In the discretion of the Authority, any bonds or notes issued underthis Part may be secured by a trust instrument between the Authority and a bankor trust company or individual within the State, or a bank or a trust companyoutside the State, as trustee. The trust instrument or the resolution of theAuthority authorizing the issuance of bonds or notes may pledge and assign allor any part of the revenues, funds, and other property provided for thesecurity of the bonds, including proceeds from the sale of any project, or partthereof, insurance proceeds, and condemnation awards, and may convey ormortgage property to secure a bond issue as provided in this Part.
The revenues and other funds derived from the project, except any partthereof that may be necessary to provide reserves therefor, if any, shall beset aside at regular intervals as may be provided in the resolution or trustinstrument in a sinking fund which may be thereby pledged to, and charged with,the payment of the principal of and the interest on the bonds or notes as theybecome due and of the redemption price or the purchase price of bonds retiredby call or purchase as therein provided. This pledge shall be valid and bindingfrom the time the pledge is made. The revenues so pledged and thereafterreceived by the Authority shall immediately be subject to the lien of thepledge without any physical delivery thereof or further act, and the lien ofthe pledge shall be valid and binding as against all parties having claims ofany kind in tort, contract, or otherwise against the Authority, irrespective ofwhether the parties have notice of the pledge. The use and disposition of moneyto the credit of such sinking fund shall be subject to the provisions of theresolution or trust instrument. The resolution or trust instrument may containprovisions for protecting and enforcing the rights and remedies of thebondholders as may be reasonable and proper and not in violation of law,including, without limitation, any one or more of the following:
(1) Acceleration of all amounts payable under the resolution ortrust instrument.
(2) Appointment of a receiver to manage the project and anyother property mortgaged or assigned as security for the bonds.
(3) Foreclosure and sale of the project and any other propertymortgaged or assigned as security for the bonds.
(4) Rights to bring and maintain other actions at law or inequity as may appear necessary or desirable to collect the amounts payableunder, or to enforce the covenants made in, the security document.
It shall be lawful for any bank or trust company incorporated under thelaws of this State which may act as depository of the proceeds of bonds,revenues, or other funds provided under this Part to furnish such indemnifyingbonds or to pledge such securities as may be required by the Authority. Allexpenses incurred in carrying out the provisions of the resolution or trustinstrument may be treated as a part of the cost of the project in connectionwith which bonds or notes are issued or as an expense of administration of theproject.
The Authority may subordinate bonds or notes to any prior,contemporaneous, or future securities or obligations or lien, mortgage, orother security interest securing bonds or notes.
Any owner of bonds or notes issued under the provisions of this Part orany coupons appertaining thereto, and the trustee under any trust agreementsecuring or resolution authorizing the issuance of such bonds or notes, exceptto the extent the rights given may be restricted by the trust agreement orresolution, may either at law or in equity, by suit, action, mandamus, or otherproceeding, protect and enforce any and all rights under the laws of the Stateor granted hereunder or under the trust agreement or resolution, or under anyother contract executed by the Authority pursuant to this Chapter; and mayenforce and compel the performance of all duties required by this Part or bythe trust agreement or resolution by the Authority or by any officer of theAuthority. (1995, c. 458, s.1.)
In the discretion of the Authority, any bonds or notes issued underthis Part may be secured by a trust instrument between the Authority and a bankor trust company or individual within the State, or a bank or a trust companyoutside the State, as trustee. The trust instrument or the resolution of theAuthority authorizing the issuance of bonds or notes may pledge and assign allor any part of the revenues, funds, and other property provided for thesecurity of the bonds, including proceeds from the sale of any project, or partthereof, insurance proceeds, and condemnation awards, and may convey ormortgage property to secure a bond issue as provided in this Part.
The revenues and other funds derived from the project, except any partthereof that may be necessary to provide reserves therefor, if any, shall beset aside at regular intervals as may be provided in the resolution or trustinstrument in a sinking fund which may be thereby pledged to, and charged with,the payment of the principal of and the interest on the bonds or notes as theybecome due and of the redemption price or the purchase price of bonds retiredby call or purchase as therein provided. This pledge shall be valid and bindingfrom the time the pledge is made. The revenues so pledged and thereafterreceived by the Authority shall immediately be subject to the lien of thepledge without any physical delivery thereof or further act, and the lien ofthe pledge shall be valid and binding as against all parties having claims ofany kind in tort, contract, or otherwise against the Authority, irrespective ofwhether the parties have notice of the pledge. The use and disposition of moneyto the credit of such sinking fund shall be subject to the provisions of theresolution or trust instrument. The resolution or trust instrument may containprovisions for protecting and enforcing the rights and remedies of thebondholders as may be reasonable and proper and not in violation of law,including, without limitation, any one or more of the following:
(1) Acceleration of all amounts payable under the resolution ortrust instrument.
