New Jersey § 12:11a-12

§ 12:11a-12.

(a) In order to secure the payment of its bonds or notes, the corporation shall have

power in the resolution authorizing the issuance thereof (which shall constitute a

contract with the holders thereof): (i) to pledge all or any part of its rents, tolls, fees or revenues to which its right

then exists or may thereafter come into existence, and the moneys derived therefrom,

and the proceeds of bonds or notes; (ii) to covenant against pledging all or any part of its rents, tolls, fees or revenues,

or against mortgaging all or any part of its real or personal property then owned

or thereafter acquired, or against permitting or suffering any lien on such rents,

tolls, fees, revenues or property; to covenant with respect to limitations on any

right to sell, lease or otherwise dispose of any marine terminal or any part thereof,

or any property of any kind; (iii) to covenant as to the bonds and notes to be issued and the limitations thereon

and the terms and conditions thereof and as to the custody, application and disposition

of the proceeds thereof, and to covenant as to the issuance of additional bonds or

notes or as to limitations on the issuance of additional bonds or notes and on the

incurring of other debts by it; (iv) to covenant as to the payment of the principal of or interest on the bonds or

notes, or any other obligations, as to the sources and methods of such payment, as

to the rank or priority of any such bonds, notes or obligations with respect to any

lien or security or as to the acceleration of the maturity of any such bonds, notes

or obligations; (v) to provide for the replacement of lost, destroyed or mutilated bonds or notes; (vi) to covenant against extending the time for the payment of bonds or notes or interest

thereon; (vii) to covenant as to the redemption of bonds or notes and privileges of exchange

thereof or other bonds or notes of the corporation; (viii) to covenant as to the rates of rents, tolls, fees and other charges to be established

and charged, the amount to be raised each year or other period of time by rents, tolls,

fees or other revenues and as to the use and disposition to be made thereof; to create

or authorize the creation of special funds or moneys to be held in pledge or otherwise

for construction, operating expenses, payment or redemption of bonds or notes, reserves

or other purposes and to covenant as to the use and disposition of the moneys held

in such funds; (ix) to establish the procedure, if any, by which the terms of any contract or covenant

with or for the benefit of the holders of bonds or notes may be amended or abrogated,

the amount of bonds or notes the holders of which must consent thereto, and the manner

in which such consent may be given; (x) to covenant as to the maintenance of its real and personal property, the replacement

thereof, the insurance to be carried thereon, and the use and disposition of insurance

moneys; (xi) to provide for the rights and liabilities, powers and duties arising upon the

breach of any covenant, condition or obligation; to prescribe the events of default

and the terms and conditions upon which any or all of the bonds or notes shall become

or may be declared due and payable before maturity and the terms and conditions upon

which any such declaration and its consequences may be waived; (xii) to vest in a trustee or trustees such property, rights, powers and duties in

trust for the holders of bonds or notes as the corporation may determine; to limit

or abrogate the rights of the holders of such bonds or notes to appoint such trustee,

or to limit the rights, duties and powers of such trustee; (xiii) to limit the rights of the holders of bonds or notes to enforce any pledge

or covenant securing the bonds or notes; and (xiv) to make covenants other than and in addition to the covenants herein expressly

authorized, of like or different character; and to make such covenants to do or refrain

from doing such acts and things as may be necessary or convenient or desirable in

order to better secure the bonds or notes or which, in the absolute discretion of

the corporation will tend to make the bonds or notes more marketable, notwithstanding

that such covenants, acts or things may not be enumerated herein. (b) Any pledge of rents, tolls, fees or other revenues or other moneys made by the

corporation shall be valid and binding from the time when the pledge is made; the

rents, tolls, fees or other revenues or other moneys so pledged and thereafter received

by the corporation shall immediately be subject to the lien of such pledge without

any physical delivery thereof or further act, and the lien of any such pledge shall

be valid and binding as against all parties having claims of any kind in tort, contract

or otherwise against the corporation irrespective of whether such parties have notice

thereof. Neither the resolution nor any other instrument by which a pledge is created need

be filed or recorded except in the records of the corporation. Resolutions providing for the issuance of bonds or notes shall not convey or mortgage

any project or any part thereof. (c) Bonds or notes may be issued under the provisions of this act without obtaining

the consent of any department, division, commission, board, bureau or agency of the

State, and without any other proceeding or the happening of any other conditions or

things than those proceedings, conditions or things which are specifically required

by this act. (d) The corporation shall not have power to mortgage real property. (e) Moneys of the corporation or moneys held in pledge or otherwise for the payment

of bonds or notes or in any way to secure bonds or notes and deposits of such moneys

may be secured in such manner as the corporation may require and all banks and trust

companies are authorized to give such security therefor. (f) Neither the members of the corporation nor any person executing bonds or notes

shall be liable personally on the bonds or notes or be subject to any personal liability

or accountability by reason of the issuance thereof. (g) The corporation shall have the power to purchase bonds or notes out of any funds

available therefor. The corporation may hold, cancel or resell such bonds or notes subject to and in

accordance with agreements with holders of its bonds and notes.