distribution Date to and including the P&I Advance Date related each Collection Period); and
(v) to the current Distribution Date)extent not required to be paid to any Mortgagor under applicable law or under the related Mortgage, (iii) any interest or other income earned on deposits in its Investment the Servicing Accounts which are not required maintained by applicable law or the Master Servicer; provided that with respect to the items of additional servicing compensation set forth in clauses (i), (ii) and (v) above, the Master Servicer shall, in turn, pay the amounts described therein to the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the NonSub-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period Servicer to the extent not required to be paid as Compensating Interest Paymentssuch Sub-Servicer is entitled thereto under the applicable Sub-Servicing Agreement. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers Servicer retained by it and the premiums for any master or blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, or Servicing Accounts or Reserve Accounts, as applicable, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance as of such Specially Serviced Loan or REO Loan (but, the Due Date in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, immediately preceding Collection Period and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period number of days respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed under the terms of the related Mortgage Note (as such terms may be modified at any time following the Closing Date) and applicable law, and without giving effect to any Excess Interest that may accrue on any ARD Loan after its Anticipated Repayment Date. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, unless the basis on which such Mortgage Loan became a Corrected Mortgage Loan was the remediation of a circumstance or condition relating to the related Mortgage Loan Seller's obligation to repurchase such Mortgage Loan pursuant to the Bank of America/BACM Mortgage Loan Purchase and Sale Agreement, the BCRF/BACM Mortgage Loan Purchase and Sale Agreement or the PMCF/BACM Mortgage Loan Purchase and Sale Agreement, as applicable, in which case, if such Mortgage Loan is repurchased within the Initial Resolution Period (or, if applicable the Resolution Extension Period is permitted under Section 2.03) no Workout Fee will be payable from or based upon the receipt of, any Purchase Price paid by the related Mortgage Loan Seller in satisfaction of such repurchase obligation. Furthermore, no Workout Fees will be payable from or based upon the receipt of any Liquidation Proceeds paid by any Majority Certificateholder of the Controlling Class, or the Master Servicer in connection with the purchase of all the Mortgage Loans and any REO Properties in the Trust Fund pursuant to Section 9.01 hereof. As to each Corrected Mortgage Loan, subject to the exceptions provided for in the two preceding sentences, the Workout Fee shall be payable from, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Default Interest and, in the case of an ARD Loan after its Anticipated Repayment Date, Excess Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee will become payable if and when such Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of (i) Mortgage Loans that became Corrected Mortgage Loans prior to the time of termination or resignation, and (ii) (unless the Special Servicer was terminated for cause in such case only (i) shall apply) Specially Serviced Mortgage Loans for which the Special Servicer has resolved the circumstances and/or conditions causing any such Mortgage Loan to be a Specially Serviced Mortgage Loan such that the related Mortgagor has made at least one timely Monthly Payment as of the date of such termination or resignation and such Mortgage Loan otherwise meets the requirements of a Corrected Mortgage Loan, with the Workout Fee with respect to such Mortgage Loan payable only after such requirements have been met; provided, however, that in either case no other event has occurred as of the time of such Special Servicer's termination or resignation that would otherwise cause such Mortgage Loan to again become a Specially Serviced Mortgage Loan. The successor special servicer will not be entitled to any portion of such Workout Fees. As further compensation for its activities hereunder, the Special Servicer shall also be entitled to receive a Liquidation Fee with respect to each Specially Serviced Mortgage Loan or REO Property as to which it receives any partial or unscheduled payment, or full or discounted payoff from the related Mortgagor or any Liquidation Proceeds (other than in connection with the purchase of any such Specially Serviced Mortgage Loan or REO Property by the Special Servicer pursuant to Section 3.18, by the Master Servicer, the Special Servicer or the Majority Certificateholder of the Controlling Class pursuant to Section 3.18 or Section 9.01, or by the related Mortgage Loan Seller pursuant to the Bank of America/BACM Mortgage Loan Purchase and Sale Agreement, the BCRF/BACM Mortgage Loan Purchase and Sale Agreement or the PMCF/BACM Mortgage Loan Purchase and Sale Agreement, as applicable within the Initial Resolution Period (or, if applicable, the Resolution Extension Period related to the Material Breach or Material Document Defect that gave rise to the repurchase obligation, and other than in connection with the condemnation or other governmental taking of a Mortgaged Property or REO Property or Insurance Proceeds). As to each such Specially Serviced Mortgage Loan or REO Property, the Liquidation Fee shall be payable from, and shall be calculated by application of the Liquidation Fee Rate to, such full or discounted payoff and/or Liquidation Proceeds, (excluding any portion of such payoff and/or proceeds that represents accrued but unpaid Excess Interest with respect to an ARD Loan after its Anticipated Repayment Date or accrued but unpaid Default Interest); provided that no Liquidation Fee will be payable with respect to any such Specially Serviced Mortgage Loan that becomes a Corrected Mortgage Loan; and provided, further, that (without limiting the Special Servicer's right to any Workout Fee that is properly payable therefrom), no Liquidation Fee will be payable from, or based upon the receipt of, Liquidation Proceeds collected as a result of any purchase of a Specially Serviced Mortgage Loan or REO Property described in the parenthetical to the first sentence of this paragraph or in connection with a condemnation or other governmental taking of a Mortgaged Property or REO Property or Insurance Proceeds. Notwithstanding anything to the contrary herein, a Liquidation Fee and a Workout Fee relating to the same Mortgage Loan shall not be paid from the same proceeds on or with respect to such Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The Servicer's right to receive the Special Servicing Fee, the Workout Fee and/or the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(cd) The Special Servicer shall be entitled to receive as additional special servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of compensation:
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of the extent collected by the Special Servicer when any Mortgage Loan is a Specially Serviced LoansMortgage Loan or to the extent allocable to an REO Loan, any Net Default Charges actually collected on such Mortgage Loan or REO Loan as the case may be; provided, however, that only those Net Default Charges collected on or after the Mortgage Loan becomes a Specially Serviced Mortgage Loan shall be payable hereunder, and (B) 50% of Excess Modification Fees related assumption fees, application fees, modification fees, extension fees, consent fees, and waiver fees charges for beneficiary statements or demands and any similar fees (excluding Prepayment Premiums) actually collected on or with respect to modifications, waivers, extensions or amendments of any Specially Serviced Mortgage Loans or REO Loans; and
(ii) interest or other than Non-Serviced Mortgage Loansincome earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) and Serviced Companion Loans that (but only to the extent of the Net Investment Earnings, if any, with respect to the REO Account for each Collection Period). To the extent the amounts described in clause (i)(B) of the preceding paragraph are Non-Specially Serviced Loanscollected by the Master Servicer, provided that the Master Servicer shall promptly pay such transaction qualifies as a Major Decision or a amounts to the Special Servicer Decisionand shall not be required to deposit such amounts in the Certificate Account pursuant to Section 3.04(a). Additional servicing compensation to which the Master Servicer (or, if so provided by the applicable Sub-Servicing Agreement, any Sub-Servicer retained thereby) is entitled pursuant to Section 3.11(b) in the form of assumption fees, modification fees, charges for beneficiary statements or demands and any similar fees (Cexcluding Prepayment Premiums) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any collected by the Special Servicer on Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Mortgage Loans or REO Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% or in the form of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer amounts collected for checks returned for insufficient funds relating with respect to the accounts held by the Special Servicerany Mortgage Loans (including, and without limitation, Specially Serviced Mortgage Loans), shall be paid promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Banc of America Commercial Mortgage Inc)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan) and REO Loan. Subject to the second paragraph of this Section 3.11(a), Serviced no Master Servicing Fee shall be payable with respect to any Companion Loan unless such fee is expressly set forth in the related Intercreditor Agreement; provided that so long as the 175 West Jackson Subordinate Companion Loan or the 180 Maiden Lane Trust Subor▇▇▇▇▇▇ Companion Loan are in the Trust Fun▇, ▇▇▇ ▇▇▇▇▇▇ ▇ervicing Fee shall be as set forth herein and REO Loan (other than the portion Master Servicing Fee Rate on each of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced such Mortgage Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)shall be 0.01%. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii) and otherwise as provided in Section 3.05(a)(vii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement. The Master Servicer shall also be entitled to receive a successor servicer in accordance Master Servicing Fee with the terms hereof). With respect to each Serviced Pari Passu Companion Loan. As to each such Pari Passu Companion Loan, the Master Servicing Fee shall be payable to accrue at the Master Servicer from amounts payable in respect of such Serviced related Pari Passu Companion Loan, Loan Servicing Fee Rate and shall otherwise be subject to the terms of the related Intercreditor Agreement. The first paragraph of this Section 3.11(a); provided that the Master Servicer shall Servicing Fee for each Pari Passu Companion Loan will be entitled to retain, payable solely from collections on such Pari Passu Companion Loan and shall not be required to deposit in from any collections on the Collection Account pursuant to Section 3.04(a), additional Mortgage Loans.
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagorof: (i) 100% of Excess Modification Fees related all late payment charges, Penalty Interest, assumption application fees, modification fees for modifications to any modifications, waivers, extensions Mortgage Loans or amendments of any Non-Companion Loans that are not Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Mortgage Loan or Companion Loan and, with respect to late payment charges and penalty charges, accrued during the time that such Mortgage Loan or Companion Loan was not a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of any assumption fees to the extent actually paid by a Mortgagor with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account; provided that the Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances as provided in Sections 3.03(d) and 4.03(d) or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) or interest on Advances pursuant to this Section 3.11(b). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan and not previously reimbursed to the Trust Fund, the Master Servicer shall deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related Mortgagor to such Mortgage Loan since the Closing Date for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan incurred since the Closing Date and not previously reimbursed to the Trust Fund. To the extent that the Master Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Master Servicer shall not be required to deposit such amounts late payment charges and Penalty Interest in the Collection Account Certificate Account. Penalty Interest or late payment charges in respect of any Mortgage Loan or Companion Loan which has accrued during the period when the related Mortgage Loan or Companion Distribution Account pursuant Loan is not a Specially Serviced Mortgage Loan shall be additional compensation to Section 3.04(a) the Master Servicer even if collected during the period when the related Mortgage Loan or Section 3.04(b), respectivelyCompanion Loan is a Specially Serviced Mortgage Loan. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account Certificate Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan or Companion Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans, Companion Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer, or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan and, if applicable, Companion Loan again became a Corrected Mortgage Loan. If the Special Servicing Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related borrower had not made three consecutive monthly debt service payments (but made the most recent monthly debt service payment prior to the termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making three such consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan or Mortgage Loan subject to repurchase by the applicable Mortgage Loan Seller (to the extent such Mortgage Loan was not repurchased within the cure period specified in the related Mortgage Loan Purchase Agreement) (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Liquidation Fee payable out of, and calculated by application of the Liquidation Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues or a full or discounted payoff by the Mortgagor) received in respect of such Mortgage Loan or Companion Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a full or partial recovery of principal, interest and expenses in accordance with Section 3.02(b) or the definition of "REO Loan," as applicable; provided that no Liquidation Fee shall be payable monthlyin connection with, on or out of (i) Insurance Proceeds and (ii) Liquidation Proceeds resulting from the purchase of any Mortgage Loan or REO Property by a loan-by-loan basisMortgage Loan Seller pursuant to the applicable Mortgage Loan Purchase Agreement if purchased within the cure period set forth in Section 3(c) of such Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder, the Class 175WJ Controlling Holder, the Class 180ML Controlling Holder, the Companion Holder, or the Special Servicer pursuant to Section 3.18(c), Section 3.18(d), Section 3.18(e), Section 3.18(h) or by the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder or the purchasing Certificateholder pursuant to Section 9.01, or any mezzanine lender pursuant to the related mezzanine intercreditor agreement if purchased by the mezzanine lender within 90 days of the related Mortgage Loan becoming a Specially Serviced Mortgage Loan; and (iii) Liquidation Proceeds resulting from the remittance by the related Mortgage Loan Seller pursuant to Section 2.03 (if remitted within the cure period set forth for repurchase in accordance the related Mortgage Loan Purchase Agreement); and provided, further, that no Liquidation Fee shall be payable (i) in connection with a Periodic Payment received in connection with such Mortgage Loan or (ii) to the provisions of Section 3.05(a)extent a Workout Fee is payable concerning the Liquidation Proceeds. The Special Servicer's right to receive the Special Servicing Fee, the Workout Fee and the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit Sections 6.02, 6.04 and 6.09.
(d) Additional servicing compensation in the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder form of: (i) all late payment charges, Penalty Interest received on or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Specially Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole LoanLoans actually collected that, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each late payment charges and penalty charges, accrued during the time that the related Mortgage Loan was a Specially Serviced Mortgage Loan, (other than ii) one hundred percent (100%) of any assumption application fees and assumption fees with respect to any Specially Serviced Mortgage Loan and fifty percent (50%) of any assumption fees with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Non-Specially Serviced Mortgage Loan, in each case to the extent actually paid by a Mortgagor, and (iii) in the form of (i) (A) 100% of modification fees collected on all Excess Modification Fees related to modifications, waivers, extensions Mortgage Loans or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Companion Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a modifications made by the Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.183.20(i)), or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account Certificate Account; provided that the Special Servicer's right to receive late payment charges and Penalty Interest pursuant to Section 3.04(aclause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or paid by Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) pursuant to this Section 3.11(d). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan and not previously reimbursed to the Trust Fund, the Special Servicer shall transfer to the Master Servicer for deposit in the Certificate Account, on or prior to the extent P&I Advance Date following the funds are collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received by on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related to such Mortgage Loan incurred since the Closing Date for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses (other than Special Servicer. Subject to Section 3.11(d), the Special ServiServic
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Wachovia Bank Commercial Mortgage Trust Series 2004-C15)
Servicing Compensation. (a) As full compensation for its servicing duties and activities hereunderas provided for in Clause 9.1 and as reimbursement for any expense incurred by it in connection therewith, the Master Servicer shall be entitled to receive from the Receivables Trustee (solely to the extent of payments received from the Beneficiaries and utilising Trust Property allocated with respect thereto as provided in this Deed and in any Supplement) a Servicing fee (the "SERVICING FEE") with respect to each Monthly Period, payable monthly on the related Transfer Date, in an amount equal to one-twelfth of the product of:
(i) the weighted average of the Servicing Fee Percentages specified in each Supplement in respect of an Outstanding Issuance, in each case weighted by the proportion that the Investor Interest of the relevant Series or issuance of Related Debt bears to the Combined Aggregate Investor Interest as of the last day of the relevant Monthly Period (or, if HSBC Bank plc is Servicer, such other percentage as shall be agreed by the Servicer and the Receivables Trustee (with the prior written consent of each of the Beneficiaries) PROVIDED THAT (a) each Rating Agency has confirmed in writing that such proposed percentage will not result in a downgrade or withdrawal of its then current rating of any outstanding Associated Debt and (b) the Beneficiaries have obtained an Opinion of Counsel that such proposed agreement to alter the percentage will not prejudice the Tax treatment of the Receivables Trust or the Beneficiaries); and
(ii) the average daily aggregate Outstanding Face Amount of Principal Receivables comprised in the Trust Property during such Monthly Period.
(b) The portion of the Servicing Fee payable by the Receivables Trustee to the Servicer, with respect to each Monthly Period, in respect of which the Receivables Trustee is to be reimbursed from payments made by the Investor Beneficiaries in respect of a particular Series or issuance of Related Debt (the "INVESTOR SERVICING FEE AMOUNT" with respect to such Series or issuance of Related Debt) will be determined in accordance with the relevant Supplement. The relevant Investor Beneficiaries will pay the Investor Servicing Fee Amount to the Receivables Trustee, in respect of such Series or issuance of Related Debt, as part of the consideration for the grant of the relevant Investor Interest.
(c) The portion of the Servicing Fee with respect to any Monthly Period in respect of which the Receivables Trustee is not to be reimbursed from payments made by the relevant Investor Beneficiaries in respect of each Mortgage LoanSeries or issuance of Related Debt pursuant to the related Supplements (the "TRANSFEROR SERVICING FEE AMOUNT") shall be paid to the Receivables Trustee by the Transferor Beneficiary from the Transferor Finance Charge Amount and Transferor Acquired Interchange Amount or other Trust Property allocable to the Transferor Beneficiary on the related Transfer Date. In no event shall the Receivables Trust, Serviced Companion Loan and REO Loan (other than the portion Receivables Trustee, any Enhancement Provider or the Investor Beneficiaries in respect of any REO Loan related Series or issuance of Related Debt be liable to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at Servicer for the Servicing Fee Rate and shall be computed on the basis share of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees Monthly Period in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in which the case of an REO Loan) allocable as recoveries of interest, Receivables Trustee is to be reimbursed from payments to be made by the Transferor Beneficiary from Trust Property allocated to the extent permitted Transferor Beneficiary Provided, HOWEVER, that the amount of Transferor Servicing Fee Amount in respect of which the Receivables Trustee is to be reimbursed by Section 3.05(a)the Transferor Beneficiary pursuant to this paragraph (c) in any Monthly Period shall not exceed the aggregate amount of the Transferor Finance Charge Amount and Transferor Acquired Interchange Amount or such other Trust Property for such Monthly Period. Except The Transferor Beneficiary will pay the Transferor Servicing Fee Amount to the Receivables Trustee as set forth in part of the following sentenceconsideration for the grant of the Transferor Interest.
(d) It is a condition of the Receivables Trust (which by the execution of a Supplement by a Beneficiary, such Beneficiary consents and confirms) that each Beneficiary of the fourth paragraph Receivables Trust undertakes to the Receivables Trustee for the benefit of this Section 3.11(a), Section 6.03, Section 6.05 itself and Section 7.01(c), as trustee for each other Beneficiary that it will reimburse the right to receive Receivables Trustee for the share of the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Receivables Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer Clause 9.2(a) and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest which is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on met by the Receivables Trustee from payments to be made by such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect Beneficiary to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, Receivables Trustee as distributed and specified in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loansuch Supplement.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
Appears in 1 contract
Sources: Receivables Trust Deed and Servicing Agreement (Turquoise Receivables Trustee LTD)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan) and REO Loan. Subject to the second paragraph of this Section 3.11(a), Serviced no Master Servicing Fee shall be payable with respect to any Companion Loan and REO Loan (other than unless such fee is expressly set forth in the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Intercreditor Agreement . As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties responsibilities and obligations hereunder under this Agreement. The Master Servicer shall also be entitled to receive a successor servicer in accordance Master Servicing Fee with the terms hereof). With respect to each Serviced Pari Passu Companion Loan. As to each such Pari Passu Companion Loan, the Master Servicing Fee shall be payable to accrue at the Master Servicer from amounts payable in respect of such Serviced related Pari Passu Companion Loan, Loan Servicing Fee Rate and shall otherwise be subject to the terms of the related Intercreditor Agreement. The first paragraph of this Section 3.11(a); provided, that the Master Servicer shall Servicing Fee for each Pari Passu Companion Loan will be entitled to retain, payable solely from collections on such Pari Passu Companion Loan and shall not be required to deposit in from any collections on the Collection Account pursuant to Section 3.04(a), additional Mortgage Loans.
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagorof: (i) 100% of Excess Modification Fees related to any modificationsall late payment charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any if the related assumption is completed, modification fees for modifications to Mortgage Loans (including any related Serviced or Companion Loan, to the extent Loans that are not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Specially Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid Loans made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Mortgage Loan or Companion Loan and, with respect to late payment charges and penalty charges, accrued during the time that such Mortgage Loan or Companion Loan was not a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of (A) any assumption fees and (B) any assumption application fees if the related assumption fails to be completed, in each case to the extent actually paid by a Mortgagor with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account; provided, that the Master Servicer’s right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances as provided in Sections 3.03(d) and 4.03(d) or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) or interest on Advances pursuant to this Section 3.11(b). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan and not previously reimbursed to the Trust Fund, the Master Servicer shall deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related Mortgagor to such Mortgage Loan since the Closing Date for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan incurred since the Closing Date and not previously reimbursed to the Trust Fund. To the extent that the Master Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Master Servicer shall not be required to deposit such amounts late payment charges and Penalty Interest in the Collection Account Certificate Account. Penalty Interest or late payment charges in respect of any Mortgage Loan or Companion Loan which has accrued during the period when the related Mortgage Loan or Companion Distribution Account pursuant Loan is not a Specially Serviced Mortgage Loan shall be additional compensation to Section 3.04(a) the Master Servicer even if collected during the period when the related Mortgage Loan or Section 3.04(b), respectivelyCompanion Loan is a Specially Serviced Mortgage Loan. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account Certificate Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan or Companion Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans, Companion Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer, or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan provided, that, with respect to any Intercreditor Agreement, the AMLI at Bent Tree Apartments Subordination, Standstill and Recognition Agreement or any mezzanine intercreditor agreement which expressly excludes payment of a Workout Fee as part of any exercise of a purchase option thereunder, no Workout Fee shall be payable hereunder and instead, to the extent provided in the related Intercreditor Agreement, the AMLI at Bent Tree Apartments Subordination, Standstill and Recognition Agreement or any mezzanine intercreditor agreement and herein, a Liquidation Fee shall be payable. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided, that a new Workout Fee would become payable if and when such Mortgage Loan and, if applicable, Companion Loan again became a Corrected Mortgage Loan. If the Special Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related borrower had not made three consecutive monthly debt service payments (but made the most recent monthly debt service payment prior to the termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making three such consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Liquidation Fee payable out of, and calculated by application of the Liquidation Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues or a full or discounted payoff by the Mortgagor) received in respect of such Mortgage Loan or Companion Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a full or partial recovery of principal, interest and expenses in accordance with Section 3.02(b) or the definition of “REO Loan,” as applicable; provided, that no Liquidation Fee shall be payable in connection with, or out of (i) Insurance Proceeds, (ii) condemnation proceeds and (iii) Liquidation Proceeds resulting from the purchase of any Mortgage Loan or REO Property by a Mortgage Loan Seller pursuant to the applicable Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder, the Companion Holder, or the Special Servicer pursuant to Section 3.18(c), Section 3.18(d) or Section 3.18(h) or by the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder or the purchasing Certificateholder pursuant to Section 9.01, or any mezzanine lender pursuant to the related mezzanine intercreditor agreement if purchased by the mezzanine lender within 90 days of becoming a Specially Serviced Mortgage Loan (or with respect to the Westland Mall Loan, any purchase by the Westland Mall mezzanine lender pursuant to the Westland Mall Mezzanine Intercreditor Agreement) or, by the AMLI at Bent Tree Apartments subordinate mortgagee pursuant to Section 16(a) of the AMLI at Bent Tree Apartments Subordination, Standstill and Recognition Agreement; and (iii) Liquidation Proceeds resulting from the remittance by the related Mortgage Loan. The Special Servicing Loan Seller pursuant to Section 2.03; and provided, further, that no Liquidation Fee shall be payable monthly, on (i) in connection with a loan-by-loan basis, Periodic Payment received in accordance connection with such Mortgage Loan or (ii) to the provisions of Section 3.05(a)extent a Workout Fee is payable concerning the Liquidation Proceeds. The Special Servicer’s right to receive the Special Servicing Fee, the Workout Fee and the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit Sections 6.02, 6.04 and 6.09.