(2) Appointment of a receiver to manage the project and anyother property mortgaged or assigned as security for the bonds.
(3) Foreclosure and sale of the project and any other propertymortgaged or assigned as security for the bonds.
(4) Rights to bring and maintain other actions at law or inequity as may appear necessary or desirable to collect the amounts payableunder, or to enforce the covenants made in, the security document.
It shall be lawful for any bank or trust company incorporated under thelaws of this State which may act as depository of the proceeds of bonds,revenues, or other funds provided under this Part to furnish such indemnifyingbonds or to pledge such securities as may be required by the Authority. Allexpenses incurred in carrying out the provisions of the resolution or trustinstrument may be treated as a part of the cost of the project in connectionwith which bonds or notes are issued or as an expense of administration of theproject.
The Authority may subordinate bonds or notes to any prior,contemporaneous, or future securities or obligations or lien, mortgage, orother security interest securing bonds or notes.
Any owner of bonds or notes issued under the provisions of this Part orany coupons appertaining thereto, and the trustee under any trust agreementsecuring or resolution authorizing the issuance of such bonds or notes, exceptto the extent the rights given may be restricted by the trust agreement orresolution, may either at law or in equity, by suit, action, mandamus, or otherproceeding, protect and enforce any and all rights under the laws of the Stateor granted hereunder or under the trust agreement or resolution, or under anyother contract executed by the Authority pursuant to this Chapter; and mayenforce and compel the performance of all duties required by this Part or bythe trust agreement or resolution by the Authority or by any officer of theAuthority. (1995, c. 458, s.1.)
In the discretion of the Authority, any bonds or notes issued underthis Part may be secured by a trust instrument between the Authority and a bankor trust company or individual within the State, or a bank or a trust companyoutside the State, as trustee. The trust instrument or the resolution of theAuthority authorizing the issuance of bonds or notes may pledge and assign allor any part of the revenues, funds, and other property provided for thesecurity of the bonds, including proceeds from the sale of any project, or partthereof, insurance proceeds, and condemnation awards, and may convey ormortgage property to secure a bond issue as provided in this Part.
The revenues and other funds derived from the project, except any partthereof that may be necessary to provide reserves therefor, if any, shall beset aside at regular intervals as may be provided in the resolution or trustinstrument in a sinking fund which may be thereby pledged to, and charged with,the payment of the principal of and the interest on the bonds or notes as theybecome due and of the redemption price or the purchase price of bonds retiredby call or purchase as therein provided. This pledge shall be valid and bindingfrom the time the pledge is made. The revenues so pledged and thereafterreceived by the Authority shall immediately be subject to the lien of thepledge without any physical delivery thereof or further act, and the lien ofthe pledge shall be valid and binding as against all parties having claims ofany kind in tort, contract, or otherwise against the Authority, irrespective ofwhether the parties have notice of the pledge. The use and disposition of moneyto the credit of such sinking fund shall be subject to the provisions of theresolution or trust instrument. The resolution or trust instrument may containprovisions for protecting and enforcing the rights and remedies of thebondholders as may be reasonable and proper and not in violation of law,including, without limitation, any one or more of the following:
(1) Acceleration of all amounts payable under the resolution ortrust instrument.
(2) Appointment of a receiver to manage the project and anyother property mortgaged or assigned as security for the bonds.
(3) Foreclosure and sale of the project and any other propertymortgaged or assigned as security for the bonds.
(4) Rights to bring and maintain other actions at law or inequity as may appear necessary or desirable to collect the amounts payableunder, or to enforce the covenants made in, the security document.
It shall be lawful for any bank or trust company incorporated under thelaws of this State which may act as depository of the proceeds of bonds,revenues, or other funds provided under this Part to furnish such indemnifyingbonds or to pledge such securities as may be required by the Authority. Allexpenses incurred in carrying out the provisions of the resolution or trustinstrument may be treated as a part of the cost of the project in connectionwith which bonds or notes are issued or as an expense of administration of theproject.
The Authority may subordinate bonds or notes to any prior,contemporaneous, or future securities or obligations or lien, mortgage, orother security interest securing bonds or notes.
Any owner of bonds or notes issued under the provisions of this Part orany coupons appertaining thereto, and the trustee under any trust agreementsecuring or resolution authorizing the issuance of such bonds or notes, exceptto the extent the rights given may be restricted by the trust agreement orresolution, may either at law or in equity, by suit, action, mandamus, or otherproceeding, protect and enforce any and all rights under the laws of the Stateor granted hereunder or under the trust agreement or resolution, or under anyother contract executed by the Authority pursuant to this Chapter; and mayenforce and compel the performance of all duties required by this Part or bythe trust agreement or resolution by the Authority or by any officer of theAuthority. (1995, c. 458, s.1.)
