Sec. 701. Definitions

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In this title: The term Agency means the Federal Housing Finance Agency. The term back-end risk sharing means any risk-sharing transaction that allows an enterprise to share single-family mortgage credit risk that is on the balance sheet of the enterprise with the private sector. The term Board of Directors means the Board of Directors established under section 705(c)(1). The term Common Securitization Solutions or CSS means Common Securitization Solutions, LLC, the joint venture formed by the enterprises in October 2013, or any successor to Common Securitization Solutions, LLC, that is a joint venture of the enterprises.

The term contractual and disclosure framework means a contractual and disclosure framework for securitization of mortgage loans by an entity other than an enterprise. The term enterprise has the meaning given that term in section 1303 of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 ( 12 U.S.C. 4502 ). The terms first loss position , front-end risk sharing , and risk-sharing transaction have the meanings given those terms in section 1328(a) of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992, as added by section 706(b)(1).

The term guarantee fee — means a fee in connection with any guarantee of the timely payment of principal and interest on securities, notes, and other obligations based on or backed by mortgages on residential real properties designed principally for occupancy of from 1 to 4 families; and includes— the guaranty fee charged by the Federal National Mortgage Association with respect to mortgage-backed securities; and the management and guarantee fee charged by the Federal Home Loan Mortgage Corporation with respect to participation certificates.

The term Platform means the securitization platform first described by the paper issued by the Agency on October 4, 2012 entitled Building a New Infrastructure for the Secondary Mortgage Market , and updated in subsequent documents released by the Agency, including annual strategic plans for the conservatorship of the enterprises and annual conservatorship scorecards. The term private successor means the private, nonprofit entity referred to in section 705(g) to which CSS transitions the Platform and the contractual and disclosure framework, including any associated intellectual property, technology, systems, and infrastructure, in accordance with this title.

The term second loss position means, with respect to a risk-sharing transaction, the position to which any credit losses on a security resulting from the nonperformance of underlying mortgage loans will accrue and be absorbed after a first loss position, to the full extent of a holder’s interest in such position. The term Secretary means the Secretary of the Treasury. The term Senior Preferred Stock Purchase Agreement means— the Amended and Restated Senior Preferred Stock Purchase Agreement, dated September 26, 2008, as such Agreement has been amended on May 6, 2009, December 24, 2009, and August 17, 2012, respectively, and as such Agreement may be further amended and restated, entered into between the Department of the Treasury and each enterprise, as applicable; and any provision of any certificate in connection with such Agreement creating or designating the terms, powers, preferences, privileges, limitations, or any other conditions of the Variable Liquidation Preference Senior Preferred Stock of an enterprise issued or sold pursuant to such Agreement.

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12 USC 4502

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Sec. 701

Definitions

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