§ 159-91. Lien of revenue bonds. - North Carolina Statutes

§ 159‑91.  Lien ofrevenue bonds.

(a)        All revenue bonds issued under this Article shall be equallyand ratably secured by a pledge, charge, and lien upon revenues provided for inthe bond order, without priority by reason of number, or of dates of bonds, executionor delivery, in accordance with the provisions of this Article and of the bondorder; except that the State or a municipality may provide in a revenue bondorder that revenue bonds issued pursuant thereto shall to the extent and in themanner prescribed in the order or agreement be subordinated and junior instanding, with respect to the payment of principal and interest and thesecurity thereof, to any other revenue bonds.

(b)        Any pledge made by the State or a municipality pursuant tothis Article shall be valid and binding from the date of final passage of thebond order upon the issuance of any bonds or bond anticipation notesthereunder. The revenues, securities, and other moneys so pledged and then heldor thereafter received by the State or a municipality, as the case may be, orany fiduciary shall immediately be subject to the lien of the pledge withoutany physical delivery thereof or further act, and the lien of the pledge shallbe valid and binding as against all parties having claims of any kind in tort,contract, or otherwise against the State or a municipality, as the case may be,without regard to whether such parties have notice thereof. The bond order bywhich a pledge is created need not be filed or recorded in any manner otherthan as provided in this Chapter. (1971, c. 780, s. 1; 1983, c. 554, s. 12.)