Title 45
Towns and Cities

Chapter 38.1
Health and Educational Building Corporation

R.I. Gen. Laws § 45-38.1-10

§ 45-38.1-10. Trust agreement.

In the discretion of the corporation, any revenue bonds issued under the provisions of this chapter may be secured by a trust agreement by and between the corporation and a corporate trustee or trustees, which may be any trust company or bank having the powers of a trust company within or without the state. The trust agreement or the resolution providing for the issuance of the revenue bonds may pledge or assign the revenues to be received or proceeds of any contract or contracts pledged, and may convey or mortgage the project or any portion of it. The trust agreement or resolution providing for the issuance of the revenue bonds may contain any provisions for protecting and enforcing the rights and remedies of the bondholders that may be reasonable and proper and not in violation of law, including, particularly, provisions as have been specifically authorized by this chapter to be included in any resolution or resolutions of the corporation authorizing revenue bonds. It is lawful for any bank or trust company incorporated under the laws of the state which may act as depositary of the proceeds of bonds or of revenues or other moneys to furnish indemnifying bonds or to pledge securities as may be required by the corporation. The trust agreement may establish the rights and remedies of the bondholders and of the trustee or trustees, and may restrict the individual right of action by bondholders. In addition to the preceding, any trust agreement or resolution may contain any other provisions that the corporation may deem reasonable and proper for the security of the bondholders. All expenses incurred in carrying out the provisions of the trust agreement or resolution may be treated as a part of the cost of the operation of a project or of the education loan program.

History of Section.
P.L. 1967, ch. 56, § 1; P.L. 1968, ch. 224, § 2; P.L. 1982, ch. 301, § 5.