(d) Additional servicing compensation in the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder form of: (i) all late payment charges, Penalty Interest received on or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Specially Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole LoanLoans actually collected that, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each late payment charges and penalty charges, accrued during the time that the related Mortgage Loan was a Specially Serviced Mortgage Loan, (other than ii) one hundred percent (100%) of any assumption application fees and assumption fees with respect to any Specially Serviced Mortgage Loan and fifty percent (50%) of (A) any assumption fees and (B) any assumption application fees if the related assumption fails to be completed with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Non-Specially Serviced Mortgage Loan, in each case to the extent actually paid by a Mortgagor, and (iii) in the form of (i) (A) 100% of modification fees collected on all Excess Modification Fees related to modifications, waivers, extensions Mortgage Loans or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Companion Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a modifications made by the Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.183.20(i)), or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account Certificate Account; provided, that the Special Servicer’s right to receive late payment charges and Penalty Interest pursuant to Section 3.04(aclause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or paid by Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) pursuant to this Section 3.11(d). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan and not previously reimbursed to the Trust Fund, the Special Servicer shall transfer to the Master Servicer for deposit in the Certificate Account, on or prior to the extent P&I Advance Date following the funds are received by collection of such late payment charges or Penalty Interest, an amount equal to the Special Servicer. Subject to Section 3.11(d), lesser of (i) the Special Serviamount of late payment charges or Penalty Int
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Wachovia Bank Commercial Mortgage Trust Series 2005-C17)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Mortgage Loans subject to this Agreement, the Master Servicer shall be entitled to receive the a Servicing Fee with respect to for each Mortgage Asset and Companion Participation (including any Specially Serviced Mortgage Loan or REO Loan) remaining subject to this Agreement during any calendar month or part thereof; provided that any Servicing Fee allocable to a Companion Participation shall be payable only in respect of the principal balance of such Companion Participation and only from collections in respect of the Mortgage Loan that are allocated to such Companion Participation; provided, Serviced further, that for so long as the Servicer or an affiliate of the Servicer is servicing the Companion Loan and REO Loan Participation pursuant to another servicing agreement (other than this Agreement) with the portion holder of any REO Loan related such Companion Participation or the Servicer has entered into a sub-servicing agreement with a sub-servicer, which sub-servicer or an affiliate of such sub-servicer is also servicing such Companion Participation pursuant to any Non-Serviced another servicing agreement with the holder of such Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO LoanParticipation, the Servicer hereby waives any Servicing Fee payable on such Companion Participation under this Agreement and such Servicing Fee on such Companion Participation shall not be due and payable hereunder. For purposes of the foregoing proviso, the Servicer shall be entitled to conclusively rely on a certification or representation by a sub-servicer as to whether or not such sub-servicer or an affiliate of such sub-servicer is also servicing such Companion Participation pursuant to another servicing agreement with the holder of such Companion Participation. The Servicing Fee shall accrue from time be payable monthly on the Remittance Date (or earlier pursuant to time at the Servicing Fee Rate related Participation Agreement) of each month and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, same outstanding principal balance and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting with respect to which any related interest payment due on such the related Mortgage Loan Asset or, unless waived as set forth above, on the Companion Participation or distribution on the related Mortgage Asset or, unless waived as set forth above, on the Companion Loan or deemed to be due on such REO Loan Participation is computed. The Servicer may pay itself the Servicing Fee with respect to any Mortgage Loan, Companion Loan on the Remittance Date (or REO Loan shall cease to accrue if a Liquidation Event occurs with respect earlier pursuant to the related Mortgage Loan, except Participation Agreement) of each month from amounts on deposit in the Collection Account or such other funds permitted under the related Participation Agreement. To the extent that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues amounts on deposit in the Collection Account on the Remittance Date are insufficient to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then pay the applicable Servicing Fee shall continue allocated to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each any Serviced Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each Asset or related REO Loan, and as otherwise provided by Section 3.05(a)the Issuer shall pay any such shortfall to the Servicer within ten (10) Business Days after the Issuer’s receipt of an itemized invoice therefor. The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with (i) delegation in respect of servicing of a Mortgage Loan in respect of which there is a Companion Participation to a sub-servicer, which sub-servicer or an affiliate of such sub-servicer is also the servicer under the related servicing agreement (if any), or (ii) the transfer of all of the Master Servicer’s duties responsibilities and obligations hereunder under and as permitted pursuant to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loanthis Agreement.
(b) As further compensation for its activities hereunder, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer3.03, amounts collected for checks returned for insufficient funds constituting Additional Servicer Compensation with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans.
(c) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out all expenses related to the Servicer’s internal costs, consisting of its own funds all overhead and employee costs and expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor thereof except as expressly specifically provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerherein.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servi
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Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Loan and the Crowne Plaza Companion Loan (including each Specially Serviced Mortgage Loan) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Loan and the Crowne Plaza Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Crowne Plaza Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan, Crowne Plaza Companion Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Crowne Plaza Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan or Crowne Plaza Companion Loan, Companion Loan as applicable, and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Crowne Plaza Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional 105
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modificationslate payment charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees, modification fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a for Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced or Crowne Plaza Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid modifications made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and any similar fees (excluding Prepayment Premiums or Yield Maintenance Charges), in each case to the extent actually paid by a Mortgagor with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related a Mortgage Loan documents or Crowne Plaza Companion Loan and are accrued during the time that such Mortgage Loan or Crowne Plaza Companion Loan was not charged in lieu a Specially Serviced Mortgage Loan, and (ii) one-hundred percent (100%) of any assumption fee that is otherwise (or such lesser percentage as may be agreed to be split between in writing by the Master Servicer and Special Servicer, in each case only ) to the extent actually paid by a Mortgagor with respect to any Mortgage Loan or Crowne Plaza Companion Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account provided that the Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances in respect of all of the related Mortgagor Mortgage Loans as provided in Sections 3.03(d) and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b4.03(d), respectively. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), one-half of any Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Interest Reserve Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan or Crowne Plaza Companion Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans, Crowne Plaza Companion Loan and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan or Crowne Plaza Companion Loan for so long as it remains a Corrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan or Crowne Plaza Companion Loan for so long as it remains a Corrected Mortgage Loan. The Special Servicing Workout Fee shall with respect to any Corrected Mortgage Loan will cease to be payable monthlyif a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan and, on if applicable, Crowne Plaza Companion Loan, again became a loan-by-loan basis, Corrected Mortgage Loan. If the Special Servicer is terminated or resigns in accordance with Section 6.04, it shall no longer have the provisions of Section 3.05(a). The right to receive any Workout Fees payable in respect of Mortgage Loans and, if applicable, Crowne Plaza Companion Loan, that became Corrected Mortgage Loans during the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the period that it acted as Special Servicer’s responsibilities . In addition, with respect to each Specially Serviced Mortgage Loan and obligations under this Agreement. Nothing herein is intended to limit REO Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with the Principal Recovery Fee payable out of, and calculated by application of the Principal Recovery Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues) received in respect to a Non-Serviced of such Mortgage Loan or Crowne Plaza Companion Loan (or, in the case of the Poinciana Lakes Plaza Serviced Whole an REO Loan, in respect of the related REO Property) and allocable as a recovery of principal, interest and expenses in accordance with respect to any Poinciana Lakes Plaza Companion Section 3.02(b) or the definition of "REO Loan.
(c) The Special Servicer ", as applicable; provided that no Principal Recovery Fee shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) payable in the form connection with, or out of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, Insurance Proceeds and (Cii) 0% of Excess Modification Fees related to modificationsLiquidation Proceeds resulting from, waivers, extensions or amendments the purchase of any Mortgage Loan (other than any Non-Serviced or REO Property by a Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced LoansLoan Originator pursuant to the Mortgage Loan Purchase Agreement or the ▇▇▇▇▇▇▇ Mortgage Loan Purchase Agreement, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which by the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees Majority Subordinate Certificateholder pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s3.18(b), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related MortgagorSpecial Servicer pursuant to Section 3.18(c), by the Class Q Certificateholder pursuant to Section 3.18(i), by the Companion Holder pursuant to Section 3.18(j) or by the Depositor, the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder pursuant to Section 9.01; and provided further that no Principal Recovery Fee shall be payable to the extent such fees are paid by a Workout Fee is payable concerning the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special ServiLiquidation Proceeds.
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Sources: Pooling and Servicing Agreement (First Union Commercial Mortgage Securities Inc)
Servicing Compensation. Interest on Servicing Advances; Payment of Certain Expenses; Obligations of the Trustee Regarding Back up Servicing Advances.
(a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-including each Specially Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any each related Non-Serviced PSA)REO Loan. As to each such Mortgage Loan, Companion Loan and REO Loan, for each calendar month (commencing with April 2004) or any applicable portion thereof, the Master Servicing Fee shall accrue at the related Master Servicing Fee Rate on the same principal amount, and without giving effect to any Excess Interest that may accrue on any ARD Loan after its Anticipated Repayment Date, as interest accrues from time to time during such calendar month (or portion thereof) on such Mortgage Loan or is deemed to accrue from time to time at during such calendar month (or portion thereof) on such REO Loan, as the Servicing Fee Rate case may be, and shall be computed calculated on the basis of the Stated Principal Balance of same Interest Accrual Basis as is applicable for such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs in respect thereof. Master Servicing Fees earned with respect to the related Mortgage Loan, except that if any such Mortgage Loan is part of a Serviced Whole or REO Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, monthly from payments of interest on each such Mortgage Loan, Companion Loan and or REO Revenues allocable as interest on each such REO Loan, and as otherwise provided by Section 3.05(a)the case may be. The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that the portion of any related payments, Insurance and Condemnation Proceeds, Condemnation Proceeds or Liquidation Proceeds and allocable as interest on such Mortgage Loan or REO Revenues (in Loan, as the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a)may be. Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer under this Agreement and except as otherwise expressly provided in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. following paragraph.
(b) The Master Servicer shall be entitled to retain, and shall not be required to deposit in receive the Collection Account pursuant to Section 3.04(a), following items as additional servicing compensation relating to each Mortgage Loan (other than the following items, collectively, "Additional Master Servicing Compensation"):
(i) any and all Net Default Charges, Net Assumption Application Fees, Net Modification Application Fees and earnout fees collected with respect to a Non-Serviced Mortgage Performing Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, ;
(ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 10050% of any fee and all Net Assumption Fees actually paid by a Mortgagor in connection with the defeasance of respect to a Mortgage Loan Performing Loan;
(other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (viiii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application and all Net Modification Fees, extension fees, defeasance fees, liquidation fees, workout consent fees and any other waiver fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than actually paid by a Mortgagor with respect to any Non-Serviced Mortgage Loan or Specially Serviced a Performing Loan;
(iv) any and all charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and other loan processing fees actually paid by a Mortgagor with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage a Performing Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerand, in each the case only of checks returned for insufficient funds, with respect to a Specially Serviced Loan;
(v) any and all Prepayment Interest Excess collected on the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: Mortgage Loans; and
(i) Penalty Charges to the extent provided in Section 3.11(d), (iivi) interest or other income earned on deposits relating in the Investment Accounts maintained by the Master Servicer, in accordance with Section 3.06(b) (but only to the Trust Fund extent of the Net Investment Earnings, if any, with respect to any such Investment Account for each Collection Period and, further, in the Collection case of a Servicing Account or Reserve Account, only to the Companion Distribution extent such interest or other income is not required to be paid to any Mortgagor under applicable law or under the related Mortgage). Notwithstanding the foregoing with respect to any 50% sharing of fees referenced in this Section 3.11(b), the Master Servicer shall be entitled to all such fees if with respect to the activity related to any such fee the Master Servicer is not required to seek the consent and/or approval of the Special Servicer pursuant to this Agreement. To the extent that any of the amounts described in the preceding paragraph are collected by the Special Servicer, the Special Servicer shall promptly pay such amounts to the Master Servicer.
(c) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive monthly the Special Servicing Fee with respect to each Specially Serviced Loan and each REO Loan for which it is responsible. As to each Specially Serviced Loan and REO Loan, for any particular calendar month or applicable portion thereof, the Special Servicing Fee shall accrue at the Special Servicing Fee Rate on the same principal amount as interest accrues from time to time during such calendar month (or portion thereof) on such Specially Serviced Loan or is deemed to accrue from time to time during such calendar month (or portion thereof) on such REO Loan, as the case may be, and shall be calculated on the same Interest Accrual Basis as is applicable for such Specially Serviced Loan or REO Loan, as the case may be. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue as of the date a Liquidation Event occurs in respect thereof or, in the case of a Specially Serviced Loan, as of the date it becomes a Corrected Loan. Earned but unpaid Special Servicing Fees with respect to Specially Serviced Loans and REO Loans shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Loan. As to each Corrected Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each payment of interest (other than Default Interest) and principal received from the related Mortgagor on such Mortgage Loan for so long as it remains a Corrected Loan. The Workout Fee with respect to any such Corrected Loan will cease to be payable if a new Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when the subject Mortgage Loan again became a Corrected Loan. If the Special Servicer is terminated, including pursuant to Section 3.23, or resigns in accordance with Section 6.04, it shall retain the right to receive any and all Workout Fees payable in respect of (i) any Mortgage Loans serviced by it that became Corrected Loans during the period that it acted as Special Servicer and that were still Corrected Loans at the time of such termination or resignation and (ii) any Specially Serviced Loans for which such Special Servicer has resolved the circumstances and/or conditions causing any such Mortgage Loan to be a Specially Serviced Loan, but that had not as of the time the Special Servicer was terminated become a Corrected Loan solely because the related Mortgagor had not made three consecutive timely Monthly Payments and that subsequently becomes a Corrected Loan as a result of the related Mortgagor making such three consecutive timely monthly payments (and the successor to the Special Servicer shall not be entitled to any portion of such Workout Fees), in each case until the Workout Fee for any such loan ceases to be payable in accordance with the preceding sentence; provided that, in the case of any Specially Serviced Loan described in clause (ii) of this sentence, the terminated Special Servicer shall immediately deliver the related Servicing File to the Master Servicer, and the Master Servicer shall (without further compensation) monitor that all conditions precedent to such Mortgage Loan's becoming a Corrected Loan are satisfied and, further, shall immediately transfer such Servicing File to the new Special Servicer if and when it becomes apparent to the Master Servicer that such conditions precedent will not be satisfied. As further compensation for its activities hereunder, the Special Servicer shall also be entitled to receive a Liquidation Fee with respect to each Specially Serviced Loan or REO Loan as to which it receives any full, partial or discounted payoff from the related Mortgagor or any Insurance Proceeds, Condemnation Proceeds or Liquidation Proceeds. Notwithstanding the foregoing and for the avoidance of doubt, no Liquidation Fee shall be payable in connection with (a) the purchase of a Defaulted Mortgage Loan by the Majority Certificateholder of the Controlling Class, the Evergreen Porfolio C Mezzanine Lender (if the Defaulted Mortgage Loan is the Evergreen Portfolio C Mortgage Loan) or the PPG Place Mezzanine Lender (if the Defaulted Mortgage Loan is the PPG Place Mortgage Loan) pursuant to any applicable purchase right set forth in Section 3.18(c) or (l) of this Agreement or with respect to a purchase of a related Defaulted Mortgage Loan at its fair value as determined in Section 3.18, if any such purchase occurs or purchase right is exercised not later than 90 days from the date that the Special Servicer has initially determined the fair value of the related Mortgage Loan, (b) the purchase option of the Majority Certificateholder of the Controlling Class, the Master Servicer or the Special Servicer pursuant to Section 9.01 of this Agreement or (c) the repurchase or replacement of a Mortgage Loan by a Mortgage Loan Seller pursuant to the related Mortgage Loan Purchase and Sale Agreement if such repurchase occurs not later than 180 days after such Mortgage Loan Seller has been notified of its obligation to so repurchase. As to each such Specially Serviced Loan or REO Loan, the Liquidation Fee shall be payable out of, and shall be calculated by application of the Liquidation Fee Rate to, any such full, partial or discounted payoff, Condemnation Proceeds and/or Liquidation Proceeds received or collected in respect thereof (other than any portion of such payment or proceeds that represents Default Charges, or a Prepayment Premium). The Liquidation Fee with respect to any such Specially Serviced Loan will not be payable if such Mortgage Loan becomes a Corrected Loan. The Special Servicer's right to receive any Special Servicing Fee, Workout Fee and/or Liquidation Fee to which it is entitled may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer's responsibilities and obligations under this Agreement and except as otherwise expressly provided herein.
(d) The Special Servicer shall be entitled to receive the following items as additional special servicing compensation (the following items, collectively, the "Additional Special Servicing Compensation"):
(i) any and all Net Default Charges collected with respect to a Specially Serviced Loan or an REO Loan;
(ii) any and all Net Assumption Fees, Net Assumption Application Fees, Net Modification Fees, Net Modification Application Fees, extension fees, consent fees, waiver fees, earnout fees, late payment charges and charges for beneficiary statements or demands that are actually received on or with respect to a Specially Serviced Loan or REO Loan;
(iii) 50% of any and all Net Assumption Fees, modification fees, extension fees, consent fees and waiver fees that are actually received on or with respect to a Performing Loan; and
(iv) interest or other income earned on deposits in the Special Servicer's applicable REO Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account REO Account for each Collection Period). Notwithstanding the period from and including foregoing with respect to the prior Distribution Date fees referenced in the immediately preceding clause (iii), the Special Servicer shall not be entitled to and including such fees unless the P&I Advance Date Master Servicer was required to seek the approval or consent of the Special Servicer pursuant to this Agreement with respect to any consent, extension, modification or waiver related to any such fee. To the current Distribution Date)extent that any of the amounts described in the preceding paragraph are collected by the Master Servicer with respect to a Specially Serviced Loan, (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid Master Servicer shall promptly pay such amounts to the Mortgagor, Special Servicer and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent shall not be required to be paid as Compensating Interest Payments. deposit such amounts in the Certificate Account.
(e) The Master Servicer and the Special Servicer shall each be required (subject to Section 3.11(h) below) to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, including payment of any amounts due and owing to any of its Sub-Servicers retained by it (including any termination fees) and the premiums for any blanket Insurance Policy policy or the standby fee or similar premium, if any, for any master force placed policy obtained by it insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, the Reserve Accounts or an REO Account, and neither the Master Servicer nor the Special Servicer shall not be entitled to reimbursement therefor for any such expense incurred by it except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, If the Master Servicer and is required to make any Servicing Advance hereunder at the direction of the Special Servicer in accordance with Section 3.03(c), Section 3.19 or otherwise, the Special Servicer shall promptly provide the Master Servicer with such documentation regarding the subject Servicing Advance as the Master Servicer may reasonably request.
(f) If the Master Servicer or the Special Servicer is required under this Agreement to make a Servicing Advance, but neither does so within ten days after such Advance is required to be made, the Trustee shall, if it has actual knowledge of such failure on the part of the Master Servicer or Special Servicer, as the case may be, give notice of such failure to the defaulting party. If such Advance is not made by the Master Servicer or the Special Servicer within three Business Days after such notice, then (subject to Section 3.11(h) below) the Trustee shall make such Advance. To the extent the Trustee fails to make such Servicing Advance, the Fiscal Agent will make such Advance. The making of such Advance by the Fiscal Agent will cure the Trustee's failure to make such Servicing Advance. Any failure by the Master Servicer to make a Servicing Advance it is required to make hereunder shall constitute an Event of Default by the Master Servicer, subject to and as provided in Section 7.01(a).
(g) The Master Servicer, the Special Servicer, the Trustee and the Fiscal Agent shall each be entitled to charge receive interest at the Reimbursement Rate in effect from time to time, accrued on the amount of each Advance made thereby (with its own funds), for so long as such Advance is outstanding. Such interest with respect to any Advances shall be payable: (i) first, in accordance with Sections 3.05 and retain reasonable review fees 3.27, out of any Default Charges subsequently collected on or in connection with any Mortgagor request respect of the Mortgage Pool, if applicable; and (ii) then, after such Advance is reimbursed, but only if and to the extent that such fees Default Charges are (i) not prohibited under insufficient to cover such Advance Interest, out of general collections on the related Mortgage Loan documentsLoans and REO Properties on deposit in the Certificate Account. The Master Servicer shall reimburse itself, (ii) not charged in lieu of the Special Servicer, the Trustee or the Fiscal Agent, as appropriate, for any fee that is otherwise to be split between Advance made by any such Person as soon as practicable after funds available for such purpose are deposited into the master servicer and special servicer, and (iii) actually paid by or on behalf of the related MortgagorCertificate Account. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest no interest shall be payable with respect to any P&I Advance of a payment due on a Mortgage Loan during the applicable grace period and interest shall cease to accrue on any Serviced Companion Loan Workout-Delayed Reimbursement Amount to the extent such amount has been reimbursed from principal collections in accordance with Section 3.05.
(and any successor REO Loan); providedh) Notwithstanding anything to the contrary set forth herein, however, that in the event none of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision the Trustee or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and Fiscal Agent shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited make any Servicing Advance that it determines in the Collection Account pursuant its reasonable, good faith judgment would constitute a Nonrecoverable Servicing Advance. The determination by any Person with an obligation hereunder to Section 3.04(a) make Servicing Advances that it has made a Nonrecoverable Servicing Advance or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d)that any proposed Servicing Advance, the Special Serviif made, would constitute a Nonrecoverable Servicing Ad
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Banc of America Comm Mort Inc Pass Throu Certs Series 2004 2)
Servicing Compensation. (a) As compensation for its activities hereunder, the each Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and each REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially master serviced loan” under any related Non-Serviced PSA)by it. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or an REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or any REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, monthly on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or any REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a)(iii) or Section 3.05(e), as applicable, and in the case of a Trust Mortgage Loan or a Trust REO Loan, out of such other amounts as may be permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the any Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement or the transfer of all or a portion of a Master Servicer's right to receive the Excess Servicing Strip. Notwithstanding anything herein to the contrary, any of Bank of America (in its capacity as Master Servicer No. 1), Midland or Wachovia (and its successors and assigns) may at its option assign or pledge to any third party or retain for itself the Excess Servicing Strip (in any event, in whole as to the entire portion of the Mortgage Pool serviced by it but not in part); provided that any assignee or pledgee of the Excess Servicing Strip must be a successor servicer Qualified Institutional Buyer or Institutional Accredited Investor (other than a Plan); and provided, further, that no transfer, sale, pledge or other assignment of the Excess Servicing Strip shall be made unless that transfer, sale, pledge or other assignment is exempt from the registration and/or qualification requirements of the Securities Act and any applicable state securities laws and is otherwise made in accordance with the terms hereofSecurities Act and such state securities laws; and provided, further, that in the event of any resignation or termination of Bank of America, Midland or Wachovia in its capacity as a Master Servicer, all or any portion of the Excess Servicing Strip may be reduced by the Trustee through a reduction in the Excess Servicing Strip Rate with respect to one or more Mortgage Loans and REO Loans that were serviced by the resigned or terminated Master Servicer to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.04 and that requires market rate servicing compensation (including compensation necessary to pay primary servicing fees) that accrues at a per annum rate in excess of the sum of (i) 0.005% (one-half of one basis point) per annum; and (ii) with respect to any Serviced Mortgage Loan or Serviced REO Loan that is not primary serviced by Bank of America, Midland or Wachovia, as the case may be, the primary servicing fee rate, if any, for such Mortgage Loan or REO Loan. Bank of America, Midland or Wachovia, as the case may be, and each holder of the Excess Servicing Strip desiring to effect a transfer, sale, pledge or other assignment of the Excess Servicing Strip shall, and each of Bank of America, Midland and Wachovia hereby agrees, and each such holder of the Excess Servicing Strip by its acceptance of the Excess Servicing Strip shall be deemed to have agreed, in connection with any transfer of the Excess Servicing Strip effected by such Person, to indemnify the Certificateholders, the Trust, the Depositor, the Underwriters, the Trustee, the Certificate Administrator, any Fiscal Agent, the other Master Servicers, the Certificate Registrar and the Special Servicer against any liability that may result if such transfer is not exempt from registration and/or qualification under the Securities Act or other applicable federal and state securities laws or is not made in accordance with such federal and state laws or in accordance with the foregoing provisions of this paragraph. By its acceptance of the Excess Servicing Strip, the holder thereof shall be deemed to have agreed (i) to keep all information relating to the Trust and the Trust Fund and made available to it by the applicable Master Servicer confidential (except as permitted pursuant to clause (iii) below or, in the case of such Master Servicer, as contemplated hereby in the performance of its duties and obligations hereunder), (ii) not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificate pursuant to the Securities Act, and (iii) not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such holder's auditors, legal counsel and regulators, except to the extent such disclosure is required by law, court order or other legal requirement or to the extent such information is of public knowledge at the time of disclosure by such holder or has become generally available to the public other than as a result of disclosure by such holder; provided, however, that such holder may provide all or any part of such information to any other Person who is contemplating an acquisition of the Excess Servicing Strip if, and only if, such Person (x) confirms in writing such prospective acquisition and (y) agrees in writing to keep such information confidential, not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificates pursuant to the Securities Act and not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such Persons' auditors, legal counsel and regulators. From time to time following any transfer, sale, pledge or assignment of the Excess Servicing Strip, the Person then acting as Master Servicer No. 1, Master Servicer No. 2 or Master Servicer No. 3, as the case may be, shall pay, out of each amount paid to such Master Servicer as Master Servicing Fees with respect to any Mortgage Loan or REO Loan, as the case may be, the portion of the Excess Servicing Strip attributable to such Mortgage Loan or REO Loan to the holder of the Excess Servicing Strip within one (1) Business Day following the payment of such Master Servicing Fees to such Master Servicer, in each case in accordance with payment instructions provided by such holder in writing to such Master Servicer. The holder of the Excess Servicing Strip shall not have any rights under this Agreement except as set forth in the preceding sentences of this paragraph. The applicable Master Servicer shall pay the Excess Servicing Strip to the holder of the Excess Servicing Strip (i.e., Bank of America, Midland or Wachovia, as the case may be, or any such third party) at such time and to the extent such Master Servicer is entitled to receive payment of its Master Servicing Fees hereunder, notwithstanding any resignation or termination of Bank of America, Midland or Wachovia, as the case may be, hereunder (subject to reduction as provided above and in the next paragraph). With In the event that Bank of America, Midland or Wachovia, as the case may be, is terminated or resigns as a Master Servicer, it (and its successors and assigns) will be entitled to retain the Excess Servicing Strip, except to the extent that any portion of such Excess Servicing Strip is needed (as determined by the Trustee in its sole discretion) to compensate any replacement Master Servicer for assuming the duties of Bank of America, Midland or Wachovia, as the case may be, under this Agreement.
