Repository: UIHistories Project: Board of Trustees Minutes - 1936 [PAGE 833]

EXTRACTED TEXT FROM PAGE:

830

BOAKD OF TRUSTEES

[June 29

(j ) Default shall be made in the due observance or performance of any other of the covenants, conditions, or obligations in the Bonds issued hereunder or in this Indenture expressed and such default shall have continued for thirty (30) days after written notice specifying such default and requiring same to be remedied shall have been given to the foundation by the Trustee, whose duty it shall be to give such notice upon the written request of the holders of not less than ten per cent (10%) in principal amount of the Bonds issued hereunder and then outstanding; then, and in every such event, the Trustee may in its discretion and, upon the written request of the holders of at least ten per cent (10%) in principal amount of the Bonds issued hereunder and then outstanding, and upon being indemnified to its satisfaction shall, declare the principal of all Bonds then outstanding hereunder (if not then due and payable) to be due and payable immediately, and upon any such declaration the principal of all such Bonds then outstanding shall become and be immediately due and payable, anything in the said Bonds or in this Indenture contained to the contrary notwithstanding. This provision, however, is subject to the condition that if at any time after the principal of the Bonds shall have been so declared and become due and payable 1. By reason of an event of default enumerated in subparagraph ( a ) or (b) of this Section, the Foundation shall pay, or shall provide by deposit with the Trustee, a sum sufficient to pay all arrears of interest upon al! of the Bonds then outstanding (with interest so far as may be lawful on overdue installments of interest at the rate of 6% per annum) and all arrears of principal of the Bonds then due by their terms and interest accrued on such Bonds since the date of the last interest payment date, and all attorney's fees, Trustee's fees, and all accrued costs of any judicial proceedings instituted by reason of defaults hereunder, and all taxes legally due and not paid in accordance with the provisions hereof (with proper interest thereon if paid by the Trustee or any of the bondholders as herein provided) then, and in every such case, the declaration accelerating the maturity of the Bonds as aforesaid and its consequences shall be rescinded and annulled without affecting any subsequent default or impairing any right consequent thereon; but if the Foundation shall not comply with all of the foregoing conditions, such declaration, so far as may be lawful, shall continue in full force and effect; 2. By reason of any event of default other than, or in addition to, those enumerated in the preceding subparagraph numbered 1, the Foundation shall make good and cure every default (known to the T r u s t e e ) in the observance or performance of any covenant, condition, or agreement in the Bonds or in this Indenture contained, and the Foundation also shall pay, or provide by deposit with the Trustee, a sum sufficient to pay all attorney's fees, Trustee's fees, and all accrued costs of any judicial proceedings instituted by reason of defaults hereunder, then and in every such case, the declaration accelerating the maturity of the Bonds as aforesaid, and its consequences, shall be rescinded without affecting any subsequent default or impairing any right consequent thereon; but if the Foundation shall not make good and cure every such default, as aforesaid, such declaration, so far as may be lawful, shall continue in full force and effect; provided, however, that in case there shall have occurred (either alone or among other events of default) the event of default enumerated in subparagraph ( i ) Section 9.01 hereof and the Trustee or a receiver or receivers shall have entered into a lease or leases demising all or any part of the Project, the Site thereof or the other T r u s t P r o p e r t y for purposes other than exclusively college, seminary, university or other exclusively public educational purposes, then and in such event nothing herein contained shall affect the right of the Trustee or a receiver or receivers to continue in possession of the portion of the Trust Property so demised so long as any such lease or leases respectively shall con-