Board of Visitors minutes :: June 1, 1962 :: University of Virginia Library

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

(d) the Project or any part thereof shall be destroyed or damaged and shall
not be promptly repaired, replaced or reconstructed (whether such failure promptly

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to repair, replace or reconstruct the same be due to the impracticability of such
repair, replacement or reconstruction or to 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 Project 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 acquienscence of
the Board, appointing a receiver or receivers of the Project 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 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