(b) Additional master servicing compensation in the form of:
(i) any and all Default Charges (or portion thereof that is comprised of late payment charges) collected with respect to each a Mortgage Loan that is not a Specially Serviced Pari Passu Companion Mortgage Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable extent provided in clause seventh of Section 3.26(a);
(ii) 50% of any and all assumption application fees, assumption fees, modification fees, substitution fees, extension fees, consent fees, release fees, waiver fees, earn out fees, processing fees and all other fees actually paid by a Mortgagor with respect of such to a Serviced Pari Passu Companion Mortgage Loan that is not a Specially Serviced Mortgage Loan; provided, subject to the terms of that, if a separate assumption application fee and a separate assumption fee are paid by the related Intercreditor Agreement. The Mortgagor, the applicable Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) receive 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fee and, in the case of the other fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loanreferred to above, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not if the consent of the Special Servicer is required), (iii) 100% not required pursuant to the terms of any fee actually paid by a Mortgagor this Agreement in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (providedunderlying servicing action, however, that 50% of then the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the applicable Master Servicer shall be entitled to charge and retain as additional servicing compensation receive 100% of such fees;
(other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loaniii) any and all charges for processing Mortgagor requests, beneficiary statements or demands, fees paid in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and other loan processing fees actually paid by a Mortgagor with respect to a Serviced Mortgage Loan that is not a Specially Serviced Mortgage Loan and, in the accounts held case of checks returned for insufficient funds, with respect to a Specially Serviced Mortgage Loan;
(iv) any and all Prepayment Interest Excesses collected with respect to a Trust Mortgage Loan, including a Specially Serviced Mortgage Loan (after deduction of the amounts required to be deposited by the applicable Master Servicer and reasonable review fees in its Collection Account for the related Distribution Date pursuant to Section 3.19(a) in connection with Prepayment Interest Shortfalls, Casualty/Condemnation Interest Shortfalls and Delayed Principal Payment Interest Shortfalls);
(v) any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) all interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) Investment Accounts maintained by any Master Servicer (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account for each Collection Period and, further, in the period from and including the prior Distribution Date to and including the P&I Advance Date related case of a Servicing Account or Reserve Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent is not required to be paid to any Mortgagor under applicable law or under the related Mortgage Loan documents); and
(vi) other customary charges; may be retained by the Master Servicers (subject to Section 3.11(e) and are not required to be deposited in their respective Collection Accounts; provided that any Master Servicer's right to receive Default Charges pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay, or reimburse the Trust for, interest on Advances, Additional Trust Fund Expenses and property inspection costs in respect of the related Mortgage Loan or REO Loan as Compensating Interest Paymentsprovided in Sections 3.03(d), 3.12(a) and 4.03(d) or as otherwise provided in Section 3.26. The Any of the amounts described in clauses (i) through (v) that are collected by the Special Servicer shall be promptly paid to the applicable Master Servicer. Each Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the its Collection Account or, with respect to a Serviced Loan Combination, out of the related Loan Combination Custodial Account, and the Master Servicer Servicers shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each Serviced REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and Serviced REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such Serviced REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Serviced Mortgage Loan or Serviced REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or Serviced REO Loan shall cease to accrue if as of the date a Liquidation Event occurs with in respect to the related thereof or it becomes a Corrected Mortgage Loan. The Subject to the penultimate paragraph of Section 3.11(c), earned but unpaid Special Servicing Fee Fees shall be payable monthly, monthly out of related Liquidation Proceeds and then general collections on a loan-by-loan basis, the Mortgage Loans and any REO Properties on deposit in accordance with the provisions of Collection Accounts pursuant to Section 3.05(a). The right to receive As further compensation for its activities hereunder, the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating receive the Workout Fee with respect to each Corrected Mortgage Loan Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Post-ARD Interest and Penalty Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Non-Serviced Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan again became a Corrected Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of . If the Special Servicer is required (terminated or resigns, it will retain the right to receive any and specifically excluding all Workout Fees payable with respect to any defeasance fees), provided Specially Serviced Mortgage Loan that such transaction qualifies became a Corrected Mortgage Loan during the period that it acted as a Major Decision or Special Servicer Decision, and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (ivincluding by way of a modification of the related Mortgage Loan documents) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant causing the Mortgage Loan to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the be a Specially Serviced Loans Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or certain other similar fees paid by resigns become a Corrected Mortgage Loan because the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent had not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servimade three consecutive monthly
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Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced ) and REO Loan. No Master Servicing Fee shall be payable with respect to any Companion Loan and REO Loan (other than unless such fee is expressly set forth in the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Intercreditor Agreement. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to the [__________] Loan will be set forth on the Mortgage Loan Schedule. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii) and otherwise as provided in Section 3.05(a)(vii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagorof: (i) 100% of Excess Modification Fees related to any modificationsall late payment charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any if the related assumption is completed, modification fees for modifications to Mortgage Loans (including any related Serviced or Companion Loan, to the extent Loans that are not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Specially Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid Loans made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Mortgage Loan or Companion Loan and, with respect to late payment charges and penalty charges, accrued during the time that such Mortgage Loan or Companion Loan was not a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of (A) any assumption fees and (B) any assumption application fees if the related assumption fails to be completed, in each case to the extent actually paid by a Mortgagor with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account; provided that the Master Servicer’s right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances as provided in Sections 3.03(d) and 4.03(d) or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) or interest on Advances pursuant to this Section 3.11(b). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan and not previously reimbursed to the Trust Fund, the Master Servicer shall deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related Mortgagor to such Mortgage Loan since the Closing Date for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan incurred since the Closing Date and not previously reimbursed to the Trust Fund. To the extent that the Master Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Master Servicer shall not be required to deposit such amounts late payment charges and Penalty Interest in the Collection Account Certificate Account. Penalty Interest or late payment charges in respect of any Mortgage Loan or Companion Loan which has accrued during the period when the related Mortgage Loan or Companion Distribution Account pursuant Loan is not a Specially Serviced Mortgage Loan shall be additional compensation to Section 3.04(a) the Master Servicer even if collected during the period when the related Mortgage Loan or Section 3.04(b), respectivelyCompanion Loan is a Specially Serviced Mortgage Loan. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Interest Reserve Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan or Companion Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans, Companion Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer, or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan and, if applicable, Companion Loan again became a Corrected Mortgage Loan. If the Special Servicing Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related borrower had not made three consecutive monthly debt service payments (but made the most recent monthly debt service payment prior to the termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making three such consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan or Mortgage Loan subject to repurchase by the applicable Mortgage Loan Seller (to the extent such Mortgage Loan was not repurchased within the cure period specified in the related Mortgage Loan Purchase Agreement) (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Liquidation Fee payable out of, and calculated by application of the Liquidation Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues or a full or discounted payoff by the Mortgagor) received in respect of such Mortgage Loan or Companion Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a full or partial recovery of principal, interest and expenses in accordance with Section 3.02(b) or the definition of “REO Loan,” as applicable; provided that no Liquidation Fee shall be payable monthlyin connection with, on or out of (i) Insurance Proceeds and (ii) Liquidation Proceeds resulting from the purchase of any Mortgage Loan or REO Property by a loan-by-loan basisMortgage Loan Seller pursuant to the applicable Mortgage Loan Purchase Agreement if purchased within the cure period set forth in Section 3(c) of such Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder, the Companion Holder, or the Special Servicer pursuant to Section 3.18(c), Section 3.18(d), Section 3.18(e), Section 3.18(h) or by the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder or the purchasing Certificateholder pursuant to Section 9.01, or any mezzanine lender pursuant to the related mezzanine intercreditor agreement if purchased by the mezzanine lender within 90 days of the related Mortgage Loan becoming a Specially Serviced Mortgage Loan; and (iii) Liquidation Proceeds resulting from the remittance by the related Mortgage Loan Seller pursuant to Section 2.03 (if remitted within the cure period set forth for repurchase in accordance the related Mortgage Loan Purchase Agreement); and provided, further, that no Liquidation Fee shall be payable (i) in connection with a Periodic Payment received in connection with such Mortgage Loan or (ii) to the provisions of Section 3.05(a)extent a Workout Fee is payable concerning the Liquidation Proceeds. The Special Servicer’s right to receive the Special Servicing Fee, the Workout Fee and the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit Sections 6.02, 6.04 and 6.09.
(d) Additional servicing compensation in the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder form of: (i) all late payment charges, Penalty Interest received on or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Specially Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole LoanLoans actually collected that, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each late payment charges and penalty charges, accrued during the time that the related Mortgage Loan was a Specially Serviced Mortgage Loan, (other than ii) one hundred percent (100%) of any assumption application fees and assumption fees with respect to any Specially Serviced Mortgage Loan and fifty percent (50%) of (A) any assumption fees and (B) any assumption application fees if the related assumption fails to be completed with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Non-Specially Serviced Mortgage Loan, in each case to the extent actually paid by a Mortgagor, and (iii) in the form of (i) (A) 100% of modification fees collected on all Excess Modification Fees related to modifications, waivers, extensions Mortgage Loans or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Companion Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a modifications made by the Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.183.20(i)), or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account Certificate Account; provided that the Special Servicer’s right to receive late payment charges and Penalty Interest pursuant to Section 3.04(aclause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or paid by Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) pursuant to this Section 3.11(d). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan and not previously reimbursed to the Trust Fund, the Special Servicer shall transfer to the Master Servicer for deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related to such Mortgage Loan incurred since the Closing Date for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses (other than Special Servicing Fees, Workout Fees and/or Liquidation Fees) related to such Mortgage Loan since the Closing Date and not previously reimbursed to the Trust Fund. To the extent the funds are received by that the Special Servicer. Subject Servicer is not entitled to Section 3.11(d)late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Special ServiServicer shall promptly transfer such late payment charges and Penalty Interest to the Master Servicer who shall deposit such late payment charges and Penalty Interest in the Certificate Account. The Special Servicer shall also be entitled to additional servicing compensation in th
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Wells Fargo Commercial Mortgage Securities Inc)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, same principal amount and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii) and otherwise as permitted pursuant to Section 3.05(a)(vii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance modification fees, liquidation late charges, exit fees or repayment fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums), in each case only to the extent actually paid by or on behalf of a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgage Loan, may be retained by the related Mortgagor Master Servicer and shall are not be required to deposit such amounts be deposited in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectivelyCertificate Account. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to Prepayment Interest Excesses (but only insofar as the extent provided in Section 3.11(daggregate of such Prepayment Interest Excesses collected during any Collection Period exceeds the aggregate amount of Prepayment Interest Shortfalls incurred during such Collection Period), ; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or Certificate Account, the Companion Additional and Default Interest Distribution Account and the Distribution Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in its Investment the Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Paymentsmaintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, same principal amount and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). In addition, with respect to each Specially Serviced Mortgage Loan, Corrected Mortgage Loan and REO Loan, the Special Servicer shall be entitled to the Principal Recovery Fee payable out of, and equal to 0.25% of, all amounts (whether in the form of payments, Insurance Proceeds, Liquidation Proceeds or REO Revenues) received in respect of such Mortgage Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a recovery of principal in accordance with Section 3.02(b) or the definition of "REO Loan," as applicable; provided, that if any such recovered amounts are received within six months subsequent to the termination of the previous Special Servicer, if any, and such termination was not the result of resignation or termination by default pursuant to Sections 6.04 and 7.01, respectively, then the successor Special Servicer shall pay to such terminated Special Servicer a fraction of the Principal Recovery Fee earned by the successor Special Servicer in respect of each Specially Serviced Mortgage Loan and REO Loan, the numerator of which is the number of days such Specially Serviced Mortgage Loan or REO Loan was serviced by the terminated Special Servicer and the denominator of which is the total number of days such Specially Serviced Mortgage Loan or REO Loan was serviced prior to becoming a Corrected Mortgage Loan or being liquidated, as applicable. Further, no Principal Recovery Fee shall be payable in connection with, or out of Liquidation Proceeds resulting from, the purchase of any Mortgage Loan or REO Loan by the applicable Mortgage Loan Seller pursuant to the respective Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder pursuant to Section 3.18(b), by the Master Servicer or the Special Servicer pursuant to Section 3.18(c) or by the Master Servicer, the Special Servicer or the Depositor pursuant to Section 9.01; provided further that if any Person is acting as Special Servicer at such time as any Specially Serviced Mortgage Loan became a Corrected Mortgage Loan and such Person is subsequently terminated as Special Servicer hereunder, and if such Corrected Mortgage Loan was still a Corrected Mortgage Loan at the time of such termination, then such Person shall, following such termination, continue to be entitled to all Principal Recovery Fees payable in respect to such Corrected Mortgage Loan, and no successor Special Servicer shall be entitled to any Principal Recovery Fees payable in respect thereof, in either case unless and until such Corrected Mortgage Loan again becomes a Specially Serviced Mortgage Loan or becomes an REO Loan; and provided further that if any Person is terminated as Special Servicer hereunder while the sale of any Specially Serviced Mortgage Loan or REO Property is pending, then (notwithstanding the second preceding proviso) such Person shall be entitled to all, and the successor Special Servicer shall be entitled to none, of the Principal Recovery Fee payable in connection with the receipt of the Liquidation Proceeds derived from such sale. As compensation for its activities set forth in Section 3.12, the Special Servicer shall be entitled to receive the Additional Servicing Fee with respect to each Mortgage Loan and REO Loan. As to each such Mortgage Loan and REO Loan, the Additional Servicing Fee shall accrue at the Additional Servicing Fee Rate and on the same principal amount and for the same period respecting which the related interest payment due on such Mortgage Loan or deemed to be due on such REO Loan is computed. The Additional Servicing Fee with respect to any Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Earned but unpaid Additional Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan and REO Revenues allocable as interest on each REO Loan. The Special Servicer shall be entitled to recover unpaid Additional Servicing Fees in accordance with respect of any Mortgage Loan or REO Loan out of that portion of related Insurance Proceeds or Liquidation Proceeds allocable as recoveries of interest, to the provisions of extent permitted by Section 3.05(a3.05(a)(iii) or otherwise pursuant to Section 3.05(a)(vii). The Special Servicer's right to receive the Special Servicing Fee, Additional Servicing Fee and Principal Recovery Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan orSections 6.02, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan6.04 and 6.09.
(cd) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related late charges, assumption fees, modification fees, exit fees or repayment fees received on or with respect to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-which charges and fees shall be subordinate to the regularly scheduled principal and interest payments in respect of such Specially Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (to, or directly from retained by, as the related Mortgagor) to case may be, the extent such fees are paid by the Mortgagor Special Servicer and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by the ). The Special Servicer shall also be entitled to additional servicing compensation in the Master Servicer form of: (i) interest or other income earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) (but only to the extent of the funds are received Net Investment Earnings, if any, with respect to the REO Account for each Collection Period); and (ii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in the Servicing Accounts maintained by the Special Servicer. Subject to Section 3.11(d)Except as otherwise expressly set forth herein, the Special ServiServicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers (other than compensation) and the premiums for any blanket policy obtained by it insuring against hazard losses pursuant to Section 3.07(b)), and the Special Servicer shall be entitled to reimbursement therefor as expressly provided in Sections 3.01(a), 3.05(a) and 3.09
(a) if and to the extent such expenses are not payable directly out of the Certificate Account or the REO Account.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Merrill Lynch Mortgage Investors Inc)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, same principal amount and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Master Servicing Fee shall be payable monthly, on a loan-byloanby-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan and the interest portion of Delinquency Advances on each Mortgage Loan and REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance modification fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums), in each case only to the extent actually paid by or on behalf of a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgage Loan, may be retained by the related Mortgagor Master Servicer and shall are not be required to deposit such amounts be deposited in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectivelyCertificate Account. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges any Prepayment Interest Excesses, Balloon Payment Interest Excesses, and, to the extent provided not applied to cover Advance Interest in Section 3.11(d)respect of the Mortgage Loan and further to the extent received on Mortgage Loans other than Specially Serviced Mortgage Loans, any Penalty Charges collected on the Mortgage Loans; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account Investment Account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or under the related Mortgage, any interest or other income earned on deposits in its Investment the Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Paymentsmaintained thereby. The Master Servicer shall be required to pay out of its own funds all overhead and general and administrative expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers retained by it and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest all surveillance fees payable to the holder of Rating Agencies, the Transferable Servicing Interest at such time Trustee Fee and to the extent the Master Special Servicer is entitled to receive payment Standby Fee out of its Master Servicing Fees hereunder, notwithstanding any resignation or termination Fee without right of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerreimbursement.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and each REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, same principal amount and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any each Specially Serviced Mortgage Loan or and each REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof. As to each Specially Serviced Mortgage Loan and each REO Loan, earned but unpaid Special Servicing Fees shall be payable monthly out of the same sources and at the same time (but separate from) Master Servicing Fees payable to the Master Servicer in respect of such Specially Serviced Mortgage Loan or REO Loan. As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the related Workout Fee shall be payable from, and shall be calculated by application of the Workout Fee Rate to, each collection of interest and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee will become payable if and when such Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicing Servicer is terminated other than for cause or resigns in accordance with Section 6.04, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans that became Corrected Mortgage Loans during the period that it acted as Special Servicer and were still such at the time of such termination or resignation (and the successor Special Servicer shall not be entitled to any portion of such Workout Fees), in each case until the Workout Fee for any such loan ceases to be payable in accordance with the preceding sentence. As further compensation for its activities hereunder, the Special Servicer shall also be entitled to receive a Liquidation Fee with respect to each Specially Serviced Mortgage Loan or REO Property as to which it receives any full or discounted payoff or any Liquidation Proceeds (other than in connection with the purchase of any such Specially Serviced Mortgage Loan or REO Property by the Special Servicer or the Majority Certificateholder of the Controlling Class pursuant to Section 3.18 or by the Master Servicer or the Depositor pursuant to Section 3.18 or Section 9.01). As to each such Specially Serviced Mortgage Loan or REO Property, the Liquidation Fee shall be payable monthlyfrom, on a loan-by-loan basisand shall be calculated by application of the Liquidation Fee Rate to, in accordance with the provisions of Section 3.05(a)such full or discounted payoff and/or such Liquidation Proceeds. The Liquidation Fee with respect to any such Specially Serviced Mortgage Loan will not be payable if such Mortgage Loan becomes a Corrected Mortgage Loan. Notwithstanding anything herein to the contrary, no Liquidation Fee will be payable from, or based upon the receipt of, Liquidation Proceeds collected as a result of any purchase of a Specially Serviced Mortgage Loan or REO Property described in the parenthetical to the first sentence of this paragraph; provided, however, that if any such Liquidation Proceeds are received with respect to any Corrected Mortgaged Loan, and the Special Servicer is properly entitled to a Workout Fee therefrom, such Workout Fee will be payable based on and from the portion of such Liquidation Proceeds that constitute principal and/or interest. Notwithstanding anything to the contrary herein, a Liquidation Fee and a Workout Fee relating to the same Mortgage Loan shall not be paid from the same proceeds on or with respect to such Mortgage Loan. As further compensation for its activities hereunder, the Special Servicer will also be entitled to receive the Special Servicer Standby Fee. The Special Servicer Standby Fee will accrue with respect to each Mortgage Loan (whether or not it is a Specially Serviced Mortgage Loan or a Mortgage Loan as to which the related Mortgaged Property has become an REO Property), at the Special Servicer Standby Fee Rate on the basis of the same principal amount and for the same period respecting which any related interest payment due or deemed due on such Mortgage Loan is computed, and will be payable by the Master Servicer out of its Master Servicing Fee with respect to such Mortgage Loan for each Collection Period. The Special Servicer's right to receive the Special Servicing Fee, the Special Servicer Standby Fee, the Workout Fee and/or the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(cd) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items modification fees received on or with respect to Specially Serviced Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid ). Additional servicing compensation in the form of assumption fees and modification fees that the Master Servicer is entitled to and that are collected by the Special Servicer Servicer, shall be paid promptly to the Master Servicer to the extent the funds are received by the Special Servicer. Subject The Special Servicer shall also be entitled to additional servicing compensation in the form of: (i) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in the Servicing Accounts maintained thereby; and (ii) to the extent not required to be paid to the Master Servicer as additional servicing compensation pursuant to Section 3.11(d3.11(b) and not otherwise allocable to cover Advance Interest in respect of the related Specially Serviced Mortgage Loan, any Penalty Charges collected on the Specially Serviced Mortgage Loans. The Special Servicer shall be required to pay out of its own funds all overhead and general and administrative expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any Sub-Servicers retained by it and the premiums for any blanket policy obtained by it insuring against hazard losses pursuant to Section 3.07(b)), if and to the extent such expenses are not payable directly out of the Certificate Account, and the Special Servicer shall not be entitled to reimbursement except as expressly provided in this Agreement.
(e) If the Master Servicer or Special Servicer is required under this Agreement to make a Servicing Advance, but neither does so within 15 days after such Advance is required to be made, the Trustee shall (subject to Section 3.11(g) below), make such Advance.
(f) The Master Servicer, the Special ServiServicer and the Trustee shall each be entitled to receive interest at the Reimbursement Rate in effect from time to time, accrued on the amount of each Servicing Advance made thereby for so long as such Servicing Advance is outstanding, payable, FIRST, out of Penalty Charges received on the Mortgage Loan or REO Loan as to which such Servicing Advance was made and, THEN, once such Servicing Advance has been reimbursed, out of general collections on the Mortgage Loans and REO Properties.
(g) Notwithstanding anything to the contrary set forth herein, none of the Master Servicer, the Special Servicer or the Trustee shall be required to make any Servicing Advance that it determines in its reasonable, good faith judgment would constitute a Nonrecoverable Servicing Advance. In addition, Nonrecoverable Servicing Advances shall be reimbursable pursuant to Section 3.05 out of general collections on the Mortgage Loans and REO Properties on deposit in the Certificate Account. The determination by the Master Servicer, the Special Servicer or, if applicable, the Trustee, that it has made a Nonrecoverable Servicing Advance or that any proposed Servicing Advance, if made, would constitute a Nonrecoverable Servicing Advance, shall be evidenced by an Officer's Certificate delivered promptly to the Trustee (or, if applicable, retained thereby) and the Depositor, setting forth the basis for such determination, together with (if such determination is prior to the liquidation of the related Mortgage Loan or REO Property) a copy of an Appraisal of the related Mortgaged Property or REO Property, as the case may be, which shall have been performed within the twelve months preceding such determination, and further accompanied by any other information, including, without limitation, engineers' reports, environmental surveys, inspection reports, rent rolls, income and expense statements or similar reports, that the Master Servicer or the Special Servicer may have obtained and that supports such determination. If such an Appraisal shall not have been required and performed pursuant to the terms of this Agreement, the Master Servicer or the Special Servicer, as the case may be, may, subject to its reasonable and good faith determination that such Appraisal will demonstrate the nonrecoverability of the related Advance, obtain an Appraisal for such purpose at the expense of the Trust Fund. The Trustee shall be entitled to rely on any determination of nonrecoverability that may have been made by the Master Servicer or the Special Servicer with respect to a particular Servicing Advance, and the Master Servicer shall be entitled to rely on any determination of nonrecoverability that may have been made by the Special Servicer with respect to a particular Servicing Advance.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Gmac Commercial Mortgage Securities Inc)
Servicing Compensation. (a) As compensation for its activities hereunderhereunder with respect to the Mortgage Loans, the Master Primary Servicer shall be entitled to receive the Servicing Fee a primary servicing fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA"Primary Servicing Fee"). As to each Mortgage Loan, Companion Loan and REO Loan, the Primary Servicing Fee shall accrue from time to time at the rate per annum as specified in Exhibit C hereof (the "Primary Servicing Fee Rate Rate") and shall be computed on the basis of the Stated Scheduled Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan (or deemed to be due due) on such REO Mortgage Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Primary Servicing Fee shall be payable monthly, on a loan-by-loan basis. With respect to the Mortgage Loans, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master the Primary Servicer shall be entitled to recover unpaid pay itself the Primary Servicing Fees in respect of Fee from actual collections on the respective Mortgage Loans.
(b) The Primary Servicer shall retain all rights to the Excess Servicing Fee for the Mortgage Loans, even if (a) any Mortgage Loan, Companion Loan or REO Mortgage Loans become Specially Serviced Mortgage Loans; (b) the Primary Servicer's servicing is terminated with respect to particular Mortgage Loans or (c) the Primary Servicer is in default, is terminated or resigns under this Agreement. If the Primary Servicer is unable to deduct the Excess Servicing Fee because it no longer services a Mortgage Loan out or Mortgage Loans or for any other reason (other than transfer or assignment of that portion of related paymentsthe rights to the Excess Servicing Fee), Insurance then the Master Servicer (and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in any successor) shall cause the case of an REO Loan) allocable as recoveries of interestExcess Servicing Fee to be paid on the Mortgage Loans to the Primary Servicer, to the extent permitted of any amounts received by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. .
(c) The Master Primary Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain receive as additional primary servicing compensation (other than with respect to any Non-Serviced Mortgage Loan "Additional Primary Servicing Compensation"), the percentage specified below of the income, fee or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicercharge described below, in each case only to the extent that such income, fee or charge is actually collected by the Primary Servicer from the Mortgagor or earned and paid by or on behalf any account:
(i) 100% of the related Mortgagor and shall not be required earnings on the earnings on the Escrow Accounts (to deposit such amounts in the Collection Account or extent that the Companion Distribution Account pursuant to Primary Servicer is entitled thereto under Section 3.04(a) or Section 3.04(b3.03(e), respectively. Subject to Section 3.11(d), the Master Primary Certificate Account (to the extent that the Primary Servicer is entitled thereto under Section 3.04(e)) and, subject to the related Mortgage Loan Documents and applicable law, any other accounts held by the Primary Servicer hereunder.
