Board of Visitors minutes :: December 14, 1963 :: 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 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

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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 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