§ 23-19-19 Remedies of bondholders andnoteholders. – (a) In the event that the corporation shall default on the payment of principalof or interest on any bonds or notes issued under this chapter after the bondsor notes shall become due, whether at maturity or upon call for redemption, andthe default shall continue for a period of thirty (30) days, or in the eventthat the corporation shall fail or refuse to comply with the provisions of thischapter, or shall default in any agreement made with the holders of an issue ofbonds or notes of the corporation, the holders of twenty-five percent (25%) inthe aggregate principal amount of the outstanding bonds or notes of the issue,by instrument or instruments filed in the office of the secretary of state andproved or acknowledged in the same manner as a deed to be recorded, may appointa trustee to represent the holders of the bonds or notes for the purposesprovided in this section.
(b) The trustee may, and upon written request of the holdersof twenty-five percent (25%) in principal amount of the outstanding bonds ornotes shall, in the trustee's own name:
(1) Enforce all rights of the bondholders or noteholders,including the right to require the corporation to collect rent, interest,repayments, and payments on the leases, mortgages, loan agreements, salesagreements, and other contracts held by it adequate to carry out any agreementas to, or pledge of, rent, interest, repayments, and payments, and to requirethe corporation to carry out any other agreements with the holders of the bondsor notes, and to perform its duties under this chapter;
(2) Enforce all rights of the bondholders or noteholders, soas to carry out any contract as to, or pledge of revenues, and to require thecorporation to carry out and perform the terms of any contract with the holdersof the bonds or notes or its duties under this chapter;
(3) Bring suit upon all or any part of the bonds or notes;
(4) By action or suit, require the corporation to account asif it were the trustee of an express trust for the holders of the bonds ornotes;
(5) By action or suit, enjoin any acts or things which may beunlawful or in violation of the rights of the holders of the bonds or notes;
(6) Declare all the bonds or notes due and payable and, ifall defaults shall be made good, then with the consent of the holders oftwenty-five percent (25%) of the principal amount of the outstanding bonds ornotes, to annul the declaration and its consequences.
(c) The trustee shall, in addition to the provisions ofsubsections (a) and (b), have and possess all the powers necessary orappropriate for the exercise of any functions specifically set forth in thissection or incident to the general representation of bondholders or noteholdersin the enforcement and protection of their rights.
(d) Before declaring the principal of bonds or notes due andpayable, the trustee shall first give thirty (30) days' notice in writing tothe governor, to the corporation and to the attorney general of the state.
(e) The superior court of Providence County shall havejurisdiction of any suit, action, or proceeding by the trustee on behalf ofbondholders or noteholders.
§ 23-19-19 Remedies of bondholders andnoteholders. – (a) In the event that the corporation shall default on the payment of principalof or interest on any bonds or notes issued under this chapter after the bondsor notes shall become due, whether at maturity or upon call for redemption, andthe default shall continue for a period of thirty (30) days, or in the eventthat the corporation shall fail or refuse to comply with the provisions of thischapter, or shall default in any agreement made with the holders of an issue ofbonds or notes of the corporation, the holders of twenty-five percent (25%) inthe aggregate principal amount of the outstanding bonds or notes of the issue,by instrument or instruments filed in the office of the secretary of state andproved or acknowledged in the same manner as a deed to be recorded, may appointa trustee to represent the holders of the bonds or notes for the purposesprovided in this section.