(ii) 50% of any fee associated with a Mortgagor request including but not limited to loan assumptions, modifications, waivers, consents and extensions relating to transactions not requiring Special Servicer consent pursuant to the PSA.
(iii) 25% of any fee associated with a Mortgagor request (other than the non-refundable processing fee relating to assumptions and transfers) including but not limited to loan assumptions, modifications, waivers, consents and extensions relating to transactions requiring Special Servicer consent pursuant to the PSA. In addition, the Primary Servicer shall be entitled to any Mortgagor-paid administration fees associated with any Escrow Account maintained by the Primary Servicer. The Primary Servicer shall also be entitled to additional servicing compensation that portion of any late charges collected from or on behalf of any Mortgagor that remains after application to any advance interest due to the Trust, on a "loan-by-loan" basis, in the form of: manner set forth in Section 4.6(c) of the PSA, other than the portion thereof (iif any) Penalty Charges to which the Special Servicer is entitled pursuant to Section 4.6(c) of the PSA. With respect to the extent provided Mortgage Loans, the Primary Servicer shall not be entitled to Additional Primary Servicing Compensation in Section 3.11(d), (ii) respect of interest or other income earned on deposits relating in any account that is not maintained by the Primary Servicer. The Primary Servicer shall not be entitled to any default interest, prepayment premiums, yield maintenance charges or additional interest, including excess interest collected on any Mortgage Loan. Any fees, charges or miscellaneous collections not specified as payable to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only Primary Servicer above are payable to the extent Master Servicer.
(d) Notwithstanding the preceding provisions of this Section 3.10, the Net Investment Earnings, if any, Primary Servicer shall not be entitled to any Additional Primary Servicing Compensation with respect to such account for the period from any Mortgage Loan that has become a Specially Serviced Mortgage Loan (other than interest and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other investment income earned on deposits funds in its Investment Accounts accounts maintained by the Primary Servicer) or with respect to which are not required by applicable law or the related Mortgage Loan to Primary Servicer has been terminated as Primary Servicer hereunder; provided, however, the Primary Servicer shall be paid entitled to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsExcess Servicing Fee. The Master Primary Servicer shall be required to pay out of its own funds funds, without reimbursement therefor, all overhead and general and administrative expenses incurred by it in connection with its servicing activities hereunder hereunder, including costs for office space, office equipment, supplies and related expenses, employee salaries and related expenses and similar internal costs and expenses.
(includinge) The fee, without limitationtiming and consent addendum hereto as Exhibit Q (the "Fee, payment of any amounts due Timing and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), Consent Addendum") is hereby incorporated by reference as if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreementfully set forth herein. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split Any conflict between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms provisions of this Agreement and such reduction. The Master Servicer the Fee, Timing and Consent Addendum shall pay the Transferable Servicing Interest to the holder be resolved in favor of the Transferable Servicing Interest at such time Fee, Timing and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special ServicerConsent Addendum.
(bf) As compensation for its activities hereunder, the Special The Primary Servicer shall be entitled to receive withdraw from the Special Primary Certificate Account and pay to itself the Primary Servicing Fee, the Excess Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Additional Primary Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed Compensation on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Primary Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, Remittance Date but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly only from the related Mortgagor) to sources of funds from which such payment may be made as specified hereunder and the extent such fees are paid by the Mortgagor Pooling and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special ServiServicing Agreement.
Appears in 1 contract
Sources: Primary Servicing Agreement (Morgan Stanley Capital I Trust 2007-Iq16)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, a 360-day year consisting of 12 30-day months and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retainpay, and shall not be required to deposit in from its own funds, the Collection Account pursuant to Section 3.04(a), additional annual fees of each Rating Agency. Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of one-half of all assumption and modification fees paid by the following amounts Mortgagor on Mortgage Loans that are not Specially Serviced Mortgage Loans and only to the extent collected from that all amounts then due and payable with respect to the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loanincluding interest on Advances) have been paid, and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, demands and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor Mortgagor, shall be retained by the Servicer and shall not be required to deposit such amounts be deposited in the Collection Account or the Companion Distribution Certificate Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master The Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges received on the Mortgage Loans (other than Specially Serviced Mortgage Loans), but only to the extent provided in Section 3.11(d), actually paid by the related Mortgagor and to the extent that all amounts then due and payable with respect to the related Mortgage Loan (including interest on Advances) have been paid and are not needed to pay interest on Advances with respect to any other Mortgage Loan; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Accounts in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the each period from and including the prior any Distribution Date to and including the immediately succeeding P&I Advance Date related to the current Distribution Date), ; and (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case and a 360-day year consisting of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, 12 30-day months and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with to the provisions of extent permitted by Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, Additional servicing compensation in the case form of the Poinciana Lakes Plaza Serviced Whole Loan, one-half of all assumption and modification fees and all extension fees received on or with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of and all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (assumption and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout extension fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor received on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), only to the extent not prohibited by actually collected from the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision Mortgagor and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), only to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees all amounts then due and any other fees separately addressed herein) and (viii) payable with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating related Mortgage Loan (including those payable to the accounts held by the Special ServicerServicer pursuant to Section 3.11(a)) have been paid, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) or paid by ). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause or by resignation), it shall retain the right to receive any and all Workout Fees payable with respect to Mortgage Loans that became Corrected Mortgage Loans during the period that it acted as Special Servicer and were Corrected Mortgage Loans at the time of such termination (and the successor Special Servicer shall not be entitled to any portion of such Workout Fees), in each case until the Workout Fee for any such loan ceases to be payable in accordance with the terms hereof. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds subject to the Master exceptions set forth in the definition of Liquidation Fee. Notwithstanding anything to the contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the repurchase of any Mortgage Loan by the Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation, the purchase of any Specially Serviced Mortgage Loan by the Servicer or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds that constitute principal and/or interest on such Mortgage Loan. The Special Servicer will also be entitled to additional fees in the form of Penalty Charges on Specially Serviced Mortgage Loans (but only to the extent actually collected from the related Mortgagor and to the extent that all amounts then due and payable with respect to the related Mortgage Loan (including interest on Advances) have been paid and are not needed to pay interest on Advances with respect to any other Mortgage Loan). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are received by not payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(c) In determining the compensation of the Servicer or Special Servicer. Subject , as applicable, with respect to Section 3.11(d)Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected during the related Due Period shall first be applied to reimburse the Servicer or the Trustee for interest on Advances due on such Distribution Date, and any Penalty Charges remaining thereafter shall be distributed pro rata to the Servicer and the Special ServiServicer based upon the amount of Penalty Charges the Servicer or the Special Servicer would otherwise have been entitled to receive during such period without any such application.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Chase Commercial Mortgage Securities Corp)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided ) that such transactions are Master Servicer Decisions, and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision or a Special Servicer Decision, then the Master Servicer shall be entitled to 50% of such Excess Modification Fees, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (other than a Non-Serviced Mortgage Loan) that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing or approval of that the Special Servicer is required entitled to under clause this Agreement); and (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as ) relating to Master Servicer Decisions, and for any matter for a Mortgage Loan (vincluding any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision or a Special Servicer Decision, then the Master Servicer shall be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, demands and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan Loan, during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to For the contraryavoidance of doubt, the Master Servicer and the Special Servicer shall each be entitled to not charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged a fee in lieu of any fee that is otherwise to be split between the master servicer Master Servicer and special servicer, and (iii) actually paid by or on behalf of the related MortgagorSpecial Servicer. Notwithstanding anything herein to the contrary, Midland Loan ServicesTrimont LLC, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National AssociationTrimont LLC, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National AssociationTrimont LLC, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (Bii) 50100% of Excess Modification Fees related all assumption application fees and other similar items received with respect to modifications, waivers, extensions or amendments Specially Serviced Loans and 100% of any all assumption application fees and other similar items received with respect to Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that Loans to the extent such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18fees, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans, (v) (A) 50% of all waiver feesExcess Modification Fees and assumption, waiver, consent and earnout and other similar fees (other than assumption application fees and consent fees defeasance fees) pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees 3.18 received in each case with respect to all any Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided Loans to the extent that such transaction qualifies as the matter involves a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands and demand charges actually paid by the related Mortgagor borrowers to the extent such beneficiary statements or demands demand charges were prepared by the Special Servicer, and (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicerfunds, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account and the Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, the Special Servicer shall be entitled to charge any Mortgagor for and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan) reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and only to the extent actually paid by or on behalf of the related Mortgagor. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Loan at the Workout Fee Rate on such Corrected Loan for so long as it remains a Corrected Loan; provided, however, that after receipt by the Special Servicer of Workout Fees with respect to such Corrected Loan in an amount equal to $25,000, any Workout Fees in excess of such amount shall be reduced by the Excess Modification Fee Amount; provided, further, however, that in the event the Workout Fee collected over the course of such workout calculated at the Workout Fee Rate is less than $25,000, then the Special Servicer shall be entitled to an amount from the final payment on the related Corrected Loan (including any related Serviced Companion Loan) that would result in the total Workout Fees payable to the Special Servicer in respect of that Corrected Loan (including any related Serviced Companion Loan) equal to $25,000. The Workout Fee shall be reduced (but not below zero) with respect to each collection on such Corrected Loan from which fee would otherwise be payable until an amount equal to the Excess Modification Fee Amount has been deducted in full. The Workout Fee with respect to any Corrected Loan will cease to be payable if such loan again becomes a Specially Serviced Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Loan again becomes a Corrected Loan. The Special Servicer shall not be entitled to any Workout Fee with respect to a Non-Serviced Mortgage Loan. If the Special Servicer is terminated (other than for cause) or resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or any related Companion Loan that became Corrected Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Corrected Loan subsequently becomes a Specially Serviced Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Loans for which the resigning or terminated Special Servicer had determined to grant a forbearance or cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Loan solely because the ▇▇▇▇▇▇▇▇▇ had not had sufficient time to make
Appears in 1 contract
Sources: Pooling and Servicing Agreement (BBCMS Mortgage Trust 2025-5c38)
Servicing Compensation. (a) As compensation for its activities hereunder, the each Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSALoans). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). 3.05
(a) Except as set forth in the following sentence, the fourth third paragraph of this Section 3.11(a), Section 6.03, Section 6.05 ) and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the a Master Servicer’s 's duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Each Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced the 599 Lexington Avenue Mortgage LoanLoan and the AmeriCold Portfolio Mortgage ▇▇▇▇) in the form of the following amounts to the extent collected from the related Mortgagor: ▇▇ ▇▇▇ ▇▇▇▇ ▇f (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(e), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and 50% of application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiverextension, consentearnout, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees for which the Special Servicer's consent or approval is required on the Non-Specially Serviced Mortgage Loans (other than assumption application and defeasance fees), pursuant with respect to Section 3.08 and Section 3.18 on any the 599 Lexington Avenue Mortgage Loan (other than a Specially Serviced Loanand the AmeriCold Portfolio Mortgage ▇▇▇▇) (including any related Serviced Companion Loan, ▇▇▇ ▇▇▇▇ ▇▇ ▇he extent that all amounts then due and payable with respect to the extent related Mortgage Loan have been paid. Payments by a Mortgagor for out-of-pocket expenses shall not prohibited by be construed as application fees for purposes of the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)foregoing. In addition, the applicable Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced the 599 Lexington Avenue Mortgage Loan and the AmeriCold Portfolio Mortgage ▇▇▇▇) ▇▇▇ ▇▇▇▇▇▇▇ ▇or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection its Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the each Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection its Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Each Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection its Certificate Account and the such Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced the 599 Lexington Avenue Mortgage Loan and any Loan, the AmeriCold Portfolio Mortgage Lo▇▇ ▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇▇ REO Loan relating to a Non-Serviced Mortgaged PropertyLoan). As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not specially service or be entitled to any Special Servicing Fees with respect to a Non-Serviced the 599 Lexington Avenue Mortgage Loan or, in and the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion LoanAmeriCold Portfolio Mortgage ▇▇▇▇.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and all defeasance fees, in each case, received on any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced the 599 Lexington Avenue Mortgage LoansLoan, the AmeriCold Portfolio Mortgage Lo▇▇ ▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇▇ REO Loan) and Serviced Companion Loans that to the extent such fees are paid by the Mortgagor, (ii) 50% of all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any all assumption, extension, material modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 3.08(a) and Section 3.18, 3.08(b) or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the applicable Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection applicable Certificate Account pursuant to Section 3.04(a). Payments by a Mortgagor for out-of-pocket expenses shall not be construed as application fees for purposes of the foregoing. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. The Special Servicer shall not specially service or be entitled to any Special Servicing Fees with respect to the 599 Lexington Avenue Mortgage Loan and the AmeriCold Portfolio Mortgage ▇▇▇▇. ▇▇ ▇▇▇ ▇▇▇▇▇▇l Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan (other than the 599 Lexington Avenue Mortgage Loan and the AmeriCold Portfolio Mortgage ▇▇▇▇) ▇▇ ▇▇▇ ▇▇▇▇▇▇ty as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any Companion Loan, the Liquidation Fee, Workout Fee and Special Servicing Fees, if any, will be computed as provided in the related Intercreditor Agreement or to the extent the funds are received by the Special Servicersuch Intercreditor Agreement is silent, as provided herein as though such Companion Loan were a Mortgage Loan. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicers or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan (other than the 599 Lexington Avenue Mortgage Loan and the AmeriCold Portfolio Mortgage ▇▇▇▇) ▇▇▇▇▇ ▇▇▇ ▇▇▇or Distribution Date shall be applied (in such order) to reimburse (i) the applicable Master Servicer or the Trustee for interest on Advances on such Mortgage Loan (and, in connection with the 599 Lexington Avenue Mortgage Loan, the 599 Lexington Avenue Master Ser▇▇▇▇▇, ▇▇▇ ▇▇▇ ▇▇▇▇▇gton Avenue Special ▇▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇ ▇▇xington Avenue Co-Trus▇▇▇ ▇▇ ▇▇▇ ▇▇▇ ▇▇▇▇▇gton Avenue Trustee for ▇▇▇▇▇▇▇▇ ▇▇ ▇▇▇ ▇▇▇vicing Advances mad▇ ▇▇ ▇▇▇ ▇▇▇▇ ▇▇▇▇▇ with respect to the 599 Lexington Avenue Whole Loan pursuant to the 2007-LDP10 Pooling Agre▇▇▇▇▇, ▇▇ ▇▇▇ ▇▇▇▇▇▇ so provided in the 599 Lexi▇▇▇▇▇ ▇▇▇▇▇▇ ▇▇▇▇▇creditor Agreement and, in connection with th▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇o Mortgage Loan, the AmeriCold Portfolio Master Servicer, the AmeriCold Portfolio Special Servicer, the AmeriCold Portfolio Primary Servicer or the AmeriCold Portfolio Trustee for interest on the Servicing Advances made by any such party with respect to the AmeriCold Portfolio Whole Loan pursuant to the 2007-CIBC18 Pooling Agreement, to the extent so provided in the AmeriCold Portfolio Intercreditor Agreement) due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the applicable Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof (and, in connection with the 599 Lexington Avenue Mortgage Loan, the 599 Lexington Avenue Trust for ▇▇▇ ▇▇▇▇▇▇▇▇ ▇▇ ▇▇▇▇icing Advances reimb▇▇▇▇▇ ▇▇ ▇▇▇ ▇▇▇ ▇▇▇ington Avenue Trust to any party under the 2007-LDP10 Pooling Ag▇▇▇▇▇▇▇, ▇▇▇▇▇ ▇▇▇▇▇ted in an additional trust fun▇ ▇▇▇▇▇▇▇ ▇▇▇ ▇▇▇ 599 Lexington Avenue Trust, to the extent so provided in the 599 Lexing▇▇▇ ▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇itor Agreement and, in connection with th▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇o Mortgage Loan, the AmeriCold Portfolio Trust for all interest on Servicing Advances reimbursed by the AmeriCold Portfolio Trust to any party under the 2007-CIBC18 Pooling Agreement, which resulted in an additional trust fund expense for the AmeriCold Portfolio Trust, to the extent so provided in the AmeriCold Portfolio Intercreditor Agreement) with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (other than Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges (other than with respect to the 599 Lexington Avenue Mortgage Loan, which shall be payable as additiona▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇tion under the 2007-LDP10 Pooling Agreement and the AmeriCold Portfolio Mortgage Loan, ▇▇▇▇▇ ▇▇▇▇▇ ▇▇ ▇▇yable as additional servicing compensation under the 2007-CIBC18 Pooling Agreement) remaining thereafter shall be distributed to the applicable Master Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan. Notwithstanding the foregoing, Penalty Charges with respect to any Companion Loan will be allocated pursuant to the applicable Intercreditor Agreement after payment of all related Advances and interest thereon.
(e) Nothwithstanding anything to contrary in the Holiday Inn Express-Temecula Intercreditor Agreement and the Veteran's Parkway Intercreditor Agreement, the applicable Master Servicer
Appears in 1 contract
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2007-Cibc19)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any applicable Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth (4th) paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: Mortgagor relating to a Mortgage Loan and any related Serviced Companion Loan:
(i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided ) that such transactions are Master Servicer Decisions; and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision or a Special Servicer Decision, then the Master Servicer shall be entitled to 50% of such Excess Modification Fees;
(ii) 100% of all assumption application fees and other similar items received on any Serviced Mortgage Loans that are Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) and 100% of all defeasance fees (provided that for the avoidance of doubt, any such defeasance fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and shall not include any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed Fees in connection with a defeasance transaction for which the consent, processing or approval of that the Special Servicer is required entitled to under clause this Agreement); and
(xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iviii) 100% of assumption, waiver, consent, loan service transaction consent and earnout fees fees, and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as ) relating to Master Servicer Decisions; and for any matter for a Mortgage Loan (including any related Companion Loan) that is not a Specially Serviced Loan which matter involves a Major Decision or a Special Servicer Decision, (v) then the Master Servicer will be entitled to 50% of all Excess Modification Fees and such assumption, waiver, consent, loan service transaction consent and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors demands (to the extent such beneficiary statements or demand charges were demands are prepared by the Master Servicer) and other customary charges, amounts collected for checks returned for insufficient funds with respect (relating to the accounts held by the Master Servicer Servicer) and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerdocuments, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Servicing Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) the difference, if positive, between Prepayment Interest Excesses and Prepayment Interest Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Pari Passu Companion Loan during the related Collection Period Period, to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, if either the Master Servicer or the Special Servicer has partially waived any Penalty Charge (part of which accrued when the related Mortgage Loan was not a Specially Serviced Loan and part of which accrued when the related Mortgage Loan was a Specially Serviced Loan), any collections in respect of such Penalty Charge will be shared pro rata by the Master Servicer and the Special Servicer based on the respective portions of such Penalty Charge to which each would otherwise have been entitled. With respect to any of the preceding fees (other than Penalty Charges) as to which both the Master Servicer and the Special Servicer are entitled to receive all or a portion thereof, the Master Servicer and the Special Servicer shall each have the right in its sole discretion, but not any obligation, to reduce, waive or elect not to charge its respective portion of such fee; provided, that (A) neither the Master Servicer nor the Special Servicer will have the right to reduce, waive or elect not to charge the portion of any such fee due to the other and (B) to the extent either of the Master Servicer or the Special Servicer exercises its right to reduce, waive or elect not to charge its respective portion in any such fee, the party that reduced, waived or elected not to charge its respective portion of such fee will not have any right to share in any part of the other party’s portion of such fee. If the Master Servicer decides not to charge any fee (other than Penalty Charges), the Special Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Special Servicer would have been entitled if the Master Servicer had charged a fee and retain reasonable review fees the Master Servicer will not be entitled to any of such fee charged by the Special Servicer. Similarly, if the Special Servicer decides not to charge any fee (other than Penalty Charges), the Master Servicer shall nevertheless be entitled to charge its portion of the related fee to which the Master Servicer would have been entitled if the Special Servicer had charged a fee and the Special Servicer shall not be entitled to any portion of such fee charged by the Master Servicer. For the avoidance of doubt, the Special Servicer may, in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related a workout or other modification of a Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between and without the master servicer and special servicer, and (iii) actually paid by or on behalf consent of the Master Servicer, waive any or all related MortgagorPenalty Charges, regardless of who is entitled to receive such payments as compensation; provided that any collections in respect of such Penalty Charges allocated to additional servicing compensation will be shared pro rata by the Master Servicer and Special Servicer based on the respective portions of such Penalty Charges to which each would otherwise have been entitled pursuant to Section 3.11(d). Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Pari Passu Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer Servicer, hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of of:
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, ;
(ii) 100% of assumption application fees and other similar items received with respect to Specially Serviced Loans and 100% of all assumption application fees and other similar items received with respect to Serviced Mortgage Loans for which and Serviced Companion Loans that are Non-Specially Serviced Loans to the extent the Special Servicer processes the underlying assumption-related transaction, ;
(iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction consent and earnout fees pursuant to Section 3.08 and Section 3.18, or fees in respect of other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, ;
(iv) 100% of assumption fees and other similar fees received with respect to Specially Serviced Loans;
(v) (A) 50% of all waiver feesExcess Modification Fees and assumption, assumption fees and waiver, consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees and other similar fees (other than assumption application fees and defeasance fees) received in each case with respect to all any Serviced Mortgage Loans (other than Non-or Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) Loans that are Non-Specially Serviced Loans, provided Loans to the extent that such transaction qualifies as the matter involves a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, ;
(vi) 100% of charges for beneficiary statements or demands and demand charges actually paid by the related Mortgagor Mortgagors to the extent such beneficiary statements or demands were demand charges are prepared by the Special Servicer, ; and
(vii) 50100% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to charges collected for checks intended for deposit in the accounts held by the Special Servicer, 100% of charges applicable REO Account maintained by the Special Servicer collected for checks and returned for insufficient funds relating to the accounts held by the Special Servicer, and funds. Such additional servicing compensation shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer). Subject to Section 3.11(d), the Special ServiServicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d) and (ii) interest or other income earned on deposits relating to the Trust Fund in the REO Account and Loss of Value Reserve Fund in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to such Distribution Date). In addition, the Special Servicer shall be entitled to retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan) reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents, and only to the extent actually paid by or on behalf of the related Mortgagor. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Worko
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Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSALoans). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Companion Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). 3.05
(a) Except as set forth in the following sentence, the fourth third paragraph of this Section 3.11(a), Section 6.03, Section 6.05 3.11(b) and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreementpart. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(e), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and 50% of all application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Certificate Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Certificate Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, may at its option, option assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.05 6.04 and who requires market-market rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest (i.e., Midland or any such third party) at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and defeasance fees, in each case, received on any Specially Serviced LoansMortgage Loans to the extent such fees are paid by the Mortgagor, (Bii) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 3.08(a) and 3.08(b) or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master Servicer exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the extent contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the funds repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the 90-day period or such other additional period provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan by the Majority Controlling Class Certificateholder or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received by with respect to any Corrected Mortgage Loan and the Special ServicerServicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Master Servicer or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (including Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges remaining thereafter shall be distributed to the Master Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent actually collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan.
