                                 CODE OF VIRGINIA

REMEDIES OF NOTEHOLDERS AND BONDHOLDERS (§ 36-55.47)

1. In the event that HDA shall default in the payment of principal of or
interest on any issue of notes and bonds after the same shall become due,
whether at maturity or upon call for redemption, and such default shall continue
for a period of thirty days, or in the event that HDA shall fail or refuse to
comply with the provisions of this chapter, or shall default in any agreement
made with the holders of any issue of notes or bonds, the holders of twenty-five
per centum in aggregate principal amount of the notes or bonds of such issue
then outstanding, by instrument or instruments filed in the office of the clerk
of the Circuit Court of the City of Richmond, Commonwealth of Virginia, and
proved or acknowledged in the same manner as a deed to be recorded, may appoint
a trustee to represent the holders of such notes or bonds for the purposes
herein provided.

2. Such trustee may, and upon written request of the holders of twenty-five per
centum in principal amount of such notes or bonds then outstanding shall, in his
or its own name:

   a. By suit, action or proceeding in accordance with the provisions of Title
   8.01, enforce all rights of the noteholders or bondholders, including the
   right to require HDA to carry out any agreements with such holders and to
   perform its duties under this chapter;

   b. Bring suit upon such notes or bonds;

   c. By action or suit, require HDA to account as if it were the trustee of an
   express trust for the holders of such notes or bonds;

   d. By action or suit, enjoin any acts or things which may be unlawful or in
   violation of the rights of the holders of such notes or bonds;

   e. Declare all such notes or bonds due and payable, and if all defaults shall
   be made good, then, with the consent of the holders of twenty-five per centum
   of the principal amount of such notes or bonds then outstanding, annul such
   declaration and its consequences.

3. The Circuit Court of the City of Richmond shall have jurisdiction of any
suit, action or proceeding by the trustee on behalf of such noteholders or
bondholders. The venue of any suit, action or proceeding shall be laid in the
City of Richmond, Commonwealth of Virginia.

4. Before declaring the principal of notes or bonds due and payable, the trustee
shall first give thirty days&#8217; notice in writing to HDA.

HISTORY: 1972, c. 830.