USA Dealer Power Up Binder - Flipbook - Page 34
Lender advances funds pursuant to the Contract (unless agreed to otherwise by Lender in writing) and are
correctly and completely described in the Contract.
3.5 At the date of execution of the Contract, Dealer had physical possession of the Items; good and clear
title to the Items free of any liens, security interests, or other claims against the Items; and no claims
against the Items exist. The Items are marketable and to the best of Dealer’s knowledge fit for the
purposes for which they were intended to be used by the manufacturer of the Items. The Items have not
been salvaged, flooded, mechanically or structurally damaged, rebuilt, customized, or otherwise modified
from their original condition.
3.6 The security interest granted by Purchaser pursuant to the Contract is a valid first and prior security
interest in the Collateral in favor of Dealer or Lender or its designee, and Dealer will promptly provide
Lender with evidence of such security interest in the form specified by Lender, TIME BEING OF THE
ESSENCE. Dealer will immediately take all necessary actions in accordance with the requirements of the
Purchaser’s state of residence as of the date of execution of the Contract to perfect the security interest of
Lender or its designee, including, but not limited to, filing application for a certificate of title showing a
first lien in favor of Lender or its designee and ensuring that such title evidencing said lien will be delivered
to Lender; or, in the event state law requires delivery of title to Purchaser, other evidence of properly issued
title and lien as specified by Lender will be delivered to Lender or its designee. If the Collateral does not
have a certificate of title, Dealer will, if requested by Lender, assist in perfecting the security interest of
Lender or its designee as allowed by Applicable Law. No cost or expense incurred by Dealer in connection
with the perfection of the security interest of Lender or its designee in the Collateral (whether described in
this Section or otherwise) shall be borne by Lender. Dealer hereby irrevocably appoints Lender as Dealer’s
true and lawful attorney-in-fact for the purpose of obtaining, filling out, completing, filing or recording any
documents or instruments necessary or advisable to perfect Lender’s security interest in any Collateral.
3.7 Any cash down payment shown in the Contract has been paid by Purchaser at or prior to delivery of
the Collateral and no portion of the down payment has been loaned by Dealer, either directly or indirectly.
3.8 Prior to submission of any application for financing of an Item through a Contract to Lender, Dealer
will have fully complied with all Applicable Laws, and Dealer will notify Lender promptly upon it
becoming aware of any actual or potential violation of any Applicable Law.
3.9 The Contract for any Item is not subject to any dispute, defense, counterclaim, or right of offset by
Purchaser or anyone claiming under Purchaser, except for claims arising under the applicable
manufacturer’s warranty.
3.10 The signature of each Purchaser is genuine and will have been executed in Dealer’s presence.
Dealer or its authorized representative or agent has witnessed the signature of each Purchaser.
3.11 The Collateral is initially insured against physical damage and such other risks as Lender may require
at the time of delivery of the Collateral to Purchaser and at the time of financing by Lender of any Item
evidenced by the Contract. If requested by Lender, Dealer will assist in verifying that such insurance is in
effect, that all such policies of insurance contain appropriate loss-payable clauses in favor of Lender or its
designee, and that the deductibles for physical damage coverage do not exceed the amounts set forth from
time to time in the Program Guidelines. Ongoing verification of insurance after initial policy term will be
responsibility of Lender pursuant to Section 8 below.
3.12 To the best of Dealer's knowledge, any credit application forwarded by Dealer from Purchaser
contains no misrepresentations or omissions of material facts, the Purchaser has agreed to be the
primary user of the Items financed, the Purchasers are not using their names, credit or employment
Dealer Standards 12-04-22
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