cross-collateralization


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cross-collateralization

The process of tying two or more mortgages together so that the security of one note stands as security for the other notes. A step often taken in a debt workout after default so that the creditor may enhance the amount of collateral available for a debt and also increase the hostage value of property, thereby discouraging any plans the debtor might have to simply turn in the keys and abandon mortgaged property to the creditor.

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The MTA provides for cross-collateralization between the CWSRF and DWSRF accounts, meaning that deficiencies in one SRF payment account may be covered by available moneys from the other SRF.
SKW Funding closed a $12 million first lien mortgage loan for the refinance and cross-collateralization of two Manhattan properties.
SIFMA's request to expand PTE 80-26 was based on the widespread use of these types of indemnity and cross-collateralization clauses in many brokerage agreements.
These non-recourse loans are linked through a cross-collateralization and cross-default agreement.
And while the transaction involved liens on certain company assets and life insurance policies on the principals at Bentec, "there was no cross-collateralization with personal real estate," among the covenants that a bank might impose, Jumet says.
Separately, Pandora has also settled a lawsuit with the producer of the film "Kolya" (1996) over disputes regarding marketing expenditure, sales, cross-collateralization and recoupment matters.
CROSS COLLATERALIZATION ENHANCES PROGRAM: The cross-collateralization features of the separate clean water state revolving fund (CWSRF) and drinking water state revolving fund (DWSRF) accounts within the indentures enhance bondholder security allowing reserves and excess loan repayments within and between each program to be available for use by the other.
CROSS-COLLATERALIZATION IMPROVES DIVERSITY, LOWERS RISK OF LOSS
4,850,000 cross-collateralization of two commercial properties, located in Melrose, Bronx and Prospect Gardens, Brooklyn.
Areas of dispute include marketing expenditure and strategies, Pandora's inking of a first and last-look deal on remake, sequel and prequel rights with Miramax and cross-collateralization and recoupment matters, especially in markets where Pandora sold the film to BVI.
This cross-collateralization notwithstanding, Wilson's name-sake son has said the property is held by a solvent partnership set up by his father.
Legal Structure: The characteristics of a bond financing, including the amortization schedule, reserve sizing, the various pledges offered, the cross-collateralization of assets, the trustee-held accounts, and excess cash release mechanisms, are factors weighed in the rating analysis that can significantly influence bondholder security.