New Jersey § 58:11b-18

§ 58:11b-18.

a. If the trust defaults in the payment of principal of, or interest on, any issue

of its bonds, notes or other obligations after these are due, whether at maturity

or upon call for redemption, and the default continues for a period of 30 days or

if the trust defaults in any agreement made with the holders of any issue of bonds,

notes or other obligations, the holders of 25 percent in aggregate principal amount

of the bonds, notes or other obligations of the issue then outstanding, by instrument

or instruments filed in the office of the clerk of any county in which the trust operates

and has an office and proved or acknowledged in the same manner as required for a

deed to be recorded, may direct a trustee to represent the holders of the bonds, notes

or other obligations of the issuers for the purposes herein provided. b. Upon default, the trustee may, and upon written request of the holders of 25 percent

in principal amount of the bonds, notes or other obligations of the trust of a particular

issue then outstanding shall, in the trustee's own name: (1) By suit, action or proceeding enforce all rights of the holders of bonds, notes

or other obligations of the issue, to require the trust to carry out any other agreements

with the holders of the bonds, notes or other obligations of the issue and to perform

its duties under P.L.1985, c. 334 ( C.58:11B-1 et seq. ), P.L.1997, c. 224 ( C.58:11B-10.1 et al.), or sections 22 and 34 through 38 of P.L.2016, c. 56 ( C.58:11B-10.3 through C.58:11B-10.5 , C.58:11B-20.2 , C.58:11B-22.3 , and C.58:11B-22.4 ); (2) Bring suit upon the bonds, notes or other obligations of the issue; (3) By action or suit, require the trust to account as if it were the trustee of an

express trust for the holders of the bonds, notes or other obligations of the issue; (4) By action or suit, enjoin any acts or things which may be unlawful or in violation

of the rights of the holders of the bonds, notes or other obligations of the issue; (5) Sell or otherwise dispose of bonds and notes of local government units , public water utilities, or other persons pledged pursuant to resolution or trust indenture for benefit of holders of bonds,

notes, or other obligations of the issue on any terms as resolution or trust indenture

may provide; (6) By action or suit, foreclose any mortgage pledged pursuant to the resolution or

trust indenture for the benefit of the holders of the bonds, notes or other obligations

of the issue; (7) Declare all bonds, notes or other obligations of the issue due and payable, and

if all defaults are made good, then with the consent of the holders of 50 percent

of the principal amount of the bonds, notes or other obligations of the issue then

outstanding, to annul the declaration and its consequences. c. The trustee shall, in addition to the foregoing, have those powers necessary or

appropriate for the exercise of any function specifically set forth herein or incident

to the general representation of holders of bonds, notes or other obligations of the

trust in the enforcement and protection of their rights. d. The Superior Court shall have jurisdiction over any suit, action or proceeding

by the trustees on behalf of the holders of bonds, notes or other obligations of the

trust. The venue of any suit, action or proceeding shall be in the county in which the

principal office of the trust is located. e. Before declaring the principal of bonds, notes or other obligations of the trust

due and payable as a result of a trust default on any of its bonds, notes or other

obligations, the trustee shall first give 30 days' notice in writing to the trust

and to the Governor, State Treasurer, President of the Senate and Speaker of the General

Assembly.