Repository: UIHistories Project: Board of Trustees Minutes - 1936 [PAGE 831]

EXTRACTED TEXT FROM PAGE:

828

BOARD OF TRUSTEES

[June 29

of t h e holders of at least two-thirds ( J i ) of the Bonds it will not directly or indirectly extend or assent to the extension of the time of payment of the principal of or interest on the Bonds by funding any such Bond or interest coupon, or by any other contract or arrangement of whatsoever nature, and in case the time for payment of the prinicipal of or interest on the Bonds shall be extended without such consent, such Bonds or interest coupons shall be entitled, in case of any default hereunder, only to the benefit and security of this Indenture and the Pledged Estate as provided for in Section 9.04 hereof. Section 8.08. T h e Foundation covenants and agrees that it is duly authorized, under the T r u s t Agreement and the Laws of the State of Illinois and all other applicable provisions of law, to issue the Bonds and coupons and that the Foundation is thereby duly authorized to execute and deliver this Indenture, and all action on its part respectively necessary or desirable for the issuance of the Bonds and coupons and the execution and delivery of this Indenture has been duly and effectively taken; and the Bonds and coupons in the hands of the respective holders thereof are and shall be valid and enforceable obligations of the Foundation, as trustee as aforesaid, in accordance with the terms thereof and as provided in this Indenture. Section 8.09. T h e Foundation covenants and agrees that all leases, contracts, agreements and rights in property which are required by this Indenture to be subjected to the hen hereof are intended so to be, and although acquired by the Foundation after the execution and delivery of this Indenture, immediately upon the acquisition thereof by the Foundation (without any further conveyance or assignment), shall become subject to the lien of this Indenture as fully and completely as though now owned by the Foundation and specifically described in the granting clauses hereof. Section 8.10. T h e Foundation covenants and agrees that it, from time to time, shall pay and discharge or cause to be paid and discharged (but only out of moneys available for any such purpose as herein provided) all taxes, assessments and governmental charges which shall be lawfully imposed upon the Foundation in connection with the use, operation, or ownership of the Trust Property, or upon any part thereof, or upon the income and profits thereof, as well as ail lawful claims for labor, materials, and supplies, which if unpaid, might by law become a lien or charge thereon or which might impair the security of this I n d e n t u r e ; all so that the priority and security of this Indenture shall be fully preserved; nothing in this Section contained, however, shall require the Foundation to pay any such tax, assessment or charge, or any claim which might be used as the basis of a mechanic's, laborer's or other lien or charge so long as the Foundation in good faith shall contest the validity thereof, unless in the opinion of the Trustee the lien or security of this Indenture might be endangered or impaired by the failure to pay the same. Section 8.11. If the Foundation shall fail to perform any of the covenants herein contained, the Trustee or, if the Trustee shall not wish to do so, any holder of any of the Bonds may make advances to perform the same on behalf of the Foundation, but shall be under no obligation so to d o ; and all sums so advanced shall at once be repayable by the Foundation out of any funds available for that purpose as herein provided and shall bear interest until paid at the rate of four per cent ( 4 % ) per annum and all sums so advanced with interest thereon shall be secured hereby in priority to the indebtedness evidenced by the Bonds and coupons; but no such advance shall be deemed to relieve the Foundation from any default hereunder. Notwithstanding any provision contained in this Indenture or in the Bonds to the contrary, it is expressly understood and agreed by the Foundation, the Trustee, and the holder of each Bond issued hereunder, that all claims for the payment of any sum or sums of money, arising out of or in connection with this Indenture and stated in this Indenture to be payable and secured hereunder in priority to the indebtedness evidenced by the Bonds or coupons issued hereunder, shall be payable and secured under this Indenture equally and ratably and without distinction or priority of one such prior claim over another. Section 8.12. T h e Foundation covenants and agrees that it will not sell, convey, encumber or otherwise dispose of the T r u s t Property or its leases or