(a) A Finance or Service Entity may submit a claim for an Enrolled Efficiency Agreement when all of the following conditions are met:

(b) In the event of a charge-off, the Finance or Service Entity may submit a claim for up to 90% of the Claim-Eligible Charge-Off Amount.

(c) Claims will be paid net of any recovery and proceeds that the Finance or Service Entity has obtained prior to the filing of the claim such that the Finance or Service Entity will recoup no more than 100% of the Claim-Eligible Charge-Off Amount, unless as described in Section 10093.8(d), a payment for a particular claim is limited to the funds in the Finance or Service Entity's Loss Reserve Account(s) at the time that the claim is approved by the Authority.

(d) If there are not sufficient funds in the Finance or Service Entity's Loss Reserve Account to cover 90% of the Claim-Eligible Charge-Off Amount at the time of a claim, the Loss Reserve Account Representative may ask that future contributions to the Loss Reserve Account (when new financings are enrolled) be paid out as part of the original claim until the end of the next annual rebalancing.

(e) Claim Applications. Claim applications must be submitted by the Loss Reserve Account Representative to the Authority within 180 calendar days of the date of charge-off of an Enrolled Efficiency Agreement. To make a claim, a Finance or Service Entity must be in compliance with the Program regulations, including, but not limited to, the reporting requirements in Section 10093.10. The claim application must include the following information provided by the Finance or Service Entity in a format to be specified by the Authority:

(f) The Authority will approve claims within 30 calendar days of the Authority's receipt of a completed and qualified claim request, provided, however, that the Executive Director shall be authorized to reject a claim if it is determined that any of the acknowledgements, certifications, representations, and warranties provided by the Finance or Service Entity pursuant to Section 10093.2(c)(4) - (7) and Section 10093.3(g) and (h) at the time of application to the Program were false, or if the Enrolled Efficiency Agreement claimed upon does not conform to financing product(s) submitted in the application to participate in the Program pursuant to Section 10093.2(c)(3) or as modified by any updates per Section 10093.2(e) or a subsequent update pursuant to Section 10093.10(f), or if the Finance or Service Entity is not in compliance with its obligations, including reporting obligations, under the regulations within this Article. The Authority, upon providing written notice to the Finance or Service Entity, may defer approval of claims up to an additional thirty calendar days if the Authority requires more information in order to determine if the claim shall be paid. Prior to authorizing a disbursement from a Loss Reserve Account, the Authority may request documentation relating to the original Enrolled Efficiency Agreement, the servicing file, and the default.

(g) Upon approval of a claim, the Authority will direct the Trustee to disburse the approved claim amount from the Finance or Service Entity's Loss Reserve Account to the Loss Reserve Account Representative within five business days.

(h) The Loss Reserve Representative may request that the Trustee disburse funds to a third party of its choosing. Such request to disburse funds to a third party must be made by the Loss Reserve Account Representative to the Authority, in writing, at the time of the submission of the claim application.

(i) If, subsequent to the payment of a claim by the Authority, the Finance or Service Entity recovers from liquidation of collateral, personal guarantees, or from any other source, any amounts associated with the Enrolled Efficiency Agreement, the Finance or Service Entity must promptly pay to the Authority or its agent, for deposit in the Finance or Service Entity's Loss Reserve Account, any amount recovered, less reasonable and customary costs of collection, and less the balance of the Claim-Eligible Charge-Off Amount not paid to the Finance or Service Entity by the Authority on the claim. Per claim, the maximum amount that a Finance or Service Entity will be required to pay to the Authority, from amounts recovered, is the amount the Authority paid to the Finance or Service Entity from the Finance or Service Entity's Loss Reserve Account for the claim.