§ 14-235-220 - Enforcement of rights by bondholders or trustee. - Arkansas Statutes

14-235-220. Enforcement of rights by bondholders or trustee.

(a) (1) Any holder of any bonds issued under this subchapter, or any of the coupons attached to them, and the trustee, if any, except to the extent the rights given in this subchapter may be restricted by the ordinance authorizing issuance of the bonds or by the trust indenture, may either, at law or in equity, by suit, action, mandamus, or other proceeding, protect and enforce any and all rights granted under this subchapter or under the ordinance or trust indenture.

(2) A bondholder or trustee may enforce and compel performance of all duties required by this subchapter or by the ordinance or trust indenture to be performed by the municipality issuing the bonds or by the sewer committee or any officer, including the making and collecting of reasonable and sufficient charges and rates for service rendered by the works.

(b) If there is any failure to pay the principal or interest of any of the bonds on the date named for payment, any court having jurisdiction of the action may appoint a receiver to administer the works on behalf of the municipality and the bondholders or trustee, except as so restricted, with power to charge and collect, or, by mandatory injunction or otherwise, to cause to be charged and collected, rates sufficient to provide for the payment of the expenses of operation, repair, and maintenance and also to pay any bonds and interest outstanding and to apply the revenue in conformity with this subchapter and the ordinance or trust indenture.