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Servicing Compensation. (a) As compensation for its activities hereunder, the each Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and each REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially master serviced loan” under any related Non-Serviced PSA)by it. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or an REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The foregoing sentence notwithstanding, the Master Servicing Fee shall not accrue with respect to any Closing Date Deposit Mortgage Loan for the interest accrual period to which the related Closing Date Deposit relates. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or any REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, monthly on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or any REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a)(iii) or Section 3.05(e), as applicable, and in the case of a Trust Mortgage Loan or a Trust REO Loan, out of such other amounts as may be permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the either Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement or the transfer of all or a portion of Master Servicer No. 1's right to receive the Excess Servicing Strip. Notwithstanding anything herein to the contrary, Midland (and its successors and assigns) may at its option assign or pledge to any third party or retain for itself the Excess Servicing Strip (in any event, in whole as to the entire portion of the Mortgage Pool serviced by it but not in part); provided that any assignee or pledgee of the Excess Servicing Strip must be a successor servicer Qualified Institutional Buyer or Institutional Accredited Investor (other than a Plan); and provided, further, that no transfer, sale, pledge or other assignment of the Excess Servicing Strip shall be made unless that transfer, sale, pledge or other assignment is exempt from the registration and/or qualification requirements of the Securities Act and any applicable state securities laws and is otherwise made in accordance with the terms hereofSecurities Act and such state securities laws; and provided, further, that in the event of any resignation or termination of Midland in its capacity as Master Servicer No. 1, all or any portion of the Excess Servicing Strip may be reduced by the Trustee through a reduction in the Excess Servicing Strip Rate with respect to one or more Mortgage Loans and REO Loans that were serviced by the resigned or terminated Master Servicer to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.04 and that requires market rate servicing compensation (including compensation necessary to pay primary servicing fees) that accrues at a per annum rate in excess of the sum of (i) 0.01% (one basis point) per annum and (ii) with respect to any Mortgage Loan or REO Loan that is not primary serviced by Midland, the primary servicing fee rate, if any, for such Mortgage Loan or REO Loan. Midland and each holder of the Excess Servicing Strip desiring to effect a transfer, sale, pledge or other assignment of the Excess Servicing Strip shall, and Midland hereby agrees, and each such holder of the Excess Servicing Strip by its acceptance of the Excess Servicing Strip shall be deemed to have agreed, in connection with any transfer of the Excess Servicing Strip effected by such Person, to indemnify the Certificateholders, the Trust, the Depositor, the Underwriters, the Trustee, any Fiscal Agent, the other Master Servicer, the Certificate Registrar and the Special Servicer against any liability that may result if such transfer is not exempt from registration and/or qualification under the Securities Act or other applicable federal and state securities laws or is not made in accordance with such federal and state laws or in accordance with the foregoing provisions of this paragraph. By its acceptance of the Excess Servicing Strip, the holder thereof shall be deemed to have agreed (i) to keep all information relating to the Trust and the Trust Fund and made available to it by the applicable Master Servicer confidential (except as permitted pursuant to clause (iii) below or, in the case of such Master Servicer, as contemplated hereby in the performance of its duties and obligations hereunder), (ii) not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificate pursuant to the Securities Act, and (iii) not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such holder's auditors, legal counsel and regulators, except to the extent such disclosure is required by law, court order or other legal requirement or to the extent such information is of public knowledge at the time of disclosure by such holder or has become generally available to the public other than as a result of disclosure by such holder; provided, however, that such holder may provide all or any part of such information to any other Person who is contemplating an acquisition of the Excess Servicing Strip if, and only if, such Person (x) confirms in writing such prospective acquisition and (y) agrees in writing to keep such information confidential, not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificates pursuant to the Securities Act and not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such Persons' auditors, legal counsel and regulators. From time to time following any transfer, sale, pledge or assignment of the Excess Servicing Strip, the Person then acting as Master Servicer No. 1 shall pay, out of each amount paid to such Master Servicer as Master Servicing Fees with respect to any Mortgage Loan or REO Loan, as the case may be, the portion of the Excess Servicing Strip attributable to such Mortgage Loan or REO Loan to the holder of the Excess Servicing Strip within one Business Day following the payment of such Master Servicing Fees to such Master Servicer, in each case in accordance with payment instructions provided by such holder in writing to such Master Servicer. The holder of the Excess Servicing Strip shall not have any rights under this Agreement except as set forth in the preceding sentences of this paragraph. Master Servicer No. 1 shall pay the Excess Servicing Strip to the holder of the Excess Servicing Strip (i.e., Midland, or any such third party) at such time and to the extent such Master Servicer is entitled to receive payment of its Master Servicing Fees hereunder, notwithstanding any resignation or termination of Midland hereunder (subject to reduction as provided above and in the next paragraph). With respect to each Serviced Pari Passu Companion Loan, In the Servicing Fee shall be payable to the event that Midland is terminated or resigns as Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion LoanNo. 1, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall it (and its successors and assigns) will be entitled to retainretain the Excess Servicing Strip, and shall not be required except to deposit the extent that any portion of such Excess Servicing Strip is needed (as determined by the Trustee in its sole discretion) to compensate any replacement Master Servicer for assuming the duties of Midland under this Agreement.
(b) Additional master servicing compensation in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan form of:
(other than i) any and all Default Charges (or portion thereof that is comprised of late payment charges) collected with respect to a Non-Mortgage Loan that is not a Specially Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreementprovided in clause seventh of Section 3.26(a), provided that such transactions are Master Servicer Decisions, ;
(ii) 10050% of any and all assumption application fees (with respect to assumptions that did not occur), assumption fees, modification fees, extension fees, consent fees, release fees, waiver fees and other similar items received on any earn-out fees actually paid by a Mortgagor with respect to a Mortgage Loans Loan that is not a Specially Serviced Mortgage Loan (including any related Serviced Companion Loanprovided, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not however, that if the consent of the Special Servicer is required), (iii) 100% not required pursuant to the terms of any fee actually paid by a Mortgagor this Agreement in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (providedunderlying servicing action, however, that 50% of then the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the applicable Master Servicer shall be entitled to charge receive 100% of such fees);
(iii) any and retain as additional servicing compensation all assumption application fees (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demandsassumptions that were effected), fees paid in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such for beneficiary statements or demand charges were prepared by the Master Servicerdemands, amounts collected for checks returned for insufficient funds and other loan processing fees actually paid by a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgaged Loan and, in the accounts held case of checks returned for insufficient funds, with respect to a Specially Serviced Mortgage Loan;
(iv) any and all Prepayment Interest Excesses collected with respect to a Trust Mortgage Loan, including a Specially Serviced Mortgage Loan (after deduction of the amounts required to be deposited by the applicable Master Servicer and reasonable review fees in its Collection Account for the related Distribution Date pursuant to Section 3.19(a) in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents Prepayment Interest Shortfalls and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(bCasualty/Condemnation Interest Shortfalls), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: ;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) Investment Accounts maintained by either Master Servicer (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account for each Collection Period and, further, in the period from and including the prior Distribution Date to and including the P&I Advance Date related case of a Servicing Account or Reserve Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent is not required to be paid to any Mortgagor under applicable law or under the related Mortgage Loan documents); and
(vi) other customary charges; may be retained by the Master Servicers (subject to Section 3.11(e) and are not required to be deposited in their respective Collection Accounts; provided that either Master Servicer's right to receive Default Charges pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay, or reimburse the Trust for, interest on Advances, Additional Trust Fund Expenses and property inspection costs in respect of the related Mortgage Loan or REO Loan as Compensating Interest Paymentsprovided in Sections 3.03(d), 3.12(a) and 4.03(d) or as otherwise provided in Section 3.26. The Any of the amounts described in clauses (i) through (v) that are collected by the Special Servicer shall be promptly paid to the applicable Master Servicer. Each Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the its Collection Account or, with respect to a Loan Combination, out of the related Loan Combination Custodial Account, and the Master Servicer Servicers shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days); provided, however, that the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and each REO Loan shall not be less than $4,000 for any one-month period during which such Special Servicing Fee accrues (or, in those cases where such Special Servicing Fee is accruing for a partial period of less than one month, shall not be less than the prorated portion of such $4,000 amount). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs with in respect to the related thereof or it becomes a Corrected Mortgage Loan. The Subject to the penultimate paragraph of Section 3.11(c), earned but unpaid Special Servicing Fee Fees shall be payable monthly, monthly out of related Liquidation Proceeds and then general collections on a loan-by-loan basis, the Mortgage Loans and any REO Properties on deposit in accordance with the provisions of Collection Accounts pursuant to Section 3.05(a). The right to receive As further compensation for its activities hereunder, the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating receive the Workout Fee with respect to each Corrected Mortgage Loan Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Non-Serviced Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan again became a Corrected Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of . If the Special Servicer is required (terminated or resigns, it will retain the right to receive any and specifically excluding all Workout Fees payable with respect to any defeasance fees), provided Specially Serviced Mortgage Loan that such transaction qualifies became a Corrected Mortgage Loan during the period that it acted as a Major Decision or Special Servicer Decision, and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (ivincluding by way of a modification of the related Mortgage Loan documents) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant causing the Mortgage Loan to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the be a Specially Serviced Loans Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or certain other similar fees paid by resigns become a Corrected Mortgage Loan because the related Mortgagor on Specially Serviced Loanshad not made three consecutive monthly debt service payments and subsequently becomes a Corrected Mortgage Loan as a result of making such three consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), subject to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d)following sentence, the Special ServiSpecial
Appears in 1 contract
Sources: Pooling and Servicing Agreement (ML-CFC Commercial Mortgage Trust 2006-3)
Servicing Compensation. (a) As compensation consideration for its activities hereunderservicing the Assets subject to this Agreement, the Master Subservicer shall retain and/or be paid by the Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting on a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loanmonthly basis, the Servicing Fee shall accrue from time Fees for each Asset subject to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurduring any month or part thereof. The Such Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a)in arrears. The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional Additional servicing compensation in the form of: (i) Penalty Charges to the extent provided of certain Ancillary Income as further described in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer Exhibit A shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced retained by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 Subservicer and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Custodial Account. Notwithstanding anything to the contrary contained herein, at the end of each Business Day, the Subservicer shall so notify the Servicer of the amount of unreimbursed Servicing Advances as of such Business Day that are required to be deposited into the Custodial Account pursuant after application of all permissible offsets, and the Servicer shall remit the total amount of such unreimbursed Servicing Advances to Section 3.04(a) or the Subservicer no later than the Business Day following the date of such notice. The failure of the Servicer to remit any payment required in this paragraph within the required timeframe shall permit the Subservicer to suspend its obligation to fund further Servicing Advances hereunder until such unreimbursed Servicing Advances have been paid to the Subservicer. Furthermore, in the event that such amount is not paid within the required timeframe, such amount shall accrue interest commencing on the Business Day following the date of such notice at the Prime Rate. Notwithstanding anything to the contrary contained herein, if at the end of any calendar month, the amount of accrued and unpaid Servicing Fees exceed the aggregate amount collected by the Special Subservicer during such calendar month, the Subservicer shall so notify the Servicer and the Servicer shall remit the total amount of such shortfall to the Subservicer no later than ten (10) Business Days following the date of such notice. The failure of the Servicer to remit any payment required in this paragraph within the Master Servicer required timeframe shall permit the Subservicer to suspend its obligation to fund further Servicing Advances hereunder until such unpaid Servicing Fees have been paid to the extent Subservicer. Furthermore, in the funds are received by event that such amount is not paid within the Special Servicerrequired timeframe, such amount shall accrue interest commencing on the tenth (10th) Business Day following the date of such notice at the Prime Rate. Subject to Section 3.11(d), The payment and reimbursement provisions contained in this Agreement shall survive the Special Servitermination of this Agreement.
Appears in 1 contract
Sources: Strategic Alliance Agreement (Provident Mortgage Capital Associates, Inc.)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSALoans). As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the Master Servicer’s 's duties and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(e), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and 50% of all application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement)Mortgage Loan have been paid; provided, provided that such transaction qualifies that, notwithstanding the foregoing with respect to each Mortgage Loan set forth on Schedule 4, the percentage of the fees to be paid to the Master Servicer with respect to assumptions shall be as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision set forth on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)Schedule 4. In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection Certificate Account and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and defeasance fees, in each case, received on any Specially Serviced LoansMortgage Loans to the extent such fees are paid by the Mortgagor, (Bii) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 3.08(a) and 3.08(b) or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non-Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a); provided, that, notwithstanding the foregoing with respect to each Mortgage Loan set forth on Schedule 4, the percentage of the fees to be paid to the Master Servicer with respect to assumptions shall be as set forth on Schedule 4. The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master Servicer exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the extent contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the funds repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the 90-day period or such other additional period provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan by the Majority Controlling Class Certificateholder or the Special Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received by with respect to any Corrected Mortgage Loan and the Special ServicerServicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicer or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the Master Servicer or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (including Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges remaining thereafter shall be distributed to the Master Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent actually collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (J.P. Morgan Chase Commercial Mortgage Securities Trust 2006-Cibc15)
Servicing Compensation. (a) As compensation for its activities hereunder, the subject to Section 3.11(e), each Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Trust Mortgage Loan (including each Specially Serviced Trust Mortgage Loan), Serviced Companion B-Note Non-Trust Mortgage Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)as to which it is the applicable Master Servicer. As to each Trust Mortgage Loan, Companion B-Note Non-Trust Mortgage Loan and REO Mortgage Loan, the related Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Trust Mortgage Loan or Companion B-Note Non-Trust Mortgage Loan or deemed to be due on such REO Mortgage Loan is computedcomputed and be calculated on the same interest accrual basis (i.e., an Actual/360 Basis or a 30/360 Basis) as such Trust Mortgage Loan, B-Note Non-Trust Mortgage Loan or REO Mortgage Loan (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Trust Mortgage Loan, B-Note Non-Trust Mortgage Loan or REO Mortgage Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Trust Mortgage Loan, Companion B-Note Non-Trust Mortgage Loan or REO Mortgage Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Trust Mortgage Loan, Companion Loan or B-Note Non-Trust Mortgage 146 Loan and REO Revenues allocable as interest on each REO Mortgage Loan, and as otherwise provided by Section 3.05(a). The Master Servicer Servicer, on behalf of itself and the holder of the related Excess Servicing Strip, shall be entitled to recover unpaid Master Servicing Fees in respect of any Trust Mortgage Loan, Companion B-Note Non-Trust Mortgage Loan or REO Mortgage Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this 3.05(a)(iii) or Section 3.11(a3.05(e)(iii), Section 6.03, Section 6.05 and Section 7.01(c)as applicable. Subject to the next paragraph, the right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement. Notwithstanding anything herein to the contrary, in no event shall any Master Servicing Fee with respect to a B-Note Non-Trust Mortgage Loan or any successor servicer REO Mortgage Loan with respect thereto be payable out of collections on the Mortgage Pool. Notwithstanding anything herein to the contrary, each initial Master Servicer (and its successors and assigns) may at its option assign or pledge to any third party or retain for itself the related Aggregate Excess Servicing Strip (in whole but not in part); provided that any assignee or pledgee of such Aggregate Excess Servicing Strip must be a Qualified Institutional Buyer or Institutional Accredited Investor (other than a Plan); and provided, further, that no transfer, sale, pledge or other assignment of such Aggregate Excess Servicing Strip shall be made unless that transfer, sale, pledge or other assignment is exempt from the registration and/or qualification requirements of the Securities Act and any applicable state securities laws and is otherwise made in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion LoanSecurities Act and such state securities laws; and provided, further, that in the Servicing Fee shall be payable to event of any resignation or termination of Wachovia, as the initial Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion LoanNo. 1, subject to or Midland, as the terms initial Master Servicer No. 2, all or any portion of the related Intercreditor AgreementAggregate Excess Servicing Strip may, to protect REMIC I against an associated increase in expenses, be reduced by the Trustee to the extent necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor Master Servicer (which successor may include the Trustee) that meets the requirements of Sections 6.04 and 7.02 and that requires market rate servicing compensation that, in the case of each Trust Mortgage Loan and REO Trust Mortgage Loan as to which Wachovia or Midland, as the case may be, was the applicable Master Servicer, accrues at a per annum rate greater than the excess of the related Master Servicing Fee Rate over the then related Excess Servicing Fee Rate. The For the avoidance of doubt, a Sub-Servicer to a Sub-Servicing Agreement dated the date hereof shall not be deemed to be the holder of an Excess Servicing Strip with respect to any sub-servicing fee payable thereunder. Each initial Master Servicer and each successor holder of the related Aggregate Excess Servicing Strip desiring to effect a transfer, sale, pledge or other assignment of such Aggregate Excess Servicing Strip shall, and such initial Master Servicer hereby agrees, and each such subsequent holder of the related Aggregate Excess Servicing Strip by its acceptance thereof shall be deemed to have agreed, in connection with any transfer, sale, pledge or other assignment of such Aggregate Excess Servicing Strip effected by such Person, to indemnify the Certificateholders, the Trust, the Depositor, the Underwriters, the Trustee, the Certificate Administrator, the Master Servicers, the Certificate Registrar and the Special Servicer against any liability that may result if such transfer, sale, pledge or other assignment is not exempt from registration and/or qualification under the Securities Act or other applicable federal and state securities laws or is not made in accordance with such federal and state laws or in accordance with the foregoing provisions of this paragraph. By its acceptance of an Aggregate Excess Servicing Strip, the holder thereof shall be deemed to have agreed (i) to keep all information relating to the Trust and the Trust Fund and made available to it by the applicable Master Servicer confidential (except as permitted pursuant to clause (iii) below or, in the case of a Master Servicer, as contemplated hereby in the performance of its duties and obligations hereunder), (ii) not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of such Aggregate Excess Servicing Strip or any Non-Registered Certificate pursuant to the Securities Act, and (iii) not to 147 disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such holder's auditors, legal counsel and regulators, except to the extent such disclosure is required by law, court order or other legal requirement or to the extent such information is of public knowledge at the time of disclosure by such holder or has become generally available to the public other than as a result of disclosure by such holder; provided, however, that such holder may provide all or any part of such information to any other Person who is contemplating an acquisition of the subject Aggregate Excess Servicing Strip if, and only if, such Person (x) confirms in writing such prospective acquisition and (y) agrees in writing to keep such information confidential, not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the subject Aggregate Excess Servicing Strip or any Non-Registered Certificates pursuant to the Securities Act and not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such Persons' auditors, legal counsel and regulators. From time to time following any transfer, sale, pledge or assignment of either Aggregate Excess Servicing Strip, the Person then acting as the applicable Master Servicer shall be pay, out of each amount paid to such Master Servicer as Master Servicing Fees with respect to any related Trust Mortgage Loan or REO Trust Mortgage Loan, as the case may be, the Excess Servicing Strip attributable to such Trust Mortgage Loan or REO Trust Mortgage Loan to the holder of such Aggregate Excess Servicing Strip within one (1) Business Day following the payment of such Master Servicing Fees to the applicable Master Servicer, in each case in accordance with payment instructions provided by such holder in writing to the applicable Master Servicer. The holder of an Aggregate Excess Servicing Strip shall not have any rights under this Agreement except as set forth in the preceding sentences of this paragraph. The applicable Master Servicer shall pay the Excess Servicing Strip for any Trust Mortgage Loan or REO Trust Mortgage Loan to the holder of the applicable Aggregate Excess Servicing Strip at such time and to the extent the applicable Master Servicer is entitled to retainreceive payment of its Master Servicing Fees for such Trust Mortgage Loan or REO Trust Mortgage Loan, and shall not be required as the case may be, hereunder, notwithstanding any resignation or termination of the applicable initial Master Servicer hereunder (subject to deposit in the Collection Account pursuant reduction as provided above this paragraph).
(b) Subject to Section 3.04(a3.11(e), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modificationsall late payment charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, modification fees for Serviced Mortgage Loan modifications made by the applicable Master Servicer pursuant to Section 3.20(h), defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by or on behalf a Mortgagor with respect to a Serviced Mortgage Loan and, with respect to assumption application fees, late payment charges and Penalty Interest, accrued during the time that such Serviced Mortgage Loan was not a Specially Serviced Mortgage Loan, and (ii) 50% of any assumption fee to the related extent actually paid by a Mortgagor with respect to any Serviced Mortgage Loan that is not a Specially Serviced Mortgage Loan, may be retained by the applicable Master Servicer and shall are not be required to deposit such amounts be deposited in the its Collection Account or, if applicable, an A/B Custodial Account; provided that the applicable Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or to reimburse the Companion Distribution Account Trust Fund for previously incurred Additional Trust Fund Expenses pursuant to this Section 3.11(b). To the extent the applicable Master Servicer receives late payment charges or Penalty Interest on a Serviced Mortgage Loan for which 148 interest on Advances or inspection costs pursuant to Section 3.04(a3.12(a) are outstanding or Section 3.04(bany Additional Trust Fund Expenses (exclusive of Workout Fees, Liquidation Fees and Special Servicing Fees) related to such Serviced Mortgage Loan have been incurred since the Closing Date immediately preceding the receipt of such late payment charges or Penalty Interest and not previously reimbursed to the Trust Fund, the applicable Master Servicer shall deposit in its Collection Account, by the end of the Collection Period in which such late payment charges or Penalty Interest, as the case may be, was received (or, if later, upon its receipt from the Special Servicer), respectivelyan amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Serviced Mortgage Loan or (ii) the sum of (A) the amount of interest on Advances related to such Serviced Mortgage Loan then due and payable hereunder in accordance with Section 3.03(d) and/or (except with respect to any B-Note Non-Trust Mortgage Loan or any successor REO B-Note Non-Trust Mortgage Loan with respect thereto) Section 4.03(d), (B) the amount of any unpaid inspection costs pursuant to Section 3.12(a) related to such Serviced Mortgage Loan and (C) without duplication, the amount of Additional Trust Fund Expenses (including, without limitation, interest on Advances and inspection costs pursuant to Section 3.12(a), but excluding Workout Fees, Liquidation Fees and Special Servicing Fees) related to such Serviced Mortgage Loan incurred since the Closing Date and not previously reimbursed to the Trust Fund. To the extent that the applicable Master Servicer is not entitled to late payment charges or Penalty Interest, pursuant to the immediately preceding sentence, the applicable Master Servicer shall deposit such late payment charges and Penalty Interest in its Collection Account. Subject to Section 3.11(d)the two preceding sentences, Penalty Interest or late payment charges in respect of any Serviced Mortgage Loan that have accrued during the period when the related Serviced Mortgage Loan is not a Specially Serviced Mortgage Loan shall be additional compensation to the applicable Master Servicer even if collected during the period when the related Serviced Mortgage Loan is a Specially Serviced Mortgage Loan. Notwithstanding the foregoing, any late payment charges or penalty interest allocated to an Outside Serviced Trust Mortgage Loan, in accordance with the related Co-Lender Agreement, the Outside Servicing Agreement, shall be applied to pay interest on P&I Advances made on and to Additional Trust Fund Expenses allocated to such Outside Serviced Trust Mortgage Loan in accordance with the related Co-Lender Agreement and the Outside Servicing Agreement and this Agreement, and then, to the extent any amounts remain, to the applicable Master Servicer as additional servicing compensation. The applicable Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges Prepayment Interest Excesses on the Serviced Mortgage Loans (subject to the extent provided in Section 3.11(d3.11(e), ); (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution and any A/B Custodial Account maintained thereby, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from each Collection Period); and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Serviced Mortgage Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and Servicing Accounts maintained thereby (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period but only to the extent not required of the Net Investment Earnings, if any, with respect to be paid as Compensating Interest Paymentseach such account for each Collection Period). The Each Master Servicer shall be required to pay out of its own funds all allocable overhead and all general and administrative expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the its Collection Account or, with respect to an A/B Loan Combination, out of the related A/B Custodial Account, and the such Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Neither Master Servicer and shall waive or agree to any discount of any portion of assumption fees to which the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to without the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.'s prior written consent. 149
(bc) As compensation for its activities hereunder, subject to Section 3.11(e), the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and each REO Mortgage Loan (other than a Non-that relates to an Administered REO Property. As to each such Specially Serviced Mortgage Loan and any each such REO Mortgage Loan relating that relates to a Non-Serviced Mortgaged an Administered REO Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special Servideem
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Citigroup Commercial Mortgage Trust 2006-C5)
Servicing Compensation. Interest on Servicing Advances; Payment of Certain Expenses; Obligations of the Trustee Regarding Back-up Servicing Advances.
(a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including, without limitation, each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the applicable Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, same principal amount and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period number of days respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed under the terms of the related Mortgage Note (as such terms may be changed or modified at any time following the Closing Date) and applicable law, and without giving effect to any Additional Interest that may accrue on any Hyper-Amortization Loan after its Anticipated Repayment Date. The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds or Liquidation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer under this Agreement or except as provided in accordance with the terms hereofSection 3.22(d). With respect The Master Servicer shall, monthly out of its Master Servicing Fee, pay to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to any Sub-Servicer retained by the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion LoanSub-Servicer's sub-servicing fee (including, subject without limitation, any Primary Servicing Fee, if applicable), to the terms of extent such Sub-Servicer is entitled thereto under the related Intercreditor applicable Sub-Servicing Agreement. .
