Section 10-324 - Trust agreement. - Maryland Statutes

§ 10-324. Trust agreement.
 

(a)  Applicability.- The Authority may secure bonds by a trust agreement. 

(b)  Corporate trustee.- The corporate trustee under a trust agreement may be a trust company or a bank that has the powers of a trust company in or outside the State. 

(c)  Contents.- In addition to the provisions described in § 10-323(h) of this subtitle, the trust agreement may contain: 

(1) either: 

(i) a provision conveying or mortgaging all or a portion of the project; or 

(ii) a provision creating a collateral account; 

(2) other provisions that the Authority considers reasonable and proper for the security of bondholders; and 

(3) a provision that restricts the individual right of action by bondholders. 

(d)  Expenses.- An expense incurred in carrying out the trust agreement or a resolution may be treated as part of the cost of the operation of a project. 
 

[An. Code 1957, art. 43C, § 12; 2008, ch. 306, § 2; ch. 307, § 1.]