§ 878. Remedies of bondholders and noteholders. (1) In the event that
the agency shall default in the payment of principal or of interest on
any issue of the bonds or notes 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 agency 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 or
notes, 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 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 or notes, then
outstanding shall, in his or its own name:

(a) by suit, action or special proceeding enforce all rights of the
bondholders or noteholders, including the right to require the agency to
collect revenues adequate to carry out any agreement as to, or pledge
of, such revenues, and to require the agency to carry out any other
agreements with the holders of such bonds or notes and to perform its
duties under this title;

(b) bring suit upon such bonds or notes;

(c) by action or special proceeding, require the authority to account
as if it were the trustee of an express trust for the holders of such
bonds or notes;

(d) by action or special proceeding, enjoin any acts or things which
may be unlawful or in violation of the rights of the holders of such
bonds or notes;

(e) declare all such bonds or notes 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 or notes
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 or noteholders. The
venue of any such suit, action or proceeding shall be laid in the county
in which the project or projects are located.

(4) Before declaring the principal of all such bonds due and payable,
the trustee shall first give thirty days' notice in writing to the
agency.

(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 a
project, 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 project and, subject to any pledge or agreement
with bondholders or noteholders, shall take possession of all moneys and
other property derived from or applicable to the acquisition,
construction, operation, maintenance and reconstruction of such part or
parts of the project and proceed with the acquisition of any necessary
real property in connection with the project that the agency has
covenanted to construct, and with any construction which the agency is
under obligation to do and to operate, maintain and reconstruct such
part or parts of the project and collect and receive all revenues
thereafter arising therefrom subject to any pledge thereof or agreement
with bondholders or noteholders relating thereto and perform the public
duties and carry out the agreements and obligations of the agency under
the direction of the court. In any suit, action or proceeding by the
trustee, the fee, 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 such project.

(6) Such trustee shall, in addition to the foregoing, have and possess
all of the powers necessary or appropriate for the exercise of any
functions specifically set forth herein or incident to the general
representation of bondholders or noteholders in the enforcement and
protection of their rights.