2023 New York Laws › PBA - Public Authorities › Article 3 - Bridge and Tunnel Authorities › Title 3 - Triborough Bridge Authority › 567 - Remedies of Bondholders.

§  567.  Remedies  of  bondholders. 1. In the event that the authority
shall default in the payment of principal of or interest on any issue of
the 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 New York, or Queens or the Bronx or
Kings 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 herein provided.
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 suit, action or special proceeding enforce all  rights  of  the
bondholders,  including the right to require the authority and the board
to collect tolls and rentals adequate to carry out any agreement as  to,
or  pledge  of, such tolls and rentals, and to require the authority and
the board to carry out any other agreements with  the  holders  of  such
bonds and to perform its and their duties under this title;
(b) bring suit upon such bonds;
(c)  by  action or suit in equity, 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 suit in equity, enjoin any acts or things which may
be unlawful or in violation of the rights of the holders of such bonds;
(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 New York,
Queens, the Bronx, or Kings.
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 tolls or  other  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  construction,
operation,  maintenance  and reconstruction of such part or parts of the
project and proceed with any construction thereon 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 tolls and other
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  fees, 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 tolls, rentals and other revenues derived from such project.
6.  Such  trustee  shall in addition to the foregoing have and possess
all of the powers necessary or  appropriate  for  the  exercise  of  any
functions  specifically  set  forth  herein  or  incident to the general
representation of bondholders in the enforcement and protection of their
rights.