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    Quality legalese

    You don't often see sentences like this. Well, I hope you don't.
    Therefore, pursuant to paragraph 9.1(c) of Schedule 1 to the Servicing Agreement, an Appraisal Reduction Event has occurred and the Special Servicer hereby notifies the addressees hereto accordingly.

    #2
    Quality legalese

    That's shocking even by the standards of structured finance documentation (which aren't exactly Shakespearean).

    It took me five tries, but I think I've finally figured out what they are trying to say.

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      #3
      Quality legalese

      Isn't that straightforward? It's a performative utterance of notification. "I am required by rule X to notify the people listed here of event Y; consider yourselves notified."

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        #4
        Quality legalese

        Yeah, I know why they wrote it. Special servicers are very worried about legal liability at the moment for not being active or communicative enough. It just comes across as very silly. I mean, notification is performative by definition. And the document is titled: "NOTIFICATION OF OCCURRENCE OF APPRAISAL REDUCTION EVENT". Saying you are notifying somebody of something doesn't change whether or not you actually have. And even if they felt the need to declare it, it could be worded less awkwardly: "the Special Servicer hereby fulfils its obligation to notify bondholders".

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          #5
          Quality legalese

          I'm not so sure (which is why I wouldn't say that it is straightforward).

          My guess is that paragraph 9.1(c) of Schedule 1 establishes the conditions for an Appraisal Reduction Event having occurred, rather than requiring the notification itself.

          In any event, your formulation is a heck of a lot clearer.

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            #6
            Quality legalese

            Even if there isn't a specific notification rule on that event, servicers are broadly required to notify bondholders of anything material that happens to a loan.

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              #7
              Quality legalese

              Ginger Yellow wrote:
              You don't often see sentences like this. Well, I hope you don't.
              Therefore, pursuant to paragraph 9.1(c) of Schedule 1 to the Servicing Agreement, an Appraisal Reduction Event has occurred and the Special Servicer hereby notifies the addressees hereto accordingly.
              I do. Probate law is pretty hidebound in terms of adopting 20th Century language.

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                #8
                Quality legalese

                I work in legal publishing. I encounter sentences like that all the time.

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                  #9
                  Quality legalese

                  Probate law is pretty hidebound in terms of adopting 20th Century language.
                  They should adopt 21st century language for this stuff.

                  "so, shit happened and this is me and I'm, like 'helloo-o'"

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