2013 New York Consolidated Laws
PVH - Private Housing Finance
Article 12 - (650 - 670) NEW YORK CITY HOUSING DEVELOPMENT CORPORATION
660 - Remedies of noteholders and bondholders.

 
    §  660.  Remedies of noteholders and bondholders. 1. In the event that
  the corporation shall default in the payment of principal of or interest
  on any issue of notes or 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 corporation shall
  fail or refuse to comply with the provisions of this article,  or  shall
  default  in any agreement made with the holders of any issue of notes or
  bonds, the holders of twenty-five  per  centum  in  aggregate  principal
  amount  of  the  notes  or  bonds  of  such  issue  then outstanding, by
  instrument or instruments filed in the office of the clerk of the county
  of New York and proved or acknowledged in the same manner as a  deed  to
  be  recorded,  may  appoint  a  trustee to represent the holders of such
  notes or 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 notes or bonds then
  outstanding shall, in such trustee's own name:
    (a) by suit,  action  or  proceeding  in  accordance  with  the  civil
  practice  law  and  rules,  enforce  all  rights  of  the noteholders or
  bondholders, including the right to require the corporation to carry out
  any agreement with such holders and to perform  its  duties  under  this
  article;
    (b) bring suit upon such notes or bonds;
    (c)  by  action  or  suit, require the corporation to account as if it
  were the trustee of an express trust for the holders of  such  notes  or
  bonds;
    (d) by action or suit, enjoin any acts or things which may be unlawful
  or in violation of the rights of the holders of such notes or bonds;
    (e)  declare  all  such  notes  or  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 notes or bonds
  then outstanding, 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 such noteholders or bondholders.
  The venue of any such suit, action or proceeding shall be  laid  in  the
  county of New York.
    4.  Before  declaring the principal of notes or bonds due and payable,
  the trustee shall first give thirty  days'  notice  in  writing  to  the
  corporation.