(b) The trustee may, and upon written request of the holdersof twenty-five percent (25%) in principal amount of the outstanding bonds ornotes shall, in the trustee's own name:
(1) Enforce all rights of the bondholders or noteholders,including the right to require the corporation to collect rent, interest,repayments, and payments on the leases, mortgages, loan agreements, salesagreements, and other contracts held by it adequate to carry out any agreementas to, or pledge of, rent, interest, repayments, and payments, and to requirethe corporation to carry out any other agreements with the holders of the bondsor notes, and to perform its duties under this chapter;
(2) Enforce all rights of the bondholders or noteholders, soas to carry out any contract as to, or pledge of revenues, and to require thecorporation to carry out and perform the terms of any contract with the holdersof the bonds or notes or its duties under this chapter;
(3) Bring suit upon all or any part of the bonds or notes;
(4) By action or suit, require the corporation to account asif it were the trustee of an express trust for the holders of the bonds ornotes;
(5) By action or suit, enjoin any acts or things which may beunlawful or in violation of the rights of the holders of the bonds or notes;
(6) Declare all the bonds or notes due and payable and, ifall defaults shall be made good, then with the consent of the holders oftwenty-five percent (25%) of the principal amount of the outstanding bonds ornotes, to annul the declaration and its consequences.
(c) The trustee shall, in addition to the provisions ofsubsections (a) and (b), have and possess all the powers necessary orappropriate for the exercise of any functions specifically set forth in thissection or incident to the general representation of bondholders or noteholdersin the enforcement and protection of their rights.
(d) Before declaring the principal of bonds or notes due andpayable, the trustee shall first give thirty (30) days' notice in writing tothe governor, to the corporation and to the attorney general of the state.
(e) The superior court of Providence County shall havejurisdiction of any suit, action, or proceeding by the trustee on behalf ofbondholders or noteholders.
§ 23-19-19 Remedies of bondholders andnoteholders. – (a) In the event that the corporation shall default on the payment of principalof or interest on any bonds or notes issued under this chapter after the bondsor notes shall become due, whether at maturity or upon call for redemption, andthe default shall continue for a period of thirty (30) days, or in the eventthat the corporation shall fail or refuse to comply with the provisions of thischapter, or shall default in any agreement made with the holders of an issue ofbonds or notes of the corporation, the holders of twenty-five percent (25%) inthe aggregate principal amount of the outstanding bonds or notes of the issue,by instrument or instruments filed in the office of the secretary of state andproved or acknowledged in the same manner as a deed to be recorded, may appointa trustee to represent the holders of the bonds or notes for the purposesprovided in this section.
(b) The trustee may, and upon written request of the holdersof twenty-five percent (25%) in principal amount of the outstanding bonds ornotes shall, in the trustee's own name:
(1) Enforce all rights of the bondholders or noteholders,including the right to require the corporation to collect rent, interest,repayments, and payments on the leases, mortgages, loan agreements, salesagreements, and other contracts held by it adequate to carry out any agreementas to, or pledge of, rent, interest, repayments, and payments, and to requirethe corporation to carry out any other agreements with the holders of the bondsor notes, and to perform its duties under this chapter;
(2) Enforce all rights of the bondholders or noteholders, soas to carry out any contract as to, or pledge of revenues, and to require thecorporation to carry out and perform the terms of any contract with the holdersof the bonds or notes or its duties under this chapter;
(3) Bring suit upon all or any part of the bonds or notes;
(4) By action or suit, require the corporation to account asif it were the trustee of an express trust for the holders of the bonds ornotes;
(5) By action or suit, enjoin any acts or things which may beunlawful or in violation of the rights of the holders of the bonds or notes;
(6) Declare all the bonds or notes due and payable and, ifall defaults shall be made good, then with the consent of the holders oftwenty-five percent (25%) of the principal amount of the outstanding bonds ornotes, to annul the declaration and its consequences.
(c) The trustee shall, in addition to the provisions ofsubsections (a) and (b), have and possess all the powers necessary orappropriate for the exercise of any functions specifically set forth in thissection or incident to the general representation of bondholders or noteholdersin the enforcement and protection of their rights.
(d) Before declaring the principal of bonds or notes due andpayable, the trustee shall first give thirty (30) days' notice in writing tothe governor, to the corporation and to the attorney general of the state.
(e) The superior court of Providence County shall havejurisdiction of any suit, action, or proceeding by the trustee on behalf ofbondholders or noteholders.
