198A.100 Trust agreement to secure corporate obligations -- Operation thereof. - Kentucky Statutes

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198A.100 Trust agreement to secure corporate obligations -- Operation thereof. In the discretion of the corporation any obligations issued under the provisions of this
chapter may be secured by a trust agreement by and between the corporation and a
corporate trustee, which may be any trust company or bank having the powers of a trust
company within or without the state. Such trust agreement or the resolution providing for
the issuance of such obligations may pledge or assign all or any part of the revenues or
assets of the corporation, including, without limitation, mortgage loans, mortgage loan
commitments, construction loans, temporary loans, contracts, agreements and other
security or investment obligations, the fees or charges made or received by the
corporation, the moneys received in payment of loans and interest thereon, and any other
moneys received or to be received by the corporation. Such trust agreement or resolution
may contain such provisions for protecting and enforcing the rights and remedies of the
holders of any such obligations as may be reasonable and proper and not in violation of
law, including covenants setting forth the duties of the corporation in relation to the
purposes to which obligation proceeds may be applied, the disposition or pledging of the
revenues or assets of the corporation, the terms and conditions for the issuance of
additional obligations, and the custody, safeguarding and application of all moneys. It
shall be lawful for any bank or trust company incorporated under the laws of the state
which may act as depository of the proceeds of obligations, revenues or other money
hereunder to furnish such indemnifying bonds or to pledge such securities as may be
required by the corporation. Any such trust agreement or resolution may set forth the
rights and remedies of the holders of any obligations and of the trustee, and may restrict
the individual right of action by any such holders. In addition to the foregoing, any such
trust agreement or resolution may contain such other provisions as the corporation may
deem reasonable and proper for the security of the holders of any obligations. All
expenses incurred in carrying out the provisions of such trust agreement or resolution
may be paid from the revenues or assets pledged or assigned to the payment of the
principal of and the interest on obligations or from any other funds available to the
corporation. History: Created 1972 Ky. Acts ch. 70, sec. 11.