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<law><site_title>Virginia Decoded</site_title><site_url>https://vacode.org</site_url><law_id>348524</law_id><section_number>15.2-4910</section_number><catch_line>Security for payment of bonds; default</catch_line><edition url="https://vacode.org/2026/" slug="2026" current="TRUE" last_updated="2026-08-02">2026</edition><structure><unit label="title" level="1" order_by="46" identifier="15.2">Counties, Cities and Towns</unit><unit label="subtitle" level="2" order_by="4" identifier="IV">Other Governmental Entities</unit><unit label="chapter" level="3" order_by="7" identifier="49">Industrial Development and Revenue Bond Act</unit></structure><text>
						<section><p>The principal of and interest on any <span class="dictionary">bonds</span> issued by the authority shall be secured by a pledge of the <span class="dictionary">revenues</span> and receipts out of which the same shall be made payable, and may be secured by a <span class="dictionary">trust indenture</span> covering all or any part of the <span class="dictionary">authority facilities</span> from which <span class="dictionary">revenues</span> or receipts so pledged may be derived, including any enlargements of and additions to any such projects thereafter made. The resolution under which the <span class="dictionary">bonds</span> are authorized to be issued and any such <span class="dictionary">trust indenture</span> may contain any agreements and provisions respecting the maintenance of the projects covered thereby, the fixing and collection of rents for any portions thereof leased by the authority to others, the creation and maintenance of special funds from such <span class="dictionary">revenues</span> and the rights and remedies available in the event of <span class="dictionary">default</span>, all as the board of directors shall deem advisable not in conflict with the provisions hereof. Each pledge, agreement and <span class="dictionary">trust indenture</span> made for the benefit or security of any of the <span class="dictionary">bonds</span> of the authority shall continue effective until the principal of and interest on such <span class="dictionary">bonds</span> have been fully paid. In the event of <span class="dictionary">default</span> in such payment or in any agreements of the authority made as a part of the <span class="dictionary">contract</span> under which the <span class="dictionary">bonds</span> were issued, whether contained in the proceedings authorizing the <span class="dictionary">bonds</span> or in any <span class="dictionary">trust indenture</span> executed as security therefor, such payment or agreements may be enforced by <span class="dictionary">writ of mandamus</span>, or by a suit, action or proceeding at <span class="dictionary">law</span> or in <span class="dictionary">equity</span> to compel the authority and the directors, officers, agents or employees thereof to perform the terms, provisions, and covenants contained in any <span class="dictionary">trust indenture</span> of the authority, by the appointment of a receiver in <span class="dictionary">equity</span> or by foreclosure of any such <span class="dictionary">trust indenture</span> or any one or more of said remedies.</p></section></text><history>1966, c. 651, &#xA7; 15.1-1381; 1997, c. 587.</history><metadata></metadata></law>
