Bonds — Mortgage lien

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  1. (a) Subject to the subsequent provisions of this section, there shall exist a statutory mortgage lien upon the land, buildings, and facilities acquired, constructed, reconstructed, extended, equipped, or improved, in whole or in part, with the proceeds of revenue bonds issued under this subchapter, which shall exist in favor of the holders of the bonds and in favor of the holders of the coupons attached to the bonds, and the land, buildings, and facilities shall remain subject to the statutory mortgage lien until payment in full of the principal of, and interest on, the revenue bonds.

  2. (b) Anything in this subchapter to the contrary notwithstanding, the ordinance or indenture referred to in § 14-269-106 may impose a forecloseable mortgage lien upon the land, buildings, and facilities acquired, constructed, reconstructed, extended, equipped, or improved, in whole or in part, with the proceeds of revenue bonds issued under this subchapter, and the nature and extent of the mortgage lien may be controlled by the ordinance or indenture including, without limitation, provisions pertaining to the release of all or part of the land, buildings, and facilities from the mortgage lien and the priority of the mortgage lien in the event of successive bond issues as authorized by § 14-269-106.

  3. (c) Subject to such terms, conditions, and restrictions as may be contained in the ordinance or indenture authorizing or securing the bonds, any holder of bonds issued under the provisions of this subchapter, or of any coupons attached thereto, may, either at law or in equity, enforce the mortgage lien and may, by proper suit, compel the performance of the duties of the officials of the issuing municipality as set forth in this subchapter, and in any ordinance or indenture authorizing or securing the bonds.


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