(b) The Master Servicer shall be entitled to retainreceive as additional servicing compensation:
(i) Default Charges, assumption fees, modification fees, charges for beneficiary statements or demands and shall not be required to deposit in the Collection Account pursuant to Section 3.04(aany similar fees (excluding Prepayment Premiums), additional servicing compensation relating to in each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts case to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of respect to a Mortgage Loan (other than that is not a Non-Specially Serviced Mortgage Loan;
(ii) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or a Mortgagor with respect to any Mortgage Loan;
(iii) any Prepayment Interest Excesses collected on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: Mortgage Loans;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account Certificate Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account the Certificate Account for the period from and including the prior Distribution Date to and including the P&I Advance Date related each Collection Period); and
(v) to the current Distribution Date)extent not required to be paid to any Mortgagor under applicable law or under the related Mortgage, (iii) any interest or other income earned on deposits in its Investment the Servicing Accounts which are not required maintained by applicable law or the Master Servicer; provided that with respect to the items of additional servicing compensation set forth in clauses (i) and (ii) above, the Master Servicer shall, in turn, pay the amounts described therein to the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the NonSub-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period Servicer to the extent not required to be paid as Compensating Interest Paymentssuch Sub-Servicer is entitled thereto under the applicable Sub-Servicing Agreement. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers Servicer retained by it and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, same principal amount and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period number of days respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed under the terms of the related Mortgage Note (as such terms may be modified at any time following the Closing Date) and applicable law, and without giving effect to any Additional Interest that may accrue on any Hyper-Amortization Loan after its Anticipated Repayment Date. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Standby Fee with respect to each Mortgage Loan and each REO Loan. As to each Mortgage Loan and each REO Loan, the Standby Fee shall accrue from time to time at the Standby Fee Rate on the basis of the same principal amount and for the same number of days respecting which any related interest payment due on such Mortgage Loan or deemed to be due on such REO Loan is computed under the terms of the related Mortgage LoanNote (as such terms may be modified at any time following the Closing Date) and applicable law, and without giving effect to any Additional Interest that may accrue on any Hyper-Amortization Loan after its Anticipated Repayment Date. The Special Servicing Fee Standby Fees shall be payable monthly, monthly by the Master Servicer on a loan-by-loan basisbasis out of its Master Servicing Fees received with respect to each Mortgage Loan and each REO Loan. As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, unless the basis on which such Mortgage Loan became a Corrected Mortgage Loan was the remediation of a circumstance or condition relating to the Mortgage Loan Seller's obligation to repurchase such Mortgage Loan pursuant to Section 2.03, in which case, if such Mortgage Loan is repurchased within the ______ day period described in Section 2.03(a), no Workout Fee will be payable from or based upon the receipt of, any Purchase Price paid by the Mortgage Loan Seller in satisfaction of such repurchase obligation. Furthermore, no Workout Fees will be payable from or based upon the receipt of any Liquidation Proceeds paid by any Majority Certificateholder of the Controlling Class or the Master Servicer in connection with the purchase of all the Mortgage Loans and any REO Properties in the Trust Fund pursuant to Section 9.01 hereof. As to each Corrected Mortgage Loan, subject to the exceptions provided for in the two preceding sentences, the Workout Fee shall be payable from, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Default Interest and, in the case of a Hyper-Amortization Loan after its Anticipated Repayment Date, Additional Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee will become payable if and when such Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated other than for cause or resigns in accordance with clause (ii) of the first paragraph of Section 6.04, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans that became Corrected Mortgage Loans during the period that it acted as Special Servicer and were still such at the time of such termination or resignation (and the successor Special Servicer shall not be entitled to any portion of such Workout Fees), in each case until the Workout Fee for any such Mortgage Loan ceases to be payable in accordance with the provisions preceding sentence. As further compensation for its activities hereunder, the Special Servicer shall also be entitled to receive a Liquidation Fee with respect to each Specially Serviced Mortgage Loan or REO Property as to which it receives any full or discounted payoff from the related Mortgagor or any Liquidation Proceeds (other than in connection with the purchase of any such Specially Serviced Mortgage Loan or REO Property by the Special Servicer pursuant to Section 3.05(a3.18, by the Master Servicer or the Majority Certificateholder of the Controlling Class pursuant to Section 3.18 or Section 9.01, or by the Mortgage Loan Seller pursuant to Section 2.03 within _____ days of its discovery or notice of the breach or Document Defect that gave rise to the repurchase obligation, and other than in connection with the condemnation or other governmental taking of a Mortgaged Property or REO Property). As to each such Specially Serviced Mortgage Loan or REO Property, the Liquidation Fee shall be payable from, and shall be calculated by application of the Liquidation Fee Rate to, such full or discounted payoff and/or Liquidation Proceeds (excluding any portion of such payoff and/or proceeds that represents accrued but unpaid Additional Interest with respect to a Hyper-Amortization Loan after its Anticipated Repayment Date or accrued but unpaid Default Interest); provided that no Liquidation Fee will be payable with respect to any such Specially Serviced Mortgage Loan that becomes a Corrected Mortgage Loan; and provided, further, that (without limiting the Special Servicer's right to any Workout Fee that is properly payable therefrom), no Liquidation Fee will be payable from, or based upon the receipt of, Liquidation Proceeds collected as a result of any purchase of a Specially Serviced Mortgage Loan or REO Property described in the parenthetical to the first sentence of this paragraph or in connection with a condemnation or other governmental taking of a Mortgaged Property or REO Property. Notwithstanding anything to the contrary herein, a Liquidation Fee and a Workout Fee relating to the same Mortgage Loan shall not be paid from the same proceeds on or with respect to such Mortgage Loan. The Special Servicer's right to receive the Special Servicing Fee, the Standby Fee, the Workout Fee and/or the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(cd) The Special Servicer shall be entitled to receive as additional special servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of compensation:
(i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of the extent allocable to the period when any Mortgage Loan is a Specially Serviced LoansMortgage Loan or to the extent allocable to an REO Loan, any Net Default Charges actually collected on such Mortgage Loan or REO Loan, as the case may be, and (B) 50% of Excess Modification Fees related assumption fees, modification fees, charges for beneficiary statements or demands and any similar fees (excluding Prepayment Premiums) actually collected on or with respect to modifications, waivers, extensions or amendments of any Specially Serviced Mortgage Loans or REO Loans; and
(ii) interest or other than Non-Serviced Mortgage Loansincome earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) and Serviced Companion Loans that (but only to the extent of the Net Investment Earnings, if any, with respect to the REO Account for each Collection Period). To the extent the amounts described in clause (i)(B) of the preceding paragraph are Non-Specially Serviced Loanscollected by the Master Servicer, provided that the Master Servicer shall promptly pay such transaction qualifies as a Major Decision or a amounts to the Special Servicer Decisionand shall not be required to deposit such amounts in the Certificate Account pursuant to Section 3.04(a). Additional servicing compensation to which the Master Servicer (or, if so provided by the applicable Sub-Servicing Agreement, any Sub-Servicer retained thereby) is entitled pursuant to Section 3.11(b) in the form of assumption fees, modification fees, charges for beneficiary statements or demands and any similar fees (Cexcluding Prepayment Premiums) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any collected by the Special Servicer on Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Mortgage Loans or REO Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% or in the form of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer amounts collected for checks returned for insufficient funds relating with respect to any Mortgage Loans (including, without limitation, Specially Serviced Mortgage Loans), shall be paid promptly to the accounts held Master Servicer by the Special Servicer. The Special Servicer shall be required to pay out of its own funds all overhead, general and administrative expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any Sub-Servicers retained by it and the premiums for any blanket policy obtained by it insuring against hazard losses pursuant to Section 3.07(b)), if and to the extent such expenses are not payable directly out of the Certificate Account or the REO Account and the Master Servicer is not required to advance such expenses at the direction of the Special Servicer, and shall be promptly paid to the Special Servicer shall not be entitled to reimbursement except as expressly provided in this Agreement.
(e) If the Master Servicer or Special Servicer is required under this Agreement to make a Servicing Advance, but neither does so within 15 days after such Servicing Advance is required to be made, the Trustee shall, if it has actual knowledge of such failure on the part of the Master Servicer or Special Servicer, as the case may be, give notice of such failure, as applicable, to the Master Servicer and/or the Special Servicer. If such Servicing Advance is not made by the Master Servicer or the Special Servicer within one Business Day after such notice then (or directly from subject to Section 3.11(g) below), the related Mortgagor) to the extent Trustee shall make such fees are paid Servicing Advance. Any failure by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) Master Servicer or paid by the Special Servicer to make a Servicing Advance it is required to make hereunder shall constitute an Event of Default by the Master Servicer or the Special Servicer, as the case may be, subject to and as provided in Section 7.01(a).
(f) As and to the extent the funds are received permitted by the Special Servicer. Subject to Section 3.11(d3.05(a), the Master Servicer, the Special ServiServicer (to the extent it has not already been reimbursed for any such Servicing Advance by the Master Servicer) and the Trustee shall each be entitled to receive interest at the Reimbursement Rate in effect from time to time, accrued on the amount of each Servicing Advance made thereby (out of its own funds) for so long as such Servicing Advance is outstanding, and such interest will be paid: first, out of any Default Charges collected on or in respect of the related Mortgage Loan during, and allocable to, the period, if any, that it was a Specially Serviced Mortgage Loan or an REO Loan; and second, at any time coinciding with or following the reimbursement of such Servicing Advance, out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account. As and to the extent provided in Sections 3.03(a) and 3.05(a), the Master Servicer shall reimburse itself, the Special Servicer or the Trustee, as appropriate, for any Servicing Advance made thereby as soon as practicable after funds available for such purpose are (deposited in the Certificate Account or a Servicing Account.
(g) Notwithstanding anything to the contrary set forth herein, none of the Master Servicer, the Special Servicer or the Trustee, shall be required to make any Servicing Advance (including, without limitation, an Emergency Advance) that it determines in its reasonable, good faith judgment would constitute a Nonrecoverable Servicing Advance. In addition, Nonrecoverable Servicing Advances shall be reimbursable pursuant to Section 3.05(a)(vii) out of general collections on the Mortgage Pool on dep
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Banc of America Commercial Mortgage Inc)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagorof: (i) 100% of Excess Modification Fees related to any modificationsall late payment charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application modification fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a for Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid modifications made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Mortgage Loan and accrued during the time that such Mortgage Loan was not a Specially Serviced Mortgage Loan, and (ii) one hundred percent (100%) of any assumption application fee and fifty percent (50%) of any assumption fee (or 0% if the Master Servicer fails to provide a written recommendation and rationale therefor to the Special Servicer) to the extent actually paid by a Mortgagor with respect to any Mortgage Loan, in either case, that is not a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account; provided that the Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances or Additional Trust Fund Expenses as provided in Sections 3.03(d) and 4.03(d). Penalty Interest or late payment charges in respect of any Mortgage Loan which has accrued during the period when the related Mortgagor and Mortgage Loan is not a Specially Serviced Mortgage Loan shall not be required additional compensation to deposit such amounts in the Collection Account or Master Servicer even if collected during the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectivelyperiod when the related Mortgage Loan is a Specially Serviced Mortgaged Loan. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Interest Reserve Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), (iii) one hundred percent (100%) of all defeasance fees for all Mortgage Loans and (iv) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer, the Paying Agent or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan again became a Corrected Mortgage Loan. If the Special Servicing Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related borrower had not made three consecutive monthly debt service payments (but had made the most recent monthly debt service payment prior to the termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making such three consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Principal Recovery Fee payable out of, and calculated by application of the Principal Recovery Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues) received in respect of such Mortgage Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a recovery of principal, interest and expenses in accordance with Section 3.02(b) or the definition of "REO Loan", as applicable; provided that no Principal Recovery Fee shall be payable monthlyin connection with, or out of (i) Insurance Proceeds and (ii) Liquidation Proceeds resulting from the purchase of any Mortgage Loan or REO Property by a Mortgage Loan Seller pursuant to the First Union Mortgage Loan Purchase Agreement, the GACC Mortgage Loan Purchase Agreement or the LaSalle Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder, the Companion Holder or the Special Servicer pursuant to Section 3.18(d) or Section 3.26(d) or by the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder pursuant to Section 9.01; and provided further that no Principal Recovery Fee shall be payable (i) in connection with a Periodic Payment received in connection with such Mortgage Loan or (ii) to the extent a Workout Fee is payable concerning the Liquidation Proceeds; provided further that if any such Liquidation Proceeds are received with respect to any Corrected Mortgaged Loan, and the Special Servicer is properly entitled to a Workout Fee therefrom, such Workout Fee will be payable based on and from the portion of such Liquidation Proceeds that constitute principal and/or interest; and provided, further that, with respect to Liquidation Proceeds collected in connection with item (i) of the definition thereof, the Special Servicer, prior to such condemnation or taking by power of eminent domain, shall have prepared the sale, transfer or liquidation of such Mortgaged Property or such condemnation is of a loan-by-loan basismaterial portion of the Mortgaged Property, and the Special Servicer shall have been primarily responsible for protecting the Trust Fund's interests in accordance with such proceedings bringing about the provisions condemnation or taking by power of Section 3.05(a)eminent domain. The Special Servicer's right to receive the Special Servicing Fee, the Workout Fee and the Principal Recovery Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit Sections 6.02, 6.04 and 6.09.
(d) Additional servicing compensation in the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder form of: (i) all late payment charges, Penalty Interest and assumption application fees received on or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Specially Serviced Mortgage Loans actually collected that accrued during the time that the related Mortgage Loan or, in the case of the Poinciana Lakes Plaza was a Specially Serviced Whole Mortgage Loan, (ii) one-hundred percent (100%) of any assumption fee to the extent actually paid by a Mortgagor with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Specially Serviced Mortgage Loan and fifty percent (other than 50%) of any assumption fee to the extent actually paid by a Mortgagor with respect to any Mortgage Loan, in either case, that is not a Non-Specially Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver modification fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement collected on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(smodifications made by the Master Servicer pursuant to Section 3.20(i)), in each case to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account provided that the Special Servicer's right to receive late payment charges and Penalty Interest pursuant to Section 3.04(aclause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances or paid by Additional Trust Fund Expenses and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d). The Special Servicer shall also be entitled to additional servicing compensation in the Master Servicer form of: (i) interest or other income earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) (but only to the extent of the funds are received Net Investment Earnings, if any, with respect to the REO Account for each Collection Period); and (ii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in the Servicing Accounts maintained by the Special Servicer. Subject The Special Servicer shall be required to Section 3.11(d)pay out of its own funds all general and administrative expenses incurred by it in connection with its servicing activities hereunder, and the Special ServiServicer shall not be entitled to reimbursement therefor except as expressly provided in Section 3.05(a) if and to the extent such expenses are not payable directly out of the Certificate Account or the REO Account. The Special Servicer shall not waive or agree to any discount of any portion of assumption fees to which the Master Servicer is entitled.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (First Union National Bank Com Mort Pas THR Cert Ser 2002 C1)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than Loan. No Master Servicing Fee shall be payable with respect to the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Loans. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagorof: (i) 100% of Excess Modification Fees related to any modificationsall late payment charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application modification fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a for Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced or Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid modifications made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Mortgage Loan or Companion Loan and accrued during the time that such Mortgage Loan or Companion Loan was not a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of any assumption fee to the extent actually paid by a Mortgagor with respect to any Mortgage Loan, Companion Loan or a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account; provided that the Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances as provided in Sections 3.03(d) and 4.03(d). Penalty Interest or late payment charges in respect of any Mortgage Loan or Companion Loan which has accrued during the period when the related Mortgagor and Mortgage Loan is not a Specially Serviced Mortgage Loan shall not be required additional compensation to deposit such amounts in the Collection Account Master Servicer even if collected during the period when the related Mortgage Loan or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectivelyLoan is a Specially Serviced Mortgaged Loan. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Interest Reserve Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan or Companion Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans, Companion Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer, the Paying Agent or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan and, if applicable, Companion Loan again became a Corrected Mortgage Loan. If the Special Servicing Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related borrower had not made three consecutive monthly debt service payments (but had made the most recent monthly debt service payment prior to the termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making such three consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Principal Recovery Fee payable out of, and calculated by application of the Principal Recovery Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues) received in respect of such Mortgage Loan or Companion Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a recovery of principal, interest and expenses in accordance with Section 3.02(b) or the definition of "REO Loan", as applicable; provided that no Principal Recovery Fee shall be payable monthlyin connection with, on or out of (i) Insurance Proceeds and (ii) Liquidation Proceeds resulting from receipt of condemnation proceeds or the purchase of any Mortgage Loan or REO Property by a loan-by-loan basisMortgage Loan Seller pursuant to the First Union Mortgage Loan Purchase Agreement, the GACC Mortgage Loan Purchase Agreement or the LaSalle Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder, the Companion Holder or the Special Servicer pursuant to Section 3.18(c), Section 3.18(d), Section 3.18(e) or Section 3.18(h) or by the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder pursuant to Section 9.01; and provided further that no Principal Recovery Fee shall be payable (i) in accordance connection with a Periodic Payment received in connection with such Mortgage Loan or (ii) to the provisions of Section 3.05(a)extent a Workout Fee is payable concerning the Liquidation Proceeds. The Special Servicer's right to receive the Special Servicing Fee, the Workout Fee and the Principal Recovery Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit Sections 6.02, 6.04 and 6.09.
(d) Additional servicing compensation in the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder form of: (i) all late payment charges, Penalty Interest and assumption application fees received on or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Specially Serviced Mortgage Loans actually collected that accrued during the time that the related Mortgage Loan or, in the case of the Poinciana Lakes Plaza was a Specially Serviced Whole Mortgage Loan, (ii) fifty percent (50%) of any assumption fee to the extent actually paid by a Mortgagor with respect to any Poinciana Lakes Plaza Mortgage Loan, Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-or Specially Serviced Mortgage Loan, and (iii) in the form of (i) (A) 100% of modification fees collected on all Excess Modification Fees related to modifications, waivers, extensions Mortgage Loans or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Companion Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a modifications made by the Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.183.20(i)), or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account provided that the Special Servicer's right to receive late payment charges and Penalty Interest pursuant to Section 3.04(aclause (i) or paid by above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d). The Special Servicer shall also be entitled to additional servicing compensation in the Master Servicer form of: (i) interest or other income earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) (but only to the extent of the funds are received Net Investment Earnings, if any, with respect to the REO Account for each Collection Period); and (ii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in the Servicing Accounts maintained by the Special Servicer. Subject The Special Servicer shall be required to Section 3.11(d)pay out of its own funds all general and administrative expenses incurred by it in connection with its servicing activities hereunder, and the Special ServiServicer shall not be entitled to reimbursement therefor except as expressly provided in Section 3.05(a) if and to the extent such expenses are not payable directly out of the Certificate Account or the REO Account
Appears in 1 contract
Sources: Pooling and Servicing Agreement (First Union Commercial Mortgage Pass THR Cer Ser 2001-C3)
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs in respect thereof. Earned but unpaid Master Servicing Fees shall be payable monthly (or, with respect to the related any Semi-Annual Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee shall be payable monthlysemi-annually), on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties 's responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modificationslate charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout modification fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced for Mortgage Loan or Specially Serviced Loan) any modifications made pursuant to Section 3.20(i), charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by or a Mortgagor with respect to a Mortgage Loan and accrued during the time that such Mortgage Loan was not a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of any assumption fee to the extent actually paid by a Mortgagor with respect to any Mortgage Loan may be retained by the Master Servicer and are not required to be deposited in the Certificate Account provided that the Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances in respect of the related Mortgagor Mortgage Loan as provided in Sections 3.03(d) and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b4.03(d), respectively. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account, the Interest Reserve Account or and the Companion Distribution Account Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). In addition, with respect to each Specially Serviced Mortgage Loan, Corrected Mortgage Loan and REO Loan (or Qualified Substitution Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Principal Recovery Fee payable out of, and equal to 1.0% of, all amounts (whether in the form of payments, Insurance Proceeds, Liquidation Proceeds or REO Revenues) received in respect of such Mortgage Loan (or, in the case of an REO Loan, in respect of the related Mortgage REO Property) and allocable as a recovery of principal in accordance with Section 3.02(b) or the definition of "REO Loan. The Special Servicing ", as applicable; provided that no Principal Recovery Fee shall be payable monthlyin connection with, on a loan-by-loan basisor out of Liquidation Proceeds resulting from, in accordance with the provisions purchase of any Mortgage Loan or REO Property by the Mortgage Loan Seller pursuant to the Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder pursuant to Section 3.05(a3.18(b), by the Master Servicer or the Special Servicer pursuant to Section 3.18(c) or by the Depositor, the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder pursuant to Section 9.01. The Special Servicer's right to receive the Special Servicing Fee and the Principal Recovery Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan orSections 6.02, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan6.04 and 6.09.
(cd) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related late charges and Penalty Interest received on or with respect to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans actually collected that accrued with respect of such Specially Serviced Loan (other than Non-in which case the Special Servicer shall remit such amounts to the Master Servicer) and any recoveries of Advances previously made by the Master Servicer to the extent such Advances were paid out of late charges and Penalty Interest collected in respect of Specially Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% fifty percent (50%) of assumption fees collected on all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver modification fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement collected on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(smodifications made by the Master Servicer pursuant to Section 3.20(i)), in each case to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Certificate Account pursuant to Section 3.04(a) provided that the Special Servicer's right to receive late payment charges, Penalty Interest and any recoveries of Advances that were previously made or reimbursed out of late charges and Penalty Interest collected in respect of Specially Serviced Mortgage Loans or recoveries on Advances pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to make or reimburse Advances pursuant to the second paragraph of this Section 3.11(d) or interest on Advances pursuant to Section 3.03(d) or Section 4.03(d). The Special Servicer shall also be entitled to additional servicing compensation in the form of: (i) interest or other income earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to the REO Account for each Collection Period); and (ii) to the extent not required to be paid to any Mortgagor under applicable law, any interest or other income earned on deposits in the Servicing Accounts maintained by the Special Servicer. The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket policy obtained by it insuring against hazard losses pursuant to Section 3.07(b)), and the Special Servicer shall be entitled to reimbursement therefor as expressly provided in Section 3.05(a) if and to the extent such expenses are not payable directly out of the Certificate Account or the REO Account. The Master Servicer shall apply (i) all late charges and Penalty Interest otherwise owed to the Special Servicer during each Collection Period pursuant to Section 3.11(d) and (ii) all recoveries during each Collection Period of Advances previously made by the Master Servicer to the extent the funds are received by made or reimbursed out of late charges and Penalty Interest or previous recoveries of Advances pursuant to this Section 3.11(d) otherwise owed to the Special Servicer. Subject Servicer pursuant to this Section 3.11(d), to make (or to the Special Serviextent already made during such Collection Period, reimburse itself for) any Servicing Advances or P&I Advances made during or in respect of such Collection Period.
Appears in 1 contract
Sources: Pooling and Servicing Agreement (First Union Commercial Mortgage Securities Inc)
Servicing Compensation. (a) As compensation for its activities hereunder, the subject to Section 3.11(e), each Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Trust Mortgage Loan (including each Specially Serviced Trust Mortgage Loan), Serviced Non-Trust Mortgage Loan and REO Mortgage Loan as to which it is the applicable Master Servicer. As to each Trust Mortgage Loan, Serviced Companion Non-Trust Mortgage Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA). As to each Mortgage Loan, Companion Loan and REO Loan, the related Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Trust Mortgage Loan or Companion Serviced Non-Trust Mortgage Loan or deemed to be due on such REO Mortgage Loan is computedcomputed and be calculated on the same interest accrual basis (i.e., an Actual/360 Basis or a 30/360 Basis) as such Trust Mortgage Loan, Serviced Non-Trust Mortgage Loan or REO Mortgage Loan (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Trust Mortgage Loan, Serviced Non-Trust Mortgage Loan or REO Mortgage Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Trust Mortgage Loan, Companion Serviced Non-Trust Mortgage Loan or REO Mortgage Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Trust Mortgage Loan, Companion Loan or Serviced Non-Trust Mortgage Loan and REO Revenues allocable as interest on each REO Mortgage Loan, and as otherwise provided by Section 3.05(a). The applicable Master Servicer Servicer, on behalf of itself and the holder of the related Excess Servicing Strip, shall be entitled to recover unpaid Master Servicing Fees in respect of any Trust Mortgage Loan, Companion Serviced Non-Trust Mortgage Loan or REO Mortgage Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this 3.05(a)(iii) or Section 3.11(a3.05(e)(iii), Section 6.03, Section 6.05 and Section 7.01(c)as applicable. Subject to the next paragraph, the right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the applicable Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement. Notwithstanding anything herein to the contrary, in no event shall any Master Servicing Fee with respect to a Serviced Non-Trust Mortgage Loan or any successor servicer REO Mortgage Loan with respect thereto be payable out of collections on the Mortgage Pool, and in no event shall any Master Servicing Fee accrue in respect of the Mall of America Trust Mortgage Loan or any successor REO Trust Mortgage Loan with respect thereto. Notwithstanding anything herein to the contrary, each initial Master Servicer (and its successors and assigns) may at its option assign or pledge to any third party or retain for itself the related Aggregate Excess Servicing Strip (in whole but not in part); provided that any assignee or pledgee of such Aggregate Excess Servicing Strip must be a Qualified Institutional Buyer or Institutional Accredited Investor (other than a Plan); and provided, further, that no transfer, sale, pledge or other assignment of such Aggregate Excess Servicing Strip shall be made unless that transfer, sale, pledge or other assignment is exempt from the registration and/or qualification requirements of the Securities Act and any applicable state securities laws and is otherwise made in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion LoanSecurities Act and such state securities laws; and provided, further, that in the Servicing Fee shall be payable to event of any resignation or termination of Wachovia, as the initial Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion LoanNo. 1, subject to Midland, as the terms initial Master Servicer No. 2, or Capmark, as the initial Master Servicer No. 3, all or any portion of the related Intercreditor AgreementAggregate Excess Servicing Strip may, to protect REMIC I against an associated increase in expenses, be reduced by the Trustee to the extent necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor Master Servicer (which successor may include the Trustee) that meets the requirements of Sections 6.04 and 7.02 and that requires market rate servicing compensation that, in the case of each Trust Mortgage Loan and REO Trust Mortgage Loan as to which Wachovia, Midland or Capmark, as the case may be, was the applicable Master Servicer, accrues at a per annum rate greater than the excess of the related Master Servicing Fee Rate over the then related Excess Servicing Fee Rate. The For the avoidance of doubt, a Sub-Servicer to a Sub-Servicing Agreement dated the date hereof shall not be deemed to be the holder of an Excess Servicing Strip with respect to any sub-servicing fee payable thereunder. Each initial Master Servicer and each successor holder of the related Aggregate Excess Servicing Strip desiring to effect a transfer, sale, pledge or other assignment of such Aggregate Excess Servicing Strip shall, and such initial Master Servicer hereby agrees, and each such subsequent holder of the related Aggregate Excess Servicing Strip by its acceptance thereof shall be deemed to have agreed, in connection with any transfer, sale, pledge or other assignment of such Aggregate Excess Servicing Strip effected by such Person, to indemnify the Certificateholders, the Trust, the Depositor, the Underwriters, the Trustee, the Certificate Administrator, the Master Servicers, the Certificate Registrar and the Special Servicer against any liability that may result if such transfer, sale, pledge or other assignment is not exempt from registration and/or qualification under the Securities Act or other applicable federal and state securities laws or is not made in accordance with such federal and state laws or in accordance with the foregoing provisions of this paragraph. By its acceptance of an Aggregate Excess Servicing Strip, the holder thereof shall be deemed to have agreed (i) to keep all information relating to the Trust and the Trust Fund and made available to it by the applicable Master Servicer confidential (except as permitted pursuant to clause (iii) below or, in the case of a Master Servicer, as contemplated hereby in the performance of its duties and obligations hereunder), (ii) not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of such Aggregate Excess Servicing Strip or any Non-Registered Certificate pursuant to the Securities Act, and (iii) not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such holder's auditors, legal counsel and regulators, except to the extent such disclosure is required by law, court order or other legal requirement or to the extent such information is of public knowledge at the time of disclosure by such holder or has become generally available to the public other than as a result of disclosure by such holder; provided, however, that such holder may provide all or any part of such information to any other Person who is contemplating an acquisition of the subject Aggregate Excess Servicing Strip if, and only if, such Person (x) confirms in writing such prospective acquisition and (y) agrees in writing to keep such information confidential, not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the subject Aggregate Excess Servicing Strip or any Non-Registered Certificates pursuant to the Securities Act and not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such Persons' auditors, legal counsel and regulators. From time to time following any transfer, sale, pledge or assignment of any Aggregate Excess Servicing Strip, the Person then acting as the applicable Master Servicer shall be pay, out of each amount paid to such Master Servicer as Master Servicing Fees with respect to any related Trust Mortgage Loan or REO Trust Mortgage Loan, as the case may be, the Excess Servicing Strip attributable to such Trust Mortgage Loan or REO Trust Mortgage Loan to the holder of such Aggregate Excess Servicing Strip within one (1) Business Day following the payment of such Master Servicing Fees to the applicable Master Servicer, in each case in accordance with payment instructions provided by such holder in writing to the applicable Master Servicer. The holder of an Aggregate Excess Servicing Strip shall not have any rights under this Agreement except as set forth in the preceding sentences of this paragraph. The applicable Master Servicer shall pay the Excess Servicing Strip for any Trust Mortgage Loan or REO Trust Mortgage Loan to the holder of the applicable Aggregate Excess Servicing Strip at such time and to the extent the applicable Master Servicer is entitled to retainreceive payment of its Master Servicing Fees for such Trust Mortgage Loan or REO Trust Mortgage Loan, and shall not be required as the case may be, hereunder, notwithstanding any resignation or termination of the applicable initial Master Servicer hereunder (subject to deposit in the Collection Account pursuant reduction as provided above this paragraph).
