11-14-309 - Refunding bonds -- Limitation on redemption of bonds. - Utah Statutes

11-14-309. Refunding bonds -- Limitation on redemption of bonds.
(1) Any bond issued under this chapter may be refunded as provided in the UtahRefunding Bond Act.
(2) Nothing contained in this chapter nor in any other law of this state may be construedto permit any local political subdivision to call outstanding bonds for redemption in order torefund those bonds or in order to pay them prior to their stated maturities, unless:
(a) the right to call the bonds for redemption was specifically reserved and stated in thebonds at the time of their issuance; and
(b) all conditions with respect to the manner, price, and time applicable to theredemption as set forth in the proceedings authorizing the outstanding bonds are strictlyobserved.
(3) A holder of an outstanding bond may not be compelled to surrender the bond forrefunding before its stated maturity or optional date of redemption expressly reserved in thebond, even though the refunding might result in financial benefit to the local political subdivisionissuing the bond.

Renumbered and Amended by Chapter 105, 2005 General Session