NY Pub Auth L § 1570-O (2021)
2021 New York Laws PBA - Public Authorities Article 7 - Parking Authorities Title 8-A - Harrison Parking Authority 1570-O - Remedies of Bondholders.

§  1570-o.  Remedies  of  bondholders.  Subject  to  any resolution or resolutions adopted pursuant to this title:   1. In the event that the authority shall default  in  the  payment  of principal  of  or  interest  on  any issue of bonds after the same shall become due, whether at maturity or upon call for  redemption,  and  such default shall continue for a period of thirty days, or in the event that the authority shall fail or refuse to comply with the provisions of this title,  or  shall  default in any agreement made with the holders of any issue of the bonds, the holders of twenty-five per centum  in  aggregate principal  amount  of  the  bonds  of  such  issue  then outstanding, by instrument or instruments filed in the office of the clerk of the county of Westchester and proved or acknowledged in the same manner as  a  deed to  be  recorded, may appoint a trustee to represent the holders of such bonds for the purposes provided in this section.   2. Such trustee may, and  upon  written  request  of  the  holders  of twenty-five   per   centum  in  principal  amount  of  such  bonds  then outstanding shall, in his or its own name:  (a) by action or proceeding in accordance with the civil practice  law and rules, enforce all rights of the bondholders, including the right to require  the  authority to collect revenues adequate to carry out by any agreement as to, or  pledge  of,  such  revenues,  and  to  require  the authority  to  carry  out  any other agreements with the holders of such bonds and to perform its duties under this title;  (b) bring suit upon such bonds;  (c) by action or proceeding, require the authority to account as if it were the trustee of an express trust for the holders of such bonds;  (d) by action or proceeding, enjoin any acts or things  which  may  be unlawful or in violation of the rights of the holders of such bonds; and  (e)  declare all such bonds due and payable, and if all defaults shall be made good then with the consent of the  holders  of  twenty-five  per centum  of the principal amount of such bonds then outstanding, to annul such declaration and its consequences.   3. The supreme court shall have jurisdiction of any  suit,  action  or proceeding  by  the  trustee  on behalf of bondholders. The venue of any such suit,  action  or  proceeding  shall  be  laid  in  the  county  of Westchester.   4.  Before  declaring the principal of all such bonds due and payable, the trustee shall first give  thirty  days  notice  in  writing  to  the authority.   5.  Any such trustee, whether or not the issue of bonds represented by such trustee has been declared due and payable, shall be entitled as  of right  to  the  appointment  of  a  receiver of any part or parts of the project the revenues of which are pledged for the security of the  bonds of  such  issue, and such receiver may enter and take possession of such part or parts of the project and, subject to  any  pledge  or  agreement with bondholders, shall take possession of all moneys and other property derived  from or applicable to the acquisition, construction, operation, maintenance and reconstruction of such part or parts of the project  and proceed   with  the  acquisition  of  any  necessary  real  property  in connection with  the  project  that  the  authority  has  covenanted  to construct,  and  with  any  construction  which  the  authority is under obligation to do and to operate, maintain and reconstruct such  part  or parts  of  the  project  and collect and receive all revenues thereafter arising therefrom subject  to  any  pledge  thereof  or  agreement  with bondholders relating thereto and perform the public duties and carry out the  agreements  and obligations of the authority under the direction of the court. In any suit, action or proceeding by the  trustee,  the  fee, counsel  fees  and  expenses of the trustee and of the receiver, if any,  shall constitute taxable disbursements and all costs  and  disbursements allowed  by  the  court  shall be a first charge on any revenues derived from such project.   6.  Such  trustee  shall,  in addition to the powers specified in this section, have and possess all of the powers necessary or appropriate for the exercise of any functions specifically set forth in this section  or incident to the general representation of bondholders in the enforcement and protection of their rights.