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December 21, 2024 Clear | 18°F
The 193rd General Court of the Commonwealth of Massachusetts

Section 11: Trust agreements as security for revenue bonds or notes; provisions of trust agreements

Section 11. In the discretion of the Authority any revenue bonds or notes issued under the provisions of this chapter may be secured by a trust agreement by and between the Authority and a corporate trustee or trustees, which may be any trust company or bank having the powers of a trust company within the commonwealth. Such trust agreement or resolution providing for the issuance of such revenue bonds or notes may contain such provisions for protecting and enforcing the rights and remedies of the bondholders or noteholders as may be reasonable and proper and not in violation of law, including particularly such provisions as have hereinabove been specifically authorized to be included in any resolution or resolutions of the Authority authorizing revenue bonds or notes thereof. Any bank or trust company incorporated under the laws of the commonwealth which may act as depository of the proceeds of bonds or notes or of revenues or other monies may furnish such indemnity bonds or pledge such securities as may be required by the Authority. Any such trust agreement may set forth the rights and remedies of the bondholders or noteholders and of the trustee or trustees, and may restrict the individual right of action by bondholders or noteholders. In addition to the foregoing, any such trust agreement or resolution may contain such other provisions as the Authority may deem reasonable and proper for the security of the bondholders or noteholders. All expenses incurred in carrying out the provisions of such trust agreement or resolution may be treated as a part of the cost of the education loan program.