51-9-215 - Appointment of trustee to represent bond owners; appointment of receiver.

§ 51-9-215. Appointment of trustee to represent bond owners; appointment of receiver.
 

The district may, in any authorizing resolution of the board of directors, trust indenture or other security instrument relating to its bonds, provide for the appointment of a trustee who shall have such powers as are provided therein to represent the registered owners of any issue of bonds in the enforcement or protection of their rights under any such resolution, trust indenture or security instrument. The district may also provide in such resolution, trust indenture or other security instrument that the trustee, or in the event that the trustee so appointed shall fail or decline to so protect and enforce such registered owners' rights then such percentage of registered owners as shall be set forth in, and subject to the provisions of, such resolution, trust indenture or other security interest, may petition the court of proper jurisdiction for the appointment of a receiver of the collection facilities or treatment facilities the revenues of which are pledged to the payment of the principal of and interest on the bonds of such registered owners. Such receiver may exercise any power as may be granted in any such resolution, trust indenture or security instrument to enter upon and take possession of, acquire, construct or reconstruct or operate and maintain such collection facilities or treatment facilities, fix, charge, collect, enforce and receive all revenues derived from such collection facilities or treatment facilities and perform the public duties and carry out the contracts and obligations of the district in the same manner as the district itself might do, all under the direction of such court. 
 

Sources: Laws,  1985, ch. 428, § 13, eff from and after passage (approved March 26, 1985).