(b) Subject to Section 3.04(a3.11(e), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modificationsall late payment charges, waiversPenalty Interest, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, modification fees for Serviced Mortgage Loan modifications made by the applicable Master Servicer pursuant to Section 3.20(h), defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Serviced Mortgage Loan and, with respect to assumption application fees, late payment charges and Penalty Interest, accrued during the time that such Serviced Mortgage Loan was not a Specially Serviced Mortgage Loan, and (ii) 50% of any assumption fee, and 50% any modification fee received in connection with a modification, waiver or on behalf amendment as to which the consent of the related Mortgagor and shall not be Special Servicer is required pursuant to deposit such amounts the terms of this Agreement (other than a modification fee received in the Collection Account connection with a modification, waiver or the Companion Distribution Account amendment pursuant to Section 3.04(a3.20(h)), in each case to the extent actually paid by a Mortgagor with respect to any Serviced Mortgage Loan that is not a Specially Serviced Mortgage Loan, may be retained by the applicable Master Servicer or shall be promptly paid to the applicable Master Servicer by the Special Servicer and are not required to be deposited in its Collection Account or, if applicable, an SLC Custodial Account; provided that the applicable Master Servicer's right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or to reimburse the Trust Fund for previously incurred Additional Trust Fund Expenses pursuant to this Section 3.04(b3.11(b). To the extent the applicable Master Servicer receives late payment charges or Penalty Interest on a Serviced Mortgage Loan for which interest on Advances or inspection costs pursuant to Section 3.12(a) are outstanding or any Additional Trust Fund Expenses (exclusive of Workout Fees, Liquidation Fees and Special Servicing Fees) related to such Serviced Mortgage Loan have been incurred since the Closing Date immediately preceding the receipt of such late payment charges or Penalty Interest and not previously reimbursed to the Trust Fund, the applicable Master Servicer shall deposit in its Collection Account, by the end of the Collection Period in which such late payment charges or Penalty Interest, as the case may be, was received (or, if later, upon its receipt from the Special Servicer), respectivelyan amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Serviced Mortgage Loan or (ii) the sum of (A) the amount of interest on Advances related to such Serviced Mortgage Loan then due and payable hereunder in accordance with Section 3.03(d) and/or (except with respect to any Serviced Non-Trust Mortgage Loan or any successor REO Serviced Non-Trust Mortgage Loan with respect thereto) Section 4.03(d), (B) the amount of any unpaid inspection costs pursuant to Section 3.12(a) related to such Serviced Mortgage Loan and (C) without duplication, the amount of Additional Trust Fund Expenses (including, without limitation, interest on Advances and inspection costs pursuant to Section 3.12(a), but excluding Workout Fees, Liquidation Fees and Special Servicing Fees) related to such Serviced Mortgage Loan incurred since the Closing Date and not previously reimbursed to the Trust Fund. To the extent that the applicable Master Servicer is not entitled to late payment charges or Penalty Interest, pursuant to the immediately preceding sentence, the applicable Master Servicer shall deposit such late payment charges and Penalty Interest in its Collection Account. Subject to Section 3.11(d)the two preceding sentences, Penalty Interest or late payment charges in respect of any Serviced Mortgage Loan that have accrued during the period when the related Serviced Mortgage Loan is not a Specially Serviced Mortgage Loan shall be additional compensation to the applicable Master Servicer even if collected during the period when the related Serviced Mortgage Loan is a Specially Serviced Mortgage Loan. Notwithstanding the foregoing, any late payment charges or penalty interest allocated to an Outside Serviced Trust Mortgage Loan, in accordance with the related Co-Lender Agreement, the related Outside Servicing Agreement, shall be applied to pay interest on P&I Advances made on and to Additional Trust Fund Expenses allocated to such Outside Serviced Trust Mortgage Loan in accordance with the related Co-Lender Agreement and the related Outside Servicing Agreement and this Agreement, and then, to the extent any amounts remain, to the applicable Master Servicer as additional servicing compensation. The applicable Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges Prepayment Interest Excesses on the Serviced Mortgage Loans (subject to the extent provided in Section 3.11(d3.11(e), ); (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution and any SLC Custodial Account maintained thereby, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to each such account for the period from each Collection Period); and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Date), (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Serviced Mortgage Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and Servicing Accounts maintained thereby (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period but only to the extent not required of the Net Investment Earnings, if any, with respect to be paid as Compensating Interest Paymentseach such account for each Collection Period). The Each Master Servicer shall be required to pay out of its own funds all allocable overhead and all general and administrative expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the its Collection Account or, with respect to a Serviced Loan Combination, out of the related SLC Custodial Account, and the such Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, None of the Master Servicer and the Special Servicer Servicers shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by waive or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge agree to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event discount of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee assumption fees to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property). As to each Specially Serviced Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with respect to the related Mortgage Loan. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer to the Master Servicer to the extent the funds are received by the Special Servicer. Subject to Section 3.11(d), the Special ServiSp
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Citigroup Commercial Mortgage Trust 2007-C6)
Servicing Compensation. (a) As compensation for its activities hereunder, the each Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced Companion Loan ) and each REO Loan (other than in respect of which it is the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)applicable Master Servicer. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or an REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or any REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, monthly on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or any REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a)(iii) or Section 3.05(e), as applicable, and in the case of a Trust Mortgage Loan or a Trust REO Loan, out of such other amounts as may be permitted by Section 3.05(a). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the either Master Servicer’s duties 's responsibilities and obligations hereunder under this Agreement or the transfer of all or a portion of either Master Servicer's right to receive the Excess Servicing Strip. Notwithstanding anything herein to the contrary, either Master Servicer (and its successors and assigns) may at its option assign or pledge to any third party or retain for itself the Excess Servicing Strip (in any event, in whole as to the entire portion of the Mortgage Pool serviced by it but not in part); provided that any assignee or pledgee of the Excess Servicing Strip must be a successor servicer Qualified Institutional Buyer or Institutional Accredited Investor (other than a Plan); and provided, further, that no transfer, sale, pledge or other assignment of the Excess Servicing Strip shall be made unless that transfer, sale, pledge or other assignment is exempt from the registration and/or qualification requirements of the Securities Act and any applicable state securities laws and is otherwise made in accordance with the terms hereof). With Securities Act and such state securities laws; and provided, further, that in the event of any resignation or termination of Midland or ▇▇▇▇▇ Fargo in its capacity as a Master Servicer, all or any portion of the Excess Servicing Strip may be reduced by the Trustee through a reduction in the Excess Servicing Strip Rate with respect to each Serviced Pari Passu Companion Loanone or more Mortgage Loans and REO Loans that were serviced by the resigned or terminated Master Servicer to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.04 and that requires market rate servicing compensation (including compensation necessary to pay primary servicing fees) that accrues at a per annum rate in excess of the sum of (i) 0.01% (one basis point) per annum, and (ii) with respect to any Mortgage Loan or REO Loan that is not primary serviced by Midland or ▇▇▇▇▇ Fargo, as the case may be, the primary servicing fee rate, if any, for such Mortgage Loan or REO Loan. Midland or ▇▇▇▇▇ Fargo, as the case may be, and each holder of the Excess Servicing Fee Strip desiring to effect a transfer, sale, pledge or other assignment of the Excess Servicing Strip shall, and Midland and ▇▇▇▇▇ Fargo hereby agrees, and each such holder of the Excess Servicing Strip by its acceptance of the Excess Servicing Strip shall be payable deemed to have agreed, in connection with any transfer of the Excess Servicing Strip effected by such Person, to indemnify the Certificateholders, the Trust, the Depositor, the Underwriters, the Trustee, the Certificate Administrator, the Custodian, any Fiscal Agent, the other Master Servicer, the Certificate Registrar and the Special Servicer against any liability that may result if such transfer is not exempt from registration and/or qualification under the Securities Act or other applicable federal and state securities laws or is not made in accordance with such federal and state laws or in accordance with the foregoing provisions of this paragraph. By its acceptance of the Excess Servicing Strip, the holder thereof shall be deemed to have agreed (i) to keep all information relating to the Trust and the Trust Fund and made available to it by the applicable Master Servicer from amounts payable confidential (except as permitted pursuant to clause (iii) below or, in respect the case of such Serviced Pari Passu Companion LoanMaster Servicer, subject as contemplated hereby in the performance of its duties and obligations hereunder), (ii) not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificate pursuant to the terms Securities Act, and (iii) not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such holder's auditors, legal counsel and regulators, except to the extent such disclosure is required by law, court order or other legal requirement or to the extent such information is of public knowledge at the time of disclosure by such holder or has become generally available to the public other than as a result of disclosure by such holder; provided, however, that such holder may provide all or any part of such information to any other Person who is contemplating an acquisition of the related Intercreditor AgreementExcess Servicing Strip if, and only if, such Person (x) confirms in writing such prospective acquisition and (y) agrees in writing to keep such information confidential, not to use or disclose such information in any manner that could result in a violation of any provision of the Securities Act or other applicable securities laws or that would require registration of the Excess Servicing Strip or any Non-Registered Certificates pursuant to the Securities Act and not to disclose such information, and to cause its officers, directors, partners, employees, agents or representatives not to disclose such information, in any manner whatsoever, in whole or in part, to any other Person other than such Persons' auditors, legal counsel and regulators. The From time to time following any transfer, sale, pledge or assignment of the Excess Servicing Strip, the Person then acting as the applicable Master Servicer shall pay, out of each amount paid to such Master Servicer as Master Servicing Fees with respect to any Mortgage Loan or REO Loan, as the case may be, the portion of the Excess Servicing Strip attributable to such Mortgage Loan or REO Loan to the holder of the Excess Servicing Strip within one Business Day following the payment of such Master Servicing Fees to such Master Servicer, in each case in accordance with payment instructions provided by such holder in writing to such Master Servicer. The holder of the Excess Servicing Strip shall not have any rights under this Agreement except as set forth in the preceding sentences of this paragraph. Each Master Servicer shall pay the Excess Servicing Strip to the holder of the Excess Servicing Strip (i.e., Midland or ▇▇▇▇▇ Fargo, as the case may be, or any such third party) at such time and to the extent such Master Servicer is entitled to receive payment of its Master Servicing Fees hereunder, notwithstanding any resignation or termination of Midland or ▇▇▇▇▇ Fargo, as the case may be, hereunder (subject to reduction as provided above and in the next paragraph). In the event that Midland or ▇▇▇▇▇ Fargo, as the case may be, is terminated or resigns as Master Servicer, it (and its successors and assigns) will be entitled to retainretain the Excess Servicing Strip, and shall not be required except to deposit the extent that any portion of such Excess Servicing Strip is needed (as determined by the Trustee in its sole discretion) to compensate any replacement Master Servicer for assuming the duties of Midland or ▇▇▇▇▇ Fargo, as the case may be, under this Agreement.
(b) Additional master servicing compensation in the Collection Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan form of:
(other than i) any and all Default Charges (or portion thereof that is comprised of late payment charges) collected with respect to a Non-Mortgage Loan that is not a Specially Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreementprovided in clause seventh of Section 3.26(a), provided that such transactions are Master Servicer Decisions, ;
(ii) 10050% of any and all assumption application fees, assumption fees, modification fees, extension fees, consent fees, release fees, waiver fees, fees paid in connection with defeasance and other similar items received on any earn-out fees actually paid by a Mortgagor with respect to a Mortgage Loans Loan that is not a Specially Serviced Mortgage Loan (including any related Serviced Companion Loanprovided, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not however, that if the consent of the Special Servicer is required), (iii) 100% not required pursuant to the terms of any fee actually paid by a Mortgagor this Agreement in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (providedunderlying servicing action, however, that 50% of then the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the applicable Master Servicer shall be entitled to charge and retain as additional servicing compensation receive 100% of such fees);
(other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loaniii) any and all charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds and other loan processing fees actually paid by a Mortgagor with respect to a Mortgage Loan that is not a Specially Serviced Mortgaged Loan and, in the accounts held case of checks returned for insufficient funds, with respect to a Specially Serviced Mortgage Loan;
(iv) any and all Prepayment Interest Excesses collected with respect to a Trust Mortgage Loan, including a Specially Serviced Mortgage Loan (after deduction of the amounts required to be deposited by the applicable Master Servicer and reasonable review fees in its Collection Account for the related Distribution Date pursuant to Section 3.19(a) in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents Prepayment Interest Shortfalls and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(bCasualty/Condemnation Interest Shortfalls), respectively. Subject to Section 3.11(d), the Master Servicer shall also be entitled to additional servicing compensation in the form of: ;
(i) Penalty Charges to the extent provided in Section 3.11(d), (iiv) interest or other income earned on deposits relating to the Trust Fund in the Collection Account or the Companion Distribution Account in accordance with Section 3.06(b) Investment Accounts maintained by either Master Servicer (but only to the extent of the Net Investment Earnings, if any, with respect to any such account Investment Account for each Collection Period and, further, in the period from and including the prior Distribution Date to and including the P&I Advance Date related case of a Servicing Account or Reserve Account, only to the current Distribution Date), (iii) extent such interest or other income earned on deposits in its Investment Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent is not required to be paid to any Mortgagor under applicable law or under the related Mortgage Loan documents); and
(vi) other customary charges; may be retained by the Master Servicers (subject to Section 3.11(e) and are not required to be deposited in the Collection Accounts; provided that either Master Servicer's right to receive Default Charges pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay, or reimburse the Trust for, interest on Advances, Additional Trust Fund Expenses and property inspection costs in respect of the related Mortgage Loan or REO Loan as Compensating Interest Paymentsprovided in Sections 3.03(d), 3.12(a) and 4.03(d) or as otherwise provided in Section 3.26. The Any of the amounts described in clauses (i) through (v) that are collected by the Special Servicer shall be promptly paid to the applicable Master Servicer. Each Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the its Collection Account or, with respect to a Loan Combination, out of the related Loan Combination Custodial Account, and the Master Servicer Servicers shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the same interest accrual basis as that Mortgage Loan, which will be either a 30/360 Basis or an Actual/360 Basis (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs with in respect to the related thereof or it becomes a Corrected Mortgage Loan. The Subject to the penultimate paragraph of Section 3.11(c), earned but unpaid Special Servicing Fee Fees shall be payable monthly, monthly out of related Liquidation Proceeds and then general collections on a loan-by-loan basis, the Mortgage Loans and any REO Properties on deposit in accordance with the provisions of Collection Accounts pursuant to Section 3.05(a). The right to receive As further compensation for its activities hereunder, the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating receive the Workout Fee with respect to each Corrected Mortgage Loan Loan, so long as such loan remains a Corrected Mortgage Loan. As to each Corrected Mortgage Loan, the Workout Fee shall be payable out of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Non-Serviced Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan again became a Corrected Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related to modifications, waivers, extensions or amendments of any Specially Serviced Loans, (B) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of . If the Special Servicer is required (terminated or resigns, it will retain the right to receive any and specifically excluding all Workout Fees payable with respect to any defeasance fees), provided Specially Serviced Mortgage Loan that such transaction qualifies became a Corrected Mortgage Loan during the period that it acted as a Major Decision or Special Servicer Decision, and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (ivincluding by way of a modification of the related Mortgage Loan documents) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant causing the Mortgage Loan to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the be a Specially Serviced Loans Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or certain other similar fees paid by resigns become a Corrected Mortgage Loan because the related Mortgagor on Specially Serviced Loanshad not made three consecutive monthly debt service payments and subsequently becomes a Corrected Mortgage Loan as a result of making such three consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, (v) (A) 50% of all waiver feessubject to the following sentence, assumption fees and consent fees pursuant the Special Servicer shall be entitled to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case a Principal Recovery Fee with respect to all Mortgage Loans (other than Non-each Specially Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special Servicer, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed hereinor Qualified Substitute Mortgage Loan substituted in lieu thereof) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the Master Servicer (which it obtains a full or directly discounted payoff from the related Mortgagor) to the extent such fees are paid by the Mortgagor , and shall not be required to be deposited in the Collection Account pursuant to Section 3.04(a) or paid by the Special Servicer shall also be entitled to the Master Servicer Principal Recovery Fee with respect to the extent the funds are received by the Special Servicer. Subject any Specially Serviced Mortgage Loan or REO Property as to Section 3.11(d), the Special Serviwhich it recei
Appears in 1 contract
Sources: Pooling and Servicing Agreement (Merrill Lynch Mortgage Trust 2006-C1)
Servicing Compensation. (a) As compensation for its activities hereunder, the each Master Servicer shall be entitled to receive the Servicing Fee with respect to each Mortgage Loan, Serviced each Companion Loan and REO Loan (other than the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Loans) that it is responsible for servicing hereunder. As to each Mortgage Loan, Companion Loan and REO Loan, the Servicing Fee shall accrue from time to time at the Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computed. The Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occurthereof. The Servicing Fee shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Each Master Servicer shall be entitled to recover unpaid Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a). 3.05
(a) Except as set forth in the following sentence, the fourth third paragraph of this Section 3.11(a), Section 6.03, Section 6.05 3.11(b) and Section 7.01(c), the right to receive the Servicing Fee may not be transferred in whole or in part (except in connection with a transfer of all of the applicable Master Servicer’s 's duties and obligations hereunder to a successor master servicer in accordance with the terms hereofof this Agreement). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor Agreement. The Each Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection its Certificate Account pursuant to Section 3.04(a), additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagor: (i) 100% of Excess Modification Fees related modification, waiver and consent fees pursuant to any modifications, waivers, extensions or amendments of any Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor AgreementSection 3.08(e), provided that the consent of the Special Servicer is not required to take such transactions are Master Servicer Decisionsaction, (ii) 100% of all assumption defeasance fees and 50% of all application fees and other similar items received on any Non-Specially Serviced Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), and (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid by the Master Servicer to the Special Servicer), (iv) 100% of all assumption, waiver, consent, loan service transaction waiver and earnout consent fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 3.08(a) and Section 3.18 or other actions performed in connection with this Agreement 3.08(b) on the Non-Specially Serviced Loans (including any related Serviced Companion LoanMortgage Loans, to the extent not prohibited that such fees are paid by the related Intercreditor Agreement), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees Mortgagor and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 for which the Special Servicer's consent or approval is required on any Mortgage Loan (other than a the Non-Specially Serviced Loan) (including any related Serviced Companion Loan, Mortgage Loans and only to the extent not prohibited by that all amounts then due and payable with respect to the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Mortgage Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein)have been paid. In addition, the each Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, reasonable and customary consent fees, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicercharges, and amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerfunds, in each case only to the extent actually paid by or on behalf of the related Mortgagor and shall not be required to deposit such amounts in the Collection its Certificate Account or the Companion Distribution Account pursuant to Section 3.04(a) or Section 3.04(b), respectively. Subject to Section 3.11(d), the each Master Servicer shall also be entitled to additional servicing compensation in the form of: (i) Penalty Charges to the extent provided in Section 3.11(d), (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection its Certificate Account or the Companion Distribution Account in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution P&I Advance Date to and including the P&I Advance Date related to the current such Distribution Date), (iii) interest or other income earned on deposits in its Investment Accounts the Servicing Account which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, Mortgagor and (iv) the difference, if positive, between Prepayment Interest Excesses Excess and Prepayment Shortfalls collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Due Period to the extent not required to be paid as Compensating Interest Payments. The Each Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not payable directly out of the Collection its Certificate Account and the such Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related MortgagorNo. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, 2 may at its option, option assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan)Interest; provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the such Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer Master Servicer (which successor may include the Trustee) that meets the requirements of Section 6.05 6.04 and who requires market-market rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer No. 2 shall pay the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Servicer No. 2 is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer No. 2 hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer.
(b) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Mortgage Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Mortgage Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Mortgage Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period respecting which any related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computed. The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loanthereof. The Special Servicing Fee shall be payable monthly, on a loan-by-loan basis, in accordance with the provisions of Section 3.05(a). The right to receive the Special Servicing Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s 's responsibilities and obligations under this Agreement. Nothing herein is intended to limit the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of (i) (A) 100% of all Excess Modification Fees related fees with respect to modificationsapplication, waiversassumption, extensions or amendments of extension, modification, waiver, consent, earnout and defeasance fees, in each case, received on any Specially Serviced LoansMortgage Loans to the extent such fees are paid by the Mortgagor, (Bii) 50% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are all application fees received on Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, and (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.18, or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 3.08(a) and 3.08(b) or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees 3.20 received with respect to all Non Specially Serviced Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges and for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by which the Special Servicer's consent or approval is required, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be promptly paid to the Special Servicer by the applicable Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection applicable Certificate Account pursuant to Section 3.04(a). The Special Servicer shall also be entitled to additional servicing compensation in the form of a Workout Fee with respect to each Corrected Mortgage Loan at the Workout Fee Rate on such Mortgage Loan for so long as it remains a Corrected Mortgage Loan. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if such loan again becomes a Specially Serviced Mortgage Loan; provided that a new Workout Fee will become payable if and when such Specially Serviced Mortgage Loan again becomes a Corrected Mortgage Loan. If the Special Servicer is terminated (other than for cause) or paid resigns, it shall retain the right to receive any and all Workout Fees payable in respect of Mortgage Loans or Companion Loans that became Corrected Mortgage Loans prior to the time of that termination or resignation except the Workout Fees will no longer be payable if the Mortgage Loan subsequently becomes a Specially Serviced Mortgage Loan. If the Special Servicer resigns or is terminated (other than for cause), it will receive any Workout Fees payable on Specially Serviced Mortgage Loans for which the resigning or terminated Special Servicer had cured the event of default through a modification, restructuring or workout negotiated by the Special Servicer and evidenced by a signed writing with respect to which one (1) scheduled payment has been made, but which had not as of the time the Special Servicer resigned or was terminated become a Corrected Mortgage Loan solely because the Mortgagor had not had sufficient time to make three consecutive timely Monthly Payments and which subsequently becomes a Corrected Mortgage Loan as a result of the Mortgagor making such three consecutive timely Monthly Payments. The successor Special Servicer will not be entitled to any portion of such Workout Fees. The Special Servicer will not be entitled to receive any Workout Fees after a termination for cause. A Liquidation Fee will be payable with respect to each Specially Serviced Mortgage Loan as to which the Special Servicer receives any Liquidation Proceeds or Insurance and Condemnation Proceeds subject to the Master Servicer exceptions set forth in the definition of Liquidation Fee (such Liquidation Fee to be paid out of such Liquidation Proceeds, Insurance and Condemnation Proceeds). Notwithstanding anything to the extent contrary described above, no Liquidation Fee will be payable based on, or out of, Liquidation Proceeds received in connection with the funds are received repurchase of any Mortgage Loan by a Mortgage Loan Seller for a breach of representation or warranty or for defective or deficient Mortgage Loan documentation so long as such repurchase is completed within the period (including any extension thereof) provided for such repurchase in this Agreement and the Mortgage Loan Purchase Agreement, the purchase of any Specially Serviced Mortgage Loan, within the first 90 days after the Special Servicer's initial determination of the fair value of such Specially Serviced Mortgage Loan, by the Majority Controlling Class Certificateholder or the Special Servicer, the purchase of any Specially Serviced Mortgage Loan by the applicable Master Servicer or the purchase of all of the Mortgage Loans and REO Properties in connection with an optional termination of the Trust Fund pursuant to Section 9.01. If, however, Liquidation Proceeds or Insurance and Condemnation Proceeds are received with respect to any Corrected Mortgage Loan and the Special Servicer is properly entitled to a Workout Fee, such Workout Fee will be payable based on and out of the portion of such Liquidation Proceeds and Insurance and Condemnation Proceeds that constitute principal and/or interest on such Mortgage Loan. Notwithstanding anything herein to the contrary, the Special Servicer shall only be entitled to receive a Liquidation Fee or a Workout Fee, but not both, with respect to proceeds on any Mortgage Loan. Notwithstanding the foregoing, with respect to any subordinate Companion Loan, the Liquidation Fee, if any, will be computed as provided in the related Intercreditor Agreement. Subject to Section 3.11(d), the Special ServiServicer will also be entitled to additional fees in the form of Penalty Charges to the extent provided in subsection (d). The Special Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts, other than management fees in respect of REO Properties, due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy obtained by it insuring against hazard losses pursuant to Section 3.07), if and to the extent such expenses are not expressly payable directly out of the applicable Certificate Account or the REO Account, and the Special Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement.
