2023 New York Laws › PBA - Public Authorities › Article 8 - Miscellaneous Authorities › Title 13 - Onondaga County Solid Waste Disposal Authority › 2031 - Remedies of Bondholders.

§  2031.  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 Onondaga 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 mandamus or other suit, action  or  proceeding  at  law  or  in
equity  enforce  all  rights  of the bondholders, including the right to
require the authority to collect  revenues,  rates,  rentals,  fees  and
other  charges  adequate  to carry out any agreement as to, or pledge of
such revenues, rates, rentals, fees and other charges 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 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.
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
properties  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  properties  and subject to any pledge or
agreement with bonders shall take possession of  all  moneys  and  other
property  derived  from such part or parts of the properties and proceed
with any construction thereon or the acquisition of any  property,  real
or  personal  in  connection  therewith  which  the  authority  is under
obligation to do, and to operate, maintain and reconstruct such part  or
parts  of the properties 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  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 revenues derived
from the properties.
6. Such trustees shall in addition to the foregoing have  and  possess
all  of  the  powers  necessary  or  appopriate  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.