 | Board of Visitors minutes June 24, 1965 |  |
ARTICLE VII
Remedies.
Section 701. In case the time for the payment of any coupon shall be extended, whether or
not such extension be by or with the consent of the Board, such coupon shall not be entitled in
case of default hereunder to the benefit or security of this resolution except subject to the
prior payment in full of the principal of all bonds then outstanding and of all coupons the time
for the payment of which shall not have been extended.
Section 702. Each of the following events is hereby declared an "event of default," that
is to say if
(a) payment of the principal of any of the bonds shall not be made when the
same shall become due and payable, or(b) payment of any instalment of interest shall not be made within thirty (30)
days after the same shall become due and payable, or(c) the Board shall for any reason be rendered incapable of fulfilling its
obligations hereunder, or(d) the Housing System or any part thereof shall be destroyed or damaged and
shall not be promptly repaired, replaced or reconstructed (whether such failure
promptly to repair, replace or reconstruct the same be due to the impracticability
of such repair, replacement or reconstruction or to the lack of funds therefor or
for any other reason), or(e) final judgment for the payment of money shall be rendered against the
Board as a result of its ownership or operation of the Housing System and any such
judgment shall not be discharged within sixty (60) days from the entry thereof or
an appeal shall not be taken therefrom or from the order, decree or process upon which
or pursuant to which such judgment shall have been granted or entered, in such manner
as to stay the execution of or levy under such judgment, order, decree or process or
the enforcement thereof, or(f) an order or decree shall be entered, with the consent or acquiescence of
the Board, appointing a receiver or receivers of the Housing System or any part
thereof or of the Revenues thereof, or if such order or decree, having been
entered without the acquiescence or consent of the Board, shall not be vacated
or discharged or stayed on appeal within sixty (60) days after entry thereof, or(g) the Board shall default in the due and punctual performance of any
other of the covenants, conditions, agreements and provisions contained in
the bonds or in this resolution on the part of the Board to be performed,
and such default shall continue for thirty (30) days after written notice
specifying such default and requiring same to be remedied shall have been
given to the Board by any bondholder.
Section 703. Upon the happening and continuance of any event of default specified in
Section 702 of this Article, then and in every such case any bondholder may proceed, subject to
the provisions of Section 705 of this Article, to protect and enforce the rights of the bondholders
by a suit, action or special proceeding in equity or at law, either for the specific
performance of any covenant or agreement contained herein or in aid or execution of any power
herein granted or for the enforcement of any proper legal or equitable remedy as such bondholder
shall deem most effectual to protect and enforce such rights.
Section 704. In case any proceeding taken by any bondholder on account of any default shall
have been discontinued or abandoned for any reason, then and in every such case the Board and the
bondholders shall be restored to their former positions and rights, respectively, and all rights
and remedies of the bondholders shall continue as though no such proceeding had been taken.
Section 705. No holder of any of the bonds shall have any right in any manner whatever to
affect, disturb or prejudice the security of this resolution or to enforce any right hereunder,
except in the manner herein provided, and all proceedings at law or in equity shall be instituted,
had and maintained for the equal benefit of all bondholders.
Section 706. No remedy herein conferred on the bondholders is intended to be exclusive of
any other remedy or remedies, and each and every remedy conferred shall be cumulative and shall
be in addition to every other remedy given hereunder or under the Act or now or hereafter existing
at law or in equity or by statute.
Section 707. No delay or omission of any bondholder to exercise any right or power accruing
upon any default occurring and continuing as aforesaid shall impair any such right or power or shall
be construed to be a waiver of any such default or an acquiescence therein, and every power and
remedy given by this Article to the bondholders may be exercised from time to time and as often as
may be deemed expedient.
| Board of Visitors minutes June 24, 1965 | |