(d) In determining the compensation of the Master Servicers or Special Servicer, as applicable, with respect to Penalty Charges, on any Distribution Date, the aggregate Penalty Charges collected on any Mortgage Loan since the prior Distribution Date shall be applied (in such order) to reimburse (i) the applicable Master Servicer or the Trustee for interest on Advances on such Mortgage Loan due on such Distribution Date, (ii) the Trust Fund for all interest on Advances previously paid to the applicable Master Servicer or the Trustee pursuant to Section 3.05(a)(vi) hereof with respect to such Mortgage Loan and (iii) the Trust Fund for costs of all additional Trust Fund expenses (including Special Servicing Fees, Workout Fees and Liquidation Fees), including without limitation, inspections by the Special Servicer and all unpaid Advances incurred since the Closing Date with respect to such Mortgage Loan; Penalty Charges remaining thereafter shall be distributed to the applicable Master Servicer, if and to the extent collected while the Mortgage Loan was a Non-Specially Serviced Mortgage Loan and to the Special Servicer if and to the extent actually collected on such Mortgage Loan during the period such Mortgage Loan was a Specially Serviced Mortgage Loan.
Appears in 1 contract
Servicing Compensation. (a) As compensation for its activities hereunder, the Master Servicer shall be entitled to receive the Master Servicing Fee with respect to each Mortgage Loan (including each Specially Serviced Mortgage Loan, Serviced ) and REO Loan. No Master Servicing Fee shall be payable with respect to any Companion Loan and REO Loan (other than unless such fee is expressly set forth in the portion of any REO Loan related to any Non-Serviced Companion Loan) (including Specially Serviced Loans and any Non-Serviced Mortgage Loan constituting a “specially serviced loan” under any related Non-Serviced PSA)Intercreditor Agreement. As to each such Mortgage Loan, Companion Loan and REO Loan, the Master Servicing Fee shall accrue from time to time at the related Master Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and in the same manner as interest is calculated on such Mortgage Loan, Companion Loan or REO Loan, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Mortgage Loan or Companion Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Master Servicing Fee with respect to any Mortgage Loan, Companion Loan or REO Loan shall cease to accrue if a Liquidation Event occurs with in respect to the related Mortgage Loan, except that if such Mortgage Loan is part of a Serviced Whole Loan and such Serviced Whole Loan continues to be serviced and administered under this Agreement notwithstanding such Liquidation Event, then the applicable thereof. Earned but unpaid Master Servicing Fee shall continue to accrue and be payable as if such Liquidation Event did not occur. The Servicing Fee Fees shall be payable monthly, on a loan-by-loan basis, from payments of interest on each Mortgage Loan, Companion Loan and REO Revenues allocable as interest on each REO Loan, and as otherwise provided by Section 3.05(a). The Master Servicer shall be entitled to recover unpaid Master Servicing Fees in respect of any Mortgage Loan, Companion Loan or REO Loan out of that portion of related payments, Insurance and Condemnation Proceeds, Proceeds or Liquidation Proceeds and REO Revenues (in the case of an REO Loan) allocable as recoveries of interest, to the extent permitted by Section 3.05(a3.05(a)(iii) and otherwise as provided in Section 3.05(a)(vii). Except as set forth in the following sentence, the fourth paragraph of this Section 3.11(a), Section 6.03, Section 6.05 and Section 7.01(c), the The right to receive the Master Servicing Fee may not be transferred in whole or in part (except in connection with a the transfer of all of the Master Servicer’s duties responsibilities and obligations hereunder to a successor servicer in accordance with the terms hereof). With respect to each Serviced Pari Passu Companion Loan, the Servicing Fee shall be payable to the Master Servicer from amounts payable in respect of such Serviced Pari Passu Companion Loan, subject to the terms of the related Intercreditor under this Agreement. The Master Servicer shall be entitled to retain, and shall not be required to deposit in the Collection Account pursuant to Section 3.04(a), additional .
(b) Additional servicing compensation relating to each Mortgage Loan (other than with respect to a Non-Serviced Mortgage Loan) in the form of the following amounts to the extent collected from the related Mortgagorof: (i) 100% of Excess Modification Fees related all late payment charges, Penalty Interest, assumption application fees, modification fees for modifications to any modifications, waivers, extensions Mortgage Loans or amendments of any Non-Companion Loans that are not Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transactions are Master Servicer Decisions, (ii) 100% of all assumption application fees and other similar items received on any Mortgage Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement) solely to the extent the Master Servicer is processing the underlying transaction (whether or not the consent of the Special Servicer is required), (iii) 100% of any fee actually paid by a Mortgagor in connection with the defeasance of a Mortgage Loan (other than a Non-Serviced Mortgage Loan) and any related Serviced Companion Loan (provided, however, that 50% of the portion of any Excess Modification Fee or waiver fee payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required under clause (xiii) of the definition of “Major Decision” (and specifically excluding any defeasance fees), must be paid made by the Master Servicer to the Special Servicer), (iv) 100% of assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application fees and defeasance fees) pursuant to Section 3.08 and Section 3.18 or other actions performed in connection with this Agreement on the Non-Specially Serviced Loans (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement3.20(i), provided that such transactions qualify as Master Servicer Decisions, (v) 50% of all Excess Modification Fees and assumption, waiver, consent, loan service transaction and earnout fees and other similar fees (other than assumption application and defeasance fees), pursuant to Section 3.08 and Section 3.18 on any Mortgage Loan (other than a Specially Serviced Loan) (including any related Serviced Companion Loan, to the extent not prohibited by the related Intercreditor Agreement), provided that such transaction qualifies as a Major Decision or Special Servicer Decision and (vi) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein). In addition, the Master Servicer shall be entitled to charge and retain as additional servicing compensation (other than with respect to any Non-Serviced Mortgage Loan or Specially Serviced Loan) any charges for processing Mortgagor requests, beneficiary statements or demands, fees in connection with defeasance, if any, and other customary charges actually paid by the related Mortgagors to the extent such beneficiary statements or demand charges were prepared by the Master Servicer, amounts collected for checks returned for insufficient funds with respect to the accounts held by the Master Servicer and reasonable review any similar fees in connection with any Mortgagor request to the extent such review fees are not prohibited under the related Mortgage Loan documents and are not charged in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicer(excluding Prepayment Premiums or Yield Maintenance Charges), in each case only to the extent actually paid by a Mortgagor with respect to a Mortgage Loan or Companion Loan and, with respect to late payment charges and penalty charges, accrued during the time that such Mortgage Loan or Companion Loan was not a Specially Serviced Mortgage Loan, and (ii) fifty percent (50%) of any assumption fees to the extent actually paid by a Mortgagor with respect to any Mortgage Loan or Companion Loan if such Mortgage Loan or Companion Loan is not a Specially Serviced Mortgage Loan, may be retained by the Master Servicer and are not required to be deposited in the Certificate Account; provided that the Master Servicer’s right to receive late payment charges and Penalty Interest pursuant to clause (i) above shall be limited to the portion of such items that have not been applied to pay interest on behalf Advances as provided in Sections 3.03(d) and 4.03(d) or Additional Trust Fund Expenses or interest on Advances pursuant to this Section 3.11(b). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses related to such Mortgage Loan during the preceding 12 month period immediately preceding the receipt of such late payment charges or Penalty Interest and not previously reimbursed to the Trust Fund, the Master Servicer shall deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related Mortgagor to such Mortgage Loan during the preceding 12 month period for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses related to such Mortgage Loan incurred during the preceding 12 month period and not previously reimbursed to the Trust Fund. To the extent that the Master Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Master Servicer shall not be required to deposit such amounts late payment charges and Penalty Interest in the Collection Account Certificate Account. Penalty Interest or late payment charges in respect of any Mortgage Loan or Companion Loan which has accrued during the period when the related Mortgage Loan or Companion Distribution Account pursuant Loan is not a Specially Serviced Mortgage Loan shall be additional compensation to Section 3.04(a) the Master Servicer even if collected during the period when the related Mortgage Loan or Section 3.04(b), respectivelyCompanion Loan is a Specially Serviced Mortgage Loan. Subject to Section 3.11(d), the The Master Servicer shall also be entitled to additional servicing compensation in the form of: of (i) Penalty Charges to the extent provided in Section 3.11(d), Prepayment Interest Excesses; (ii) interest or other income earned on deposits relating to the Trust Fund in the Collection Certificate Account or and the Companion Distribution Account Interest Reserve Account, in accordance with Section 3.06(b) (but only to the extent of the Net Investment Earnings, if any, with respect to such account for the period from and including the prior Distribution Date to and including the P&I Advance Date related to the current Distribution Dateeach Collection Period), and (iii) to the extent not required to be paid to any Mortgagor under applicable law or the terms of the related Mortgage Loan or Companion Loan, any interest or other income earned on deposits in its Investment the Reserve Accounts which are not required by applicable law or the related Mortgage Loan to be paid to the Mortgagor, and (iv) Prepayment Interest Excesses collected on the Mortgage Loans (other than the Non-Serviced Mortgage Loans) and any Serviced Companion Loan during the related Collection Period to the extent not required to be paid as Compensating Interest PaymentsServicing Accounts maintained thereby. The Master Servicer shall be required to pay out of its own funds all expenses incurred by it in connection with its servicing activities hereunder (including, without limitation, payment of any amounts due and owing to any of its Sub-Servicers and the premiums for any blanket Insurance Policy policy insuring against hazard losses pursuant to Section 3.073.07(b)), if and to the extent such expenses are not payable directly out of the Collection Account Certificate Account, and the Master Servicer shall not be entitled to reimbursement therefor except as expressly provided in this Agreement. Notwithstanding anything herein to the contrary, the Master Servicer and the Special Servicer shall each be entitled to charge and retain reasonable review fees in connection with any Mortgagor request to the extent such fees are (i) not prohibited under the related Mortgage Loan documents, (ii) not charged in lieu of any fee that is otherwise to be split between the master servicer and special servicer, and (iii) actually paid by or on behalf of the related Mortgagor. Notwithstanding anything herein to the contrary, Midland Loan Services, a Division of PNC Bank, National Association may, at its option, assign or pledge to any third party or retain for itself the Transferable Servicing Interest with respect to any Mortgage Loan and any Serviced Companion Loan (and any successor REO Loan); provided, however, that in the event of any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as the Master Servicer, all or any portion of the Transferable Servicing Interest may be reduced by the Trustee to the extent reasonably necessary (in the sole discretion of the Trustee) for the Trustee to obtain a qualified successor master servicer that meets the requirements of Section 6.05 and who requires market-rate servicing compensation that accrues at a per annum rate in excess of the Retained Fee Rate, and any such assignment of the Transferable Servicing Interest shall, by its terms be expressly subject to the terms of this Agreement and such reduction. The Master Servicer shall pay not waive or agree to any discount of any portion of assumption fees to which the Transferable Servicing Interest to the holder of the Transferable Servicing Interest at such time and to the extent the Master Special Servicer is entitled to receive payment of its Servicing Fees hereunder, notwithstanding any resignation or termination of Midland Loan Services, a Division of PNC Bank, National Association, as Master Servicer hereunder (subject to reduction pursuant to the preceding sentence). For the avoidance of doubt, the Master Servicer may not charge a fee in lieu of any fee that is otherwise to be split between the Master Servicer and Special Servicerentitled.
(bc) As compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Special Servicing Fee with respect to each Specially Serviced Loan and REO Loan (other than a Non-Serviced Mortgage Loan and any each REO Loan relating to a Non-Serviced Mortgaged Property)Loan. As to each Specially Serviced Mortgage Loan and REO Loan, the Special Servicing Fee shall accrue from time to time at the Special Servicing Fee Rate and shall be computed on the basis of the Stated Principal Balance of such Specially Serviced Loan or REO Loan (but, in the case of the Poinciana Lakes Plaza Serviced Whole Loan, excluding the Poinciana Lakes Plaza Companion Loan), as the case may be, and in the same manner as interest is calculated on the Specially Serviced Loans or REO Loans, as the case may be, and, in connection with any partial month interest payment, for the same period principal amount respecting which any the related interest payment due on such Specially Serviced Mortgage Loan or deemed to be due on such REO Loan is computedcomputed and calculated on the basis of a 360-day year consisting of twelve 30-day months (or, in the event of a Principal Prepayment in full or other Liquidation Event with respect to a Mortgage Loan or REO Loan, on the basis of the actual number of days to elapse from and including the related Due Date to but excluding the date of such Principal Prepayment or Liquidation Event in a month consisting of 30 days). The Special Servicing Fee with respect to any Specially Serviced Mortgage Loan or REO Loan shall cease to accrue if as of the date a Liquidation Event occurs in respect thereof or it becomes a Corrected Mortgage Loan. Earned but unpaid Special Servicing Fees shall be payable monthly out of general collections on the Mortgage Loans, Companion Loans and any REO Properties on deposit in the Certificate Account pursuant to Section 3.05(a). As further compensation for its activities hereunder, the Special Servicer shall be entitled to receive the Workout Fee with respect to the related each Corrected Mortgage Loan, so long as such loan remains a Corrected Mortgage Loan. The Special Servicing As to each Corrected Mortgage Loan, the Workout Fee shall be payable monthlyout of, and shall be calculated by application of the Workout Fee Rate to, each collection of interest (other than Additional Interest and Penalty Interest) and principal received on such Mortgage Loan or Companion Loan for so long as it remains a loan-by-loan basisCorrected Mortgage Loan (net of any portion of such collection payable or reimbursable to the Master Servicer, the Special Servicer, or the Trustee for any related unpaid or unreimbursed Master Servicing Fees and/or Advances) received on such Mortgage Loan or Companion Loan for so long as it remains a Corrected Mortgage Loan; provided, that, with respect to any Intercreditor Agreement or any mezzanine intercreditor agreement which expressly excludes payment of a Workout Fee as part of any exercise of a purchase option thereunder, no Workout Fee shall be payable hereunder and instead, to the extent provided in the related Intercreditor Agreement, or any mezzanine intercreditor agreement and herein, a Liquidation Fee shall be payable. The Workout Fee with respect to any Corrected Mortgage Loan will cease to be payable if a Servicing Transfer Event occurs with respect thereto or if the related Mortgaged Property becomes an REO Property; provided that a new Workout Fee would become payable if and when such Mortgage Loan and, if applicable, Companion Loan again became a Corrected Mortgage Loan. If the Special Servicer is terminated or resigns, it will retain the right to receive any and all Workout Fees payable with respect to any Specially Serviced Mortgage Loan that became a Corrected Mortgage Loan during the period that it acted as Special Servicer and remained a Corrected Mortgage Loan at the time of its termination or resignation or if the Special Servicer resolved the circumstances and/or conditions (including by way of a modification of the related Mortgage Loan documents) causing the Mortgage Loan to be a Specially Serviced Mortgage Loan, but the Mortgage Loan had not as of the time the Special Servicer is terminated or resigns become a Corrected Mortgage Loan because the related borrower had not made three consecutive monthly debt service payments (but made the most recent monthly debt service payment prior to the termination of the Special Servicer) and subsequently becomes a Corrected Mortgage Loan as a result of making three such consecutive payments. The successor Special Servicer will not be entitled to any portion of those Workout Fees. In addition, with respect to each Specially Serviced Mortgage Loan and REO Loan (or Qualified Substitute Mortgage Loan substituted in lieu thereof), the Special Servicer shall be entitled to the Liquidation Fee payable out of, and calculated by application of the Liquidation Fee Rate to, all amounts (whether in the form of payments of Liquidation Proceeds or REO Revenues or a full or discounted payoff by the Mortgagor) received in respect of such Mortgage Loan or Companion Loan (or, in the case of an REO Loan, in respect of the related REO Property) and allocable as a full or partial recovery of principal, interest and expenses in accordance with Section 3.02(b) or the provisions definition of “REO Loan,” as applicable; provided that no Liquidation Fee shall be payable in connection with, or out of (i) Insurance Proceeds and (ii) condemnation proceeds and (iii) Liquidation Proceeds resulting from the purchase of any Mortgage Loan or REO Property by a Mortgage Loan Seller pursuant to the applicable Mortgage Loan Purchase Agreement if purchased within the cure period set forth in Section 3.05(a3(c) of such Mortgage Loan Purchase Agreement, by the Majority Subordinate Certificateholder, the Companion Holder, or the Special Servicer pursuant to Section 3.18(c), Section 3.18(d), Section 3.18(e), Section 3.18(h) or by the Master Servicer, the Special Servicer or the Majority Subordinate Certificateholder or the purchasing Certificateholder pursuant to Section 9.01, or any mezzanine lender pursuant to the related mezzanine intercreditor agreement if purchased by the mezzanine lender within 90 days of the related Mortgage Loan becoming a Specially Serviced Mortgage Loan; and (iii) Liquidation Proceeds resulting from the remittance by the related Mortgage Loan Seller pursuant to Section 2.03 (if remitted within the cure period set forth for repurchase in the related Mortgage Loan Purchase Agreement); and provided, further, that no Liquidation Fee shall be payable (i) in connection with a Periodic Payment received in connection with such Mortgage Loan or (ii) to the extent a Workout Fee is payable concerning the Liquidation Proceeds. The Special Servicer’s right to receive the Special Servicing Fee, the Workout Fee and the Liquidation Fee may not be transferred in whole or in part except in connection with the transfer of all of the Special Servicer’s responsibilities and obligations under this Agreement. Nothing herein is intended to limit Sections 6.02, 6.04 and 6.09.
(d) Additional servicing compensation in the Special Servicer’s right to enter into a fee sharing agreement with the Directing Certificateholder form of: (i) all late payment charges, Penalty Interest and assumption application fees received on or any other party. The Special Servicer shall not be entitled to any Special Servicing Fees with respect to a Non-Specially Serviced Mortgage Loan or, in the case of the Poinciana Lakes Plaza Serviced Whole LoanLoans actually collected that, with respect to any Poinciana Lakes Plaza Companion Loan.
(c) The Special Servicer shall be entitled to additional servicing compensation relating to each late payment charges and penalty charges, accrued during the time that the related Mortgage Loan was a Specially Serviced Mortgage Loan, (other than ii) fifty percent (50%) of any assumption fees to the extent actually paid by a Mortgagor with respect to any Mortgage Loan or Companion Loan that is not a Non-Specially Serviced Mortgage Loan, and one hundred percent (100%) in of any assumption fee to the form of (i) (A) 100% of all Excess Modification Fees related extent actually paid by a Mortgagor with respect to modifications, waivers, extensions or amendments of any Specially Serviced LoansMortgage Loan, and (Biii) 50% of Excess Modification Fees related to modifications, waivers, extensions modification fees collected on all Mortgage Loans or amendments of any Mortgage Companion Loans (other than Non-Serviced Mortgage Loans) and Serviced Companion Loans that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision, and (C) 0% of Excess Modification Fees related to modifications, waivers, extensions or amendments of any Mortgage Loan (other than any Non-Serviced Mortgage Loan) and Serviced Companion Loans that are not Specially Serviced Loans, provided that such transaction qualifies as a modifications made by the Master Servicer Decision, (ii) 100% of all assumption application fees and other similar items received with respect to Mortgage Loans for which the Special Servicer processes the underlying assumption-related transaction, (iii) 50% of the portion of any Excess Modification Fees or waiver fees payable solely in connection with any modification, waiver, amendment or consent executed in connection with a defeasance transaction for which the consent, processing or approval of the Special Servicer is required (and specifically excluding any defeasance fees), provided that such transaction qualifies as a Major Decision or Special Servicer Decision, (iv) 100% of all assumption, waiver, consent, loan service transaction and earnout fees pursuant to Section 3.08 and Section 3.183.20(i)), or other actions performed in connection with this Agreement on the Specially Serviced Loans or certain other similar fees paid by the related Mortgagor on Specially Serviced Loans, (v) (A) 50% of all waiver fees, assumption fees and consent fees pursuant to Section 3.08 or Section 3.18, loan service transaction fees and earnout fees received in each case with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are Non-Specially Serviced Loans, provided that such transaction qualifies as a Major Decision or a Special Servicer Decision and (B) 0% of all assumption fees, consent fees and earnout fees received with respect to all Mortgage Loans (other than Non-Serviced Mortgage Loans, but including any related Serviced Pari Passu Companion Loan(s), to the extent not prohibited by the related Intercreditor Agreement) that are not Specially Serviced Loans, provided that such transaction qualifies as a Master Servicer Decision, (vi) 100% of charges for beneficiary statements or demands actually paid by the related Mortgagor to the extent such beneficiary statements or demands were prepared by the Special ServicerMortgagor, (vii) 50% of any fees related to a Major Decision or Special Servicer Decision on a non-Specially Serviced Loan (other than assumption application fees, defeasance fees, liquidation fees, workout fees and any other fees separately addressed herein) and (viii) with respect to the accounts held by the Special Servicer, 100% of charges shall be retained by the Special Servicer collected for checks returned for insufficient funds relating to the accounts held by the Special Servicer, and shall be or promptly paid to the Special Servicer by the Master Servicer (or directly from the related Mortgagor) to the extent such fees are paid by the Mortgagor and shall not be required to be deposited in the Collection Account Certificate Account; provided that the Special Servicer’s right to receive late payment charges and Penalty Interest pursuant to Section 3.04(aclause (i) above shall be limited to the portion of such items that have not been applied to pay interest on Advances and property inspection costs in respect of the related Mortgage Loan as provided in Sections 3.03(d), 3.12(a) and 4.03(d) or paid by Additional Trust Fund Expenses pursuant to this Section 3.11(d). To the extent the Master Servicer or the Special Servicer receives late payment charges or Penalty Interest on a Mortgage Loan for which interest on Advances or Additional Trust Fund Expenses related to such Mortgage Loan during the preceding 12 month period and not previously reimbursed to the Trust Fund, the Special Servicer shall transfer to the Master Servicer for deposit in the Certificate Account, on or prior to the P&I Advance Date following the collection of such late payment charges or Penalty Interest, an amount equal to the lesser of (i) the amount of late payment charges or Penalty Interest received on such Mortgage Loan or (ii) the sum of the amount of interest paid to the Master Servicer on Advances related to such Mortgage Loan incurred during the preceding 12 month period for which the Trust Fund has not been previously reimbursed and the amount of Additional Trust Fund Expenses related to such Mortgage Loan during the preceding 12 month period and not previously reimbursed to the Trust Fund. To the extent that the Special Servicer is not entitled to late payment charges or Penalty Interest pursuant to the immediately preceding sentence, the Special Servicer shall promptly transfer such late payment charges and Penalty Interest to the Master Servicer who shall deposit such late payment charges and Penalty Interest in the Certificate Account. The Special Servicer shall also be entitled to additional servicing compensation in the form of: (i) interest or other income earned on deposits in the REO Account, if established, in accordance with Section 3.06(b) (but only to the extent of the funds are received by Net Investment Earnings, if any, with respect to the Special Servicer. Subject REO Account for each Collection Period); and (ii) to Section 3.11(d)the extent not required to be paid to any Mortgagor under applicable law, the Special Serviany interest
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Sources: Pooling and Servicing Agreement (Wachovia Bank Commercial Mortgage Trust Series 2006-C24)