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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
Current Report Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): September 24, 1999
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Chase Funding, Inc.
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(Exact name of registrant specified in Charter)
New York 333-64131 13-3840732
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(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
300 Tice Boulevard
Woodcliff Lake, NJ 07675
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(Address of principal executive offices) Zip Code
Registrant's telephone, including area code: (201) 782-9084
Not Applicable
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(Former name and former address, if changed since last report)
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ITEM 5. Other Events
Filing of Legality and Tax Opinions
Attached as Exhibit 99.1 is the opinion of Morgan, Lewis &
Bockius LLP with respect to the legality of the Company's Series 1999-3 Mortgage
Loan Asset-Backed Certificates and certain tax matters relating thereto.
ITEM 7. Financial Statements and Exhibits
(c) Exhibits
Item 601(a)
of Regulation S-K
Exhibit No. Description
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(99.1) Legal Opinion
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Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
CHASE FUNDING, INC.
Date: September 24, 1999
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/s/ Eileen A. Lindblom
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Eileen A. Lindblom
Vice President
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INDEX TO EXHIBITS
Exhibit No. Description Page
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(99.1) Legal Opinion 5
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EXHIBIT 99.1
Chase Funding, Inc.
September 24, 1999
Page 1
September 24, 1999
Chase Funding, Inc.
343 Thornall Street
Edison, NJ 08837
Re: Chase Funding Mortgage Loan
Asset-Backed Certificates, Series 1999-3
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Ladies and Gentlemen:
We have acted as counsel for Chase Funding, Inc. (the "Company"), in connection
with the sale by the Company of approximately $380,000,000.00 in aggregate
principal amount of Mortgage Loan Asset-Backed Certificates, Series 1999-3 (the
"Certificates"). The Certificates are issued under the terms of a Pooling and
Servicing Agreement (the "Pooling and Servicing Agreement") dated as of
September 1, 1999, by and among the Company, as depositor, Chase Manhattan
Mortgage Corporation, as Master Servicer, Advanta Mortgage Corp. USA, as
Subservicer, and Citibank, N.A., as Trustee. The Offered Certificates will be
purchased by Chase Securities Inc. (the "Underwriter") for resale to the public
pursuant to an Underwriting Agreement dated December 16, 1998 between the
Company and Chase Securities Inc. and a Terms Agreement dated September 15, 1999
between the Company and Chase Securities Inc. (together, the "Underwriting
Agreement"). Capitalized terms used and not defined herein have the meanings
given to them in the Prospectus Supplement.
We have examined a signed copy of the Registration Statement on Form S-3 (No.
333-64131) filed by the Company with the Securities and Exchange Commission (the
"Commission") pursuant to the Securities Act of 1933, as amended (the "1933
Act"), in the form in which it initially became effective (the "Registration
Statement") and as amended to the date hereof, and the Company's Prospectus (the
"Prospectus") dated June 16, 1999 and the Prospectus Supplement (the "Prospectus
Supplement") dated September 22, 1999 relating to the Offered Certificates. We
also have examined the originals or copies, certified or otherwise identified to
our satisfaction, of all such records of the Company and all such agreements,
certificates of public officials, certificates of officers or representatives of
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Chase Funding, Inc.
September 24, 1999
Page 2
the Company and others, and such other documents, certificates and records as we
have deemed necessary or appropriate as a basis for the opinions set forth
herein, including, without limitation, (i) the Restated Certificate of
Incorporation of the Company; (ii) the By-Laws of the Company; (iii) copies of
certain unanimous consents adopted by the Board of Directors of the Company
authorizing the issuance and sale of the Certificates and purchase of the
Mortgage Loans; (iv) the Pooling and Servicing Agreement; (v) the forms of the
Class A Certificates, the Class M Certificates and the Class B Certificates and
(vi) the Underwriting Agreement.
In our examination, we have assumed the genuineness of all signatures, the
authenticity of all documents submitted to us as originals, the conformity of
all documents submitted to us as certified or photostatic copies to the original
documents and the authenticity of such documents. We have assumed that any
documents executed by any party other than the Company are the legal, valid and
binding obligation of such party. As to any facts material to the opinions
expressed herein that we did not establish independently or verify, we have
relied upon the truth, accuracy and completeness of the statements and
representations of the Company, its officers and other representatives, the
Trustee and others. Whenever the phrase "to the best of our knowledge" or "of
which we are aware" is used herein, it refers in each case to the actual
knowledge of the attorneys of this firm involved in the representation of the
Company in this transaction.
We express no opinion as to the effect of the laws of any jurisdiction other
than the laws of the State of New York, the General Corporation Law of the State
of Delaware and the federal laws of the United States of America.
Based upon and subject to the foregoing, we are of the opinion that:
(i) The Certificates have been duly authorized and, when
executed and authenticated as specified in the Pooling and Servicing Agreement
and delivered and paid for, will be validly issued, fully paid, nonassessable
and entitled to the benefits of the Pooling and Servicing Agreement.
(ii) Assuming (a) ongoing compliance with all of the
provisions of the Pooling and Servicing Agreement and (b) the filing of
elections, in accordance with the Pooling and Servicing Agreement, to be treated
as a "real estate mortgage investment conduit" (a "REMIC") pursuant to Section
860D of the Internal Revenue Code of 1986, as amended (the "Code") for federal
income tax purposes, each of the Master REMIC and the Subsidiary REMIC will
qualify as a REMIC as of the Closing Date and each will continue to qualify as a
REMIC for so long as it complies with amendments after the date hereof to any
applicable provisions of the Code and applicable Treasury Regulations.
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Chase Funding, Inc.
September 24, 1999
Page 3
We hereby consent to the filing of this opinion as an Exhibit to the
Registration Statement and to the reference to this firm in the Registration
Statement and the related prospectus under the heading "Legal Matters", without
admitting that we are "experts" within the meaning of the Act or the rules and
regulations of the Securities and Exchange Commission issued thereunder with
respect to any part of the Registration Statement including this Exhibit.
Very truly yours,
MORGAN, LEWIS & BOCKIUS LLP
