Fannie Mae may terminate the Lender Contract (in its entirety or its individual selling arrangement or servicing arrangement) with cause at any time and immediately, if the lender breaches any provisions of its Lender Contract, including (among other things) its contractual obligations, a failure to follow the requirements of Fannie Mae's Guides, to meet Fannie Mae's net worth and other financial requirements, or to meet any of the other eligibility requirements specified in the Lender Contract. If a lender breaches the provisions of its contractual obligations, Fannie Mae may also terminate the lender’s right to sell mortgage loans to Fannie Mae, and Fannie Mae’s obligation to purchase such mortgage loans, under any contract issued pursuant to the Master Agreement.
A lender’s failure to deliver any required mandatory delivery amount, as adjusted by any delivery tolerance, within the specified time period is a breach of the Master Agreement.
A termination of the Master Agreement related to such breaches may take place at any time prior to the expiration date of the Master Agreement, or the expiration date of the applicable conversion period for a conversion Master Agreement.
The table below provides references to the Announcements that have been issued that are related to this topic.
|Announcement SEL-2013–03||April 9, 2013|